.

President Donald Trump issued a letter on Monday saying Federal Reserve Governor Lisa Cook had been “removed” from her post, effective immediately.” In a letter to Cook posted to Truth Social, Trump said he was acting under his authority to “revoke any appointment” and the Federal Reserve Act of 1913, which allows the president to remove governors from the Fed’s Board “for cause.” Cook, however, says she is not resigning.

The president on Monday evening posted the letter to Truth Social, five days after first demanding her resignation in another post to the social media platform. “I hereby remove you from your appointment as a member of the Board of Governors of the Federal Reserve System for cause, effective immediately,” Trump wrote in the letter to Cook.

Trump said there was “sufficient reason to believe” that Cook “made false statements on one or more mortgage agreements.”

“Accordingly, I have determined that faithfully enacting the law requires your immediate removal from office,” he added.

The accusations against Cook, the first Black woman on the Federal Reserve Board, were first made in recent weeks by Bill Pulte, a Trump appointee to an agency that regulates Fannie Mae and Freddie Mac, Pulte accused Cook of claiming to have two primary residences in 2021 – one in Ann Arbor and one in Atlanta – so that she could get better mortgage rates on the two homes.

Appearing on Fox Business’ “Mornings with Maria,” Pulte painted the allegations against Cook in black and white terms.

“It’s very odd to see people try to twist back way sideways and upside down to justify mortgage fraud,” Pulte said. “This is a very serious crime. Mortgage fraud carries up to 30 years in prison. I believe the president has ample cause to fire Lisa Cook. Whether he wants to do that or not is entirely up to the president. However, we will go where mortgage fraud is. If mortgage fraud is with a Republican or a Democrat, it doesn’t matter—if you commit mortgage fraud in President Trump’s America, we’re going to come after you. And Lisa Cook is no exception to that.”

On August 15, Pulte sent a criminal referral to the Justice Department, in which he accused Cook of falsifying bank documents and property records. No formal charges have been made.

Cook, a member of the Federal Reserve Board since 2022, appointed by then-President Joe Biden, quickly dismissed Trump’s authority to fire her. “President Trump purported to fire me ‘for cause’ when no cause exists under the law, and he has no authority to do so. I will not resign. I will continue to carry out my duties to help the American economy as I have been doing since 2022,” Cook said in a statement obtained by Fox News Digital.

Cook is represented by Abbe Lowell, a well-known attorney whose clients have included Hunter Biden, New York Attorney General Letitia James, and Jared Kushner and Ivanka Trump. Lowell was unequivocal in his response to Trump’s letter. “President Trump has taken to social media to once again ‘fire by tweet,’ and once again his reflex to bully is flawed and his demands lack any proper process, basis, or legal authority. We will take whatever actions are needed to prevent his attempted illegal action,” Lowell said in a statement obtained by Fox News Digital.

FOX Business reached out to the Federal Reserve for comment, but officials did not immediately respond.

Hours later, Lowell announced that he would be suing Trump on Cook’s behalf to formally challenge his removal. “President Trump has no authority to remove Federal Reserve Governor Lisa Cook. His attempt to fire her, based solely on a referral letter, lacks any factual or legal basis. We will be filing a lawsuit challenging this illegal action,” Lowell said in a statement.

Democrats Say Trump’s Move Is Unconstitutional

Leading Democrats also rallied to Cook’s defense, calling Trump’s move unconstitutional and politically motivated. House Minority Leader Hakeem Jeffries, D-N.Y., Sen. Elizabeth Warren, D-Mass., and Rep. Jamie Raskin, D-Md., all released statements slamming Trump’s move.

Raskin told Axios, “What an outrage and a scandal. This is the big one constitutionally.”

Warren called Trump’s attempt “an authoritarian power grab,” adding that “Trump is desperately looking for a scapegoat to cover for his own failure to lower costs for Americans, and firing Lisa Cook is his latest move.”

Jeffries, in a statement, said there was not “a shred of credible evidence that she has done anything wrong.” He also targeted Trump directly: “To the extent anyone is unfit to serve in a position of responsibility because of deceitful and potentially criminal conduct, it is the current occupant of the White House. The American people are not buying your phony projection and slander of a distinguished public servant.”