Trump publicly demanded that Federal Reserve Governor Lisa Cook resign, citing allegations of mortgage fraud. Director of the Federal Housing Finance Agency, Bill Pulte, a Trump appointee, flagged that Cook designated two separate properties—in Michigan and Georgia—as her “primary residence” in 2021, potentially securing more favorable mortgage terms.
Cook has a Ph.D. in economics from the University of California, Berkeley, and was previously an economist at Michigan State University. Cook strongly rejected these calls and referred to them as political bullying. She stated that she has no intention of stepping down and is gathering accurate information to address any legitimate inquiries
If Trump successfully fires Cook, it would bring him closer to having his own appointees control the Fed's Board of Governors. Cook’s removal could shift the balance of power, raising concerns about the independence of the central bank. On her part, she has already stated that she intends to take any questions about her financial history so she is gathering the accurate information to answer any legitimate questions and provide the facts.
These accusations against Cook are not isolated. The Trump administration has launched similar mortgage fraud claims against other Democratic figures, including Senator Adam Schiff and New York Attorney General Letitia James—both of whom deny wrongdoing.
What I'm worried about is the president's demands for lower interest rates are not just rhetoric at this point. We have seen his insults of chair Jerome Powell.However, now that the administration is pursuing a sophisticated, multi front war to try to install loyalists atop the Fed it's really starting to feel like a hostile take over. I'm very unsettled, but do think we need to hold people to laws which just never seems to be the case when republicans are breaking laws left and right.