A federal appeals court on Monday upheld a lower judge’s ruling temporarily blocking the Trump administration from firing Lisa Cook, a member of the Federal Reserve’s Board of Governors.
The two-to-one decision today in the U.S. Court of Appeals for the District of Columbia rejected an emergency request from the Trump administration to block a lower court’s ruling that had paused the firing.
The decision means Cook will be able to participate in a meeting this week of the central bank, where officials will weigh whether to cut interest rates, a long-time priority of the Trump administration that has prompted the president to attack the normally independent financial body.
Trump attempted to fire Cook last month, claiming the official “made false statements on one or more mortgage agreements.”
Cook, a Biden appointee who has not been charged or convicted with any crime, then sued, claiming the move was “illegal” and a pretext to fill the body leading the Federal Reserve with Trump loyalists.
“It is clear from the circumstances surrounding Governor Cook’s purported removal from the Federal Reserve Board that the mortgage allegations against her are pretextual, in order to effectuate her prompt removal and vacate a seat for President Trump to fill and forward his agenda to undermine the independence of the Federal Reserve,” her complaint reads.
This is a breaking news story and will be updated with new information.
