August 3, 2011
The Los Angeles Times reports the Senate Banking Committee has pushed back tomorrow’s scheduled hearing for former Ohio AG Richard Cordray, President Obama’s pick to lead the new Consumer Financial Protection Bureau.
Sept. 6 is now the date set for Cordray’s hearing, delayed as lawmakers left early for the August recess after the recent debt ceiling vote. Cordrary currently servces as the chief enforcement officer for the CFPB.
“The one-month delay in the confirmation hearing will have little effect,” reports the Los Angeles Times. “Cordray’s nomination faces strong resistance from nearly all Senate Republicans, who have promised to block any nominee to head the agency unless President Obama agrees to weaken its power. Obama strongly opposes their demands, which include replacing the powerful director with a bipartisan five-member commission.”
GOP lawmakers have prevented the Senate from taking a formal recess, which will keep Obama from using a recess appointment procedure to make Cordray the CFPB’s director without Senate approval.
Aspects of the CFPB’s regulatory powers, such as oversight of payday lenders, mortgage brokers and non-banking FIs, are restricted until the agency has a permanent director.
“The Treasury Department is running the agency until it has a director. Last week, Treasury Secretary Timothy F. Geithner named Raj Date as a special advisor and put him in charge of the agency until a director is in place,” continued the Los Angeels Times. “Date, a former financial industry executive who serves as the agency’s associate director of research, markets, and regulations, replaces Harvard Law professor Elizabeth Warren.”
Warren, who came up with the concept of the CFPB, has since returned to her law professor post at Harvard University.
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Warren Sends Farewell Letter to CFPB Staff; Cordray to Face Senators on Thursday
Re-Watch House Hearing on Impact of CFPB on Small Businesses
Treasury Dept. Announces Plans for Leadership Transition at the CFPB
Shelby Calls Aspects of CFPB “Dangerous” in Op-Ed
Durbin Meets with Nominee to be First-ever CFPB Director
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