[Congressional Record Volume 167, Number 171 (Thursday, September 30, 2021)]
[Senate]
[Pages S6817-S6819]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
Nomination of Rohit Chopra
Mr. TOOMEY. Madam President, I rise to oppose the nomination of FTC
Commissioner Rohit Chopra to be the CFPB Director.
In the Banking Committee, every Republican voted against him, and on
the Senate floor, Republicans have uniformly voted against discharging
his nomination from the committee. There is a reason for that. I think
my colleagues have the same grave concern that I have that Commissioner
Chopra would return the CFPB to the lawless, overreaching, highly
politicized Agency that it was during the Obama administration when he
was there.
CFPB, as you will recall, was created by our Democratic colleagues
through the Dodd-Frank Act, and it was arguably the most unaccountable
Agency in the history of the U.S. Federal Government. Think about it.
It is an Agency with a single Director who, until recently, even the
President of the United States was unconstitutionally forbidden from
firing.
This Agency is not accountable to Congress through the appropriations
process the way most Agencies are. Most rely on appropriations from
Congress for their funding. That is part of our power of the purse
strings. Not with the CFPB. It simply draws virtually unlimited funding
at its discretion from the Federal Reserve, whether Congress likes it
or not.
Now, during the Obama administration, the CFPB systematically pursued
an activist, anti-business agenda. It limited consumer choice, it drove
up the cost of credit for consumers, and it certainly unfairly burdened
employers with overregulation.
CFPB repeatedly engaged in overreach and abuse of its authority. Just
one example: Instead of clearly laying out the rules of the road
through a transparent regulatory process, it would invent rules on its
own by springing lawsuits on the financial institutions that had no way
of knowing that they were engaged in anything that the CFPB objected to
because there was no rule. It was just rulemaking by enforcement. The
DC Circuit Court of Appeals, quite rightly, held that this approach
violates the fundamental bedrock principle of due process.
But that is not all. Commissioner Chopra helped set up the CFPB, and
then he served as a very high-ranking official there during the Obama
administration. In that role, it has been widely acknowledged that he
had a hostile relationship with lenders. He used ``name and shame''
tactics to pressure them. In one case, he took the ``shoot first; aim
second'' approach to the facts by posting online inaccurate allegations
about credit unions, which the CFPB then later had to retract.
At the FTC, Commissioner Chopra has continued his aggressive anti-
business stances, and he has continued to take a ``shoot first; aim
later'' approach to the facts in order to advance his agenda. In one
recent case, three of his fellow Commissioners publicly rebuked
Commissioner Chopra for ``his disregard of the facts and the law, for
making misleading claims, and for relying on false assertions.''
During this whole nomination process, while Commissioner Chopra is
under consideration to lead the CFPB, he has done very little to
alleviate these concerns.
I asked him a request for the record. Given its history, given the
actions that have been overturned by courts, was there a single CFPB
enforcement action that Mr. Chopra believed was too burdensome or was
too punitive? He couldn't identify a single one.
In addition, Commissioner Chopra favors unaccountable regulators with
vast powers. He actually in writing proposed this superagency that
would regulate politicians and think tanks and nonprofits. At his
nomination hearing, Commissioner Chopra once again defended the CFPB's
completely unaccountable structure.
All this raises concerns about how he would wield power at the CFPB.
Remember, at the CFPB, he would not be accountable to Congress in any
meaningful way, certainly not through the appropriations process, and
since the CFPB is a single Director Agency, there would be no other
Commissioners to restrain him.
Commissioner Chopra has also shown a complete disregard already for
congressional oversight. According to multiple press reports, the Biden
administration's political leadership at the CFPB has been taking
unusual and possibly unlawful actions to push out top-level career,
nonpolitical civil servants at the CFPB in order to fill those civil
service positions with handpicked activists who will support the Biden
agenda. Now, the implication has been that this was done in preparation
for Commissioner Chopra taking over as the Director.
These were just allegations, but there were several of them. There
was some credibility to them. So I sent Commissioner Chopra a letter
simply asking in a straightforward way whether he was aware of or
whether he had been involved in any efforts to dismiss these career
civil servants at the CFPB. It has been over 100 days since I asked him
these simple, straightforward questions, and he has refused to provide
any response to me.
His refusal to respond to my oversight requests--I am the ranking
member of the committee that has jurisdiction over the organization he
is meant to lead. This refusal to respond to a simple oversight request
is completely unacceptable from a nominee, and it leaves very little
doubt how he will treat congressional oversight if he is confirmed.
As all of the Republicans on the Banking Committee have stated, ``In
our view, this should disqualify [him] from consideration as CFPB
Director.''
It is clear to me that Commissioner Chopra would very likely return
the CFPB to the rogue, unaccountable, anti-business Agency it was
during the Obama administration. We have every reason to believe he
would continue to disregard legitimate congressional oversight
requests.
I urge my colleagues to join me in voting against his confirmation.
I yield the floor.
