A federal appeals court ruled Monday that President Trump cannot fire Federal Reserve Governor Lisa Cook and prevent her from participating in the central bank’s highly anticipated two-day meeting to set interest rates, which begins Tuesday.
The U.S. Court of Appeals for the District of Columbia Circuit ruling means the Trump administration only has hours to appeal the Supreme Court to block Cook from attending.
A divided DC appeals court said late Monday that Lisa Cook could remain in her Fed job while she fights Trump's attempt to fire her.
— Andrew Ackerman (@amacker) September 16, 2025
The administration will almost certainly appeal to the Supreme Court... pic.twitter.com/7Sife08ze0
The 2-1 ruling Monday by a panel of the D.C. Circuit Court of Appeals is unlikely to be the last word on the matter, given the anticipated Supreme Court action. But it sets up a race against the clock to determine whether Cook, a Biden appointee who Trump tried to fire last month, will participate in the Fed meeting set to begin Tuesday.
Judges J, Michelle Childs and Bradley Garcia, both Biden appointees, voted to leave Cook in her post, while Judge Gregory Katsas, a Trump appointee, dissented.
The Department of Justice declined comment.
Last week, U.S. District Judge Jia Cobb rejected Trump’s bid to remove Cook just three years into her 14-year term, saying the president’s justification for the firing — mortgage fraud allegations that have not been adjudicated in any forum — did not meet the legal requirements to overcome laws protecting the independence of the Federal Reserve.
While the Supreme Court has repeatedly endorsed Trump’s efforts to remove executive branch officials Congress has sought to insulate from politics, the justices have signaled they view the Federal Reserve as a unique “quasi-private” institution that may put it in a different legal category.
Federal law gives Trump the power to fire members of the Federal Reserve Board of Governors “for cause,” which typically means misconduct or malfeasance on the job. Trump said he had cause to fire Cook due to allegations that she claimed in separate mortgage applications that two different homes were her primary residence, which can entitle a homeowner to lower rates. Cook has denied the allegations. (Politico)
The ruling comes as the Senate voted 48-47 on Monday to approve President Trump's Fed board nominee Stephen Miran, who will take part in the two-day meeting.
The president tapped Miran, head of the Council of Economic Advisers, to replace Adriana Kugler, a Biden appointee, who resigned last month.
🚨 BREAKING: In an outrageous ruling, a federal court just ALLOWED Democrat Fed Governor Lisa Cook to remain on and VOTE in tomorrow's Fed meeting, deciding against President Trump who tried to fire her for mortgage fraud.
— Eric Daugherty (@EricLDaugh) September 16, 2025
The Fed is losing credibility, and rapidly.
This is an… pic.twitter.com/sZgys6wF3I
Judge Katsas blasted the ruling in his dissent.
Brilliant dissent from Judge Katsas in Cook vs. Trump, showing how utterly absurd this decision is.
— James Fishback (@j_fishback) September 16, 2025
“Imagine a Governor who amassed his great wealth and stellar reputation based on financial fraud discovered only after he took office. Imagine a Governor who is discovered to have… pic.twitter.com/GSAKeU2BuA