A federal judge on Tuesday evening blocked President Trump from firing embattled Federal Reserve Governor Lisa Cook.
US District Court Judge Jia Cobb, a Biden appointee, issued a preliminary injunction blocking President Trump, Fed Chairman Jerome Powell, and the Federal Reserve Board of Governors from firing Lisa Cook as her lawsuit proceeds through the legal system.
Lisa Cook filed a lawsuit against President Trump, the Federal Reserve Board of Governors, and Federal Reserve Chairman Jerome Powell after Trump fired her last month.
“Pursuant to my authority under Article II of the Constitution of the United States and the Federal Reserve Act of 1913, as amended, you are hereby removed from your position on the Board of Governors of the Federal Reserve, effective immediately,” President Trump wrote in a letter to Lisa Cook.
“I have determined that there is sufficient cause to remove you from your position,” Trump added as he cited housing regulator Bill Pulte’s criminal referral on Lisa Cook for mortgage fraud – specifically occupancy fraud.
Cook admitted in a court document that she manufactured documents and hinted a ‘clerical error’ is behind the mortgage fraud accusations.
Lisa Cook apparently owns three properties, and she allegedly committed mortgage fraud on all three properties.
According to Pulte’s first criminal referral, Lisa Cook committed mortgage fraud by lying on her mortgage application and falsifying bank statements when she designated her out-of-state Atlanta condo as her “primary residence”—just two weeks after taking a loan on her Michigan home, which she also claimed as her “primary residence.”
Late last month Federal housing regulator Bill Pulte sent a second criminal referral on embattled Federal Reserve Governor Lisa Cook after she was allegedly caught lying about a third property.
Pulte said Cook misrepresented a condominium in Cambridge, Massachusetts when she claimed it was a “second home”. Eight months later, Cook signed an ethics form with the US Government and represented the Cambridge property as an “investment/rental property.”
Banks and lenders give more favorable loan terms and lower interest rates for second homes. Mortgage loans on investment properties have higher interest rates because they are considered high risk.
Judge Cobb said the mortgage fraud allegations did not meet the “for cause” standard.
Cobb said Lisa Cook (her sorority sister) has also “demonstrated irreparable harm from her removal.”
The Gateway Pundit reported in August that Gia Cobb and Lisa Cook are sorority sisters.
