CFPB Takes Over Operation Choke Pointposted April 8, 2015
April 8th, 2015 – Washington, D.C. – U.S. Consumer Coalition senior advisor Brian Wise released the following statement regarding the Consumer Financial Protection Bureau’s (CFPB) enforcement actions against payment processors, as reported in American Banker, mimicking the Obama Administration’s Operation Choke Point program.
“In mid 2014, the Obama Administration began a process that would protect the effectiveness of Operation Choke Point by transferring the program from the Department of Justice (DoJ) and Federal Deposit Insurance Corporation (FDIC) to the CFPB. The program was never intended to be made public, and as such, would have been most effectively executed through Attorney General Holder’s leadership of the Financial Fraud Enforcement Task Force with DoJ and FDIC at the lead. Once the program was made public, and victims began coming forward, the Administration had to find a way to protect the program and its ability to prevent lawful industries from operating. Due to the lack of congressional oversight, and the unique funding and leadership structure of the CFPB, the Administration knows that it will make the perfect agency to carry on the legacy of Operation Choke Point. The Administration will continue to remove any obstacles in their way.
The U.S. Consumer Coalition has been warning lawmakers and industry leaders about the plan for the CFPB to take over Operation Choke Point since the FDIC took down their list of ‘high-risk’ merchants in 2014. Now everyone can begin to see that the CFPB is the nation’s most dangerous, unaccountable, and out of control agency in the federal government.”
The U.S. Consumer Coalition (USCC) is a grassroots consumer advocacy organization working to protect and expand access to free-market goods and services.
Phone: (202) 617-6155