Trump Bid to Defund CFPB Is Crippling the Agency, States Say (2)

The Trump administration is illegally trying to cripple the Consumer Financial Protection Bureau by refusing to ask the Federal Reserve for funds needed to run the independent regulator, a group of mostly Democratic-led states said in a federal lawsuit.

CFPB Acting Director Russell Vought’s decision will “virtually guarantee” the agency runs out of money in January, preventing it from carrying out legally mandated responsibilities that include fielding thousands of customer complaints about financial institutions and their products, 21 states and the District of Columbia said in a suit filed Monday in Portland, Oregon.

Vought, who is also the director ...