Trump Forms Inquiry Committee to Probe Fed Governor Lisa Cook Over Mortgage Statement Allegations

President Donald Trump formally established a committee of inquiry on October 9 to investigate allegations that Federal Reserve Governor Lisa Cook made false statements related to one or more mortgage instruments, the White House announced. The move marks an escalation in the administration's ongoing effort to build a legal case for Cook's removal from the Fed board.

Trump had previously attempted to fire Cook, a Biden appointee, but the Supreme Court blocked that first effort, finding that Cook had not been given notice or an opportunity to respond to the charges against her. The White House subsequently notified Cook and gave her 21 days to respond to the mortgage fraud allegations, seeking to satisfy the procedural requirements the court had identified. The formation of a formal committee of inquiry represents the next step in that process.

The standoff is part of a broader administration push that has at various points also targeted Fed Chair Jerome Powell and Governor Michael Barr, raising questions about the independence of the central bank. Any removal would still require the administration to demonstrate legal cause sufficient to withstand further court scrutiny.