Management and Budget Director Russell Vote issued a series of directives to employees of the Consumer Financial Protection Bureau on Saturday night to the acting director of his new Ability A, and made a big part of the bureau’s activities a reality. I stopped above.
In an email to CFPB employees obtained by NBC News, Vought confirmed that he has assumed the role of delegate to the department and issued 12 directives that will come into effect soon.
Employees were instructed to “stop all supervisory and exam activities” and “stop all stakeholders’ engagement.”
Vought also does not “approve or issue any proposal or final rules or formal or informal guidance” to employees, and “the valid dates of all final rules that have been published or published but not yet in effect.” I’ll pause it.” It is listed in the email.
He said in an email that the directive will take effect immediately unless he approves the exception or if certain activities are required by law.
Vought also notified in a post on X on Saturday night that “CFPB will not acquire the next draw of inaccurate funds” because “CFPB is “not reasonably necessary” to carry out its duties.” This was announced on Saturday night. “
“In the current fiscal environment, the department’s current $716.6 million balance is actually excessive,” the Post continued. “This spigot, which has long contributed to the inexplainability of the CFPB, is now off.”
Senator Elizabeth Warren, who helped create the CFPB in the aftermath of the 2008 financial crisis, denounced Vought’s direction in a post to X, saying Vought “to fraudulent green light on major banks and giants.” It gives it a green light.”
“Republicans didn’t guil it in Congress or in court,” she added. “They’ll fail again.”
Current CFPB employees described the situation as President Donald Trump and Elon Musk, who are leading the government’s Department of Efficiency, as “exposing American families to financial abuse.”
“They are pulling hundreds of examiners out of the field. People who make sure their grandmothers are not being fooled by con artists and their children are not being fooled by predatory student lenders,” the employee added. Ta.
NBC News previously reported that Vought took on the role of CFPB’s proxy head, according to OMB spokesman and situation-savvy sources.
Despite strong opposition from Senate Democrats, Vought, who was confirmed as OMB director on Thursday, has been replaced by Treasury Secretary Scott Bessent as the proxy chief. Bescent was nominated for Monday’s role, and shortly afterwards Democrats accused Democrats of implementing “what appears to be an illegal suspension work order.”
During Trump’s first term, Trump’s OMB director, Mick Mulbany, took over the CFPB at the president’s request in 2017. At the time, Mulbany diluted the department’s regulatory rights.
In his second term, Trump is hoping to integrate more broadly.
Trump’s doge, a Musk-led advisory body, has now dropped to zero in some agencies as part of an effort to cut the size of the government. The CFPB was the latest to appear in Musk’s crosshairs following Doge’s efforts to fire staff and halt work at the US International Development Agency.
On Friday, Musk posted a warning to X to the station, writing “CFPB RIP” with the tombstone emoji. The agency’s X account disappeared shortly after, and X told users “this account does not exist.” The CFPB website was also darkened and an error message was displayed.
As part of an ongoing effort to reduce USAID, Trump said Secretary of State Marco Rubio “can see” the agency in charge. Rubio, who said he took over as USAID acting chief earlier this week, ordered a suspension of almost all foreign aid last month.
USAID frozen jobs providing humanitarian assistance overseas, and on Friday a federal judge suspended the Trump administration’s efforts to strip nearly 5,000 workers to hundreds.
Trump and Republicans have long been targeting the CFPB and are trying to curb its regulatory authority.
The bureau was established in 2011 as a result of the Dodd-Frank Act in the aftermath of the Great Recession. The agency says its purpose is to protect consumers and increase corporate accountability.
