Trump Forms Committee to Probe Federal Reserve Governor Lisa Cook Over Mortgage Allegations
The panel will review accusations that Cook made false statements on mortgage documents, leading to a legal battle over her removal from the Federal Reserve board.
President Donald Trump has established a White House committee to investigate Federal Reserve Governor Lisa Cook regarding allegations of mortgage fraud. This move follows a Supreme Court ruling in June 2026 that prevented Trump from unilaterally firing Cook, stating she had not been afforded adequate time to respond to the accusations.
The newly formed committee appears to be the administration's chosen method to allow Cook an opportunity to defend herself. A notice released Friday by the Trump administration indicates that Cook will be permitted to submit a written statement prior to her first scheduled hearing on November 5, 2026. The hearing, which is expected to last no more than four hours, will take place at the White House.
Cook's statement must be submitted at least three days before the hearing. According to the White House, she will be able to present arguments, evidence, and witness statements during the hearing. Justice Department lawyers will then question her. The proceedings will be closed to the public but will be transcribed.
The White House also anticipates that Cook will submit an additional written statement after the hearing. Following this, the committee will provide a recommendation to President Trump regarding the validity of the allegations and whether cause exists for her removal.
The White House reignited its effort to remove Cook in August 2026, sending her a letter indicating Trump's continued consideration of her termination. This time, Cook was given 21 days to respond. Her attorneys submitted a letter on August 26, denying any mortgage fraud.
The allegations center on claims that Cook identified homes in Atlanta and Michigan as her primary residence on separate mortgage agreements, while subsequently renting out the Atlanta property. Cook's legal representation stated that the Atlanta designation was an inadvertent error, asserting that she sought financing for it as a vacation home and consistently identified Michigan as her primary residence.
The committee is comprised of three White House staffers, including National Economic Council director Kevin Hassett. Hassett was previously a notable candidate considered by Trump to replace Jerome Powell as Fed Chair.
The Supreme Court's decision in June 2026, a 5-4 ruling in Trump v. Cook, affirmed the president's power to dismiss some officials but distinguished the case of Federal Reserve governors. This ruling followed a legal dispute initiated in August 2025 when Trump first attempted to remove Cook from her position.