A legal challenge failed to strip the federal Consumer Financial Protection Bureau of its independence, yet efforts to rein in its regulatory reach are continuing full steam ahead.

Hours after a federal appeals court ruled last week against a challenge to the structure of the CFPB, the agency said it is formally evaluating its administrative judicial process for companies accused of wrongdoing.

And today, Reuters reported that the bureau is dialing back an investigation of how Equifax failed to protect millions of consumers’ personal data in a massive cyberattack on the credit-reporting firm last year. A CFPB spokesman told Reuters the agency cannot acknowledge the existence of an open investigation.

In other words, the Trump administration’s efforts to reduce the regulatory burden on the financial system is alive and well at the agency under acting director Mick Mulvaney.

“My guess is that the agency will become more mainstream in its selection of issues to tackle and less adventurous … in its actions and requirements on financial industry, " said Chris Willis, who leads the consumer financial services litigation practice group at Ballard Spahr.


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