WASHINGTON — Federal Reserve Governor Lisa Cook rejected Donald Trump’s demand that she resign over mortgage fraud allegations, saying she will not be pressured to step down and is preparing to address the claims.
Trump’s call came after Federal Housing Finance Authority director Bill Pulte sent a referral to Attorney General Pam Bondi, accusing Cook of listing multiple homes in Michigan and Georgia as primary residences on mortgage applications.
Cook, appointed to the Fed by President Joe Biden in 2022 and reappointed in 2023 for a 14-year term, said she is taking the accusations seriously. She explained that she is gathering records to provide accurate answers.
“I have no intention of being bullied to step down from my position because of some questions raised in a tweet,” Cook said in a statement issued by the Fed.
The dispute adds to Trump’s ongoing battles with the Federal Reserve. He has repeatedly urged the central bank to cut interest rates and has often attacked Fed Chair Jerome Powell, calling him “too late Powell” and a “numbskull.”
While Trump has floated the idea of firing Powell before his term ends in 2026, he has said it is “unlikely.”
Cook is the first Black woman to serve on the Fed board. Her appointment was seen as a historic step toward greater diversity at the central bank.
Pulte alleged that Cook falsified bank documents to secure favorable loan terms on properties in Ann Arbor, Michigan, and Atlanta, Georgia. He claimed she “appears to have acquired mortgages that do not meet certain lending requirements and could have received favorable loan terms under fraudulent circumstances.”
Pulte wrote on social media Wednesday that “Lisa Cooked is cooked” and claimed Trump “has cause to fire” the Fed governor.
Analysts caution that efforts to remove Cook or Powell could harm the Fed’s independence and credibility, sparking market concerns. If vacancies opened, Trump would have the chance to strengthen his influence over the central bank by appointing replacements.
Cook voted with the majority on the Federal Open Market Committee to keep rates unchanged after the group’s latest meeting last month. The decision frustrated Trump, who continues pushing for aggressive rate cuts.
So far, neither the Justice Department nor Bondi has announced whether they will investigate the claim. The Fed and DOJ declined to comment on Pulte’s allegations and Trump’s reaction.
Cook is not the only Democrat facing mortgage scrutiny under Trump’s administration. California Sen. Adam Schiff and New York Attorney General Letitia James are also under review for similar allegations.
Despite the mounting pressure, Cook emphasized her commitment to transparency.
“I do intend to take any questions about my financial history seriously as a member of the Federal Reserve and so I am gathering the accurate information to answer any legitimate questions and provide the facts,” she said in the statement.
The controversy highlights Trump’s expanding efforts to pressure the Fed beyond his previous focus on Powell. Trump has consistently criticized the central bank’s interest rate decisions and has sought greater influence over monetary policy.
