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Keating objects to Cordray’s recess appointment

Frank KeatingThe president of the American Bankers Association recently objected to President Obama's decision to use a recess appointment to install Richard Cordray as the director of the Consumer Financial Protection Bureau.
 
Frank Keating, the president and CEO of the ABA, said that Obama's decision was a "big mistake." He said that the Dodd-Frank Act states that the Treasury secretary will provide certain authorities to the CFPB when there is a Senate-confirmed director. Due to the recess appointment, the Senate did not confirm Cordray, the ABA reports.
 
"This recess appointment, particularly when you look at the statute, consider the constitution, is questionable," Keating said, according to Fox Business Network. "I think that is unfortunate because we in business, certainly in banking, need certainty."
 
According to Keating, Cordray will be a member of the FDIC board of directors. Keating worried that Cordray's disputed appointment might jeopardize the decisions made by the board. Keating also criticized the structure of the CFPB and its oversight power.
 
"The problem is the structure," Keating said, according to Fox Business Network. "There is no real appeal process. There is no committee or commission to restrain the powers of who is a czar, that is the head of this organization. And in a government as we have of limits and fence lines, it's very worrisome. But, there should be a sense of humility as the government exercises its power in a limited government society, that's what we should expect."

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