The nourished governor has “no intention of being intimidated to resign” by Trump

“I have no intention of being intimidated to leave my post because of certain questions raised in a tweet,” said Cook in a statement published by the Fed.

Bill Pulte, the head of the agency who regulates mortgage giants Fannie Mae and Freddie Mac and one named by Trump, allegedly allegedly on the social media platform on Wednesday that Cook had claimed two main residences – to Ann Arbor, Michigan and Atlanta – in 2021 to obtain better mortgage conditions. Mortgage rates are often higher in second homes or those purchased for rent.

Trump followed Pulte’s accusation by calling Cook to resign, in the last efforts of the administration to exercise greater control over one of the few independent agencies remaining in Washington. Trump has repeatedly attacked the Fed chair, Jerome Powell, not having reduced his short -term interest rate, and even threatened to dismiss him.

If Cook is forced to leave the Fed board of directors, it would give Trump the opportunity to appoint a loyalist. Trump said he would only name civil servants who support reduction rates.

Pulte urged the Ministry of Justice to investigate Cook, which was appointed to the Fed board of directors by former President Joe Biden in 2022. It was renamed the following year for a mandate that lasts until 2038, the longest term remaining among the seven governors.

Cook also said: “I intend to answer my financial questions seriously as a member of the Federal Reserve and I therefore collect precise information to answer all legitimate questions and provide the facts.”

Pulte, in a letter to the Attorney General Pam Bondi, said that on June 18, 2021, Cook had bought a house in Ann Arbor, then two weeks later, a condo in Atlanta. Before joining the Fed, Cook taught at Michigan State University. Pulte also accused that Cook has listed her condo in Atlanta to rent.

A spokesman for the Ministry of Justice refused to comment.

Last month, Trump exploded Powell for the renovation cost of the renovation of two of the Fed seat buildings, which even suggests that the cost prospect could be a shooting offense. He fell off his threats to dismiss Powell after receiving a visit to the project.

Pulte also suggested that the alleged actions of Cook could constitute a tirable offense. Fed officials are protected by the law of the description of a president, with the exception of “for good”, which is generally considered as a kind of embezzlement or lack of duty.

Anyway, if Trump seeks to shoot Cook, it could lead to a legal battle on the power of a president to remove the governors of the Fed.

The Senate Democrats, including New York Senator, Chuck Schumer, expressed their support for Cook and criticized Trump’s actions.

“Trump is a liar. Lisa cook – Standor and don’t let Trump intimidate,” wrote Schumer in an article on the X social media platform.

Senator Elizabeth Warren from Massachusetts said in a statement that Trump “had made a pretext to intimidate or the president of the late Powell and members of the Federal Reserve Board while blaming whoever who

Trump will be able to replace President Jerome Powell in May 2026, at the expiration of Powell’s mandate. However, 12 members of the FED interest rate adjustment committee have a vote on the opportunity to increase or reduce interest rates, so even replace the president does not guarantee that the Fed policy will change as Trump wants.

But the more members of the Fed Board of Directors that Trump can appoint, the more he will be able to assert on the Fed, which has long been considered independent of daily policy.

The seven members of the Fed Board of Directors can vote on rate decisions. The other five voters include the president of the Fed branch in New York and a rotating group of four of the presidents of the 11 other regional Fed branches.

Trump appointed two members of the Fed board of directors at his first mandate, Christopher Waller and Michelle Bowman. The two dissident on July 30 from the Central Bank’s decision to maintain its unchanged rate, in favor of a drop in rate.

Another governor of the Fed, Adriana Kugler, resigned unexpectedly on August 1, and Trump appointed one of his economic advisers, Stephen Miran, to fulfill the rest of his mandate until January.

If Trump is able to replace Cook, the first black woman to sit on the Fed board of directors, as well as in Kugler, this would give him a clear majority to the Council of Governors. If Powell leaves the board of directors when his mandate ends next May, Trump will be able to fulfill a fifth place. However, Powell could stay on the board until the beginning of 2028 after completing his mandate as president.

The presidents of the regional banks of the federal reserve are selected by the boards of directors of these banks, but are subject to the approval of the Fed Board of Directors. The terms of the 12 regional presidents of the Fed end next February.

Trump demanded for months that the federal reserve reduces the short -term interest rate it controls, which currently amounts to around 4.3%. He also repeatedly insulted Powell, who said that the Fed would like to see more evidence of the evolution of the economy in response to Trump’s radical prices before making movements. Powell also said that homework threatened to increase inflation and slow growth.

Trump says that a lower rate would reduce government borrowing costs over 37 billions of dollars in debt and increase the housing market by reducing mortgage rates. However, mortgage costs and other interest rates, including many of those that the government pays, do not always follow the Fed rate decisions.

The Trump administration has made similar allegations of mortgage fraud against the Democrats that Trump attacked, notably the Senator of California Adam Schiff and the Prosecutor General of New York, Letitia James.