White House Forms Committee to Probe Federal Reserve’s Cook

President Trump is intensifying efforts to remove Federal Reserve governors, specifically targeting Lisa Cook and Jay Powell through legal and administrative maneuvers. The administration recently established a White House committee to investigate Cook for alleged mortgage fraud involving minor discrepancies in property filings, a move following a Supreme Court ruling that her previous firing lacked due process. While the Court suggested that removal "for cause" requires proof of unfitness for office, the administration appears to be using these allegations to satisfy that legal threshold. Simultaneously, the president continues to target Jay Powell, despite a recent Inspector General report clearing the Fed of criminal wrongdoing regarding headquarters renovation costs. These actions reflect a broader strategy of using persistent litigation and investigations to pressure institutional leaders, even when the underlying financial allegations appear negligible or lack clear evidence of professional misconduct.