Overview

• The Justice Department asked the Supreme Court to lift lower-court orders and allow Cook’s immediate removal while the broader case is appealed.
• U.S. District Judge Jia Cobb blocked the Aug. 25 ouster, and a 2-1 D.C. Circuit panel kept her in place, citing due-process concerns and doubts that pre-office conduct qualifies as statutory cause.
• Because those rulings remained in effect, Cook participated in this week’s meeting and voted for a quarter-point interest-rate cut.
• The administration points to alleged 2021 mortgage misstatements on Michigan and Georgia properties; prosecutors have issued grand-jury subpoenas in both states, Cook denies wrongdoing, has not been charged, and documents reviewed by news outlets show she labeled the Atlanta condo as a vacation or second home.
• The dispute is unprecedented for the Fed, and the administration argues courts should not reweigh a president’s stated cause as justices have previously noted the Fed’s distinct, quasi-private structure.