Christopher Rugaber, Associated Press
WASHINGTON (AP) — Lawyers representing Federal Reserve governor Lisa Cook have stated that a committee established by the White House last week to investigate an accusation against her is "demonstrably biased." They did not rule out the possibility of her appearing before the panel.
Attorney Abbe Lowell indicated in a letter on Tuesday that Cook would be unable to attend a hearing scheduled for November 5 due to her official duties as Governor at financial and monetary policy meetings in Europe.
The earliest Cook could appear before the "committee of inquiry" set up by the White House would be after the Federal Reserve's policy meeting on December 8-9, according to the letter sent to William Scharf, a counsel to President Donald Trump.
Lowell's remarks come amid ongoing efforts by the Trump administration to remove Cook from her position on the Fed's board of governors. Trump has accused Cook of committing mortgage fraud in 2021, a claim she has denied, and no criminal charges have been filed.
Historically, no president has removed a Fed governor, which reflects the institution's independence from political influence. However, Trump has made several demands for the central bank to lower its key interest rate, and his actions have raised concerns among economists regarding the Fed's independence. Earlier this year, the Justice Department sought to investigate then-Chair Jerome Powell over testimony related to a building renovation, but a judge dismissed the subpoenas, and the case was dropped.
Cook, appointed by former President Joe Biden, is the first Black woman to serve on the Fed's board. Trump initially attempted to fire Cook in August 2025, but the Supreme Court ruled earlier this year that she could remain in her position while litigation was ongoing. The court suggested that Trump could attempt to remove her again if proper notice and an opportunity to respond were provided. The newly announced committee of inquiry aims to fulfill those requirements.
Under the law governing the Federal Reserve, a president can only remove a Fed governor "for cause," but the Supreme Court did not clarify whether Cook's actions met that standard. The committee of inquiry will ultimately determine whether there is sufficient cause to recommend her dismissal, as stated in a White House memo last week.
In his letter, Lowell expressed significant concerns regarding the objectivity and suitability of the committee for its intended purpose. One of the three members, Kevin Hassett, a former economic adviser to Trump, has already stated that the president has "cause" to fire Cook. The other two members, Labor Secretary Keith Sonderling and chair of the Equal Employment Opportunity Commission Andrea Rich, are also appointees of Trump.
Lowell's letter criticized the hearing process, stating, "A hearing with demonstrably biased members, unspecified additional allegations, and an unclear schedule for the disclosure of any additional evidence – with no explanation for why it was not previously produced – is not a process that respects the appearance or history of independence."