BREAKING: During CFPB Director Nomination Hearing, Trump-Musk Attack on CFPB Continues with Dropped Enforcement Cases
Ranking Member Warren to McKernan: “[This] announcement is designed to embarrass you and to show exactly who is in charge of this agency right now: Elon Musk and his little band of hackers.”
Washington, DC – Today, during the Senate Banking Committee nomination hearing for CFPB Director Nominee Jonathan McKernan, Ranking Member Senator Elizabeth Warren revealed breaking news that co-presidents Trump and Musk are dropping multiple CFPB enforcement cases against giant corporations that allegedly scammed families out of their hard-earned money.
The dropped cases include:
- Capital One for an alleged scheme cheating millions of consumers out of more than $2B in interest rates on savings accounts.
- Rocket Homes for an alleged kickback scheme to steer borrowers to Rocket Mortgage and block competition in a way that drove up the cost of housing.
- Pennsylvania Higher Education Assistance Agency for allegedly collecting on student loans that borrowers did not owe and for reporting false information to credit reporting companies.
- Vanderbilt Mortgage and Finance for allegedly setting families up to fail when they borrowed money to buy a manufactured home, knowingly trapping people in risky loans.
Transcript of Ranking Member Warren’s remarks below:
RANKING MEMBER WARREN: Mr. Mckernan, literally while you’ve been sitting here and you’ve been talking about the importance of following the law, we get the news that the CFPB is dropping lawsuits against companies that are cheating American families, or alleged to be cheating American families. They will not go forward in court.
It seems to me the timing of that announcement is designed to embarrass you and to show exactly who is in charge of this agency right now: Elon Musk and his little band of hackers.
I appreciate all of your happy talk about following the law, but I think we all know what’s going on here. And that is, Elon Musk is determined to shut down this agency even though he has no legal authority to do that. And we all understand, whether you want to admit that returning $21 billion dollars to families is a good thing, the rest of us understand that the failure to do that is going to hurt American families all across this country.
Thank you, Mr. Chairman, for the extra minute.
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