Court rules in favor of Trump over fate of consumer…

Judge Timothy Kelly denied Leandra English the deputy director of the CFPB a preliminary injection that would have stopped Mick Mulvaney Trump's budget director from taking on a second role as acting director of the agency

A US federal judge denied on Wednesday a preliminary injunction sought by the deputy director of the Consumer Financial Protection Bureau seeking to stop White House budget director Mick Mulvaney from taking control of the agency.

Kelly had expressed skepticism in hearings last month about whether English would prevail in her case. In response, the White House named Mulvaney as the replacement for Cordray. But the President, Defendant Donald John Trump, made his own appointment that day, announcing that Defendant John Michael Mulvaney, who serves as the Director of the Office of Management and Budget ("OMB"), would also serve as acting Director of the CFPB upon Cordray's resignation.

Kelly came to the same conclusion Wednesday, denying English's request for a preliminary injunction. Other structural features meant to protect that independence - such as the fact that the CFPB receives funding through the Federal Reserve instead of Congress, and the limits on the president's ability to remove the director - remained in place, the judge wrote, and Mulvaney's appointment was by definition temporary. But the judge concluded that issuing the injunction that English wanted wouldn't solve the problem. The decision further reasoned that removing Mulvaney through a preliminary injunction would fail to "pay particular regard for the public consequences" and potential chaos that such an action could bring to the agency and the public's expectations for the CFPB. English has served in number of senior leadership roles at the CFPB, including deputy chief operating officer, acting chief of staff, and deputy chief of staff. English then filed the motion for a preliminary injunction to block Mulvaney's appointment, and Kelly heard arguments on December 22.

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A federal judge appointed by President Trump has delivered the administration a legal victory with a decision supporting the President's choice for head of the Consumer Financial Protection Bureau.

"Now that Judge Kelly has ruled twice that President Trump is the only person allowed to name the new head of CFPB, it is time for the President's political opponents to stop their legal shenanigans", Manning said in a statement.

A spokeswoman for Mulvaney did not immediately respond to a request for comment.

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