"The White House campaign to unseat Cook marks an unprecedented bid to reshape the Fed board, which was designed to be largely independent from day-to-day politics. No president has fired a sitting Fed governor in the agency's 112-year history. Cook, who was appointed to the Fed's board by President Joe Biden, a Democrat, has said she won't leave her post and won't be "bullied" by Trump. One of her lawyers, Abbe Lowell, has said she "will continue to carry out her sworn duties as a Senate-confirmed Board Governor.""
"Trump sought to fire Cook on Aug. 25, but a federal judge ruled last week that the removal probably was illegal and reinstated her to the Fed's board. Trump has accused Cook of mortgage fraud because she appeared to claim two properties, in Michigan and Georgia, as "primary residences" in June and July 2021, before she joined the board. Such claims can lead to a lower mortgage rate and smaller down payment than if one of them was declared as a rental property or second home."
The Trump administration requested an emergency Supreme Court order to remove Lisa Cook from the Federal Reserve's board of governors after an appeals court refused to oust her. The move is part of a Republican effort to reshape the Fed's seven-member governing board and push against the central bank's independence; no president has previously fired a sitting Fed governor in the agency's 112-year history. Cook, appointed by President Joe Biden, refuses to resign and says she will not be "bullied"; a federal judge recently ruled the removal likely illegal and reinstated her. Trump has accused Cook of mortgage fraud related to residence claims, and meanwhile Stephen Miran was confirmed to an open Fed seat; both Cook and Miran participated in a recent quarter-point rate cut vote.
Read at Fast Company
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