Posted on 05/21/2017 5:02:48 AM PDT by Daffynition
[snip]
Conceived in 2007 by then-Harvard law professor and now-Senator Elizabeth Warren (D-Massachusetts)—today, the personification of a liberal firebrand—the CFPB has been a political lightning rod since its inception. It has fought to rein in deceptive practices in such realms as subprime mortgages, payday lending, nonprofit education, and prepaid debit cards, with Republicans screeching in protest all the way.
(Excerpt) Read more at investorshub.advfn.com ...
As it happens, Trump can’t currently fire Cordray, and that’s precisely what lies at the heart of the legal dispute the D.C. Circuit judges will be pondering. In the lawsuit, PHH Corp, a mortgage lender, is challenging the constitutionality of the CFPB’s structure. In January 2014 the bureau brought an enforcement proceeding against PHH which culminated, in July 2015, in the imposition of $109 million in fines against the company for its allegedly having participated in a kickback scheme.
PHH appealed, protesting not only its innocence, but also claiming that Congress violated constitutional separation of powers principles when it specified that the president could remove the director of the CFPB only for cause (e.g., neglect of duty or malfeasance) rather than at will (e.g., for mere policy differences). This arrangement granted the director too much insulation from public accountability, PHH claimed, thereby threatening the liberty of those who fall within the CFPB’s enforcement jurisdiction.
The ONLY thing this agency has done is benefit big banks at the cost to small banks, small business, independent contractors, etc.
Dodd-Frank reform, the *impossible dream.*
Nevertheless, Judge Kavanaugh ruled last October that the CFPB, because it is headed by a single director, is fundamentally different from agencies headed by “multiple commissioners, directors, or board members who act as checks on one another.” (Emphasis in the original.) Multi-member commissions, he reasoned, “help prevent arbitrary decision making and abuses of power” because they “do not concentrate power in the hands of any one individual.” They depend, rather, on compromise and consensus, he wrote.
DISMANTLE CFPB
He has erected a multitude of New Offices, and sent hither swarms of Officers to harass our people and eat out their substance. - list of grievances; Declaration of Independence.
...** abuses of power** ...
How could this be; I thought the government was our friend and working for us? ////sar
All grants of legislative powers to the administrative state are unconstitutional.
Why?
Because the legislative powers Congress exercises are GRANTED to Congress, and only to Congress, by the People.
And Congress is to exercise ALL LEGISLATIVE POWERS HEREIN GRANTED, one of which is not to give some of them away.
When Congress formed the CFPB they didn’t make them accountable to anyone – not even the President.
The CFPB can do whatever it wants, spend what it wants and taxpayers are left footing the bill. There is no one to stop them or tell them “No.”
What possibly could go wrong?
Nothing to see here....move along peasant..
The CFPB set their own salaries making themselves the most lavishly paid in all of federal government.
There are nearly 1,500 people who are employed by the CFPB and the average salary is $10,000 every MONTH.
Hundreds of staffers are paid more than Supreme Court Justices, Members of Congress, and all 50 state Governors.
Over a dozen staffers that you have never heard of pay themselves more than Vice-President Pence.
“What possibly could go wrong?”
Absolutely nothing. Its functioning as designed ...
The stakes are high for both consumer protection advocates and financial services institutions. The latter have, in the past five years, been ordered by the CFPB to return nearly $12 billion to 29 million of their customers in recompense for various predatory practices.
This issue is constitutionally and the ruling may eliminate this board.
Why would I suspect that the money DID NOT go back to the customers but were given to certain programs for political purposes? Would like to see more info on that but that may not be the issue to hit on at this time?
If the ruling is right and eliminates this board, there is a lot of winning:
In contrast, PHH and the U.S. Chamber of Commerce—which has filed an amicus case supporting PHH’s constitutional position—both argue that if the CFPB’s structure is flawed, only Congress can fix it. In the meantime, they contend, the whole agency must be dissolved and its past orders nullified. (Among the many outside groups supporting PHH are industry trade groups, like the American Bankers Association; the libertarian Cato Institute; and 15 mostly red states, led by Missouri.)
The GOP should be able to agree to abolish this agency.
The GOP = the Uniparty these days. {{{sigh}}}
For me what is most wrong with and about the CFPB IS it’s structure and not just that the head is unaccountable to the elected government.
Two other major parts of it’s structure should doom the agency wholesale.
First Congress legislated a totally open ended mission of the CFPB - it has full discretion on its own as to what amounts to a financial activity it can decree regulations, fines and penalties about.
Second, in addition to acting on its own to design and fulfill it’s internal structure it sets its own budget (with no presidential or Congressional control over) and draws all it wants from the Federal Reserve.
It should be considered not just “unconstitutional”, but a monster of independent self-governance in a supposedly democratic republic.
livin’ large on our dime:
The Consumer Financial Protection Bureau spent nearly $216 MILLION of taxpayers’ money to build themselves an unnecessarily lavish office.
The CFPB office includes a waterfall, exotic plants and a sitting area specifically for “contemplation.”
To make matters worse, they were only budgeted to spend $55 million. Their spending spiraled out of control on lavish amenities resulting in them over spending by nearly $161 MILLION. To put that in perspective, they could have built four offices for the cost of just this one.
The Bellagio Hotel & Casino in Las Vegas cost less per square foot to build.
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