Consumer agency may finally be held accountable
The Nov. 29 political cartoon by Stuart Carlson shows President Trump’s appointee Mick Mulvaney to head the Consumer Financial Protection Bureau as the “badgerer.” However, a recent Wall Street Journal editorial explains that acting director Leandra English is the real “persona non grata.”
The Justice Department affirmed the president’s authority to appoint Mulvaney as director, and backed by a federal judge. The CFPB was originally created by Sen. Elizabeth Warren (then a Harvard law professor) to be a part of the Dodd-Frank legislation.
One of the most egregious actions of the CFPB was to go after banks that finance auto dealers, accusing them of discrimination toward black citizens who finance auto purchases with higher interest rates. Without hard evidence, the CFPB was able to get penalty money from lenders without effective court action. The banks simply paid settlement fines to make the problem go away. The CFPB then distributed part of their bounty to activist groups that supported the CFPB’s mission.
However, this agency, which was considered dubious from its inception, may finally be held to political accountability, and this action may finally extinguish Richard Cordray’s right to name his own successor.
Anthony F. Frandina