Trump could target three Fed governors. Removing them may be harder than it looks
Trump could seek to remove Jerome Powell, Lisa Cook and Michael Barr from the Federal Reserve, but court rulings and lengthy litigation could limit him.
TL;DR
- A watchdog report found no basis for criminal charges regarding costly renovations to the Federal Reserve's headquarters, exonerating former Chair Jerome Powell of administrative misconduct.
- President Trump has expressed dissatisfaction with Powell and could potentially seek the removal of Powell, Lisa Cook, and Michael Barr from the Fed's board.
- Legal experts suggest that any attempts to remove these governors would face significant legal hurdles, and the governors might opt to litigate their positions, potentially prolonging their tenure.
- Separate disputes involving governors Lisa Cook and Michael Barr are also ongoing, with the Cook case having faced Supreme Court intervention.
- An external investigation into the Federal Reserve's handling of the Silicon Valley Bank failure is also underway, with preliminary reports faulting bank supervisors but not assigning personal responsibility to Barr.