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Supreme Court Keeps Lisa Cook on Fed Board, Sets January Review of Trump’s Removal Bid

The case tests the president’s power to oust statutorily protected Federal Reserve governors.

Overview

  • In a brief unsigned order, the justices declined to grant emergency relief and scheduled oral arguments for January 2026, leaving a lower-court injunction in place.
  • Cook remains a voting governor and is expected to participate in the Fed’s Oct. 28–29 and December policy meetings while the litigation proceeds.
  • U.S. District Judge Jia M. Cobb issued a preliminary injunction on likely for‑cause and due‑process grounds, and a divided D.C. Circuit panel refused to let the removal proceed.
  • Trump cites alleged 2021 mortgage misrepresentations as cause, which Cook denies; documents reported by AP indicate she labeled the Atlanta condo a vacation or second home, and no charges have been filed.
  • The bid to remove a sitting Fed governor is unprecedented and has drawn warnings from former Fed chairs and economists, with a separate Supreme Court case in December poised to address courts’ power to block firings at independent agencies.