Republicans slam ‘unconstitutional’ CFPB, ‘imperial’ director Cordray

by Anna Sobrevinas23 Mar 2017

Richard Cordray is an imperial director and his empire, the Consumer Financial Protection Bureau, is unconstitutional, according to Republicans on the House Financial Services Committee’s Oversight and Investigations Subcommittee.

At a subcommittee hearing Tuesday, Republican lawmakers slammed the agency for its lack of accountability to Congress and the president.

“Created under the Obama-era, 'Washington knows best' mindset, the CFPB is an unconstitutional behemoth that side-steps accountability to Congress and the president,” said subcommittee Chairman Ann Wagner (R-Mo.). “With an imperial director, the CFPB continually expands and overreaches its regulatory authority at the expense of American families who are desperate for economic relief. It is time we hold Director Cordray responsible and restructure the CFPB within the framework of our Constitution.”

This comes as the bureau is embroiled in a historical legal battle with mortgage company PHH, which maintains that the CFPB framework is unconstitutional mainly because of Cordray’s powerful insulation from the government. Under the Dodd-Frank Act, Cordray can only be removed from his position for cause.


 

Related stories:
US reported to switch sides, support PHH against CFPB
Cordray fires back at CFPB critics

COMMENTS

  • by Citizen | 3/23/2017 11:25:07 AM

    Not a huge Dodd Frank fan, but CFPB is vital. To undo it or make it depend on politics is dangerous and could lead to our US financial self destruction.

  • by | 3/23/2017 1:29:20 PM

    Corday has too much power. No checks and balances or term limits for his position is dangerous! Should be corrected.

  • by 19yrIndustryVeteran | 3/23/2017 2:28:02 PM

    Cordray and his unchecked power is the definition of self will run riot. He is a completely one sided political animal that has done nothing for the american consumer. He has been a dictator at the helm of the most out of control government agency in the history of this nation. If you want to know why mortgages and appraisals cost more now than ever before its because of tricky dicky and his regime. Just another say one thing do another bought and paid for appointed politician. Get rid of him.

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