Trump Launches Probe Into Federal Reserve Governor Lisa Cook Over Mortgage Fraud Claims
President Trump establishes committee to investigate allegations of mortgage fraud against Federal Reserve Governor Lisa Cook.
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President Donald Trump has intensified his efforts to remove Federal Reserve Governor Lisa Cook, launching an official investigation into allegations of mortgage fraud. In a memorandum, Trump announced the formation of a committee to examine claims that Cook made false statements regarding mortgage instruments. The committee includes 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.
Legal Battle Over Federal Reserve Tenure
Earlier this year, the U.S. Supreme Court ruled that Trump cannot remove Cook from her position, affirming her tenure under the Federal Reserve’s for-cause protection. In a 5-4 decision, Chief Justice John Roberts emphasized that allowing Trump to fire Cook would effectively convert the Federal Reserve’s protections into at-will employment, undermining its independence.
Fraud Allegations and Property Claims
According to housing regulator Bill Pulte, Cook is alleged to have committed mortgage fraud on three properties. The first criminal referral stated that Cook lied about her Atlanta condo being her primary residence just weeks after taking a loan on her Michigan home, which she also claimed as her primary residence. A second referral followed after she allegedly lied about a third property.
Legal and Political Reactions
Cook’s legal team dismissed the allegations as frivolous, even going so far as to claim that allowing Trump to fire her could lead to an inflation crisis. Despite these assertions, the investigation continues, with Trump’s administration pushing forward with its inquiry into the allegations.
Source: The Gateway Pundit
