Federal Judge Temporarily Blocks Trump Administration's Dismantling of CFPB

The court's preliminary injunction preserves the consumer protection agency's operations as legal battles continue over its future.

U.S. District Judge Amy Berman Jackson issued a preliminary injunction to prevent the Trump administration from shutting down the Consumer Financial Protection Bureau (CFPB).
The CFPB, created after the 2008 financial crisis, is tasked with protecting consumers from financial fraud and deceptive practices.
The Trump administration’s actions included firing CFPB Director Rohit Chopra, suspending operations, laying off 70 employees, and canceling $100 million in contracts.
Representatives from Elon Musk’s Department of Government Efficiency were involved in the agency’s operational disruptions, raising concerns about potential conflicts of interest.
The court's intervention ensures the CFPB remains operational, though consumer complaints and enforcement activities have been significantly disrupted.