{"id":2696,"date":"2025-09-12T00:40:38","date_gmt":"2025-09-12T00:40:38","guid":{"rendered":"https:\/\/pronews.in\/index.php\/2025\/09\/12\/us-doj-asks-court-for-emergency-ruling-to-remove-cook-from-fed-board\/"},"modified":"2025-09-12T00:40:38","modified_gmt":"2025-09-12T00:40:38","slug":"us-doj-asks-court-for-emergency-ruling-to-remove-cook-from-fed-board","status":"publish","type":"post","link":"https:\/\/pronews.in\/index.php\/2025\/09\/12\/us-doj-asks-court-for-emergency-ruling-to-remove-cook-from-fed-board\/","title":{"rendered":"US DoJ asks court for emergency ruling to remove Cook from Fed board"},"content":{"rendered":"<div>\n<p><em>The request comes after a federal court earlier this week blocked Lisa Cook\u2019s firing while her lawsuit challenging her dismissal moves forward.<\/em><\/p>\n<\/div>\n<div aria-live=\"polite\" aria-atomic=\"true\">\n<p>The administration of United States President Donald Trump has asked an appeals court to remove Lisa Cook\u00a0from the Federal Reserve\u2019s board of governors by Monday, before the central bank\u2019s next vote on interest rates.<\/p>\n<p>The request on Thursday represents an extraordinary effort by the White House to shape the board before the Fed\u2019s <a href=\"http:\/\/www.aljazeera.com\/economy\/2025\/6\/18\/us-fed-leaves-interest-rates-unchanged-amid-economic-uncertainty\" target=\"_blank\" rel=\"noopener\">interest rate-setting committee meets<\/a> next week on Tuesday and Wednesday.<\/p>\n<section>\n<h2>Recommended Stories <\/h2>\n<p><span>list of 4 items<\/span><\/p>\n<ul>\n<li><span>list 1 of 4<\/span><a href=\"http:\/\/www.aljazeera.com\/economy\/2025\/9\/10\/wegovy-maker-novo-nordisk-to-slash-thousands-of-jobs\">Wegovy maker Novo Nordisk to slash thousands of jobs<\/a><\/li>\n<li><span>list 2 of 4<\/span><a href=\"http:\/\/www.aljazeera.com\/economy\/2025\/9\/10\/buy-now-pay-later-company-klarna-goes-public-in-largest-ipo-of-2025\">Buy-now-pay-later company Klarna goes public in largest IPO of 2025<\/a><\/li>\n<li><span>list 3 of 4<\/span><a href=\"http:\/\/www.aljazeera.com\/economy\/2025\/9\/10\/oracles-ellison-surpasses-teslas-musk-to-be-worlds-richest-man\">Oracle\u2019s Ellison surpasses Tesla\u2019s Musk to be world\u2019s richest man<\/a><\/li>\n<li><span>list 4 of 4<\/span><a href=\"http:\/\/www.aljazeera.com\/economy\/2025\/9\/11\/no-consignments-to-the-us-as-tariffs-hit-indias-carpet-industry\">\u2018No consignments\u2019 to the US as tariffs hit India\u2019s carpet industry<\/a><\/li>\n<\/ul>\n<p><span>end of list<\/span><\/section>\n<p>At the same time, Senate Republicans are pushing to confirm Stephen Miran, Trump\u2019s nominee to an open spot on the Fed\u2019s board, which could happen as soon as Monday.<\/p>\n<p>In a court filing on Thursday, the Department of Justice asked the US Court of Appeals for the DC Circuit to <a href=\"http:\/\/www.aljazeera.com\/economy\/2025\/9\/10\/us-federal-court-temporarily-blocks-fed-governor-lisa-cooks-firing\" target=\"_blank\" rel=\"noopener\">pause US District Judge<\/a> Jia Cobb\u2019s Tuesday ruling temporarily blocking Cook\u2019s removal, pending the administration\u2019s appeal.<\/p>\n<p>Trump moved to fire Cook in late August. Cook, who denies any wrongdoing, filed a lawsuit saying Trump\u2019s claim that she engaged in mortgage fraud before she joined the central bank did not give him legal authority to remove her, and was a pretext to fire her for her monetary policy stance.<\/p>\n<p>Cobb\u2019s ruling prevents the Fed from following through on Cook\u2019s firing while <a href=\"http:\/\/www.aljazeera.com\/economy\/2025\/8\/28\/federal-reserve-governor-lisa-cook-sues-trump-for-his-attempt-to-fire-her\" target=\"_blank\" rel=\"noopener\">her lawsuit<\/a> moves forward.<\/p>\n<p>In their emergency appeal, Trump\u2019s lawyers argued that even if the conduct occurred before her time as governor, her alleged action \u201cindisputably calls into question Cook\u2019s trustworthiness and whether she can be a responsible steward of the interest rates and economy\u201d.<\/p>\n<p>The administration asked an appeals court to issue an emergency decision reversing the lower court by Monday. If their appeal is successful, Cook would be removed from the Fed\u2019s board until her case is ultimately resolved in the courts, and she would miss next week\u2019s meeting.