2LT International News

WASHINGTON, D.C.: Federal Reserve Governor Lisa Cook described a condominium she bought in June 2021 as a “vacation home” on a loan estimate and as a “second home” on a security clearance form, documents show, details that may weaken the Trump administration’s allegations that she committed mortgage fraud.

President Donald Trump has moved to fire Cook “for cause,” citing claims that she improperly designated two properties as her primary residence at the same time. Cook has sued to block her removal, which is the first attempt by a president to oust a sitting Fed governor. On Tuesday, she won a court injunction allowing her to remain in her role while the case proceeds.

The administration has appealed and is pressing for an emergency ruling before Monday, as the Fed meets on Tuesday and Wednesday of tthis week to decide whether to lower interest rates. Economists broadly expect a quarter-point cut.

Bill Pulte, a Trump appointee at the Federal Housing Finance Agency, has accused Cook of submitting conflicting documents on the Atlanta condo and a house she purchased in Ann Arbor, Michigan, that same month. He has made a criminal referral to the Justice Department, which has opened an inquiry.

While labeling a property as a “primary residence” can yield more favorable mortgage terms than a second home or vacation property, Fulton County tax records show Cook has never claimed a homestead exemption on the Atlanta condo since acquiring it.

The controversy comes as Trump seeks to exert more influence over the central bank, pushing for steep rate cuts and clashing with Chair Jerome Powell. The White House did not immediately comment on the newly surfaced documents.