"Reuters reported that several justices, including Chief Justice John Roberts, suggested to U.S. Solicitor General D. John Sauer that the allegations against Cook may reflect an inadvertent paperwork error rather than misconduct warranting for cause removal, particularly since the conduct occurred before her service at the Federal Reserve. Justices Amy Coney Barrett and Samuel Alito questioned whether misconduct unrelated to a Fed board member's official duties could justify removal, with Barrett citing examples such as shoplifting, theft or domestic abuse."
"The Supreme Court agreed in October to hear Cook's case and let her stay in her position on the Fed's board in the meantime. A ruling is expected at the end of June, Reuters reported, adding that multiple justices signaled they are unlikely to lift a lower court order keeping Cook on the job while the case proceeds. Multiple justices questioned Sauer about Cook not being given notice or a formal opportunity to respond to the allegations before the attempt to fire her."
Cook faces legal proceedings over allegations that she misrepresented two properties as primary residences on mortgage applications in 2021 to secure lower rates and smaller down payments. The Supreme Court agreed in October to hear the case and has allowed Cook to remain on the Federal Reserve Board pending a ruling expected at the end of June. Several justices indicated the allegations might reflect inadvertent paperwork errors and questioned whether pre-service or non-official-duty misconduct can justify for-cause removal. Justices also raised concerns that Cook was not given notice or a formal chance to respond before the removal attempt. The DOJ opened an investigation after FHFA referrals prompted the removal effort.
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