Federal Court Backs Fed Governor Lisa Cook Amid Trump's Termination Efforts

In a significant legal battle, a federal court ruled on Tuesday that Federal Reserve Governor Lisa Cook can retain her position while challenging President Donald Trump's efforts to remove her. Trump's administration accused Cook of mortgage fraud, claims she has denied.

This legal confrontation reflects ongoing tensions between the White House and the Federal Reserve over independence and control, as Trump attempts to increase influence over the institution responsible for setting key interest rates. Congressional efforts have traditionally aimed to shield the Fed from political influence.

Cook allegedly labeled two properties as 'primary residences', possibly securing more favorable mortgage terms. Her legal team insists firing her without proper procedure contradicts lawful terms, and she deserves a hearing to contest these allegations.

(With inputs from agencies.)