unconstitutional.
In vacating the Payday Lending Rule, the Fifth Circuit held that unlike most executive agencies that rely on annual appropriations for funding, the CFPB has a “self-actualizing, perpetual funding mechanism” enacted in 12 U.S.C. § 5497 that allows the CFPB’s Director to simply requisition from the Federal Reserve an amount “determined by the Director to be reasonably necessary to carry out” the CFPB’s functions. The court also noted that the Federal Reserve itself is a source that is outside of the regular appropriations process, which provides the Bureau with “double insulation from Congress’s purse strings that is unprecedented across the government.”
The Fifth Circuit stated that, rather than holding funds with the Department of Treasury, Congress improperly “went to even greater lengths to take the Bureau completely off the separation-of-powers books” by allowing the CFPB to maintain a separate Bureau of Consumer Financial Protection Fund at a Federal Reserve bank (CFPB Fund) that is under the control of the CFPB’s Director and for which access does not require any further act of Congress.
The court noted that the unconstitutionality of the CFPB’s funding is exacerbated because the CFPB “acts as a mini legislature, prosecutor, and court, responsible for creating substantive rules for a wide swath of industries, prosecuting violations, and levying knee-buckling penalties against private citizens.” The court went on to call the CFPB an “abomination” that the Framers of the Constitution warned “would destroy that division of powers on which political liberty is founded.” (citing The Works of Alexander Hamilton, vol. 2, Federalist No. 61 (Henry Cabot Lodge ed., 1904)).
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As I pointed out long ago, the Supreme Court reversed an Obama decision more than any other modern President in US history. He lost something like 1 of every 2 cases that his solicitor argued.
Chalk this up as another reversal as there's no way the CFPB will survive review by the SC.
He thought of himself as a dictator which is why the court had to strike him down so much. Remember, it was a Left-leaning court while he was in office too.
Link: https://www.jdsupra.com/legalnews/fifth-circuit-issues-decision-holding-2942905/
Recent reports estimate that consumers suffered $5.8 Billion in losses from financial fraud...also, the CFPB is a product of the Dodd-Frank Bill...would you also like to see totally unchecked CDSs running wild amongst fraudulent traders so that we end up in another "Great Recession"?...I hope not.
In your zeal to find 'fault' with Obama, et al, don't forget the positive objectives of such legislation...legislation that never even crossed the minds of Republicans...in fact they revel in letting fraudsters have a field day...their voting records prove it.
Link: https://www.occ.gov/topics/consumers-and-communities/consumer-protection/fraud-resources/types-of-consumer-fraud.html
controlled Congress?
the loss of billions of dollars, and wrecked financial conditions, being endured each year by vulnerable American citizens?
Once you answer that, we can discuss the best method of funding a CFPB, which was the OP's concern...ostensibly.
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Congress will have to legislate going forward and not pas the buck to bureaucratic elites so the pols can spend their time fund raising
rights and the economy in very stealthy ways. rules and regs are inputs into inflation