Lead: Sept. 4, 2025 — The Justice Department has issued subpoenas in a mortgage-fraud inquiry involving Federal Reserve Governor Lisa Cook as she contests a Trump administration effort to remove her, a person familiar with the matter told AP.
Key Takeaways
- The DOJ has served subpoenas tied to an investigation of mortgage-related allegations involving Fed Governor Lisa Cook.
- The Wall Street Journal first reported the probe; an AP source confirmed subpoenas were issued.
- Cook is fighting a White House effort to oust her from the Federal Reserve Board.
- No criminal charges have been announced and the nature and scope of the subpoenas have not been made public.
- The inquiry raises fresh tensions over the independence of the Federal Reserve amid recent presidential actions affecting agency boards.
- Officials from the Justice Department and Ms. Cook declined immediate public comment, according to news reports.
Verified Facts
The Justice Department has issued subpoenas as part of an investigation that involves mortgage-related allegations connected to Lisa Cook, a governor on the Federal Reserve Board. The subpoenas were confirmed to AP by a person familiar with the matter; The Wall Street Journal reported the investigation earlier.
Lisa Cook currently serves as a member of the Federal Reserve Board of Governors. She has been defending her position as the White House pursues administrative steps to remove her from that role. The subpoenas are a separate development reported by multiple outlets and do not, by themselves, indicate guilt.
As of the reporting on Sept. 4, 2025, the Department of Justice had not publicly announced any charges, and no court filings related to indictments tied to Cook had appeared in public dockets. Media reporting describes subpoenas but has not detailed the documents or witnesses sought.
News organizations report that representatives for the Justice Department and for Governor Cook either declined to comment or did not immediately respond to requests for comment. The Wall Street Journal is cited as the initial outlet to publish details of the probe.
Context & Impact
The development comes amid broader debates over the political independence of the Federal Reserve. The Trump administration has taken steps affecting independent agencies and nominated new members to the Fed board, moves critics say risk politicizing monetary policy oversight.
Legal scrutiny of a sitting Fed governor could have several effects: it may complicate the administration’s public justification for removing a governor, influence Senate deliberations over related nominations, and create uncertainty in markets sensitive to governance at the central bank.
Separately, President Trump nominated Stephen Miran to the Fed board, a pick that has drawn scrutiny because Miran said he would remain a White House official on unpaid leave if confirmed. Observers warn that overlapping personnel changes and investigations could heighten perceptions of political pressure on the Fed.
Potential Practical Consequences
- Heightened congressional attention to Fed appointments and oversight.
- Possible reputational effects for the governor pending the outcome of any investigation.
- Market sensitivity to questions about the Fed’s independence and leadership continuity.
Official Statements
Neither the Justice Department nor representatives for Governor Cook immediately provided public comment when contacted about the subpoenas.
AP reporting
Unconfirmed
- Specific allegations, documents or transactions targeted by the subpoenas have not been publicly disclosed.
- There is no public evidence, as of Sept. 4, 2025, that criminal charges will be filed against Governor Cook.
- Any connection between the subpoenas and the White House removal effort has not been established by public records.
Bottom Line
The issuance of subpoenas marks a significant development in a story that links legal inquiry and political contest over a Federal Reserve governor. While subpoenas signal DOJ interest, they are investigatory tools and are not synonymous with accusations or indictments. Observers will watch for any formal filings, public statements from the Justice Department, and how lawmakers respond given the broader debate about Fed independence.