Power Struggle: CFPB Director Richard Cordray has snubbed yet another congressional request to disclose information about the shady methods he’s using to investigate auto lenders for discrimination.
Early last month, House Financial Services Committee Chairman Jeb Hensarling formally asked Cordray to explain how it is he can sue Ally Bank and other car lenders for policies that allegedly have a “disparate impact” on minorities when the industry doesn’t even ID borrowers by race and investigators would have to guess their minority status.
Then Hensarling pressed him for the metric he’s using to determine a “statistically significant disparity” in loan pricing for minorities vs. other borrowers. Finally, Hensarling asked to know what credit factors Cordray holds constant to ensure he’s comparing borrowers with the same financial backgrounds.
Hensarling set a March 13 deadline, but Cordray has failed to turn over any of the information — marking the sixth time in almost a year that he’s denied Congress critical information about his enforcement and regulatory tactics. This doesn’t include the countless efforts by the auto industry to understand how his powerful agency is ginning up evidence against lenders and dealers (whom CFPB was never even authorized under the Dodd-Frank Act to regulate).
He’s doing this because he can – and because he can get away with it, since he’s protected by the Democrat control of the Senate, and the Democrat in the White House.
Given what a monstrous Leviathan the Presidency, with its control of the regulatory state, has become, you’d think the GOP might actually try to win the White House one of these days, instead of running an endless parade of no-hope “moderate” losers.
Of course it’s those moderates on both sides of the aisle who created the Regulatory State in the first place. They could cut it off at the knees if they wanted to, but they don’t. Too many opportunities for boodle involved.