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Published 11 Sep, 2025 07:23am

US judge blocks Trump from firing Fed governor

WASHINGTON: A US federal judge on Tuesday temporarily blocked Pre­sident Donald Trump’s move to fire Federal Res­e­rve Governor Lisa Cook as she challenges her ouster from the central bank.

Judge Jia Cobb granted Cook’s request for an order to remain on the bank’s board while her lawsuit plays out — just a week before a highly anticipated Fed rate meeting.

In her opinion, judge Cobb found that Cook was “substantially likely” to succeed in certain claims, including her argument that Trump violated the Federal Reserve Act as her removal did not comply with the statute’s “for cause” requirement.

“The public interest in Federal Reserve independence weighs in favor of Cook’s reinstatement,” Cobb added.

Trump did not respond to a question about the ruling asked by a reporter Tuesday night, as he exited a restaurant in Washington.

Cook’s lawyer Abbe David Lowell praised the ruling, saying it “recognises and reaffirms the importance of safeguarding the independence of the Federal Reserve from illegal 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,” Lowell said.

The Supreme Court suggested in a recent ruling that Fed officials can only be removed “for cause,” which could be interpreted to mean malfeasance or dereliction of duty.

In Tuesday’s opinion, Cobb also noted that Cook’s case was the first such removal “in the Fed­eral Reserve’s 111-year history,” and questioned the nature of the Trump admi­nistration’s accusations.

“‘For cause’ thus does not contemplate removing an individual purely for conduct that occurred before they began in off­ice,” Cobb wrote.

Published in Dawn, September 11th, 2025

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