Fed Governor Lisa Cook Formally Denies Mortgage Fraud Allegations as Trump Renews Push to Remove Her

Federal Reserve Governor Lisa Cook has formally denied committing mortgage fraud and rejected the Trump administration's assertion that grounds exist to remove her from the Fed's Board of Governors. Her attorney, Abbe Lowell, said the White House letter relies on "untested and unproven criminal allegations" and that there is no legal basis for dismissal. The White House sent Cook a letter this month, obtained by Axios, notifying her that President Trump was considering her removal and giving her 21 days to respond to the allegations.

This is Trump's second major push to oust Cook, a Biden nominee. His first attempt to fire her last year was blocked by a federal court, and the Supreme Court upheld that block in a 5-4 ruling in late June 2026, finding that Cook had not been given proper notice or an opportunity to respond before the initial dismissal. The renewed effort intensifies a prolonged battle over the independence of the Federal Reserve, with Cook insisting the allegations are baseless and that she intends to remain in her position.