Kavanaugh warns Trump case could 'shatter' Federal Reserve independence in Supreme Court hearing
Justice Brett Kavanaugh voiced concern during oral arguments on Wednesday that a Supreme Court case involving Federal Reserve Governor Lisa Cook could erode the central bank's independence if the justices...
By Fox News · Fox News
Justice Brett Kavanaugh voiced concern during oral arguments on Wednesday that a Supreme Court case involving Federal Reserve Governor Lisa Cook could erode the central bank's independence if the justices were to side with President Donald Trump in it. Kavanaugh asked Solicitor General John Sauer, who argued on behalf of the administration, about his position that Trump alone can decide what "cause" means when firing a Federal Reserve governor. "That’s your position, no judicial review, no process required, no remedy available," Kavanaugh said, describing it as a "very low bar for cause that the president alone determines." Kavanaugh, a Trump appointee, added that that would "weaken, if not shatter, the independence of the Federal Reserve." FEDERAL RESERVE GOVERNOR LISA COOK SUES TRUMP Sauer said he disagreed and that the law requiring a Federal Reserve governor to be fired for cause was, in fact, a "high bar." "It's our very strong protection because it does protect them from the one thing that Congress was apparently most worried about, which is a removal for policy disagreement," Sauer said. The high-stakes case stems from Cook, who was represented during oral arguments by renowned conservative attorney Paul Clement, suing over Trump removing her from the Federal Reserve's powerful seven-member board of governors. Cook was appointed by former President Joe Biden. Board members serve 14-year terms, and no president has ever fired a single one. The justices are weighing whether to keep in place a lower court injunction that has allowed Cook to remain in her post while her lawsuit proceeds. Trump has argued he has broad authority to fire Cook, alleging she committed private mortgage fraud. Cook has denied those claims and said she has received no due process. She has not been charged with any crime. While the conservative justices appeared largely sympathetic during a separate case examining Trump's stance that he could fire members of independent agencies, such as…