President Donald Trump is taking his fight against the firing of the head of a key U.S. agency to the Supreme Court. Trump is appealing a lower court ruling that said he did not have the authority to oust the head of the Consumer Financial Protection Bureau (CFPB).
In a filing to the Supreme Court, Trump argued that the CFPB’s structure, which allows the director to be removed only for cause, violates the Constitution’s separation of powers. Trump further claimed that the agency’s independent status makes it unaccountable to the president and undermines his ability to faithfully execute the laws.
The case revolves around the firing of CFPB Director Kathy Kraninger by Trump in January 2021. Kraninger had been appointed by Trump in 2018 to lead the agency, which was created in the wake of the 2008 financial crisis to protect consumers from predatory financial practices.
The lower court ruled in favor of Kraninger, saying that the CFPB’s structure was constitutional and that Trump did not have the authority to fire her. The court also pointed out that the CFPB was designed to operate independently from political influence in order to protect consumers from financial harm.
Trump’s appeal to the Supreme Court is seen as a last-ditch effort to assert his authority over the CFPB. The case has broader implications for the future of the agency and its ability to carry out its mission of protecting consumers.
Critics of Trump’s appeal argue that it is a politically motivated move to undermine the independence of the CFPB and weaken consumer protections. They warn that allowing the president to fire the agency’s director at will could open the door to political interference in its operations.
The Supreme Court has not yet decided whether it will hear the case. If it does, the outcome could have far-reaching implications for the structure and independence of the CFPB, as well as the balance of power between the executive and legislative branches of government.
In the meantime, the CFPB continues to operate under the leadership of an acting director appointed by President Joe Biden. The agency remains committed to its mission of protecting consumers from financial harm, regardless of the outcome of the legal battle over its leadership.