Mark Feuer, the Los Angeles City Attorney who helped hold Wells Fargo accountable for creating millions of fake accounts without customersâ€™ knowledge,Â now warnsÂ against efforts by the Trump administration and Congress to dismantle the Consumer Financial Protection Bureau.
â€śIâ€™m appalled at the spectacle of the House attempting to dismantle or at least severely diminish the CFPB,â€ť Feuer told CNNMoney in a recent interview. He was referring to a bill disingenuously called the CHOICE Act, which would neuter the now-independent CFPB so that it no longer serves as a watchdog against the predatory practices of financial institutions.
Peopleâ€™s Action is asking for signatures onÂ a petition calling on Congress to vote â€śnoâ€ť on the CHOICE Act, which in expected to come up for a vote in the coming weeks.
Feuer explained in the interview that the CFPB played a crucial role in investigating reports that Wells Fargo employees were fabricating accounts under pressure to meet sales quotas. Those fake accounts, in turn, showed up in financial reports that helped Wells Fargo boost its stock price and, as the stock price rose, executive earnings.
â€śItâ€™s true we brought the case in the first placeâ€ť in response toÂ a 2013 Los Angeles Times exposĂ©, Feuer said, â€śbut our collaboration with the CFPB enabled there to be nationwide relief for Wells customers.â€ť
That included $5 million in refunds to consumers who were assessed fees on the fake accounts and changes in sales practices at the bank. The bank also had to pay $185 million in fines, and did away with the sales quotas that led to the creation of the fake accounts.
You would think that a House of Representatives that is answerable to consumers vulnerable to what Sen. Elizabeth Warren calls the â€śtricks and trapsâ€ť big banks, predatory lenders, and debt collectors use to take billions of dollars out of their pockets would consider the CFPB to be a hero.
But that House of Representatives does not exist. The majority of the House is instead answerable to the very tricksters who want free rein to game the system and line their pockets. Republicans love the campaign donations they get from Wall Street bankers, payday lenders, and hedge fund managers. They are literally itching to destroy the CFPB and let Wall Street go wild.
After the big banks crashed the economy in 2008, people took action and won reforms to rein in Wall Street abuses. A big part of that was establishing the CFPB, and structuring it so that it isnâ€™t a punching bag for a Congress and White House drunk on big-bank financial contributions.
The CFPB is the first federal financial watchdog whose entire job is making sure Wall Street canâ€™t get away with the tricks and traps that bleed millions out of our pockets. The Bureau has recovered $12 billion dollars in ill-gotten gains for over 27 million people ripped off by the predatory financial industry.
It is no wonder that gutting the CFPB has been a top priority of the Republican Congress from the beginning. And with all of the scandal now consuming Washington, it would be very easy for Congress to get away with this â€“ unless we â€śstay woke.â€ť
Thatâ€™s why we have to get loud about what Congress is doing here.
Weâ€™ve derailed Wall Streetâ€™s agenda before and, if we stand together, we can stop them again. But that means we need to stop the CHOICE Act dead in its tracks.
Tell Congress: You work for us, not Wall Street. We need our government to do more to rein in payday lenders and Wall Street bankers, not give them a free pass to crash the economy again.Â Say no to the CHOICE Act. Say yes to an independent CFPB.
This blog originally appeared at OurFuture.org on May 22, 2017. Reprinted with permission.
About the Author: Isaiah J. Poole hasÂ been the editor of OurFuture.org since 2007. Previously he worked for 25 years in mainstream media, most recently at Congressional Quarterly, where he covered congressional leadership and tracked major bills through Congress. Most of his journalism experience has been in Washington as both a reporter and an editor on topics ranging from presidential politics to pop culture. His work has put him at the front lines of ideological battles between progressives and conservatives. He also served as a founding member of the Washington Association of Black Journalists and the National Lesbian and Gay Journalists Association.