ISTANBUL

The US Federal Reserve said Tuesday that it will abide by any court decision that determines whether Fed Board Governor Lisa Cook can be fired by President Donald Trump.

Trump announced Monday that he was firing Cook with "immediate effect" in an unprecedented move, citing allegations of mortgage fraud.

In a letter posted on US social media company Truth Social, which he owns, he told Cook: “You are hereby removed from your position on the Board of Governors of the Federal Reserve, effective immediately.”

Her attorney, Abbe David Lowell, told Anadolu that Trump's attempt to remove Cook is baseless and he has no authority for this decision.

Following the developments, the Fed told Anadolu that Congress, through the Federal Reserve Act, directs that governors serve in long, fixed terms and may be removed by the president only “for cause.”

"Long tenures and removal protections for governors serve as a vital safeguard, ensuring that monetary policy decisions are based on data, economic analysis and the long-term interests of the American people," it added.

"Lisa Cook has indicated through her personal attorney that she will promptly challenge this action in court and seek a judicial decision that would confirm her ability to continue to fulfill her responsibilities as a Senate-confirmed member of the Board of Governors of the Federal Reserve System,” it noted.

"As always, the Federal Reserve will abide by any court decision."