Trump Officials Say They Can Name Agency’s Temporary Chief

Trump Officials Say They Can Name Agency’s Temporary Chief

“We have gone out of our way to avoid any unnecessary legal battle with Mr. Cordray,” the administration official said. “His actions clearly indicate he is trying to provoke one.”

Mr. Cordray had been expected to resign at the end of the month. Instead, in the middle of a holiday weekend, he said he was leaving and named Leandra English, the agency’s chief of staff, as deputy director. Under the 2010 Dodd-Frank Act, which established the consumer bureau, the deputy director serves as the agency’s acting head in the absence of permanent leadership.

Within hours, Mr. Trump said Mr. Mulvaney would be the interim director. Mr. Mulvaney is a fiscal hawk who previously called the agency a “sad, sick joke” and once, as a member of the House, sponsored legislation to end its existence.

Democrats, who fought for the bureau’s creation and championed its work as a valuable defense against predatory companies and abusive financial practices, are likely to push for a legal challenge to Mr. Trump’s move.

Some legal experts say there is merit to questioning whether the Vacancy Reform Act supersedes an individual agency’s designated line of succession.

“It seems to me there’s an open question about how the V.R.A. would interact with Dodd-Frank, one that, frankly, may well have a different answer,” said Stephen I. Vladeck, a law professor at the University of Texas.

The appointment of Ms. English to the deputy director position was seen as an attempt to delay Mr. Trump from appointing his own interim director. Confirming a permanent director could take months. Mr. Cordray’s own confirmation was delayed for two years by Republicans and the banking industry, two parties that objected to the agency’s creation and sought to limit the attempt at federal oversight.

Mr. Mulvaney will shoulder his new acting leadership on top of his role as director of the Office of Management and Budget. It is unclear how he will manage both roles, and the officials directed all questions about the mechanics of the situation to the director.

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