The PRESIDING OFFICER. The Senator from Ohio.
Mr. BROWN. Madam President, I come to the floor for the opposite
reason. I am thrilled to rise to urge my
[[Page S6818]]
colleagues to support Rohit Chopra to serve as the next Director of the
Consumer Financial Protection Bureau.
I have seen the good work they used to do. They used to have an Ohio
Director. The first Director there was Richard Cordray, a friend of
mine, somebody who stood up for consumers pretty much every day of his
work life.
Rohit Chopra will become the CFPB Director at a time when far too
many Americans feel that the system is rigged against them. You hear
reports about billionaires not paying taxes. You hear these reports
about record profits on Wall Street. You see the influence. Just check
down the hall. Look down the hall. You can see the influence in the
minority leader's office, Senator McConnell. Lobbyists are going in and
out, always getting their way. When a Republican freight train goes
down the railbed full of tax cuts, you know it never stops. It is
always about helping those in charge get wealthier.
As the CFPB Director, Rohit Chopra will be here when people feel like
no matter how hard they work, they don't get a fair shot in this
country. His job will be on the side of the public. His job will be on
the side of the workers.
I know the Presiding Officer sees this job as I do--as putting
workers at the center of our country, at the center of our economy, at
the center of our work here. The Senator from Georgia sees the country
in the same way: putting workers at the center of our agenda. That has
not happened until we had this new President. Now, with Rohit Chopra,
we have the chance to turn this around.
The public has watched the largest corporations amass enormous power
and use it to gain access and influence in this town to write the rules
in their favor. Again, I won't open the door to show you again, but if
you look down that hall, you will see the people going in and out of
the Republican leader's office. They are always gaining access, always
gaining influence, always writing the rules in their favor.
So it is not surprising that most people don't believe there is
anyone on their side, fighting for them in the Federal Government, but
we know that is not true. That is why I know Rohit Chopra will prove
them wrong, and he will fight for all of those who feel like they have
been left on their own.
Even before the pandemic, hard work wasn't paying off. We all know
that productivity has gone up in this country in the last many years;
we know executive compensation has skyrocketed; and we know the stock
market has gone up. But do you know what we also know and what people
feel every day? They feel like their wages have been stagnant. They
feel like they are working harder and harder in Savannah or in
Columbus, GA, or in Cincinnati or Columbus, OH. They know they are
working harder and harder every day, and they are simply not getting
ahead. They feel that they have been left on their own.
Productivity is up, and wages have stagnated. Meanwhile, we know the
cost of housing, the cost of childcare, the cost of higher ed, the cost
of prescription drugs--they all go up--and 40 percent of Americans
aren't able to come up with $400 in an emergency. Before the pandemic,
one-quarter of renters paid more than half their income in rent. You
know what happens there. If you are paying half your income in rent and
your car breaks down or your daughter gets sick or you miss a couple
days of work from a workplace injury, your life changes. It goes upside
down, and you can get evicted.
Then the coronavirus hit, and millions of workers who were one
emergency away from draining their savings turned to a payday lender as
they faced emergencies all at once. Millions of homeowners now have
fallen behind in their mortgages and are at risk of foreclosure--one in
six Latino homeowners, one in five African-American homeowners.
Through it all, we have seen COVID-related scams emerge--scams that
use a global pandemic as a means to cheat their fellow Americans. I
mean, there is always somebody out there. Most of us aren't that way.
Most of us in the Senate and most of us in this country aren't that
way, but there is always somebody out there who will scam their fellow
Americans. As a result, half a million Americans--that is a lot of
people--reached out to the CFPB last year, seeking help. That is 54
percent more than in 2019. Record numbers of consumers complained about
errors in their credit reports or harassment by debt collectors. Those
Americans need someone willing to stand up to the biggest banks and to
stand up to the most powerful corporations and fight for them.
Rohit Chopra has the expertise and the track record to do that, and
he will be America's voice and America's advocate. He has a deep
understanding of financial markets, a strong record of protecting
consumers and workers and small businesses, promoting competitive
markets, and holding bad actors accountable.
In 2018, this body, this Senate, voted unanimously--unanimously--that
is all of us--to confirm Rohit Chopra as an FTC Commissioner. They
voted unanimously. In the Banking, Housing, and Urban Affairs
Committee--it used to be just called the Banking Committee because it
was all about Wall Street; now the word ``Housing'' is in capital
letters in that committee. In that committee a few weeks ago, all 12
Republicans voted against Rohit Chopra. Everybody here voted to confirm
him when he was to go to the FTC. I don't know if any Republicans in
this body are going to vote for him now. It is really kind of shocking
as he has worked with Members of both parties on a wide array of issues
that are important to American consumers.
As Commissioner, he worked with Democratic and Republican State
attorneys general to protect American small businesses and consumers
from foreign goods that were flooding the market with fake ``Made in
the USA'' labels.
