Two fight for control of consumer watchdog

WASHINGTON » With emails, tweets and doughnuts, the two dueling acting directors battled for control of the nation’s top financial watchdog agency, the Consumer Financial Protection Bureau, on Monday.

Leandra English, who was elevated to interim director of the bureau late last week by its outgoing director, sent staff an email offering Thanksgiving wishes. President Donald Trump’s choice for the role — White House budget director Mick Mulvaney — then emailed staff to tell them to “disregard” any instructions from English.

Laying down markers in what has quickly become a war of optics, both signed their missives “Acting Director.”

English has filed a lawsuit seeking a temporary restraining order to block Mulvaney from taking over the bureau. Judge Timothy Kelly, a Trump appointee approved recently by the Senate, will hear arguments on the case late Monday afternoon. Mulvaney, speaking to reporters at the bureau, announced he was imposing a 30-day freeze on hiring and new rulemaking. Despite previous comments calling the agency a “joke” and an example of bureaucracy run amok, he said the bureau would remain functioning.

“This agency will stay open. Rumors that I’m going to set the place on fire, or blow it up or lock the doors are completely false,” he said. “I am a member of the executive branch of government. We intend to execute the laws of the United States.”

Mulvaney said the day went smoothly, though he noted the power struggle may be awkward for people who know English. Responding to news reports about the conflicting leadership, he said, “There was one person today who showed up at work claiming to be director. She wasn’t here.”

Meanwhile, in a show of support, top Senate Democrats including Senate Minority Leader Chuck Schumer and Sen. Elizabeth Warren of Massachusetts, met with English.

Earlier in the day, it was a battle of optics as Mulvaney and English jostled for control via emails, tweets and doughnuts.

Mulvaney arrived Monday morning at the agency with doughnuts, and his staff tweeted out photos of him meeting with agency division heads. Meanwhile, English sent a department-wide email saying she hoped everyone had a great Thanksgiving.

Meanwhile, Mulvaney quickly responded to English’s email, instructing CFPB staff to “disregard” any directives from her.