Powell To Attend Supreme Court Over Cook Firing Case
Fed Chair Jerome Powell plans to attend Jan. 21 oral arguments over President Trump's attempt to remove Fed governor Lisa Cook.
Overview
LEAD: Federal Reserve Chair Jerome Powell will attend the Supreme Court’s oral arguments on Jan. 21 in the case over whether President Donald Trump can remove Federal Reserve Governor Lisa Cook, according to a person familiar with Powell’s plans.
CONTEXT: The appearance comes after the Justice Department served the Federal Reserve with grand jury subpoenas focusing on a $2.5 billion renovation of the Marriner S. Eccles and Constitution Avenue buildings following Powell’s June testimony to the Senate, and Powell called the subpoenas 'pretexts' in a Jan. 11 video statement.
RESPONSE: Lisa Cook has denied the mortgage-fraud accusations and her lawyer Abbe Lowell said in a statement that 'Trump has no authority to remove Federal Reserve Governor Lisa Cook' and that the attempted removal 'lacks any factual or legal basis,' according to Lowell's statement.
SCALE: Cook — appointed in 2022 with a term running through Jan. 2038 — is one of seven members of the Federal Reserve Board of Governors, and a successful removal by President Donald Trump would allow him to name a successor and could shift the board's majority and influence interest-rate policy, with the Fed's benchmark rate at about 3.6 percent after last year's cuts, according to Fed records and public statements.
FORWARD: The Supreme Court’s Jan. 21 ruling, after a temporary Oct. 1 order that let Cook remain in office, could determine whether presidents may remove Fed governors 'for cause' without judicial review while the Justice Department's subpoenas and the threatened criminal investigation of Powell remain unresolved, according to court records and Powell's public remarks.
Analysis
Center-leaning sources frame the story as a defense of Federal Reserve independence, emphasizing Powell’s attendance as a show of support and foregrounding DOJ subpoenas and Trump’s pressure. They use evaluative phrases ("unusual show of support," "wages a broader battle"), prioritize Fed voices and legal protections, and offer minimal White House/DOJ response.
Sources (11)
FAQ
Powell plans to attend the January 21 oral arguments over President Trump's attempt to remove Fed Governor Lisa Cook, following Justice Department grand jury subpoenas related to a $2.5 billion Fed building renovation and his Senate testimony, which he called pretexts for pressuring the Fed on interest rates.
History
3 sources