Federal Reserve Chair Jerome Powell is expected to attend Supreme Court oral arguments Wednesday as the justices consider whether President Donald Trump can fire Fed Gov. Lisa Cook, according to a person familiar with the plans.
The high court allowed Cook to remain in her post in October while it teed up arguments in the closely watched case.
Powell’s decision to personally show up at the court comes as his fight with Trump and the right intensifies, with growing calls from conservatives for the Fed chair to resign amid accusations that he has politicized the central bank and ignored economic pain felt by everyday Americans.
Earlier this month, Powell revealed that the Justice Department had hit the Federal Reserve with grand jury subpoenas and threatened a criminal indictment tied to a lavish $2.5 billion renovation of Fed buildings.
The subpoenas landed after Trump repeatedly pressed the central bank to slash interest rates more aggressively. The president has openly ripped Powell as “too late” and “a major loser,” accusing him of holding the economy back.
The Federal Reserve declined to comment on Powell attending the arguments, which was first reported by The Associated Press. NBC News has reached out to the White House for comment.
Powell said the threatened indictment stems from his June testimony to the Senate about the renovations but dismissed the rationale behind it.
President Trump tours Fed construction with Chair Jerome Powell. (Screenshot/Fox News)
“Those are pretexts,” Powell said.
“The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the president,” he added.
Trump said in August that he was removing Cook from her position, citing accusations of mortgage fraud raised by Federal Housing Finance Agency Director William Pulte.
The Federal Reserve Act bars presidents from removing governors absent evidence of wrongdoing. Cook has denied the allegations, and NBC News has previously reported that bank records appear to contradict the claims.
After Trump attempted to oust her, Cook’s lawyer, Abbe Lowell, said the president lacked the authority to do so.
“Trump has no authority to remove Federal Reserve Governor Lisa Cook,” Lowell said. “His attempt to fire her, based solely on a referral letter, lacks any factual or legal basis.”
Cook’s term as a Fed governor runs through January 2038.
