Judge Rules Trump's Dismissal of Fed Governor Lisa Cook Illegal

2025-09-10 02:22:58

(MENAFN) A federal judge ruled on Tuesday that U.S. President Donald Trump cannot remove Federal Reserve Governor Lisa Cook from her post, ordering her immediate reinstatement, according to local media reports.

U.S. District Judge Jia Cobb determined that Trump's attempt to dismiss Cook, based on accusations of mortgage fraud tied to documents she signed for two properties in Georgia and Michigan before joining the Fed, violated federal law. This law is designed to shield the Federal Reserve from political interference.

Cobb emphasized that only Cook's actions while serving on the Federal Reserve board could serve as grounds for dismissal. “The public interest in Federal Reserve independence weighs in favor of Cook's reinstatement,” Cobb stated.

Trump had fired Cook on August 25, citing allegations of mortgage fraud. Cook, however, denied any misconduct and filed a lawsuit on August 28 to challenge the move and prevent her removal.

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