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January 6th, 2012 3:22 pm
Cordray Recess Appointment May be Pyrrhic Victory

The news of President Barack Obama’s unconstitutional and dubious recess appointment of Richard Cordray to head the Consumer Financial Protection Bureau was met with near universal outrage, especially here at CFIF.  Already a legal argument is emerging that could stop Cordray’s pledged lurch for power before it takes a second step.

From the Daily Caller:

But an obscure paragraph in the 2010 law that created the bureau may keep Cordray in check unless the Senate formally approves of his hiring — an approval Obama sought to circumvent by making him a so-called “recess” appointment.

Section 1066 of the law says many of the bureau’s new powers are to be held by the secretary of the Treasury “until the Director of the Bureau is confirmed by the Senate.”

That legal technicality ensures that Cordray’s power will be legally crippled, said Roger Pilon, the founder and director of the Cato Institute’s Center for Constitutional Studies.

“I don’t think he would have the authority to act” because he still hasn’t been confirmed by the Senate, Pilon said. “As soon as he did [try to impose a decision], it would be challenged [in court] by one of the people or entities that is affected.”

So now it looks like Obama violated both the Constitution and the federal law that created Cordray’s position.  Next Question: Does this qualify as a high crime or a misdemeanor?

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