Published: Tue, February 06, 2018
Finance | By Loren Pratt

Trump administration reportedly puts brakes on Equifax data breach probe

Trump administration reportedly puts brakes on Equifax data breach probe

In September 2017, when Equifax said that "criminals" had exploited a web portal application and exposed millions of Americans to identity fraud, the former head of the CFPB, Richard Cordray, launched a probe.

"The Trump administration has chosen to protect Equifax while denying Americans justice and accountability", said Sen.

Reuters, citing unnamed sources familiar with the matter, reports that the new head of the Consumer Financial Protection Bureau (CFPB), Mick Mulvaney, has scaled back the agency's investigation into the breach.

Schumer's comments follow a Reuters report Monday morning that Mulvaney has dialed back the CFPB's investigation into the breaches at the credit monitoring company.

Cordray resigned in November and was replaced by Mulvaney, President Trump's budget czar.

The news service reported that Mulvaney has not sought subpoenas or sworn testimony, and has put on hold plans to test how Equifax collects data.

Bank regulators at the Federal Reserve, Federal Deposit Insurance Corp and Office of the Comptroller of the Currency have offered to help with on-site exams of credit bureaus, but those offers have reportedly been declined by the CFPB.

"First the Trump admin gave lavish tax breaks to corporate CEOs and wealthy investors, now the Trump Administration's hand-picked saboteur is essentially handing out get out of jail free cards to Equifax executives", Schumer said.

The CFPB effort against Equifax has sputtered since then, Reuters quoted sources as saying.

In the past, the CFPB has fined credit reporting agencies more than $25 million for unethical marketing practices. The FTC has confirmed that they are investigating, all 50 attorneys general are investigating, and there are more than 240 class action lawsuits pending. The security failure is also being investigated by the Federal Trade Commission.

Like this: