US president spent months waging campaign against Fed’s leaders which has raised questions over its independence
Federal Reserve governor Lisa Cook has filed a lawsuit claiming Donald Trump has no authority to fire her.
The lawsuit – filed by Cook in federal court in Washington on Thursday – sets the stage for a legal battle over the US president’s extraordinary bid for greater control of the central bank. The complaint was not immediately available.
Trump tried to dismiss Cook on Monday, announcing that he was removing her from her position on the Fed’s board of governors “effective immediately” over an unconfirmed allegation from one of his allies that she had obtained a mortgage on a second home she incorrectly described as her primary residence.
But Cook stood her ground, arguing Trump had “no authority” to fire her. “I will continue to carry out my duties to help the American economy,” she said. Her attorney indicated she would file a lawsuit.
