A federal judge is seeking testimony from top Consumer Financial Protection Bureau (CFPB) officials about the agency’s state and the Trump administration’s intentions behind dismantling it. US District Judge Amy Berman Jackson plans to hold a hearing next Monday, where CFPB Chief Operating Officer Adam Martinez will testify alongside others.
Critics argue that the Trump administration is trying to end the agency, not just streamline it. The judge expressed concern that the CFPB might be “choked out of its very existence” and may consider issuing a preliminary injunction to block the dismantling of the agency.
The CFPB was established after the 2008 financial crisis under the Dodd-Frank Act to protect American consumers from unfair and deceptive practices in the financial services industry. It has clawed back $20.7 billion for consumers since its establishment in 2011.
Lawyers with the Department of Justice argue that the relief requested by federal unions is excessive, while plaintiffs claim the Trump administration is causing irreparable harm by slowly starving the agency. The judge plans to consider additional relief if the government’s actions are found to be causing harm.
The CFPB’s operations have been under a stop work order since last month, with Acting Director Russell Vought saying he wants to make the bureau more streamlined and efficient. However, some critics, including Elon Musk, have expressed concerns that the Trump administration is trying to destroy the agency.
Source: https://abcnews.go.com/Politics/judge-hear-top-consumer-financial-protection-bureau-official/story?id=119398594