WASHINGTON, October 10, 2026 President Donald Trump has launched a renewed effort to remove Federal Reserve Governor Lisa Cook, opening a new political and legal dispute over presidential authority and the independence of the U.S. central bank.

According to Reuters, the White House has established an investigative committee to examine allegations that Cook made false statements on mortgage applications. The committee is scheduled to hold a closed hearing on November 5 and report whether there are grounds for her removal.

Cook disputes the basis for her dismissal. Her legal team has argued that the allegations do not provide a valid legal justification for removing her from office.

The dispute follows an earlier legal battle after Trump attempted to dismiss Cook in 2025. The Supreme Court has indicated that a sitting Federal Reserve governor cannot be removed without legally sufficient cause.

Why the Lisa Cook Dispute Matters

The controversy raises important questions about presidential power, Federal Reserve independence and political influence over U.S. interest-rate policy. The Federal Reserve plays a central role in managing inflation, employment and borrowing costs across the American economy.

With the November midterm elections approaching, the investigation could intensify debate over the administration’s economic policies and its relationship with independent federal institutions.

The outcome may have significant implications for the Federal Reserve’s governance and the legal limits of presidential authority.