In an unprecedented legal battle, Federal Reserve Governor Lisa Cook has sued the Trump administration after President Donald Trump's attempt to fire her. The action has drawn a strong rebuke from Delta Sigma Theta Sorority, Inc., of which Cook is a member. The sorority’s International President, Cheryl W. Turner, released an official statement on behalf of the organization in support of Governor Cook. On his social media platform, Truth Social, the President responded to the sorority’s support, stating, “This is a total Conflict of Interest. The Judge must RECUSE, IMMEDIATELY!!!”
“Dr. Lisa D. Cook was vetted, confirmed, and is uniquely qualified to serve on the Federal Reserve Board of Governors.
Undermining her role is not just about one individual—it is a threat to the independence of the Federal Reserve and carries grave economic implications for families and communities. We also see a troubling pattern of efforts to discredit leaders and experts who are eminently qualified and prepared to lead and to serve.
As a women's organization—and a champion of justice, scholarship, service, and economic development for 112 years—Delta Sigma Theta unequivocally opposes any measures that silence Black women, whose voices and leadership remain vital to the progress of our nation.”
In response to Trump's attempt to fire her, Cook has filed a lawsuit in hopes the court will find his actions “unlawful and void.” The lawsuit, filed on behalf of Cook, also asks the court for an emergency injunction to block her removal. Cook has appointed Abbe Lowell, a high-profile attorney, to represent her in the case.
According to Trump, he has the right to remove Cook due to the Federal Reserve Act. In a previous statement, Cook asserted that ‘no cause exists under the law' that would give Trump the right to fire her. Given the complexity of the case, the lawsuit could potentially reach the U.S. Supreme Court. BBC News writer Ana Faguy obtained a statement from Lowell regarding the nature of the lawsuit.
“This case challenges President Trump's unprecedented and illegal attempt to remove Governor Cook from her position, which, if allowed to occur, would be the first of its kind in the Board's history,” Lowell wrote.
“It would subvert the Federal Reserve Act … which explicitly requires a showing of 'cause' for a Governor's removal, which an unsubstantiated allegation about private mortgage applications submitted by Governor Cook prior to her Senate confirmation is not,” Lowell added.
In a statement to BBC News, White House Deputy Press Secretary Kush Desai stated that President Trump “exercised his lawful authority to remove” Cook.
“The President determined there was cause to remove a governor who was credibly accused of lying in financial documents from a highly sensitive position overseeing financial institutions,” he further stated. “The removal of a governor for cause improves the Federal Reserve Board's accountability and credibility for both the markets and American people.”
While the Federal Reserve Act does not grant the president permission to remove a Fed official at will, it grants him permission to do so ‘for cause,' a right Trump claims he has.
Cook made history in 2022 as the first Black woman to sit on the Federal Reserve Board of Governors. She has previously worked as a professor of economics and international relations at Michigan State University in addition to being a member of the American Economic Association’s Executive Committee. Cook has multiple degrees from numerous universities, including Spelman College, where she was initiated into the Eta Kappa chapter of Delta Sigma Theta Sorority, Inc.
Founded on the campus of Howard University on January 13, 1913, Delta Sigma Theta is the largest sorority among the Divine Nine, with over 350,000 members worldwide. The sorority has over 1,000 chapters located in the United States, Canada, Japan, West Africa, and several other countries.
