Overview

• U.S. District Judge Jia M. Cobb issued a temporary order Tuesday that prevents President Trump from firing Lisa Cook while her legal challenge proceeds.
• The decision does not resolve whether alleged pre-appointment conduct can qualify as statutory "for cause" grounds under the Federal Reserve Act.
• Cook has sued the president and the Fed, denies mortgage-fraud allegations tied to 2021 loan documents, and argues the claims cannot lawfully justify her removal.
• The Justice Department has opened a criminal mortgage-fraud probe and issued grand jury subpoenas in Georgia and Michigan, with no charges filed.
• The dispute could move quickly through appeals with implications for Fed independence and board makeup ahead of the Sept. 16–17 policy meeting, where a rate cut is widely expected.