By How many Democrats are committing mortgage fraud? President Donald Trump on Wednesday demanded the resignation of Federal Reserve Governor Lisa Cook, seizing on allegations of mortgage fraud first raised by Federal Housing Finance Agency (FHFA) Director William Pulte.
Trump’s call, delivered on Truth Social, came hours after Pulte announced he had submitted a “criminal referral” to Attorney General Pam Bondi, urging the Justice Department to investigate claims that Cook falsified residency information on mortgages tied to properties in Ann Arbor, Michigan, and Atlanta, Georgia. According to Pulte, the FHFA had secured documents suggesting Cook misrepresented her primary residence status to obtain more favorable terms, though no charges have been filed.
“To be honest, I think she needs to resign quickly,” Bill Pulte, director of the Federal Housing Finance Agency, said of Cook on CNBC’s “Money Movers.” “I think she will have to resign, or I think she will be fired,” he said.
Here is the Criminal Referral Letter on Lisa Cook, the current Fed Governor. pic.twitter.com/aG0LGnokei
— Pulte (@pulte) August 20, 2025
In the letter that Pulte called a “criminal referral,” he said that his agency had obtained her mortgage documents and requested that the Justice Department review the matter.
The accusations are the latest in a widening net of mortgage-related probes involving high-profile Democrats, including Senator Adam Schiff of California and New York Attorney General Letitia James. Critics argue the investigations reflect the Trump administration’s willingness to weaponize federal agencies against political opponents, while Trump’s allies say the cases demonstrate long-overdue accountability.
The controversy places additional strain on the White House’s already fraught relationship with the central bank. Trump has repeatedly pressed Powell to slash interest rates, blaming stubborn borrowing costs and inflation—exacerbated by his tariff policies—on what he portrays as Fed intransigence. Pulte, a frequent critic of Powell, has amplified those calls, even accompanying Trump on a recent tour of the Fed’s headquarters renovation.
Cook, appointed in 2022 by President Joe Biden to a 14-year term, is the first Black woman to serve on the Federal Reserve Board and a permanent voter on the rate-setting committee. A respected academic, she built her career on economic history and diversity in the profession, teaching at Michigan State University after studying at Spelman College and Oxford.
Neither the Federal Reserve, the Justice Department, nor the FHFA commented on the allegations, and Cook has yet to issue a public response. The timing of the dispute underscores its gravity: it breaks just as Fed officials gather in Jackson Hole, Wyoming, for their annual symposium on the economic outlook. Whether Bondi’s Justice Department pursues charges remains uncertain, but Trump’s demand ensures that the controversy will shadow both Cook and the central bank at a pivotal moment.
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