Trump Handed Legal Loss as Judge Blocks Him From Firing Lisa Cook
September 10, 2025
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Robert Birsel is a Newsweek reporter based in Asia with a focus on political and general news. Robert joined Newsweek in 2025 from Radio Free Asia and had previously worked at Reuters. He is a graduate of the London School of Economics. You can get in touch with Robert by emailing r.birsel@newsweek.com. Languages: English.
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A federal judge temporarily blocked President Donald Trump‘s attempt to oust Lisa Cook from the Federal Reserve’s Board of Governors, allowing her to continue serving as she contests her recent dismissal, according to the court ruling reviewed by Newsweek.
Trump announced on August 25 that he was firing Cook, “in light of your deceitful and potentially criminal conduct in a financial matter,” adding that he no longer had “confidence in your integrity.”
In response, Cook filed a lawsuit calling her termination “unprecedented and illegal,” and stating the allegations of mortgage fraud that underpinned the president’s action were “unsubstantiated.” She sought an immediate injunction against her firing and for reinstatement to the Fed’s Board of Governors.
“The Federal Reserve Act provides that the President may only remove a member of the Board of Governors of the Federal Reserve System ‘for cause,'” the court said in its ruling.
“The Court finds that Cook has made a strong showing that her purported removal was done in violation of the Federal Reserve Act’s ‘for cause’ provision,” the court added.
Trump’s bid to fire Cook comes as he ramps up pressure on the Fed to lower interest rates. The president has repeatedly criticized Jerome Powell, chair of the central bank, for not cutting the Fed’s short-term interest rate more aggressively and has even threatened to fire him.
This is a breaking news story. Updates to follow.
Federal Reserve Chairman Jerome Powell, left, speaks with Lisa Cook, member of the Fed’s Board of Governors, in Washington, D.C., on June 25. Federal Reserve Chairman Jerome Powell, left, speaks with Lisa Cook, member of the Fed’s Board of Governors, in Washington, D.C., on June 25. Saul Loeb/AFP/Getty Images
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