President Trump has fired Federal Reserve board member Lisa Cook over allegations of mortgage fraud. Trump wrote a letter to Cook, which was posted on Truth Social, stating that there is sufficient cause to remove her from her position. Cook was appointed by former President Biden in 2022 and was accused by Bill Pulte, a Trump ally and head of the Federal Housing Finance Agency, of committing mortgage fraud by listing two primary residences. Trump said he would try to fire Cook if she did not resign.
Cook responded to the allegations by saying she would not be “bullied to step down from my position because of some questions raised in a tweet.” She stated that she intends to take any questions about her financial history seriously as a member of the Federal Reserve and is gathering the accurate information to answer any legitimate questions and provide the facts. If Trump successfully removes Cook, it would give him an opening to appoint another member to the board of governors who aligns with his vision for the economy. Trump has relentlessly criticized Federal Reserve Chair Jerome Powell and the rest of the board for declining to lower interest rates, pointing to economic uncertainty created by Trump’s tariff policy as a reason for not doing so.
