An official from the Consumer Financial Protection Bureau (CFPB) testified under the pseudonym Alex Doe that the Trump administration had plans to fully dissolve the watchdog agency as recently as last week. Doe, leading the CFPB’s Reduction-in-Force (RIF) team, stated that discussions with the Office of Personnel Management were ongoing as late as March 6 regarding the process for eliminating the agency. Despite efforts by CFPB Chief Legal Officer Mark Paoletta to reinstate some key functions, Doe claims these actions are merely to keep the agency operational until its complete shutdown. The CFPB planned to terminate around 1,200 positions by February 14, though this was put on hold due to litigation. The agency’s consumer response unit, mandated by the Dodd-Frank Act, also faces challenges as not all necessary contracts have been reinstated. Judge Amy Berman Jackson is considering providing injunctive relief to plaintiffs challenging the CFPB’s dissolution.
— news from Bloomberg Law
