Federal Reserve Governor Denies Allegations, Contests White House Removal

Federal Reserve Governor Lisa Cook has formally denied renewed mortgage fraud allegations from the White House, setting the stage for a potential new legal battle over the central bank's independence. In a letter sent to the White House on August 26, 2026, Cook's lawyers stated that the accusations are "unfounded and untrue" and that there is no legal basis for her removal from the Federal Reserve Board. The White House did not immediately comment on the letter. The dispute centers on allegations first made more than a year ago by Federal Housing Finance Agency Director William Pulte, who claimed Cook may have fraudulently designated multiple properties as her primary residence to secure favorable mortgage terms. The White House, in a letter dated August 5, 2026, informed Cook that President Donald Trump was considering removing her due to "sufficient reason to believe that you made false statements on one or more mortgage agreements." That letter set a deadline of August 26 for Cook to respond. Cook's attorney, Abbe David Lowell, argued in the response that the allegations rely on "untried and unproven allegations of criminal wrongdoing.