WASHINGTON — The Supreme Court seemed doubtful Wednesday about President Trump’s claim that he can fire Federal Reserve Board governor Lisa Cook on his own, simply for a past error on a mortgage submission.
Several justices questioned whether Cook’s “inadvertent mistake,” as Chief Justice John G. Roberts Jr.called it, was enough reason to remove her from the central bank board. It appears they weren’t buying Trump’s argument.
They also pressed Trump’s lawyers on why Cook wasn’t given a hearing to respond to the allegations. Justice Amy Coney Barrett directly asked, “Why are you afraid of a hearing?” She suggested that if the evidence is strong, giving Cook a chance to defend herself wouldn’t be a problem.
Justice Brett M. Kavanaugh told Trump’s lawyer that the argument went too far. “Your position is that there’s no judicial review, no process required, no remedy available and a very low bar for cause that the president alone determines,” he said. “That would weaken, if not shatter, the independence of the Federal Reserve.”
trump wants more control over the Federal Reserve as he believes it hasn’t lowered interest rates quickly enough. He’s publicly clashed with Federal Reserve Chairman Jerome H. Powell and even threatened to fire him.
Recently, Trump’s prosecutors said they were investigating Powell for potentially making false statements under oath during a congressional hearing.
Back in August, Trump posted on social media that he had “cause” to fire Cook, but the justices seemed unconvinced during Wednesday’s hearing. One might suggest that the court is protecting the Fed’s independence from political interference.
