The Supreme Court on Monday ruled against President Donald Trump in his effort to remove Federal Reserve Gov. Lisa Cook, leaving her on the central bank’s board while her lawsuit continues.
Trump fired Cook in August 2025 over allegations that she committed mortgage fraud. Cook has denied the allegations and has not been charged with a crime.
She sued, arguing Trump lacked the authority to remove her and that she was entitled to due process before being fired.
Critics said Cook’s firing threatened the Federal Reserve’s political independence and could have made it easier for presidents to reshape the board with loyalists.
IN CASE YOU MISSED IT | Appeals court rejects Trump's bid to unseat Federal Reserve governor Lisa Cook
Cook was the first sitting Federal Reserve governor to be fired by a president.
In a separate case Monday, the Supreme Court ruled that presidents can fire Federal Trade Commission commissioners without cause. President Donald Trump welcomed the decision.
"BIG WIN just moments ago at the Supreme Court, in the Slaughter Case, confirming Presidential Power in our Country to remove Executive Branch Officers and Agency Appointees, or Representatives, under Article II," Trump wrote on Truth Social. "This Decision was long sought by United States Presidents, dating all the way back to the 1930s. It is such an Honor to be the sitting President who won this Historic and Unprecedented Ruling, one of the most important ever given with respect to Presidential Powers."
