The U.S. Justice Department has launched a criminal investigation into Federal Reserve Governor Lisa Cook, focusing on allegations of mortgage fraud, according to the Associated Press. Despite the controversy, Cook has vowed to remain in her role at the central bank. 

Lawyers from the department have issued subpoenas as part of the probe into claims that she improperly listed multiple properties as her primary residence to secure favorable mortgage rates. The accusations surfaced after Bill Pulte, head of the Federal Housing and Finance Agency, alleged that Cook misrepresented information on financial documents.

Cook, who serves as a voting member of the Federal Reserve board responsible for setting interest rates, has strongly denied the claims and rejected calls for her resignation. “I have no intention of being bullied to step down,” she’s previously said. “I will take any questions about my financial history seriously.”

The unfolding case comes at a critical moment for the Federal Reserve, which has faced mounting pressure in recent months as it continues to steer the nation’s monetary policy. Cook’s continued presence on the board ensures she will retain a voice in interest rate decisions while the legal process moves forward.

The investigation has raised concerns about the potential impact on public trust in the Federal Reserve, one of the country’s most powerful economic institutions. Questions remain about whether the inquiry could affect confidence in the Fed’s independence, especially as critics argue that the allegations risk undermining the central bank’s credibility.

While the Justice Department has yet to release further details, the issuance of subpoenas indicates the probe is moving quickly. For now, Cook has made it clear that she intends to defend her record as both a policymaker and a public servant.