Trump establishes committee of inquiry into Fed governor Lisa Cook

Mixed · 2President Donald Trump has established a committee of inquiry to investigate allegations that Federal Reserve governor Lisa Cook made false statements in connection with mortgage instruments, in a renewed effort to remove her from the Fed board. 1 2 Mixed · 2According to NBC News, the presidential memorandum directs the attorney general and other top federal officials to set up the panel, which is to report to Trump whether there is "cause for Governor Cook's removal"; the Washington Examiner says the memo is dated Wednesday and names the assistant to the president for economic policy, the chairman of the Equal Employment Opportunity Commission and the director of the Office of Government Ethics as members. 1 3 Mixed · 2The committee is to hold an in-person hearing on November 5, two days after the midterm elections; Cook may submit a written position statement, must appear and be examined, and may present argument, written evidence and witness statements. 1 2

Right · 1The memo says the president's job is "to ensure the laws are faithfully executed, including by firing subordinates who cannot be trusted to tell the truth and follow the law," and that the committee may consult the Justice Department. 3 Right · 3The move follows the Supreme Court's ruling, which let Cook stay in her job for now but did not permanently bar removal; the justices said she had a right to an opportunity to defend herself and that a firing would "depend in part on the underlying facts." 1 3 2 Mixed · 2The allegations originated in August 2025 with Federal Housing Finance Agency director Bill Pulte, who sent a criminal referral claiming Cook listed two homes, in Michigan and Georgia, as primary residences; Trump then tried to fire her. An Aug. 5 White House letter said there was "sufficient reason to believe" she made false statements. 3 1

Left · 1NBC News reports that documents it reviewed showed Cook declared the property in question a "vacation home" rather than a primary residence, and that the attacks came amid an administration campaign for lower interest rates. 1 Right · 3Cook denies wrongdoing and has not been convicted of anything; her lawyers Abbe Lowell and Norm Eisen say there is "no legal basis" for removal for cause and that "an inadvertent error is not fraud." Lowell said the attacks are an attempt to force the Fed "to bend to his will," and Cook's team had not responded to NBC's request for comment on the new panel. 2 3 1 Mixed · 2No president has ever fired a Fed board member, so a successful removal would be unprecedented. 1 3