Federal Judge Eviscerated Limits on President’s Constitutional Appointment Powers


President Barack Obama abused his powers on January 4, 2012, when he granted a recess appointment to Richard Cordray to head the Consumer Financial Bureau (CFPB). It tipped the scales far-left and for 18 months, Cordray, issued dozens of significant decisions. At the time, he was merely a private citizen.

The Consumer Financial Protection Agency is the federal “watchdog” created to forbid “unfair, deceptive, or abusive” financial practices as part of the Dodd-Frank Act.

Judge Ellen Huvelle, in State National Bank of Big Springs v. Lew waved a magic wand in a recent ruling and approved all of Cordray’s unauthorized acts for those 18 months.

The Constitution has explicit limitations on the President’s appointment powers but this ruling eviscerates that and any president can now do the same.

The Supreme Court disapproved President Obama’s efforts in NLRB v. Noel Canning, ruling unanimously that the recess appointments were unauthorized because the Senate remained in session on that date.

Once-approved for the position, Cordray just decided to rubber-stamp every illicit action he took for 18 months instead of going through the accepted process. He insisted it was legal though it wasn’t.

The State National Bank of Big Spring, a Texas bank, objected to five formal CFPB regulations that were approved illegally and took it to court.

The Senate balked at the appointment at the time so Obama bypassed the Senate and installed him anyway. It was unconstitutional but Congress caved when the Republicans were threatened with the ‘nuclear option.’

In her decision last week, Judge Huvelle rejected State National’s challenge.  She held that a rubber-stamp ratification was sufficient even though the Third and First DC Circuits found otherwise.

This bureau (CFPB) operates as a government-within-a-governement under the sole auspices of the Executive Branch with their funds being supplied without limits or controls by the Feds. There is no oversight by the other branches of government and no appeal. This level of power in one branch of government is unprecedented.

Its independent director (Richard Cordray) operates unconstrained by the WH or the courts. He’s a mini-god.

There is no example of any such bureau with unbridled power and no constraints in the history of our country.

Read the details at Forbes.



  1. Obama used his “unfair, deceptive, or abusive” practices to appoint the “unfair, deceptive, or abusive” Cordray who then used “unfair, deceptive, or abusive” practices.

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