CFPB Reportedly Funneled Billions Into "Secret Democrat Slush Fund", Consultant Claims

Tyler Durden's picture

A consultant who worked with the highly politicized Consumer Financial Protection Bureau (CFPB) claims the organization funneled a large portion of over $5 billion in collected penalties to "community organizers aligned with Democrats" as part of a giant slush fund, the Post reports. 

[The CFPB] Funneled a large portion of the more than $5 billion in penalties collected from defendants to community organizers aligned with Democrats — “a slush fund by another name,” said a consultant who worked with CFPB on its Civil Penalty Fund and requested anonymity.

Created six years ago as the brainchild of Senator Elizabeth Warren and slipped into the Dodd Frank bill before it was passed by Congressional Democrats, the CFPB became one of the most powerful agencies in D.C., with the ability to exercise enormous power over the U.S. economy while its budget remained unencumbered by congressional oversight. As one Hill writer put it:

The problem is that this agency and its director were set up to be free from the control of the Congress. Congress’s fundamental obligation to oversee and fund such bureaus or agencies is short-circuited when it comes to the CFPB. In structuring it in the manner written by now-Sen. Warren (D-Mass.), the law abrogated the idea of a government by the people, for the people and of the people.

 

Instead, it established an autocratic and unaccountable power center for people of Warren’s ideological persuasion — those who view our market economy as an enemy that must be managed by a chosen few. The creation of the CFPB as a rogue agency with a dictatorial leader is one of the most significant acts of malfeasance perpetrated on the American constitutional system since the Sedition Acts of 1798. 

The reins of the CFPB were handed over to Trump appointee Mick Mulvaney last week following the resignation of Director Richard Cordray, but not before Deputy Director Leandra English's unsuccessful attempt to block Mulvaney's appointment in a complaint filed against Trump and Mulvaley in a DC court. 

After a Federal judge ruled that Mulvaney is now acting director of the CFPB - his first order of business was to institute a 30-day freeze on all new hiring and regulations. 

Both President Trump and Mick Mulvaney have had strong opinions about the CFPB in the past, with Mulvaney saying “It is a completely unaccountable agency, and I think that’s wrong,” and adding “If the law allowed this place not to exist, I’d sit down with the president to try to make the case that other agencies can do this job well if not more effectively.” Mulvaney also called the agency "a sad, sick joke." 

Aside from the $5 billion "slush fund" detailed in the Post, the CFPB has also engaged in the following: 

  • Bounced business owners and industry reps from secret meetings it’s held with Democrat operatives, radical civil-rights activists, trial lawyers and other “community advisers,” according to a report by the House Financial Services Committee.
  • Retained GMMB, the liberal advocacy group that created ads for the Obama and Hillary Clinton presidential campaigns, for more than $40 million, making the Democrat shop the sole recipient of CFPB’s advertising expenditure, Rubin says.
  • Met behind closed doors to craft financial regulatory policy with notorious bank shakedown groups who have taken hundreds of thousands of dollars in federal grant money to gin up housing and lending discrimination complaints, which in turn are fed back to CFPB, according to Investor’s Business Daily and Judicial Watch.

Moreover, the CFPB secretly assembled several massive consumer databases which raise privacy and corporate liability concerns. "One sweeps up personal credit card information and another compiles data on as many as 230 million mortgage applicants focusing on “race” and “ethnicity.”" reports The Hill. Another database contains over 900,000 unvetted grievances against financial companies, points out Alan Kaplinsky, lead regulatory attorney for Ballard Spahr LLP.

Think a database of google's depth, but used solely by the government.

In this context, Mick Mulvaney appears to be the right tool for the President's vow to "put the regulations industry out of business," which he says will lead to higher employment and higher wages. 

“If you’re wondering about his commitment to deregulation, don’t,” Mulvaney said in front of a libertarian gathering a few months ago, “because this is one of the things he pounds on again and again and again.”

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shitshitshit's picture

ha ha

imagine my surprise

did hillary borrowed some of these funds for her qatari bank account? -Is she richer than Jamie D. now?

Tao 4 the Show's picture

Corruption is a society killer.

shitshitshit's picture

human nature my friend, corruption is a window on human nature

Tao 4 the Show's picture

All those old-fashioned ways of thinking and acting, which have been rejected these last few decades, were for a reason. People will eventually remember them, probably after loads of pain.

MillionDollarButter's picture

"Leftists" pfffft. Not funded: anti-war or anti-free-trade groups, only various forms of anti-white hate groups.

HenryKissingerZuckerberg's picture

This is EXACTLY WHY rats are attracted to government positions...

NoVa's picture

I was an employee at Freddie Mac 2012/2013.  After CFPB was established, there was a HUGE exodus of Freddie & Fannie employees that left to join the CFPB. 

