Donald Trump Seeks Removal of Three Federal Reserve Governors

President Donald Trump is considering the removal of three Federal Reserve board members: Chair Jerome Powell, Governor Lisa Cook, and Governor Michael Barr. The effort against Powell follows a watchdog report detailing approximately $1 billion in cost overruns for headquarters renovations in Washington, although the report found no evidence of criminal misconduct or administrative malfeasance.

Trump has requested that Attorney General Todd Blanche review the report, while U.S. Attorney Jeanine Pirro's office is also conducting a review. Separate disputes drive the potential removals of the other governors. The White House blames Michael Barr for the 2023 failure of Silicon Valley Bank, while Lisa Cook has previously fought removal attempts over mortgage application allegations, which the Supreme Court blocked.

Legal experts indicate that removing these governors for cause faces significant judicial hurdles, and current rulings may allow them to remain in office while litigation proceeds. These developments occur as the Federal Reserve prepares to announce an interest-rate decision on October 28, shortly before the November 3 midterm elections.