Federal Reserve's Cook sued Trump for his decision to remove him from office

Federal Reserve Governor Tim Cook filed a lawsuit on Thursday, challenging President Trump's decision to fire her on suspicion of mortgage fraud.

Bloomberg reported that Lisa Cook's lawyer said in a lawsuit on Thursday (August 28) that Trump's claim that Cook might have lied in her mortgage application to obtain better mortgage terms was not sufficient to be a reason for firing her, as these accusations were unverified and occurred before she was appointed to the Senate.

The court documents stated: "This case challenges President Trump's unprecedented and illegal attempt to remove Commissioner Cook from his position. If allowed, it would be the first time such an event has occurred in the history of the Federal Reserve."

It marks a major escalation of the conflict between the White House and the Federal Reserve

This lawsuit marks a major escalation of the conflict between the White House and the Federal Reserve. In the lawsuit, Cook suggested that attempting to remove her and Federal Reserve Chair Powell was one of Trump's moves to seize control of the Federal Reserve.

Cook asked the judge to immediately order to stop Trump's action to remove her and prohibit the Federal Reserve from taking any action to implement the president's demands.

Cook requested an emergency hearing on the motion to prevent Trump from firing her. She promised earlier this week that she would strive to complete her term which was originally due to expire in 2038.

The decision to fire Cook has intensified concerns that the Federal Reserve is losing its independence. If Cook is eventually fired, Trump has the right to nominate a successor to reshape the Federal Reserve Board. Among the current seven members of the Federal Reserve Board, two were nominated by Trump.

A White House spokesperson made no comment on this.