Richard Cordray, Director of the Consumer Financial Protection Bureau, testifies about Wells Fargo at a Senate Committee hearing in September, 2016.

House Republicans issued an Interim Majority Staff Report June 6, 2017 alleging that Richard Cordray, Director of the CFPB, failed to comply with a legal obligation to turn over all documents related to the Wells Fargo unauthorized accounts scandal.  The CFPB has responded that it has produced over 57,000 pages of materials already in response to the committee’s document requests, and stands ready to continue to cooperate with the committee staff to satisfy its oversight process.

The House Republicans staff report, entitled Was The “Cop on the Beat”?, was issued shortly before the recent passage by the House of Representatives of Jeb Hensarling’s Financial Choice Act, which, if passed by the Senate, would make major changes to the Dodd-Frank Wall Street Reform and Consumer Protection Act.

Currently, CFPB Director Cordray can only be terminated for “inefficiency, neglect of duty or malfeasance in office”.  In alleging that the CFPB has failed to cooperate and that its Director should be held in Contempt of Congress, is the House setting the stage following Senate approval for termination of Cordray by the president at will?

To download and read the entire House Republican Staff Report, click on:

Was The “Cop On The Beat”? Report_2017-6-6_interim_cfpb_wells_fargo_report_final

The report concludes that, in light of the CFPB’s actions to date:

“Director Cordray is in default of the Committee’s Subpoena.  Without receipt of all records requested by the Committee from the CFPB, the Committee cannot complete its investigation into the Wells Fargo matter.  Accordingly, Committee Majority Staff recommend that the Chairman: (1) issue deposition subpoenas to CFPB  employees to investigate Director Cordray’s default; and (2) prepare to, if necessary, initiate contempt proceedings against Director Cordray unless the CFPB produces all responsive records.”