Conservative Senators Call on Trump to Fire King Richard Cordray
Earlier this week, Senators Mike Lee (R-UT) and Ben Sasse (R-NE) called on President-elect Donald J. Trump to remove the director of the Consumer Financial Protection Bureau (CFPB) – Richard Cordray – from office.
In a letter written to Vice-President-elect Mike Pence, Senator Lee and Sasse cite the regulatory burden the CFPB and Dodd-Frank has placed on mortgage lenders and community banks as well as the unaccountability nature of the CFPB as reasons why director Cordray should be fired.
Senator Lee stated: “The Constitution was written to protect the American people from unelected and unaccountable bureaucrats. Considering the damage CFPB has done to credit unions and community banks, President Trump should act quickly to remove the director.”
Senator Sasse went on to say: “It’s time to fire King Richard. Underneath the CFPB’s Orwellian acronym is an attack on the American idea that the people who write our laws are accountable to the American people. President-elect Trump has the authority to remove Mr. Cordray and that’s exactly what the American people deserve.”
Up until October of last year, the President had the power to remove the CFPB director only for cause, but this changed after the U.S. Circuit Court of Appeals ruled the bureau’s structure unconstitutional in PHH Corporation v. Consumer Financial Protection Bureau. Democrats deliberately set up the CFPB to operate independently of Congress and the President by exempting it from nearly every form of oversight traditionally applied to other governmental agencies, including its funding stream which it receives from the Federal Reserve.
But why King Richard may deserve to be fired, Congress would better serve the American people and the economy by getting rid of his throne forever.
Repealing Dodd-Frank and abolishing the CFPB should be high on Congress’ list in the first 100 days of the Trump administration. Dodd-Frank’s 3,500 pages of rules and regulations on the financial industry, enforced by the CFPB, wipe out local community banks, restrict access to capital for small businesses, make it harder for mortgage lenders to compete against government sponsored enterprises Fannie Mae and Freddie Mac, and raise the costs of loans for consumers. Congress can quickly repeal and replace Dodd-Frank by improving and passing Chairman Jeb Hensarling’s (R-TX) Financial CHOICE Act which already passed the House Financial Services Committee last year.