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Justice department argues it has not heard explanation from Fed Governor Lisa Cook
CNBC Televisionยท2025-08-29 17:33

Legal & Regulatory Landscape - The court hearing regarding Lisa Cook's potential termination from the Fed was non-determinative, with the judge requesting more documents and resuming on Tuesday [1][2] - The Department of Justice argued that the president has full authority to fire Lisa Cook and doesn't need to abide by much due process, suggesting a public notice via tweet is sufficient [3] - The definition of "for cause" for firing is not defined in the statute, leaving it to the judge to decide, with the president's representative arguing it must bear on the official's ability to do their job [4] - Lisa Cook's attorney suggested that if the cause for firing had to be unknown at the time of the Senate confirmation hearing, they would present documents showing the mortgage issue was knowable by the Senate [5][6] Allegations & Defense - The hearing focused on whether the firing can happen, not on the truth of the mortgage fraud allegations [7] - Lisa Cook's attorney argues she hasn't had a chance to defend herself regarding the allegations [9] - The government argues that Lisa Cook's lack of public defense implies she has nothing useful to say [10]