Their gig at the GSEs was being busted up, so they jumped ship to join another politically motivated "government" agency.

 

NoVa

 

wildbad's picture

The Scope of fraud lately has so exponentially outstripped even hollywood level criminal masterminds that one has to wonder how it can continue.

The demonocratic theft is astonishing in its brazenness.

That Fauxcahontas initiated this level of financial crime does not surprise me though.

Glad I didn't vote vagina in the last election. Leave your maternal instincts at the door if you plan on a political career.

21 Trillion currently MISSING from the defense dept. oops

Joe Davola's picture

Might be interesting to audit Cordray's campaign finance comittee for his recently announced run for gubernor

Future Jim's picture

This is an excellent move for Trump's first day ... wait ... what ... He was elected over a year ago ... and this is all he's done?

Oh, yesterday he recognized Jerusalem as the capitol of Israel? Wait, that's a NWO move ... and he tried to make it easier to remove the rule that almost stopped Obamacare? He said that the Liberty Caucus (think Ron Paul) was the enemy? He wants to remove the debt ceiling permanently? He tried to expand the war in Syria by lying about a gas attack? He appointed a really mainstream judge to the Supreme Court? He's done hundreds of things like these?

CuttingEdge's picture

Looks like Pocahontas 2018 election dream is looking a bit frayed...

 

I'm sure the EPA dishes out a shitload more in fines than Warren's brainchild...I wonder where all their ill-gotten gains were diverted to.

There is a foul (democratic) stench eminating from every single facet of government Obama touched.

Nasal-bogglingly so.

Future Jim's picture

This goes way deeper and further back than Obama. Obama was just a front man.

For example, do you think the sudden push to tarnish prominent heterosexual males is a coincidence?

IH8OBAMA's picture

Democrats are never above being lawless and illegally chanelling moneys to their elections.

 

insanelysane's picture

I'm guessing she is getting free advertising from the company that is the sole advertiser to this agency.  This is how it all works.  We'll give you a $40 million contract to the government, you give us extreme discounts on our campaign work.  We also expect to see some of the $40 mill coming back as campaign donations.

True Blue's picture

40 million... you'd think one or two of us would have actually seen an ad or two... crickets and fraud.

Kayman's picture

Past is Future Jim

Nice, but failed attempt at diversion.

I watched a couple of TV talking heads wringing their hands, claiming, "they couldn't understand what was going on."

Easy to understand. Criminals, like termites, have infested the foundation. Not complicated at all.

thinkmoretalkless's picture

Oh yes... HRC would have truly been an outsider

Mr Hankey's picture

Most of us voted against Skanks.Fewer of us voted "for" ORANGE JEWLIUS TRUMPANYAHOO.

Mr Hankey's picture

Majority weak cucks.Like the majority that junked you .Cuckfags like to LARP as "moral, "and "innocent " but really,they're just food and always will be. 

JRobby's picture

Almost sounds legal when compared to the TOTAL OUTRIGHT, IN OUR FACES CRIMINALITY WITNESSED DAILY IN THE USA !!!!!!!

BennyBoy's picture

 

 GMMB spent $40million to create ads for the dems and Hillary lost.

The russians alledgedly spent $50K on ads and won the election for Trump.

GMMB must be run like a government agency, wasteful and never accomplish its goal.

Endgame Napoleon's picture

Actually, it does surprise me, even though I do not agree with her on [lots] of things, including her idea that businesses do not create their own wealth. But she seems [a little] less concerned with frivolous identity politics issues than most of the Dems, men or women. She also tries to make regulation and anti-corruption in financial services her trademark, making this even worse.

I am not voting for any woman in any party, ever, based on so-called “women’s issues.” I am a woman, and their pay-per-birth welfare and tax-welfare agenda, along with their womb-privilege agenda in workplaces, does nothing but hurt me.

If a woman wants to win the POTUS job, she will not emphasize being a woman and women’s issues. She will either be all-business or a natural woman with more of a sense of humor about that side of life, keeping it in its place, which is not mixed with business. She will not pretend to be a man in her mannerisms, but won’t talk about women’s privileges and women’s grievances. All of our grievances are not the same.

two hoots's picture

Is there anything in DC worth saving?    Did our eyes just open of did the Obama administration ruin everything we thought true and right?  The remnants of Obama and Democratic control still lingers, no, more than lingers, it is embedded.

BarkingCat's picture

The Obama people dropped the pretense as they tried to change the nation as much as possible in the time they had.

Endgame Napoleon's picture

They were above criticism because Obama was the first Black POTUS, and they took full advantage of it.

BarkingCat's picture

The Obama people dropped the pretense as they tried to change the nation as much as possible in the time they had.

