Trump Administration Challenges Court Decision on Firing Federal Reserve Governor Cook

The Trump administration filed an appeal on Wednesday against a ruling that prohibits President Donald Trump from dismissing Federal Reserve Governor Lisa Cook, as he seeks to enhance his influence over the normally autonomous board.The appeal notice followed shortly after U.S. District Judge Jia Cobb delivered her ruling. The White House contends that Trump, a Republican, holds the authority to terminate Cook due to claims made by one of his appointees regarding alleged mortgage fraud related to two properties she acquired prior to her Fed appointment.This legal challenge may soon find its way to the Supreme Court. The Court, with a conservative majority, has previously permitted Trump to dismiss several members from other independent agencies, yet has hinted that such authority may be limited concerning the Federal Reserve.Cook’s legal team maintains her termination was unlawful, arguing that a president can only remove Fed governors for just cause, generally involving misconduct or inadequate performance. They assert that she deserved an opportunity to address the accusations before facing dismissal.In addition to this controversy, Trump has voiced frequent criticisms of Fed Chair Jerome Powell for not hastening cuts to the short-term interest rate controlled by the Fed. Should Trump manage to replace Cook,...

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