The Consumer Financial Protection Agency has become the center of a legal storm that will test the limits of President Donald Trump's authority. Trump's pick for interim head of the agency is being challenged in federal court. The official elevated to the position of interim director by outgoing bureau director Richard Cordray has filed suit against Trump and his pick, White House budget director Mick Mulvaney. In her suit, Leandra English says the law creating the CFPB puts her in charge.
, FILE - In this Sept. 13, 2017 file photo, Director of the Office of Management and Budget Mick Mulvaney departs after a television interview at the White House in Washington. Senior Trump administration officials said Saturday, Nov. 25, that they expect no trouble when President Donald Trump's pick for temporary director of the Consumer Financial Protection Bureau shows up for work, despite the clash on who should take over. Trump announced he was picking Mulvaney within a few hours of Richard Cordray's announcement on Friday. (AP Photo/Alex Brandon, File)
27 of November 2017 07:01:07
WASHINGTON (AP) — The Latest on the Consumer Financial Protection Bureau (all times local):
President Donald Trump's appointment of his budget director as interim director of a consumer financial protection agency championed by Democrats is being challenged in federal court.
The official elevated to the position of interim director by outgoing director Richard Cordray filed suit against Trump and his pick, White House budget director Mick Mulvaney.
In her suit filed Sunday night, Leandra English cites the Dodd-Frank Act, which created the Consumer Financial Protection Bureau. English says that as deputy director, she became the acting director under the law.
She also argues that the federal law the White House contends supports Trump's appointment of Mulvaney doesn't apply when another statute designates a successor.
English asks that the court issue a temporary restraining order to block Mulvaney from taking over the bureau.
A court fight may be brewing over President Donald Trump's move to make a close aide the interim leader of a consumer protection agency championed by Democrats.
Trump is displacing the official elevated by the departing director, an Obama-era appointee. Both the Trump administration and former director Richard Cordray contend the law is on their side and that their pick is the rightful leader.
Trump's choice as head of the Consumer Financial Protection Bureau is his budget chief, Mick Mulvaney, who's called the agency an example of bureaucracy run amok.
A Senate GOP leader, John Thune of South Dakota, is pledging swift action whenever Trump nominates a head of the agency. But Thune adds that he believes the dispute with Democrats over the temporary appointment will end up in court.
The Senate's third-ranking Republican leader says that come Monday, he expects that President Donald Trump's pick to temporarily head a consumer protection agency will be on the job.
But the agency's outgoing director has appointed a short-term successor.
It all could wind up in court — as Sen. John Thune of South Dakota says.
Trump's pick is his budget chief, Mick Mulvaney — who's long criticized the Consumer Financial Protection Bureau as an example of bureaucracy run amok.
Thune tells "Fox News Sunday" that he expects Mulvaney will be on the job Monday and "calling the shots over there."
The Democratic leader in the House is calling it a "cynical decision to flout the law."
California Rep. Nancy Pelosi is talking about the White House's move to make budget chief Mick Mulvaney the temporary head of the Consumer Financial Protection Bureau. Mulvaney is a former congressman who's said the agency is a "joke." He's expected to dismantle much of what it's done.
Departing director Richard Cordray — an Obama appointee — has elevated an ally into the No. 2 spot at the bureau. And he's cited the legislation creating the agency as saying the deputy would take over temporarily when the director left.
Pelosi says in a statement that the White House wants "to put the ringleader of its dangerous, anti-consumer protection policies in charge" of the agency.
She says the public deserves "a champion that protects them from predatory bankers and lenders, not the leadership of a Wall Street pawn who denigrates consumer protection."
Who's the boss?
That's the question after the departing head of a federal agency charged with looking after consumer rights appointed a deputy to temporarily fill his spot.
The White House then named its own interim leader.
One job, two people — and two very different views on how to do it.
The first pick is expected to continue the aggressive policing of banks and other lenders that has angered Republicans.
President Donald Trump's choice has called the agency a "joke" and an example of bureaucracy run amok, and is expected to dismantle much of what the agency has done.
It'll be an interesting Monday at the Consumer Financial Protection Bureau.