President Trump’s handling of the Consumer Financial Protection Bureau has thrown financial institutions across the country “into a state of regulatory chaos,” a new lawsuit alleges.
Trump, according to a Manhattan Federal Court lawsuit filed Tuesday, “has attempted an illegal hostile takeover of the” bureau after its director, Richard Cordray, announced his resignation Nov. 24.
While Cordray appointed his deputy, Leandra English, as acting director about 2:30 p.m. that day, Trump appointed his budget director, Mick Mulvaney, for the position about 8:50 p.m., court papers state.
Mulvaney and President Trump are being sued by the Lower East Side People’s Federal Credit Union.
English asked a Washington federal judge to block Mulvaney from stepping in shortly thereafter. But the judge on Nov. 28 decided not to prevent Mulvaney’s appointment on an emergency basis.
The Lower East Side People’s Federal Credit Union, which is suing Trump and Mulvaney, says it doesn’t know who’s running the bureau — and wants a New York federal judge to figure out who’s in charge.
Unrest erupted at the Consumer Financial Protection Bureau after Richard Cordray resigned as director.
The suit is asking a judge to block Mulvaney from serving as the Consumer Financial Protection Bureau’s acting director — and affirm that English should be in charge under the law.