Wed Sep 10 15:03:57 UTC 2025: **News Article:**
**Judge Blocks Trump’s Attempt to Remove Fed Governor Cook, Protecting Central Bank Independence**
WASHINGTON D.C. – A federal judge has temporarily halted President Donald Trump’s effort to remove Federal Reserve Governor Lisa Cook, handing the White House an early setback in a potentially precedent-setting legal battle over the Fed’s independence. The ruling comes just a week before the Fed is expected to cut interest rates for the first time since December.
U.S. District Judge Jia Cobb issued a preliminary injunction, stating that the Trump administration’s claims of past mortgage fraud against Cook were likely insufficient grounds for her removal. The judge reasoned that the law likely only allows removal for misconduct *while* in office. Cook denies any wrongdoing.
The case stems from Trump’s move in late August to fire Cook, citing allegations that she inaccurately described properties on mortgage applications before joining the Fed, potentially allowing her to obtain lower interest rates and tax credits. The Department of Justice has also launched a criminal investigation, issuing subpoenas.
Cook sued Trump and the Fed, arguing the claims are a pretext to remove her due to her monetary policy stance. She maintains even if the allegations were true, they wouldn’t justify removal since they predate her Senate confirmation in 2022.
The White House insists Trump “lawfully removed” Cook for cause and expects the ruling to be overturned.
Legal experts say the case, likely headed to the Supreme Court, has major implications for the Fed’s ability to set interest rates free from political influence, crucial for controlling inflation. Cook’s lawyer hailed the ruling as safeguarding the Fed’s independence.
The ruling also arrives as the Senate considers Stephan Miran, Trump’s nominee to fill another vacant Fed governor seat.
First Piper 