Manatt’s Richard Gottlieb, co-chair of the firm’s financial services group, was interviewed by American Banker for an article that examines how the CFPB could be impacted if acting director Mick Mulvaney becomes President Trump’s chief of staff.
One implication, according to the publication, is that President Trump would be forced to very quickly name a new acting CFPB director or risk having a Democratic appointee take control of the agency temporarily.
“Handing the chief of staff job to Mulvaney forces Trump to very quickly approve a new acting CFPB director,” said Gottlieb.
Furthermore, Mulvaney’s departure could leave CFPB Deputy Director Leandra English in charge per the Dodd-Frank Act. This could cause tension, as English has sued both Trump and Mulvaney, claiming that she is legally the acting head of the agency.
“It would wreak havoc with everything the administration has done,” said Gottlieb of allowing English to take over as acting head.
Read the article here.