Trump Surrogate Suggests Consumer Protection Agency Head Should Be OustedThe director of the Consumer Financial Protection Bureau, Richard Cordray, is catching heat from GOP operatives -- most recently Trump loyalist Corey Lewandowski -- who are looking to gut the agency.
Next on the Trump administration’s list of targeted institutions may well be the Consumer Financial Protection Bureau (CFPB). According to a report by The Hill, former Trump campaign manager and current surrogate Corey Lewandowski on a Sunday telecast urged the president to “re-look at firing Richard Cordray, the [head of the] CFPB. He is a person who is all but running for governor in the state of Ohio and he’s sitting in federal office right now.”
When asked during the “Meet the Press” interview why he seemed so focused on having Cordray fired, and whether he had a client who might be invested in the outcome, the political operative insisted that he had no conflict of interest, stating, “No, no. I have no clients whatsoever.” However, as a Media Matters report points out, this may not be the case:
… [L]ater in the show, Politico reporter Eliana Johnson noted that Lewandowski “is appearing at a fundraiser August 3 for a Republican Ohio gubernatorial candidate, despite his claim that he has no business interests in this,” prompting [host Chuck] Todd to exclaim, “Now we know the motivation there.” BuzzFeed reported on July 25 that Lewandowski has been advertised as a “special guest” at the August 3 fundraiser for Rep. Jim Renacci. BuzzFeed also reported that Renacci helped Lewandowski land a speaking slot to the City Club of Cleveland, which will take place the same day as the fundraiser.
According to a Politico report, Cordray probably does intend to run for governor of Ohio, though he has not announced any decision to enter the race. In order to mount a campaign, he would have to leave his post at the consumer bureau before his term expires in July 2018. His departure would be a gift to Republicans, who have long been attempting to gut the bureau. Politico elaborates:
Under law, President Donald Trump can’t replace Cordray without firing him for cause, an act that carries its own political risk given the bureau’s popularity with the public — including among Trump voters. And Congress can’t rein in the agency with spending cuts because it’s funded through the Federal Reserve and not subject to appropriations.
As such, the CFPB, the brainchild of Sen. Elizabeth Warren, has been a menace to political profiteers with close ties to Wall Street. It was created by the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act and shields consumers from some of the predatory lending practices that wreaked financial havoc a decade ago. Congressional Republicans and other opponents have argued that the agency represents yet another example of governmental overreach.
The Washington Post notes that Lewandowski isn’t the only GOP operative on the warpath when it comes to the CFPB:
Lewandowski is not the first Republican to call for Cordray’s ouster. Before Trump even took office, Sens. Ben Sasse (R-Neb.) and Mike Lee (R-Utah) wrote a letter pressing the incoming administration to fire Cordray. The next month, Rep. Jeb Hensarling (R-Texas), chairman of the House Financial Services Committee, similarly called for Cordray’s dismissal.
“Personnel is policy,” Hensarling said on Fox Business Network at the time. “So the president, I would urge him to immediately fire the head of the Orwellian-named Consumer Financial Protection Bureau.”
The CFPB’s critics range beyond Republican ranks, but given the agency’s origin story and its actions, it’s clear why the current administration would want to do away with it. Whether the CFPB could survive a change in leadership — and whether it can survive the Trump presidency in general — remains to be seen.Wait, before you go…
If you're reading this, you probably already know that non-profit, independent journalism is under threat worldwide. Independent news sites are overshadowed by larger heavily funded mainstream media that inundate us with hype and noise that barely scratch the surface. We believe that our readers deserve to know the full story. Truthdig writers bravely dig beneath the headlines to give you thought-provoking, investigative reporting and analysis that tells you what’s really happening and who’s rolling up their sleeves to do something about it.
Like you, we believe a well-informed public that doesn’t have blind faith in the status quo can help change the world. Your contribution of as little as $5 monthly or $35 annually will make you a groundbreaking member and lays the foundation of our work.Support Truthdig
There are currently no responses to this article.
Be the first to respond.