A federal judge on Friday issued a temporary injunction halting the Trump administration’s effort to dismantle the Consumer Financial Protection Bureau (CFPB) and ordered the reinstatement of all terminated employees.
U.S. District Judge Amy Berman Jackson barred further firings or deletion of CFPB records, citing a “substantial risk” that the administration would destroy the agency before a final ruling could be issued. “It will be impossible to rebuild,” she wrote.
The ruling comes amid a lawsuit from the National Treasury Employees Union, which represents CFPB staff. The administration, working alongside Elon Musk’s Department of Government Efficiency, had closed CFPB headquarters, halted operations, and fired over 100 employees.
Deepak Gupta, the union’s attorney, called the injunction a “victory” for consumer protections and constitutional governance.
The CFPB, established under the Dodd-Frank Act following the 2008 financial crisis, enforces consumer financial laws. The Trump administration has long criticized the agency as overly aggressive in regulating financial institutions.
The case remains ongoing, with a final ruling still pending.
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