Trump launches new probe into Federal Reserve Governor Lisa Cook removal case

The White House has announced a new committee to examine whether Federal Reserve Governor Lisa Cook can be removed under federal law over alleged false statements on mortgage documents. The move adds a fresh stage to an already contested effort by President Donald Trump to oust Cook from the central bank board. A hearing is scheduled for November 5, and Cook will be required to appear and answer questions.

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According to the notice, the three-member committee will review evidence and report to the president on whether there is sufficient cause for removal. It will include the assistant to the president for economic policy, the chair of the Equal Employment Opportunity Commission, and the director of the Office of Government Ethics. The notice was announced on Wednesday and published on the White House website on Friday.

The case began in August 2025 after Federal Housing Finance Agency Director Bill Pulte accused Cook of misrepresenting two properties on a 2021 mortgage application before she joined the Federal Reserve. Trump then announced her removal, but Cook sued and a federal judge blocked the firing in September 2025. The Supreme Court later declined in June to let Trump remove her while litigation continues, leaving her in office as the case proceeds.

The dispute matters because it touches the independence of the Federal Reserve, which sets US monetary policy and is expected to operate free from direct political pressure. Cook was appointed to the Fed Board in 2022 by then-President Joe Biden, and her term runs until 2038. The legal fight has become part of a wider confrontation between the Trump administration and the central bank over interest rates.

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The case has also drawn attention because of the broader political context around the Fed. The supporting material says Trump has pressed the central bank to cut interest rates and has launched investigations into then-Federal Reserve Chair Jerome Powell, whose term ended in May. It also notes that Trump said in December 2025 he would only appoint someone who agreed with him on rate cuts, and later named Kevin Warsh as Powell's replacement.

What remains unclear is whether the committee's review will produce evidence strong enough to justify removal under federal law. The November 5 hearing is the next formal step, and it may clarify how the administration is building its case. For now, Cook remains on the board while the court challenge and the new review process continue in parallel.

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