Donald Trump has opened a new front in his long campaign to remove Federal Reserve Governor Lisa Cook. A memorandum dated October 7, posted on the White House website on Friday, sets up a “committee of inquiry” into claims Cook made false statements on mortgage applications.
The committee will hold a closed, in-person hearing at the White House on November 5, where Cook “shall” attend to answer questions, the memo says. The session will be closed, though a transcript will be published; Cook may submit a written statement and bring her lawyer.
“As President, it is my job to ensure the laws are faithfully executed, including by firing subordinates who cannot be trusted to tell the truth and follow the law,” Trump wrote in the memorandum.
The panel’s task is to investigate the allegations and report back to Trump on whether there is “cause” for Cook’s removal.
Who sits on the committee
The three-person panel is made up entirely of Trump’s own appointees. Kevin Hassett, the National Economic Council director whom Trump once considered for Fed chair, is one member. The other two are Andrea Lucas, chair of the Equal Employment Opportunity Commission, and Keith Sonderling, the newly installed Labor Secretary who is also serving as acting director of the Office of Government Ethics.
“If the hearing is anything close to objective, the conclusion will be that Governor Cook did not commit mortgage fraud, leaving no cause to remove her from the Federal Reserve Board,” Abbe Lowell and Norm Eisen said in a statement. “Governor Cook welcomes the opportunity to present the facts so she can clear her name and demonstrate there is no legal basis to fire her.”
The lawyers said they had “grave doubts that this ‘hearing’ is a legitimate one that would conform to the law.”
A year-long battle over the Fed
Trump has spent more than a year trying to remove Cook as he seeks tighter control over a central bank he accuses of refusing, for political reasons, to cut rates. Last month the Fed raised its key rate instead, in a unanimous vote led by Chairman Kevin Warsh, whom Trump appointed earlier this year.
Cook is one of the 12 voting members of the Fed’s rate-setting committee. The president’s move has again raised fears among economists that the central bank’s independence is under threat.
The inquiry follows a Supreme Court ruling in June that let Cook keep her job while she fought Trump’s earlier attempt to dismiss her, without blocking him permanently; a footnote said nothing stopped Trump from “trying again” if Cook received proper notice and a chance to respond.
Analysts say the panel is designed to meet that test. “This seems tailor-made to address the Supreme Court’s biggest criticism in its last attempt: that Governor Cook didn’t have a chance to defend herself,” said Tim Mahedy, a former San Francisco Fed official.
Timing and stakes
The November 5 hearing falls just two days after the November 3 midterm elections, which will decide whether Trump’s Republican Party keeps control of Congress. Senators confirm Fed nominees, so a vacancy could give Trump another opening on the board.
No president has ever fired a top Federal Reserve official; Cook’s removal would be a first in American history.
The allegations date to August 2025, when Federal Housing Finance Agency chief Bill Pulte accused Cook of mortgage fraud. Documents later reviewed by NBC News showed Cook had declared the property in question would be used as a vacation home rather than her primary residence. Cook denies wrongdoing and has not been charged; she also argues the documents predate her board appointment, so they cannot amount to cause for removal.
For further reading, see Reuters’ report on the inquiry and CNN’s coverage of the committee members.
Frequently asked questions
What is the White House inquiry into Lisa Cook?
Trump has formed a three-person “committee of inquiry” into claims Cook made false statements on mortgage applications. It meets behind closed doors at the White House on November 5 and will advise him whether cause exists to remove her.
Why does Trump want to fire Lisa Cook?
The president says Cook cannot be trusted to tell the truth and follow the law, which her lawyers deny. The dispute sits inside a wider clash over the Fed’s refusal to cut interest rates.
Has a US president ever fired a Fed governor before?
No. No American president has ever fired a top Federal Reserve official. A June Supreme Court ruling let Cook keep her post for now but said Trump could try again if she received proper notice and a chance to respond.
