"President Trump has no authority to remove Federal Reserve Governor Lisa Cook. His attempt to fire her, based solely on a referral letter, lacks any factual or legal basis," Cook's attorney Abbe Lowell said in a statement Tuesday. "We will be filing a lawsuit challenging this illegal action."

Lawyers for Ms. Cook promised to take legal action one day after the president moved to fire her over allegations of mortgage fraud.

Lisa Cook made headlines three years ago when she became the first Black woman to serve on the Federal Reserve’s Board of Governors, one of the most powerful financial institutions in the world