<\/p>\n<p>If the appeals court rules in Cook\u2019s favour, the administration could seek an emergency ruling from the Supreme Court.<\/p>\n<p>The case, which will likely end up before the US Supreme Court, has ramifications for the Fed\u2019s ability to set interest rates without regard to politicians\u2019 wishes, widely seen as critical to any central bank\u2019s ability to keep inflation under control.<\/p>\n<p>The Supreme Court and lower appeals courts, including the DC Circuit, have temporarily lifted several other rulings that briefly blocked Trump from firing officials at agencies that have historically been independent from the White House.<\/p>\n<p>On Wednesday, however, the DC Circuit blocked Trump from firing US Copyright Office director Shira Perlmutter while she appeals a lower court\u2019s refusal to reinstate her to the post.<\/p>\n<p>Trump has demanded that the <a href=\"http:\/\/www.aljazeera.com\/economy\/2025\/8\/26\/will-trumps-latest-attack-on-the-fed-erode-central-banks-independence\" target=\"_blank\" rel=\"noopener\">Fed cut rates immediately and aggressively<\/a>, repeatedly berating Fed Chair Jerome Powell for his stewardship over monetary policy. Cook has voted with the Fed\u2019s majority on every rate decision since she started in 2022, including on both rate hikes and rate cuts.<\/p>\n<h2 id=\"fed-s-independence\">Fed\u2019s independence<\/h2>\n<p>The law that created the Fed says governors may be removed only \u201cfor cause\u201d, but does not define the term nor establish procedures for removal. No president has ever removed a Fed governor, and the law has never been tested in court.<\/p>\n<p>Cobb on Tuesday said the public\u2019s interest in the Fed\u2019s independence from political coercion weighed in favour of keeping Cook at the Fed while the case continues.<\/p>\n<p>She said that the best reading of the law is that a Fed governor may only be removed for misconduct while in office. The mortgage fraud claims against Cook all relate to actions she took prior to her US Senate confirmation in 2022.<\/p>\n<p>Trump and William Pulte, the Federal Housing Finance Agency director appointed by the president, say Cook inaccurately described three separate properties on mortgage applications, which could have allowed her to obtain lower interest rates and tax credits.<\/p>\n<p>The Justice Department has also launched a criminal mortgage fraud probe into Cook and has issued grand jury subpoenas out of both Georgia and Michigan, according to documents seen by Reuters and a source familiar with the matter.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The request comes after a federal court earlier this week blocked Lisa Cook\u2019s firing while her lawsuit challenging her dismissal moves forward. The administration of United States President Donald Trump has asked an appeals court to remove Lisa Cook\u00a0from the Federal Reserve\u2019s board of governors by Monday, before the central bank\u2019s next vote on interest &#8230; <a title=\"US DoJ asks court for emergency ruling to remove Cook from Fed board\" class=\"read-more\" href=\"https:\/\/pronews.in\/index.php\/2025\/09\/12\/us-doj-asks-court-for-emergency-ruling-to-remove-cook-from-fed-board\/\" aria-label=\"Read more about US DoJ asks court for emergency ruling to remove Cook from Fed board\">Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":2697,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[],"class_list":["post-2696","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-travel"],"_links":{"self":[{"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/posts\/2696","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/comments?post=2696"}],"version-history":[{"count":0,"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/posts\/2696\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/media\/2697"}],"wp:attachment":[{"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/media?parent=2696"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/categories?post=2696"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/pronews.in\/index.php\/wp-json\/wp\/v2\/tags?post=2696"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}