Lisa Cook Can’t Be Fired – For Now: Judge

Federal Reserve Governor Lisa Cook has been granted a reprieve after her sorority-sister judge, Jia Cobb, temporarily blocked President Donald Trump from firing her - allowing Cook to remain on the job amid allegations of mortgage fraud.

Cobb granted Cook’s request to continue in her role, finding that the alleged mortgage misconduct likely didn’t amount to “cause” to fire her under the Federal Reserve Act. Cobb also found that the way Cook was fired likely violated her right to due process under the Constitution.

“The best reading of the ‘for cause’ provision is that the bases for removal of a member of the Board of Governors are limited to grounds concerning a Governor’s behavior in office and whether they have been faithfully and effectively executing their statutory duties,” Cobb wrote. 

BREAKING: Judge grants fired member of fed, Cook, a preliminary injunction and orders Powell and others to keep Cook at fed & refuses to issue STAY. (corrected). pic.twitter.com/x7Jnau44k5

— Margot Cleveland (@ProfMJCleveland) September 10, 2025

The ruling means that Cook will likely be able to attend an anticipated Fed policy meeting Sept. 16-17 to vote on interest rates. 

The DOJ is expected to quickly appeal the ruling, leaving the final say to the US Supreme Court. 

Abbe Lowell, Cook’s lawyer, said in a statement that tonight’s ruling “recognizes and reaffirms” the Fed’s independence from political interference.

“Allowing the president to unlawfully remove Governor Cook on unsubstantiated and vague allegations would endanger the stability of our financial system and undermine the rule of law,” said Lowell. 

Judge Jia Cobb, of the Delta Sigma Theta sorority, ruled that Lisa Cook, of the Delta Sigma Theta sorority, should continue setting US monetary policy even though she doesn’t know how to fill out a mortgage application pic.twitter.com/hjnxm7NAYz

— zerohedge (@zerohedge) September 10, 2025

Cook was fired last month after FHFA Director Bill Pulte released evidence that Cook had fraudulently listed two homes as her “primary residence” within weeks of each other in 2021 in order to secure more favorable terms on her loans. Pulte also revealed a third mortgage Cook had listed as a ‘secondary residence’ while actually renting it out.

The fired ‘economist’ says that her ouster was politically motivated, while her lawyers claim that if there are any errors, they were accidental, and nobody was harmed – just nobody was harmed when NY AG Letitia James threw the kitchen sink at Trump over similar real estate malarkey.