The Supreme Court has allowed Federal Reserve Governor Lisa Cook to remain in her position at least into January 2026.
The Court said it would take up Donald Trump’s appeal on the matter sometime in January. The decision was issued with no explanation nor dissent.
Wednesday’s ruling is a stark variance from the recent rulings that the Court has made that have upheld Trump’s agenda.
The Trump administration issued a statement on what they believe will be the ultimate ruling in the case.
“We look forward to ultimate victory after presenting our oral arguments before the Supreme Court in January,” White House spokesperson Kush Desai said.
In August, Trump attempted to fire Cook and she immediately sued him. An appeals court sided with her and the administration decided to petition the SCOTUS to get its way.
However, in a rally of sorts, former Fed chairs and top economists filed a brief warning the SCOTUS that terminating her would cause public trust in the Fed to wane.
Although federal law allows a president to remove Fed members for cause, it would be the first time in the Fed’s 112-year history that a president has done so.
Trump has accused Cook of mortgage fraud, a similar accusation that he has made against other figures that have challenged him, such as New York Attorney General Letitia James who successfully led a fraud case against his organizations.
In that case, a special prosecutor that Trump appointed, Erik Siebert, resigned after pressure to charge James. There has been no evidence found of the mortgage allegations.
