WASHINGTON – Federal Reserve member Lisa Cook should be excluded from upcoming central bank meetings this month due to allegations related to mortgage fraud, according to former Trump economic adviser Larry Kudlow. He expressed that officials “were dead” on these accusations, suggesting there’s no room for Cook in meetings going forward.
Kudlow told Miranda Devine of the Post, “She doesn’t quite get it, but she’s out.” He emphasized that the legal system doesn’t need to confirm her guilt for the president to take action. If the President decides to let someone go, it’s final.
He further asserted that the President will nominate a new Federal Reserve governor, who would require Senate confirmation as part of the process, implying a straightforward path to dismissal.
According to Kudlow, there are serious concerns over issues people face with mortgage fraud. “Even if you put those aside, she shouldn’t be coming into the office,” he added.
Cook has filed a lawsuit against Trump in D.C., seeking to prevent her dismissal. A federal judge recently granted her a preliminary injunction allowing her to remain in her position, at least for now.
Bill Palt, the head of the Federal Housing and Finance Agency, called for Cook’s termination, alleging financial misrepresentations tied to properties in Georgia and Michigan.
In Cook’s case, the ethical concerns extended to a condo in Cambridge, Massachusetts, which was incorrectly listed on government forms prior to her Senate confirmation, as it appeared differently in other loan documents.
Her legal team argues that the attempt to remove her violates due process and lacks adequate justification, although they acknowledged that the fraudulent elements of her mortgage could potentially be rectified.
Trump’s legal representatives have countered that the misstatements made were deliberate, thereby raising questions of criminal intent, which they claim justifies her removal.
The revelations surrounding Cook’s mortgage practices have triggered a referral for investigation by the Department of Justice. Palt has also been scrutinized by other officials including Senator Adam Schiff and New York Attorney General Letitia James.
As discussions around monetary policy continue, Trump has been pushing Federal Reserve Chairman Jerome Powell to reduce interest rates, insisting that Cook should not partake in these meetings or have voting rights. “She was let go,” Kudlow insisted strongly.
