Trump Turns Up Heat on Fed, Demands Lisa Cook Resign Over Mortgage Fraud Allegations

President Trump has a new target in his war with the Federal Reserve: Fed Governor Lisa Cook.

On Wednesday, Trump blasted out on social media that Cook should “resign, now!!!” after one of his allies, Bill Pulte, accused her of mortgage fraud and referred the case to the Justice Department.

Pulte, who runs the Federal Housing Finance Agency and has been one of Trump’s loudest foot soldiers against the Fed, claimed Cook fudged loan documents to get better mortgage terms on two homes she bought in Michigan and Georgia. He says she listed both as her “primary residence” — something that’s not allowed — and then later rented one out without reporting income.

“This is common sense — she has to go,” Pulte told CNBC, doubling down on his call for her resignation.

The attack on Cook isn’t happening in a vacuum. Trump has been waging an all-out campaign against the Fed for months, furious that the central bank hasn’t slashed interest rates the way he wants. He’s repeatedly hammered Chair Jerome Powell, questioned a $2.5 billion Fed headquarters renovation, and even hinted at lawsuits.

Cook, a Biden appointee and the first Black woman ever to serve on the Fed’s Board of Governors, has generally voted alongside Powell in keeping rates steady. Her term runs until 2038, making her a long-term roadblock to Trump’s plans to stack the board with loyalists who will cut rates aggressively.

Knocking her out would give Trump another seat to fill — on top of the one he already has after Fed Governor Adriana Kugler resigned earlier this month. Trump has said he wants to nominate Stephen Miran, currently chair of the Council of Economic Advisers, for that vacancy.

Here’s the wrinkle: Fed governors can only be removed “for cause” — meaning actual lawbreaking or gross misconduct. The Supreme Court has recently reaffirmed that protection, making it tough for presidents to fire governors just because of policy fights.

That’s why Pulte’s allegations matter. If they stick, Trump could argue there’s legal cause to remove Cook. But so far, they’re unconfirmed, and Cook hasn’t commented. The Fed and the Justice Department have also stayed silent.

Trump’s moves fit a broader pattern of using investigations and public pressure to go after rivals — from state attorneys general to US senators. And Pulte himself has been a repeat player: he’s previously lobbed mortgage-fraud claims at Sen. Adam Schiff and NY AG Letitia James, both of whom clashed with Trump in court.

For now, Cook remains on the board, but the pressure is mounting. If she were pushed out, the balance of power inside the Fed could tilt further toward Trump’s camp — just as policymakers gather in Jackson Hole to debate whether and when to finally cut interest rates.

The New York Times, CNN, CNBC, and Axios contributed to this report.