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Friday, a federal judge prevented the Trump administration from trying to dismantle the financial protection office of consumers, claiming that the court “can and must act” to prevent the agency from being closed.
American district judge Amy Berman Jackson agreed to issue a preliminary injunction to maintain the agency in existed until it reigns against the bottom of a trial aimed at preserving it.
The federal government can now request a federal court of appeal an emergency repair.
Lawyers representing a union of workers and other consumer defenders had continued the Trump administration to reverse the move last month to close the agency. The judgment led to mass layoffs, contract locations, office closings and a work stoppage across the agency.
Job applications by federal workers increase in agencies targeted by DOGE
Friday, a federal judge prevented the Trump administration from trying to dismantle the financial protection office of consumers. (Samuel Corum / Bloomberg via Getty Images / Getty Images)
The agency had been “in the hours following the dismissal of almost all its staff,” said Deepak Gupta, a lawyer representing CFPB workers, in a press release. “We are encouraged by the decision and we are delighted to continue focusing on our business before the courts.”
President Donald Trump said after dismissed the CFPB director last month that the agency should be closed. Its main advisor, Elon Musk, who heads the Ministry of Government (DOGE), published “CFPB RIP” on X on Doge day, workers had access to the CFPB headquarters.
But after filing the prosecution, agency officials overthrew some of their posts, affirming in court that they did not plan to eliminate the agency and asked the staff to resume work.
The Federal Workers’ Syndicate files prosecution to stop Vought, DOGE activity at the Consumer Financial Protection Bureau
The CFPB judgment led to mass layoffs, contract locations, office closings and a work stoppage across the agency. (Reuters / Andrew Kelly / Reuters)
“If the accused are not enjoined, they will eliminate the agency before the court has the opportunity to decide if the law allows them to do so and, as the defendants’ own witness, the damage will be irreparable,” wrote Berman Jackson.
She rejected the key elements of the Ministry of Justice, the lawyers had presented, calling for certain complaints “a charade for the benefit of the court”.
The judge wrote that Mark Paoletta, the best legal official of the CFPB, “insults the reader’s intelligence when he pretended to be surprise” that few CFPB employees were still working.
President Donald Trump said after dismissed the CFPB director last month that the agency should be closed. (Francis Chung / Politico / Bloomberg via Getty Images / Getty Images)
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Berman Jackson also said that the agency’s chief of the agency, Adam Martinez, after being contradicted by statements under oath undermining the position of the administration, had appeared on the torn witnesses stand between “loyalty to his new employers and the truth about his face”.
Berman Jackson ordered the CFPB not to delete data, to reintegrate dismissed workers and to allow work to resume.
Reuters contributed to this report.