Plus many of the positions were filled by people who are not very intelligent, so their corruption was much easier to recognize. 

847328_3527's picture

Looks like BLM, ACLU, Southern Poverty Law Center, antifa, and American Association for Democrats for the Destruction of America will see some of their funding cut off.

JRobby's picture

Disgusting animals stealing from every legal citizen in Our Nation.

They don't think twice about it. "everyone was doing it Ma!"

nmewn's picture

As the charred bodies continue to be pulled out of the fucking smoldering train wreck that was the Obama administration I'd just like to take this opportunity to say...

...toldja so  ;-)

Bush Baby's picture

There aren't enough investigators in the country to pursue the avalanche of scandals.

No wonder the Democrats are so desparate to shut down Trump.

 

azusgm's picture

One big change is that a lot of the evidence of corruption is in the public domain and available for free on the internet for anyone of an analytical persuasion. My favorite one-man investigative team is Charles Ortel. He is vigorously trying to gain the attention of someone (anyone) who will take his volumes of evidence and the far-reaching case he has made against the Clinton Foundation.

He and Jason Goodman of Crowdsource the Truth sit down 1-2 times/week to lay out the evidence and walk us through it. His recent presentations have been designed for the use of investigators with an eye toward possible prosecution of charity fraud and restitution to the government of the taxes inappropriately branded as charitable deductions when then slush fund was not a proper charity.

Here is the video playlist:

https://www.youtube.com/watch?v=CkXy9rphlho&list=PLBlSynguD0vanqruwm6O9D...

charlesortel.com

@charlesortel

January Jones's picture

Old but now more meaningful news.

Obama said, "If they bring a knife, we'll bring a gun." I guess the voters brought Trump instead!

I only wish Trump could bring Guliani back to RICO all these gov. cockroaches to death.

shamus001's picture

8 years of corrupt democratic weeds have inondayed the field. They wont be ALL pulled in 8 years of Trump occupancy. Theres so much work to do, so much swamp! 

Future Jim's picture

"8 years"?

This has been going on for hundreds of years ... maybe thousands.

Shitonya Serfs's picture

Sounds like the Dems setup a government coup...sounds like some people should be visiting Fed court and hung.

Only in a law abiding government/society.

In our dreams.

Omen IV's picture

these penalties and the bank settlements were mitigated based upon diversion in contributions to NGO's and religious orgs to bring in and provide welfare for refugees like the  Somali got here and sustained themselves with this money - Banks like Chase provided the funds ultimately in lieu of Billions in Fines and verdicts

 

Hillary would have brought in tens of millions

Joe Davola's picture

how much bailout money did banks like chase get

A Sentinel's picture

That is the core of the problem: people let go of everything moral — and mysteriously it coincides with the introduction of the pill and the eugenics movements leading up to it.

Even here, some people don’t understand why human life must be paramount.

nsurf9's picture

Consumer Financial Protection Bureau - I can tell they're doing their Financial Protection part of their job by all those 29%+ credit card rates out there.

pods's picture

Well those rates have to be that high, I mean, the CC companies are loaning all that money to people, right?

Wait, the PEOPLE create the money every time they swipe their cards?  And then pay the CC company for the privilege?  

No, that can't be happening.  That would be criminal.

<takes blue pill>

Ahh, feel much better now. Maybe I will go and get me a new TV.  One of those 4K resolution Smart TVs.  I got a credit card.........

pods

Arnold's picture

If that is the case, the Granite Gravestone has become dust by now.

HardAssets's picture

Drain The Swamp ?

It’s all Swamp & we’re sinking in the quicksand.

esum's picture

whawt the fuck is CONGRESS doing to STOP IT...

RedBaron616's picture

In which case our society should be well past dead.

man from glad's picture

The corruption is astounding. It is no wonder we are having juries let off scott-free repeat offender illegal imigrants who murder white women.

chubbar's picture

Holy shit, if this is true, which it likely is. That fucking cunt Warren needs to be cuffed, right now. These fucking democrats are the biggest fucking pieces of shit ever. Imagine the fucking graft and bribes that have been floating around DC these past few years? No wonder half the fucking GOP is fighting Trump, they are no doubt the recipients of some of this shit!

Trump needs to start a RICO investigation with a fucking Special Prosecutor right away, this is unfucking real!!!!

onewayticket2's picture

Clearly you're a sexist and a racist (she's Cherokee, remember?).

she will never get more than a fake outrage by some senator.....then she'll be celebrated at cocktail parties all over DC for the balance of her life...

 

 

Bastiat's picture

I'm sure she had nothing but the best intentions in setting up this Agency to protect consumers!  It just went wrong because of a few bad apples.

pods's picture

No doubt they were influenced by the Russians. That bottle of Stoli makes them do things.

pods