Bill Plute, the housing regulator for US President Donald Trump, has filed a mortgage fraud allegation against Fed member Lisa Cook, saying she should be resigned or fired.
“Frankly, I think he should resign soon. He’ll either resign or be fired,” Pulte, director of the Federal Housing and Finance Agency (FHFA), told CNBC’s Money Movers.
Pulte’s statement came after he sent a letter to the Department of Justice (DOJ) calling for a criminal investigation into Cook. Following the letter, Trump supported Pulte’s call on social media, tweeting, “He must resign now!”
If Cook resigns, Trump’s pro-interest-rate cut members could reach a majority
If Cook takes office, Trump could secure a majority among Fed members who support interest rate cuts. It will also clarify how to fill the positions of the 12 regional Fed chairs scheduled for updates in February.
Pulte claimed that the simultaneous list of the two properties as his main residence was a “clear mortgage fraud.” “You can’t do that in America,” he said. “If you commit a fraud, it will be clearly exposed and charged.”
Cook was appointed to the Fed in 2022 by former President Joe Biden and voted to stabilize interest rates at the last meeting. The Fed and the Justice Department declined to comment on Pulte’s allegations and Trump’s response.
The Trump administration previously filed similar mortgage-related charges against Democrat Sen. Adam Schiff and New York Attorney General Letitia James. This is seen as a new dimension to Trump’s pressure campaign against the Fed to lower interest rates.
*This is not investment advice.
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