Consumer Financial Protection Bureau is at risk after Donald Trump vowed to shutter it since his return to office
A federal judge has ordered that the Trump administration must allow funding for the Consumer Financial Protection Bureau (CFPB) to continue.
The watchdog, which supporters say protects US consumers from financial harm by powerful banks, lenders and corporations, is at risk of collapsing after Donald Trump vowed to shutter it since he returned to office this year.
The agency’s acting director, Russell Vought, said that since the Federal Reserve has been operating at a loss, it is unable to fund the CFPB.
In a 32-page decision, DC district judge Amy Berman Jackson said that this novel workaround by the Trump administration to “starve” the agency of funding was “manufactured by the defendants” and based solely on an office of legal counsel memo, which said that there were no “combined earnings” available from the Fed for the CFPB – since the agency doesn’t receive its appropriations from Congress.
I remember reading about a public university hospital here that people claimed was operating at a loss, and I remember being extremely confused.
I thought the point of a public university hospital was to treat patients, train medical staff and research new medical science, not make money.
I later was told that they meant that it blew it’s budget, which is not the same as operating at a loss.