US central bank: New round in power struggle with Fed: Trump launches next attempt to fire Lisa Cook
After a legal setback, the US President is making a new attempt to fire the Fed Governor. This is starting a new discussion about the independence of the central bank.
Frankfurt. US President Donald Trump has once again escalated his power struggle with the US Federal Reserve. The US government informed Fed Governor Lisa Cook in a letter that it plans to remove her from her position. This was first reported by TV channel abc on Friday evening. The government referred to allegations related to mortgage fraud, which have not been confirmed so far.
Cook rejects the allegations. Dan Scavino, a White House adviser, wrote to Cook in a letter dated Wednesday that there is "sufficient reason to believe that Cook made false statements in one or more mortgage contracts". "Even if your conduct does not constitute a crime, it appears to show a level of gross negligence in financial transactions that calls into question your competence and credibility as a financial regulator," the letter states.
She now has three weeks to respond. The President had already tried to get rid of the Fed governor last summer, but failed legally. America's Supreme Court had recently confirmed this.
Translated by urgent.news from Handelsblatt's report; automated translation may contain errors. Machine-written — it may contain errors, so check the original before relying on it.
