Published: Sat, January 13, 2018
Worldwide | By Isabel Fisher

Trump Administration's CFPB Pick Backed by District Judge

Trump Administration's CFPB Pick Backed by District Judge

The ruling came after Kelly denied a request by English last month for a temporary restraining order to remove Mulvaney and install her as acting director.

Mulvaney, who also serves as director of the White House Office of Management and Budget, is meant to only lead the agency on an interim basis. That same day, he named Plaintiff Leandra English the CFPB's Deputy Director, in an apparent attempt to select his successor. But since he took over the agency, Mulvaney has been appeared far more in charge of the bureau than English. David Silberman, who had been serving as acting deputy director, will continue in his role as associate director of the Research, Markets, and Regulations division. English said Cordray had appointed her to be the interim head before he left.

Defendants, joined by the CFPB's General Counsel, argue that the President's appointment of Mulvaney is valid under a separate statute, the Federal Vacancies Reform Act of 1998 (the "FVRA"), 5 U.S.C. § 3345 et seq., which they contend provides the President an available method to fill Executive Branch vacancies such as this one. But the judge concluded that issuing the injunction that English wanted wouldn't solve the problem.

English filed the suit in the U.S. District Court of DC on Sunday in order to block Mulvaney from taking over, an action directed by President Donald Trump, the Washington Post reports.

A lawyer for English, Deepak Gupta, expressed disappointment at Kelly's decision. The oral arguments on that case were heard on Friday morning.

Gupta said he and English were disappointed in the decision, which hinged on which of two federal laws governed succession at the bureau. "Clearly the White House is in the lead here because they won in the lower court but that could change very quickly on appeal".

"The law is clear: President Trump may not circumvent the Senate confirmation process by installing his White House budget director to run the CFPB part time".

Justice Department spokeswoman Lauren Ehrsam said in a statement: "We are pleased the court vindicated the President's authority to appoint Mick Mulvaney as Acting Director of CFPB, finding that Ms".

"Because the court has determined that English is not likely to succeed on the merits, the balance of the equities would necessarily weigh against granting her an injunction", Kelly said in his opinion. "Mr. Mulvaney's appointment undermines the Bureau's independence and threatens its mission to protect American consumers".

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