Trump Restarts Battle to Fire Sitting Fed Governor The Trump administration, after facing a legal setback from the Supreme Court in its initial attempt to remove Lisa D. Cook from her role as a Federal Reserve governor, has sent her a letter indicating it is “considering” her removal. The letter, signed by White House deputy chief of staff Dan Scavino, was delivered on Wednesday and gave Ms. Cook 21 days to respond to allegations of mortgage fraud. The claims, which have been under investigation for over a year, have not resulted in any criminal charges or convictions against her. The escalation follows a significant legal ruling in June when the Supreme Court decided 5-4 that Ms. Cook, whom Mr. Trump had previously attempted to fire in August 2023, should be allowed to contest the accusations against her. The court’s decision permitted her to continue serving her term, which is set to end in 2038. However, the ruling left unresolved key legal questions, creating an opportunity for Mr. Trump to pursue further actions. The justices did not clarify the specific criteria required for the president to remove a Fed official, which under the Federal Reserve Act is limited to “for cause”—a term traditionally interpreted as gross negligence or dereliction of duty. The court also did not address the validity of the allegations against Ms. Cook, which center on her taking out mortgages on multiple properties listed as her primary residence. Ms. Cook has previously suggested these were clerical errors. In the letter, Scavino stated that Ms. Cook’s actions “may be sufficient to demonstrate that you committed a crime,” alleging she acquired mortgages that do not meet certain lending requirements and could have received favorable loan terms under fraudulent circumstances. The letter was first reported by ABC News. Ms.#trump #federal_reserve #abc_news #lisa_d_cook #dan_scavino
