A first in 111 years: Trump removes FED official he had called to resign!

The tension between US President Donald Trump and the Federal Reserve (FED) is escalating. FED Board Member Lisa Cook, who had rejected calls for her resignation in recent days, has been removed from her post by Trump's decision.

Cook has gone down in history as the first board member in the 111-year history of the FED to be removed from office by a US President.

THE REMOVAL DECISION

Trump removed Cook, whom he had long criticized for not lowering interest rates at the FED. Accusing Cook of mortgage fraud alongside Federal Housing Finance Agency Director Bill Pulte, Trump announced his decision in a letter published on Truth Social.

In his letter, Trump stated, "You are hereby removed from your position as a member of the Board of Governors of the Federal Reserve System, effective immediately."

Furthermore, Trump noted that the law allows for the removal of a board member by presidential decision if there is "cause." He also recorded that there were sufficient grounds for Cook's removal.

TRUMP'S JUSTIFICATIONS

Pointing out that the FED bears a vital responsibility in setting interest rates, managing reserves, and regulating member banks, Trump said that the American people must be able to trust the integrity of those who undertake these duties.

In his statement, he said, "In light of your deceptive and potentially criminal conduct regarding a financial matter, they and I do not have that kind of confidence in your integrity. At a minimum, such conduct exhibits a gross negligence that calls into question your competence and reliability as a financial regulator in financial transactions."

COOK'S RESPONSE

Lisa Cook, who did not accept Trump's call to resign, had announced in a recent statement that she would not leave her post. Recalling that her resignation was requested due to alleged mortgage fraud she was involved in 4 years before taking office, she shared the following message on her social media account:

"I have no intention of leaving my post because of some questions asked in a tweet. I intend to take all questions regarding my financial history as a Federal Reserve member seriously, and I am therefore gathering the correct information to answer legitimate questions and set the facts straight."

DEPARTMENT OF JUSTICE INVESTIGATION

On the other hand, it has also come to the agenda that the US Department of Justice is preparing to launch an investigation into the matter following the allegations raised by Bill Pulte against Cook.

News Source: 12punto