Overview
- The justices hear arguments Wednesday on whether President Trump can remove Cook under the Federal Reserve Act’s “for cause” provision.
- Trump relied on allegations from housing official Bill Pulte that Cook made false statements on mortgage documents in Michigan and Georgia; Cook denies wrongdoing and faces no charges.
- Lower courts and a Supreme Court order have blocked the removal for now, keeping Cook on the Board and in recent interest rate–setting meetings.
- Fed Chair Jerome Powell is expected to attend the hearing as a Justice Department investigation tied to his testimony about the Fed’s headquarters renovation remains in the background.
- The eventual ruling could define what counts as “cause,” set due‑process requirements, and determine the scope of judicial review, with significant consequences for the Fed’s independence.