Key facts
- President Trump is renewing his effort to remove Federal Reserve Governor Lisa Cook.
- A letter has been sent to Governor Cook indicating her removal is being considered.
- The removal attempt cites allegations of 'gross negligence' and mortgage fraud.
- Cook's lawyer has called the allegations baseless and vowed to challenge the action.
- The Supreme Court previously ruled that Cook could remain in her post while fighting the removal effort.
President Donald Trump is renewing his effort to remove Federal Reserve Governor Lisa Cook, sending her a letter this week stating the president is considering removing her from her role. This action follows a Supreme Court ruling in June that allowed Cook to remain in her post while she fights the president's effort to terminate her over mortgage fraud allegations, which she denies.
The renewed attempt cites allegations of "gross negligence" and mortgage fraud as grounds for removal. Cook's lawyer, Abbe Lowell, has called the allegations "baseless" and vowed to challenge the action, asserting there is no valid cause for her removal and that the attempt interferes with the Federal Reserve's independence.
In a letter obtained by the Associated Press, White House aide Dan Scavino informed Cook that Trump was "considering removing you from your position" and gave her until August 26 to challenge it, adhering to the Supreme Court's requirement for proper notice. The allegations stem from a criminal referral accusing Cook of mortgage fraud related to declaring two different homes as her primary residence.