I worked on this issue a lot. My colleague Senator Portman from
Ohio--he and I worked together to strengthen, in the bipartisan
infrastructure bill, the ``Buy American'' provisions--stronger than
they have ever been--so that we won't see a project like the Bay Bridge
in California, Northern California, made entirely with steel produced
by Chinese companies--all part of the Chinese Communist Party. We are
not going to see that again. We are going to see what ``Made in the
USA'' means.
Mr. Chopra's job, in part--something that his predecessor didn't do--
will enforce ``Made in the USA.'' If a company puts ``Made in the USA''
on a label, they should hear from the government. You just can't commit
that kind of fraud. In my State, Ohioans look for ``Made in the USA''
because they want their dollars to support our economy. They know it
also means a quality product, and it means made by American workers.
He has led the FTC's recent crackdown on Big Tech. Americans across
the political spectrum were concerned about these huge tech
corporations that seemed to get bigger and bigger and to control more
and more of their lives.
Mr. Chopra authorized the Agency's current lawsuit against Facebook.
This is what he did in the last job he was in when he got unanimous
support in this body for confirmation.
He stood up for Amazon drivers when the company stole more than $60
million. Imagine Amazon, as maybe the most successful corporation--
certainly, one of the largest corporations in the world--stole $60
million of tips of workers making $9, $10, $11, $12 an hour, and they
are not getting away with it. I mean, maybe they got away with it
before, but they didn't get away with it because Rohit Chopra was
there.
Banks aren't going to get away with that kind of stuff. Payday
lenders won't get away with that kind of stuff. All kinds of people who
try to defraud American consumers--they are not going to get away with
this because Rohit Chopra is going to be the cop on the beat.
During his prior time, when he worked with Richard Cordray at the
CFPB, he served as the Agency's first student loan ombudsman. He looked
out for students in the $1.7 trillion student loan market--$1.7
trillion. That is 1.7 thousand billion, this $1.7 trillion student loan
market. He worked with State attorneys general of both parties to bring
enforcement actions against scammers who preyed on students who were
drowning in student loan debt.
I see the pages on both sides, sitting here on the steps. Many of
them are going to school in the next couple of years or are going to
college. Many of them will take student loans. Many of
[[Page S6819]]
them may be preyed on by some of these scammers. I am guessing every
one of these pages here, whether they are Republicans or Democrats,
whether sponsored by Chuck Schumer or Mitch McConnell or me or Rob
Portman--I am guessing every one of you would vote for the confirmation
if you could vote. Sorry. You are not even old enough to vote yet, but
if you could, you would vote for Rohit Chopra because he is going to
protect you. He is going to protect you when people try to scam you and
your student loans.
His commitment to protecting servicemembers has been particularly
important. He uncovered a predatory lending scheme. He was able to
return more than $60 million to them and their families. Think about
that. People are trying to scam our servicemembers. The wife is away,
serving our country, and the husband is home and they try to scam the
husband, the husband who worries about his wife every day overseas--
these predatory lenders and others. That is why you need Rohit Chopra
there to protect them.
He has earned the endorsement of a bipartisan group of State
attorneys general. He is supported by a broad coalition of 150 consumer
groups, civil rights groups, labor groups, public interest groups, and
small business organizations. They know, like I do, that, with Mr.
Chopra leading the CFPB, Americans can be confident they will have
someone looking out for them. Corporations, big banks, payday lenders--
they all have high-priced lobbyists. You see them going in and out of
Senator McConnell's office. We know that. They have an outsized voice
in this town. Most people don't have lobbyists.
I just introduced a bill to help those on SSI. They are the lowest
income people, averaging $500 a month in income. They didn't have a
voice. They hadn't been heard from in 20 years until Congress did it.
It is the same with people that Rohit Chopra will be paid to protect:
They don't have lobbyists. They don't have a PAC. They certainly don't
have a super PAC. They are not able to unleash tens of millions of
dollars of dark money to win elections. They don't have an expensive
lawyer they can get on the phone with a bank or a credit card company
if something goes wrong.
That is why we created the CFPB--to fight for them, to be a voice for
ordinary people--and, soon, Americans will have Rohit Chopra on their
side.
If you were scammed by a payday lender, if you were overcharged by a
bank, if you took an unfair hit on your credit report, it doesn't
matter whom you voted for or what State. It doesn't matter who your
Senate sponsor is. If you are a page, it doesn't matter whom you voted
for. It doesn't matter what State you live in. You need help. You want
someone on your side, and Rohit Chopra will be on your side. He will
stand up. He will be your advocate.
That is why, as chair of the Banking, Housing, and Urban Affairs
Committee, I enthusiastically support Mr. Chopra's nomination to serve
as the next Director of the Consumer Financial Protection Bureau. I
urge all of my colleagues to support him.
The PRESIDING OFFICER (Mr. Warnock). The Senator from Ohio.
Mr. BROWN. Mr. President, I ask unanimous consent that all remaining
postcloture time be considered expired.
The PRESIDING OFFICER. Is there objection?
Without objection, it is so ordered.