Ruling comes as US president pushes to weaken central bank’s independence

Government said Cook’s legal arguments for why she should stay in the job were meritless. She has been accused of mortgage fraud.

Trump's attorneys wanted a lower-court ruling, which temporarily barred Cook's firing, stayed ahead of the Fed's upcoming meeting on interest rates.

In a 2-1 decision, the appeals court found that Cook's due process rights were violated because the administration did not give her a formal opportunity to respond to the charges.

Ruling comes as US president pushes to weaken central bank’s independence

A federal appeals court on Monday rejected President Donald Trump's attempt to fire Federal Reserve Governor Lisa Cook.

The Trump administration is expected to quickly turn to the Supreme Court in a last-ditch bid to unseat Cook before the Fed meets.

Cook’s claim that she was denied due process has a ‘strong likelihood of success’, court rules

Trump is trying to oust Cook from her role as part of a standoff between the president and the US central bank.

Lisa Cook took part in this week’s Fed policy meeting in which the central bank cut interest rates by 0.25%.