Urgent Legal Battle: Fed Governor Cook Fights Trump’s Removal Bid Ahead of Critical Rate Vote

Federal Reserve Governor Lisa Cook is fiercely challenging the Trump administration’s renewed efforts to remove her from the central bank’s board, filing an urgent request with a U.S. appeals court to block the move. This high-stakes legal battle unfolds just hours before a crucial deadline today, Sunday, September 14, 2025, for the Trump administration to respond to Cook’s filing.

Cook’s attorneys argue against the administration’s emergency appeal, which seeks to overturn a lower court ruling that sided with Cook. U.S. District Court Judge Jia Cobb previously ruled that Fed governors can only be fired “for cause” related to misconduct during their tenure, not for alleged actions predating their appointment in 2022. The Trump administration, however, contends that Cook’s alleged mortgage fraud, which she denies, calls into question her trustworthiness as a steward of the economy.

The outcome carries profound implications for the independence of the Federal Reserve and the nation’s economy. A successful appeal by the administration could see Cook removed from the board, missing next week’s highly anticipated Fed meeting where a key interest rate decision is expected. Experts widely anticipate a quarter-point rate cut, and any disruption to the Fed’s stability could have dire economic consequences, with Cook’s lawyers warning it could signal the end of Fed independence. Further appeals, potentially to the Supreme Court, remain a possibility.

Adding to the political pressure, Senate Republicans are simultaneously pushing to confirm Stephen Miran, President Donald Trump’s nominee to an open Fed board spot, a vote that could occur as early as Monday. This multi-front battle highlights the Trump administration’s aggressive strategy to influence the central bank’s composition and its monetary policy decisions.

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