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Cordray plans to rule CFPB with same gusto as Ohio

Richard CordrayRichard Cordray, President Obama's nominee to lead the Consumer Financial Protection Bureau, recently said that he wants to implement policies that he favored during his service as Ohio’s attorney general.

Cordray said that as the bureau’s director, he would enact “on a five state basis the things [he] cared most about as a state attorney general – with a more robust and comprehensive authority,” WashingtonExaminer.com reports.

This has some Republicans concerned because Cordray used his role as attorney general to dish out several lawsuits to campaign contributors on a contingency fee basis. The lawsuits alleged that securities fraud had cost the state’s employee pension funds.

Cordray also maneuvered around an Ohio law that forbade the state from entering into any contracts with a firm that had donated the maximum to the campaign of an official who had oversight of the contract in question, WashingtonExaminer.com reports. Critics contend that Cordray was funneling contributions through the Ohio Democratic Party.

Other Cordray critics fear that the CFPB’s unprecedented power would allow him to override a President Bush executive order that prohibits the federal government from entering into contingency fee contracts with private attorneys. They don’t want him using these powers to create work for his trial lawyer friends.

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