President Donald Trump on Wednesday demanded the resignation of Federal Reserve Governor Lisa Cook after U.S. Federal Housing Finance Agency head Bill Pulte filed a criminal referral to the Justice Department, accusing her of mortgage fraud.
According to the referral, Cook falsely claimed two different properties as her “primary residence” in order to secure more favorable mortgage terms.
Details of the alleged fraud
On June 18, 2021, Cook obtained a mortgage for a property in Ann Arbor, Michigan, affirming that it would be her principal residence within 60 days of the loan agreement.
Just two weeks later, on July 2, 2021, she purchased a condominium in Atlanta, Georgia, and entered into a 30-year mortgage agreement stating that the condo would also serve as her primary residence for at least one year.
Public records indicate the Atlanta property was listed for rent in September 2022. However, Pulte’s referral states that Cook’s federal financial disclosures for 2022 and 2023 did not include any rental income connected to the condo.
Pulte argued that these representations could amount to occupancy fraud, since mortgage borrowers are generally prohibited from designating multiple properties as their primary residence at the same time.
Trump: “Cook must resign”
Following the referral, Trump took to Truth Social to demand Cook’s immediate resignation.
“Cook must resign, now!!” the president wrote.
Background
Cook was appointed by President Joe Biden in 2022.
Her role involves shaping U.S. monetary policy at a time when the Fed is under intense political pressure over interest rates, inflation, and housing affordability.
