Republicans just scored a huge win over an organization that wields far too much power.
The Consumer Financial Protection Bureau (CFPB) was created in 2010 when Democrats inserted it in the Dodd-Frank financial regulation bill. It passed on a partisan vote. Not a single Democrat voted against it.
Since then, a bureau allegedly created to protect consumers has gone completely rogue.
The director of the CFPB is an unelected czar who answers to no one. The agency receives its funding without any limitation or congressional oversight, tapping into the unlimited resources of the Federal Reserve rather than the congressionally-appropriated budget.
The director of the bureau is essentially an unelected, unaccountable czar of an agency that can exercise enormous power over the economy — and especially over the ability of people on Main Street America to obtain credit.
Republicans have long maintained that this agency is not legitimate because it has no oversight, and a federal judge in New York just took their side.
From The Right Scoop:
A federal judge has just ruled that the CFPB is unconstitutionally structured and therefore can’t bring a case against firm accused of scamming both 9/11 responders and ex-NFL players out of settlement monies:
JUST IN: Federal judge in New York rules the structure of Consumer Financial Protection Bureau is unconstitutional pic.twitter.com/J11EDNmzKb
— Reuters Business (@ReutersBiz) June 21, 2018
According to the conclusion in the ruling:
Because Plaintiff Consumer Financial Protection Bureau is unconstitutionally structured and lacks authority to bring claims under the CFPA, the Clerk of Court shall terminate Plaintiff Consumer Financial Protection Bureau as a party to this action.
When he was serving in the House, Mulvaney often railed against the CFPB, calling it “a joke”.
President Donald Trump named Kathy Kraninger, who currently works at the Office of Management and Budget with Mulvaney, as his permanent replacement.
Senator Elizabeth Warren of Massachusetts strongly opposed this, and tweeted that Kraninger “has no track record of helping consumers.”
Warren is probably very upset that a bureau she created now has a limited government Republican managing it. Back when she was a Harvard Law professor, and before she was a Senator, Warren designed the structure of the CFPB. This makes total sense given the bureau’s unaccountability to the people.
It’s this unaccountability that makes CFPB unconstitutional, and even a law professor like Warren couldn’t see it because of her partisanship.
With this recent ruling against CFPB, Republicans are proving that they’re continuing to fight to give us a government by the people, for the people and of the people.
Source: The Right Scoop