Cordray to be nominated to head new federal consumer protection bureauWritten by Staff Reports | | email@example.com
President Barack Obama intends to nominate former Ohio Attorney General Richard Cordray to a new consumer financial protection bureau that was a central feature of the Dodd-Frank Financial Regulatory Reform bill that overhauled banking regulations.
White House and administration sources say Obama plans to announce the nomination Monday at the White House.
President Obama originally slated Elizabeth Warren, who has been assembling the Consumer Financial Protection Bureau (CFPB) as a special adviser to the White House and to Treasury Secretary Timothy Geithner, to lead the new agency.
Cordray would have to be confirmed by the Senate. Warren faced opposition in the Senate and would have had a difficult time wining confirmation.
Cordray now serves as director of enforcement for the agency.
The Progressive Change Campaign Committee collected more 350,000 petition signatures supporting Warren’s nomination.
“With her track record of standing up to Wall Street and fighting for consumers, Elizabeth Warren was the best qualified to lead this bureau that she conceived — and we imagine Richard Cordray would agree. That said, Rich Cordray has been a strong ally of Elizabeth Warren’s and we hope he will continue her legacy of holding Wall Street accountable,” said Stephanie Taylor, co-founder of the Progressive Change Campaign Committee in a July 17 email.
Cordray was unsuccessful in his November 2010 re-election bid as Ohio’s attorney general. He was elected in 2006 as Ohio’s treasurer, then was elected in 2008 to finish the term of attorney general. Before that, the 51-year-old Democrat was treasurer of Franklin County, first solicitor general in the Ohio attorney general’s office, a state representative and an undefeated five-time champion on the “Jeopardy!” television program.
On Dec. 15, it was reported that Cordray would be head of the enforcement division for the CFPB implementation team. Cordray spoke with Toledo Free Press from Columbus on Dec. 17.
The new CFPB will address all of the household financial products that matter in people’s lives, Cordray said.
“Mortgages, credit cards, debit cards, student loans, payday loans, debt collection, credit reports, you name it. And our goal is to achieve greater transparency, comparability, fair treatment of consumers, and a system of household financial products that works for Americans and the economy and for the banks as well,” he said.
The CFPB is expected to officially begin its work as an independent agency July 21. Its website, www.consumerfinance.gov was launched in February.