The new so-called Consumer Financial Protection Bureau, with sweeping powers to regulate nearly any consumer financial transaction in the economy, is also constructed to be outside of constitutionally required checks and balances. It is not subject to annual appropriations in Congress, instead being funded by the Federal Reserve - which is nonetheless itself prohibited from exercising oversight. All power is vested in one individual, Richard Cordray, who Obama "recess appointed" on a day the Senate considered itself not to be in recess. While the CFPB's decisions are subject to judicial review, there is a requirement in Dodd-Frank that judges give extraordinary deference to the agency.
Dodd-Frank was created in a corrupt feeding frenzy of special interests exploiting the financial crisis to advance their own longstanding agendas. Every left-wing special interest-from the trial lawyers, to the racial grievance groups, to the unions-got a special payoff in the bill. But the whole structure of the bill rests on an unconstitutional foundation.
Every state attorney general should follow the strong leadership of South Carolina's Alan Wilson, Oklahoma's Scott Pruitt, and Michigan's Bill Schuette and join the effort to stop this outrageous unconstitutional takeover of our financial system.
Phil Kerpen is president of American Commitment, a columnist on Fox News Opinion, chairman of the Internet Freedom Coalition, and author of the 2011 book Democracy Denied.
American Commitment is dedicated to restoring and protecting America’s core commitment to free markets, economic growth, Constitutionally-limited government, property rights, and individual freedom.
Washingtonian magazine named Mr. Kerpen to their "Guest List" in 2008 and The Hill newspaper named Mr. Kerpen a "Top Grassroots Lobbyist" in 2011.
Mr. Kerpen's op-eds have run in newspapers across the country and he is a frequent radio and television commentator on economic growth issues.
Prior to joining American Commitment, Mr. Kerpen served as vice president for policy at Americans for Prosperity. Mr. Kerpen has also previously worked as an analyst and researcher for the Free Enterprise Fund, the Club for Growth, and the Cato Institute.
A native of Brooklyn, N.Y., Mr. Kerpen currently resides in Washington, D.C. with his wife Joanna and their daughter Lilly.