The US Supreme Court on Wednesday allowed embattled Federal Reserve Governor Lisa Cook to remain in her chair for now.
The high court will hear the case in January 2026 and allow Lisa Cook to keep her job in the meantime. This also means Lisa Cook will be able to participate in December’s interest rate meeting.
Lisa Cook filed a lawsuit against President Trump, the Federal Reserve Board of Governors, and Federal Reserve Chairman Jerome Powell after Trump fired her over the summer.
The Trump Administration last month asked the US Supreme Court to intervene after a federal appeals court blocked Trump from firing Lisa Cook.
DOJ Solicitor General John Sauer, in his petition to the Supreme Court, said the lower courts have interfered with the President’s authority to remove members of the Federal Reserve Board of Governors for cause.
A federal appeals court previously rejected President Trump’s bid to fire Lisa Cook.
The DC Circuit Court of Appeals, in a 2-1 decision, said Lisa Cook can remain a Federal Reserve Governor, allowing her to vote during last month’s interest rate meeting at the Fed.
Lisa Cook apparently owns three properties, and she allegedly committed mortgage fraud on all three properties.
According to housing regulator Bill Pulte’s first criminal referral, Lisa Cook committed mortgage fraud by lying on her mortgage application and falsifying bank statements when she designated her out-of-state Atlanta condo as her “primary residence”—just two weeks after taking a loan on her Michigan home, which she also claimed as her “primary residence.”
In August, Pulte sent a second criminal referral on Lisa Cook after she was allegedly caught lying about a third property.
Lisa Cook’s attorneys laughably claimed there would be an inflation crisis if Trump were allowed to fire Cook.
Solicitor General John Sauer responded and told the Supreme Court that Cook’s firing would not spook the markets.
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