Fed Governor Cook faces Justice Department probe - Bloomberg

Published 21/08/2025, 16:42
© Pavlo Gonchar / SOPA Images/Sipa via Reuters Connect

Investing.com -- The Justice Department is planning to investigate Federal Reserve Governor Lisa Cook, according to a Bloomberg report. A top Justice Department official has informed Federal Reserve Chair Jerome Powell about the probe in a letter sent Thursday.

Ed Martin, a Justice Department official who has previously led investigations into Senator Adam Schiff and New York Attorney General Letitia James, told Powell that Cook’s case "requires further examination." In his letter, Martin urged Powell to remove Cook from the board, writing: "At this time, I encourage you to remove Ms. Cook from your Board. Do it today before it is too late! After all, no American thinks it is appropriate that she serve during this time with a cloud hanging over her."

On Wednesday, Cook stated she intended to remain at the central bank after President Donald Trump called for her resignation. "I have no intention of being bullied to step down from my position because of some questions raised in a tweet," Cook said in an emailed statement via a Fed spokesperson. "I do intend to take any questions about my financial history seriously as a member of the Federal Reserve and so I am gathering the accurate information to answer any legitimate questions and provide the facts."

A resignation would create another vacancy for Trump to fill on the Federal Reserve board as the president increases pressure on the central bank to reduce interest rates.

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