Bondi launches criminal probe against fired Fed Gov Lisa cook

Attorney General Pam Bondi’s Justice Department issued subpoenas on Thursday into Federal Reserve governor Lisa Cook as part of a criminal investigation regarding allegations she submitted fraudulent information on mortgage applications.

The criminal investigation comes as Cook finds herself embroiled in a lawsuit with President Donald Trump over his bid to fire her and take control of the Federal Reserve.

According to the Wall Street Journal, the DOJ’s focus is centered on Cook’s properties in Michigan and Georgia. Officials told the outlet they are utilizing grand juries as part of the criminal probe.

ADVERTISEMENT

Last month, Trump-appointed director of the Federal Housing Finance Bill Pulte claimed that Cook engaged in mortgage fraud.

The president used Pulte’s allegations as reasoning to fire Cook last week.

Cook’s lawsuit against the administration claims Trump’s attempt to fire her was against the law. Her attorneys claimed the president made up a reason to dismiss her so he can move ‘forward his agenda to undermine the independence of the Federal Reserve.’

The White House claims Trump was within his presidential authority to dismiss Cook. The Federal Reserve Act grants the president the power to remove Fed governors ‘for cause.’

If Trump is successful in removing Cook, the president will then be able to fill the majority of the central bank’s board with his hand-picked appointees.

‘We’ll have a majority very shortly,” Trump said last week when asked about replacing Cook. ‘So that’ll be great.’

‘Once we have a majority, housing is going to swing, and it’s going to be great,’ Trump added. ‘People are paying too high an interest rate. That’s the only problem with us. We have to get the rates down a little bit.’

Pulte originally accused Cook of lying on her mortgage applications in order to receive lower interests from banks.