Dr. Lisa DeNell Cook, seen here at a Senate Banking, Housing and Urban Affairs Committee confirmation hearing on Capitol Hill in Washington, D.C. in February of 2022. Appointed a Federal Reserve Governor by former President Joe Biden, current President Donald Trump threatened to fire her on Friday. File Pool Photo by Ken Cedeno/UPI | License Photo
President Donald Trump said Friday that he will fire Federal Reserve Governor Lisa Cook if she doesn’t resign following accusations of financial misdoings.
“What she did was bad, so I’ll fire her if she doesn’t resign,” Trump said to reporters, in regard to a criminal referral issued by U.S. Director of Federal Housing Bill Pulte to U.S. Attorney General Pam Bondi and U.S. Pardon Attorney Ed Martin last week.
In the referral, Pulte purported Cook committed mortgage fraud in regard to homes in Ann Arbor. Michigan and Atlanta.
“Cook must resign, now!!” Trump posted Wednesday to his Truth Social account.
Trump could fire Cook legally under Section 10 of the Federal Reserve Act, which states a Fed governor can be “removed for cause by the President.” CNN reported Thursday that it has seen a letter in which Martin said Cook’s situation “requires further examination,” but as Cook has not been actually charged with any crime, such a removal would face legal challenges.
Pulte, who has released a daily torrent of allegations and slams against Cook on social media throughout the week, posted Friday to X that “We have obtained a document Lisa Cook submitted to the U.S. Government while serving as Federal Reserve Governor. In it, on February 28, 2023, she represents to the U.S. Government that the Atlanta Property is her PERSONAL RESIDENCE.”
“However, Lisa Cook, as a then-sitting Fed Governor and six months earlier, on September 1, 2022, appears to have listed that same property for RENT,” he added, continuing to allege Cook committed fraud.
Cook responded publicly to Trump’s social media demand for her to resign earlier this week.
“I have no intention of being bullied to step down from my position because of some questions raised in a tweet,” Cook said. “I do intend to take any questions about my financial history seriously as a member of the Federal Reserve and so I am gathering the accurate information to answer any legitimate questions and provide the facts.”
Of the seven current Fed governors, two on the board are prior Trump appointees. Now-former Fed Governor Adriana Kugler stepped down earlier this month, and Trump can appoint someone of his choice to fill her seat.
If Trump is able to remove the Biden-appointed Cook or she were to resign, he could also replace her with an appointee of his choice and shift the board to a majority of governors who share his fiscal outlook.
