CFPB director

Graham, Durbin disagree on new CFPB director

By KELSEY TAMBORRINO

Two senators from different parties squabbled on Sunday over just who should take the reins as interim director of the federal Consumer Financial Protection Bureau — placing themselves in the middle of a spat now personally involving President Donald Trump.

Bureau Director Richard Cordray announced on Friday he was resigning and appointed the agency’s chief of staff, Leandra English, as his interim successor. But the White House on Friday appointed its own leader, budget director Mick Mulvaney — promptly setting the stage for a legal clash.

Sen. Dick Durbin (D-Ill.) said on CNN's "State of the Union" he believed it was English who is rightly in control, citing the 2010 Dodd-Frank Act, which created the agency.

"I've read the provision. It says that when the director steps aside, the deputy director shall be in charge of the agency," the Senate minority whip said. "Not may — shall — be in charge."

But Sen. Lindsey Graham (R-S.C.) said on the same program that he backed the White House decision to appoint Mulvaney — a move the White House says is supported by the Vacancies Reform Act, which gives the president the authority to temporarily fill positions.

"I think the president's on good ground here to appoint somebody under the vacancy statute," Graham said.

Both senators agreed, though, that the president needs to appoint a new permanent director — a process subject to confirmation in the Senate, Still, they made markedly different references to the accomplishments of the agency.

"Remember, this was the agency that fined Wells Fargo $100 million for defrauding the people who were creating phony accounts," Durbin said. "It's a watchdog agency. Wall Street hates it like the devil hates holy water."

Graham, however, called the agency the "most out-of-control, unaccountable federal agency" in Washington.

"Really no oversight at all," he said. "They can get into everybody's business. I don't think they added much at all to the consumer protection. They sure add a lot to increasing costs for midsize banks throughout the country that had nothing to do with the financial collapse."

"I hope it’s Mick Mulvaney," Graham added.

For his part, the president on Saturday called the agency "a total disaster as run by the previous Administrations [sic] pick.”

“Financial Institutions have been devastated and unable to properly serve the public," Trump tweeted. "We will bring it back to life!”