The Consumer Financial Protection Bureau (CFPB), created to protect the public from unfair corporate practices, is facing chaos due to President Donald Trump’s administration plans to dismantle it. According to a top CFPB official, Adam Martinez, the agency was forced to cancel numerous critical contracts before halting the termination of most employees and then scrambling to put pieces back in place.
Martinez testified that officials toggled between halting and partially reinstating the agency’s work as they rapidly slashed it, causing significant challenges. The hearing revealed a unique relationship between DOGE representatives and career civil servants, with Martinez frequently referring to them as “senior leaders of the CFPB.”
The chaotic situation has raised concerns about the potential consequences of the agency’s closure. Judge Amy Berman Jackson asked Martinez if sending out an order that says ‘Do no work’ is typical, to which he replied “No.” She also inquired about canceling contracts before analysis and implementing a reduction-in-force without notice, all of which Martinez also denied.
The CFPB’s situation has sparked concerns about the public’s protection from unfair corporate practices. Jackson acknowledged the extraordinary situation workers at CFPB are facing and is considering issuing a preliminary injunction to halt the breakdown of the agency.
Source: https://abcnews.go.com/US/cfpb-official-testifies-doges-chaotic-attempts-dismantle-agency/story?id=119651855