Judge Again Rules in Trump's Favor in CFPB Controversy


The deputy director of the Consumer Financial Protection Bureau filed an appeal Friday in her battle to oust acting CFPB Director Mick Mulvaney, prolonging the fight over President Trump's appointment.

A federal court this week rejected English's argument, leading her to file a further challenge with the U.S. Court of Appeals for the District of Columbia Circuit.

Mulvaney was appointed acting director under the Federal Vacancies Reform Act, which allows the president to name a now serving Senate-confirmed official as acting director for a set period of time or until a permanent director is confirmed.

Mick Mulvaney, who serves as director of the White House Office of Management and Budget, was appointed by President Donald Trump to temporarily lead the agency following the departure of Richard Cordray in November.

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Kelly denied English's request for a preliminary injunction that would undo Mulvaney's appointment and block Trump from appointing anyone else. Other structural features meant to protect that independence - such as the fact that the CFPB receives funding through the Federal Reserve instead of Congress, and the limits on the president's ability to remove the director - remained in place, the judge wrote, and Mulvaney's appointment was by definition temporary. Thus, the particular policies or priorities that English or Mulvaney might pursue as the CFPB's acting Director are irrelevant to the Court's analysis. "Granting English an injunction would not bring about more clarity; it would only serve to muddy the waters", Kelly wrote. She seeks a preliminary injunction that would restrain the President from appointing an acting Director other than her, require the President to withdraw Mulvaney's appointment, and prohibit Mulvaney from serving as acting Director.

Mulvaney has vowed to move the CFPB away from its agenda under Democratic President Barack Obama.

Deepak Gupta, a counsel for English, was disappointed by the decision. The oral arguments on that case were heard on Friday morning.

"Now that Judge Kelly has ruled twice that President Trump is the only person allowed to name the new head of CFPB, it is time for the President's political opponents to stop their legal shenanigans", Manning said in a statement.