Donald Trump has announced he plans to illegally fire Federal Reserve Governor Lisa Cook from her position, “effective immediately,” according to a message he posted to his social media Monday night.
I’ll note here Cook is the first Black woman to serve on the Reserve Board of Governors. You know why I include that fact…
His reasoning? Trump said in a letter posted on his social media that he wants to remove Cook effective immediately because of allegations (a tweet he saw on X) that she committed mortgage fraud. She has not been charged with any crime.
“In light of your deceitful and potentially criminal conduct … I do not have such confidence in your integrity,” the Donald wrote.
Seeking to Control the Fed, Trump Risks Upending a Pillar of the Global Economy https://t.co/mJJEMUbtQD
— The Randy Report ️ (@randyslovacek) August 26, 2025
What Trump really wants to do is control the Federal Reserve. He wants the board to lower interest rates because HE thinks that’s what’s best for the economy right now. But he’s no economist, and that power isn’t in his to wield.
From the New York Times:
For all the attention on Mr. Trump’s fight with Mr. Powell, it was always clear that the president would get to name a new Fed chair when Mr. Powell’s term ends next spring.
Mr. Trump was also expected to get to fill another seat on the board in January — though that seat came open several months early when Adriana Kugler unexpectedly resigned this month.
But Ms. Cook’s term does not end until 2038, long after Mr. Trump will have left office. If he is able to fill both her seat and Ms. Kugler’s, he will have appointed a majority of the Fed’s seven-member board even before Mr. Powell steps down as chair.
But firing Cook is not so simple. Under the Federal Reserve Act, a Fed governor can only be removed “for cause.” Please note – a tweet is not “cause.”
The Supreme Court in May ruled that Trump can fire members of independent federal agencies — but said the Fed, as a “uniquely structured, quasi-private entity,” falls under a different set of rules.
Cook responded Monday night saying she would not step down.
“President Trump purported to fire me ‘for cause’ when no cause exists under the law, and he has no authority to do so,” she said in a statement. “I will not resign.”
Cook is now suing to challenge Trump’s attempt at firing her.
BREAKING: Fed Governor Lisa Cook just now after Trump tried to fire her:
“President Trump purported to fire me ‘for cause’ when no cause exists under the law, and he has no authority to do so. I will not resign and will continue my work to support the U.S. economy” pic.twitter.com/gfDZXAjrpl
— Brian Krassenstein (@krassenstein) August 26, 2025
BREAKING: Fed Governor Lisa Cook just sued the Trump administration over her firing.
This will go to the Supreme Court and Trump will lose. Mark this tweet.
— Brian Krassenstein (@krassenstein) August 26, 2025
For the first time in 111 years, a President is planning to fire a sitting Fed governor—and of course, it’s the first Black woman, Lisa Cook.
Trump’s message is clear: when Black women rise, he’ll do anything to push us down.
Newsflash: we’re not going anywhere.
— Congresswoman Jasmine Crockett (@RepJasmine) August 26, 2025
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