Federal Judge Blocks Trump Administration's Effort to Dismantle CFPB
A preliminary injunction reinstates employees, preserves data, and mandates the resumption of the agency's statutory functions as litigation continues.
- Judge Amy Berman Jackson issued a preliminary injunction to halt the Trump administration's attempt to dismantle the Consumer Financial Protection Bureau (CFPB).
- The ruling reinstates terminated employees, rescinds canceled contracts, and requires the CFPB to resume its statutory consumer protection functions.
- The court found that the administration's actions likely violated the law and could cause irreparable harm if not stopped.
- The case raises constitutional questions about the president's authority to dismantle an agency established by Congress.
- Elon Musk's Department of Government Efficiency played a key role in the attempted shutdown, raising ethical concerns due to Musk's business interests in financial services.