Trump administration notifies Federal Reserve Governor Lisa Cook of potential removal

The Trump administration notified Federal Reserve Governor Lisa Cook this week that it is considering her removal, citing unresolved mortgage fraud allegations. A letter dated Wednesday and obtained by Axios gives Cook until Aug. 26 to respond to the claims before a final decision is made.

This action revives an effort the Supreme Court blocked earlier this year. The court ruled at that time that Cook could not be removed without proper notice or an opportunity to respond. The new letter explicitly states it is being provided "pursuant to the Supreme Court's opinion" to satisfy those legal requirements.

Dan Scavino, a senior aide to President Trump, signed the correspondence. It accuses Cook of serious misconduct that the White House says constitutes "cause" for her firing. The administration argues her alleged actions undermine public confidence in the central bank.

The letter notes Cook has known about the allegations since at least August 25, 2025. It claims she has never provided an explanation for the conduct despite having ample opportunity to do so over the past 10 months.

Cook’s legal team pushed back against the allegations on Thursday. Lawyers Abbe Lowell and Norm Eisen said the claims are as baseless now as they were a year ago. They stated there is no valid cause for removing the governor under the facts and Supreme Court precedent.

The attorneys indicated they will challenge this latest attempt in court. They aim to preserve Cook’s position and the independence of the Federal Reserve. The process remains an unprecedented effort to remove a sitting governor of the central bank.