Judge blocks White House's attempt to defund the CFPB, ensuring employees get paid

[BumRushDaShow]

Source: AP

Updated 12:33 PM EST, December 30, 2025


NEW YORK (AP) — The White House cannot lapse in its funding of the Consumer Financial Protection Bureau, a federal district court judge ruled on Tuesday, only days before funds at the bureau would have likely run out and the consumer finance agency would have no money to pay its employees.

Judge Amy Berman ruled that the CFPB should continue to get its funds from the Federal Reserve, despite the Fed operating at a loss, and that the White House’s new legal argument about how the CFPB gets its funds is not valid.

At the heart of this case is whether Russell Vought, President Donald Trump’s budget director and the acting director of the CFPB, can effectively shut down the agency and lay off all of the bureau’s employees. The CFPB has largely been inoperable since President Trump has sworn into office nearly a year ago. Its employees are mostly forbidden from doing any work, and most of the bureau’s operations this year has been to unwind the work it did under President Biden and even under Trump’s first term.

Vought himself has made comments where he has made it clear that his intention is to effectively shut down the CFPB. The White House earlier this year issued a “reduction in force” for the CFPB, which would have furloughed or laid off much of the bureau.

Read more: https://apnews.com/article/cfpb-russell-vought-nteu-federal-reserve-banks-965ff497e53aee8fedd37f0cd07c42e3

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Link to RULING (PDF) - https://storage.courtlistener.com/recap/gov.uscourts.dcd.277287/gov.uscourts.dcd.277287.167.0.pdf

REFERENCES

https://www.democraticunderground.com/10143387609
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[GB_RN]

1. JHC...

Goddamned greedy ba$tard$. “If it helps the public, it’s gotta go.” - modern Greedy Old Pricks.

I hate ‘em. I hate ‘em all.

Glad the judge is on the job. Glad that in most of the lawsuits against Cantaloupe Caligula the Corpulent and his maladministration the judges - even some of his own appointees - are holding the line.

[Bayard]

2. Agreed

The Consumer Financial Protection Bureau helped me.