The acting director of the Consumer Financial Protection Bureau (CFPB) asked a House committee Wednesday to rein in the agency’s power to police the financial sector.

Mick Mulvaney Mick MulvaneyMick Mulvaney to start hedge fund Fauci says positive White House task force reports don't always match what he hears on the ground Bottom line MORE, who is also the White House budget director, urged the House Financial Services Committee to impose several new restrictions on the bureau. He said lawmakers need to take control of the agency’s funding, make his successors fireable at will by the president and install an inspector general, among other things.

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"It's not accountable to you. It's not accountable to the public. It's not accountable to anybody but itself," Mulvaney said of the CFPB, telling lawmakers to “take back authority as the legislature of the country.”

Republicans showered praise on Mulvaney’s efforts to pull back the CFPB, an agency they’ve long accused of violating the law and abusing its powers to wage a crusade against financial institutions.

“It is sheer irony and great comic relief to see the wailing and gnashing of teeth of many of my Democratic colleagues who now denounce the unaccountable nature of the CFPB, but only because now a Republican is in control,” said House Financial Services Committee Chairman Jeb Hensarling Thomas (Jeb) Jeb HensarlingLawmakers battle over future of Ex-Im Bank House passes Ex-Im Bank reboot bill opposed by White House, McConnell Has Congress lost the ability or the will to pass a unanimous bipartisan small business bill? MORE (R-Texas).

“I ask, ‘Where have you been?’ ”

Democrats who long resisted GOP efforts to change the CFPB ripped Mulvaney for his efforts to ease off its historically aggressive enforcement. Some of them even refused to recognize him as the bureau’s acting chief.

“Mr. Mulvaney is not the acting director of the Consumer Financial Protection Bureau,” said Rep. Maxine Waters Maxine Moore WatersPowell, Mnuchin stress limits of current emergency lending programs Pelosi: House will stay in session until agreement is reached on coronavirus relief Omar invokes father's death from coronavirus in reaction to Woodward book MORE (Calif.), the committee’s ranking Democrat. “He was illegally appointed by President Trump Donald John TrumpOmar fires back at Trump over rally remarks: 'This is my country' Pelosi: Trump hurrying to fill SCOTUS seat so he can repeal ObamaCare Trump mocks Biden appearance, mask use ahead of first debate MORE.”

Even so, Waters said that Democrats needed to press Mulvaney on the “impactful and indeed harmful decisions” he has made in his nearly five months leading the agency.

Trump appointed Mulvaney as acting CFPB chief in November following the resignation of Richard Cordray Richard Adams CordrayConsumer bureau revokes payday lending restrictions Supreme Court ruling could unleash new legal challenges to consumer bureau Supreme Court rules consumer bureau director can be fired at will MORE (D), the bureau’s first director. Cordray had sought to choose his temporary heir by elevating Leandra English, then his chief of staff, to the deputy director position.

A federal judge ruled in November that Trump’s appointment of Mulvaney superseded English’s claim to the job as the CFPB's deputy chief. That decision gave Mulvaney free reign to transform the agency he had once sought to eliminate as a member of Congress.

Mulvaney’s major actions include delaying a controversial rule on short-term, high-interest loans, restructuring the bureau’s office for policing lending discrimination and starting a sweeping review of the CFPB’s operations. The goal, he said, is to end what he considers the bureau’s overzealous and harmful history of aggressive fines and lawsuits.

“Regulation by enforcement is done,” Mulvaney said. “Financial services providers should be allowed to know what the law is before being accused of breaking it.”

Republicans on the panel joined Mulvaney, a former member of the committee, in denouncing the CFPB’s broad power and independence.

“You are thankfully both a terrible bureaucrat but a great leader,” said Rep. Blaine Luetkemeyer William (Blaine) Blaine LuetkemeyerMissouri Rep. Blaine Luetkemeyer wins GOP primary Five takeaways from Fauci's testimony Yellen, Bernanke urge Congress to extend unemployment benefit boost MORE (R-Mo.).

Mulvaney stressed his commitment to doing nothing beyond enforcing consumer protection laws and fulfilling his obligations as CFPB director. He denied Democratic charges that he is seeking to destroy the bureau from within. He cited as proof his continuation of the 25 lawsuits Cordray filed against lenders accused of fraud or abuse and the more than 100 investigations being conducted by the bureau.

Other Democrats pressed Mulvaney for signs that he’s abused his position to benefit special interests or crossed ethical lines meant to separate his work at the CFPB and as Trump’s budget director.

“We’re still going after bad actors,” Mulvaney said. “We’re doing it differently than other folks might do it, because elections have consequences.”



Democrats said the fact that Mulvaney had not initiated any of his own actions against banks was proof of his unfitness for the job.

“The clear implication is that the people who were enforcing before are not enforcing anymore,” said Rep. Stephen Lynch Stephen Francis LynchOvernight Defense: Pentagon redirects pandemic funding to defense contractors | US planning for full Afghanistan withdrawal by May | Anti-Trump GOP group puts ads in military papers Official: Pentagon has started 'prudent planning' for full Afghanistan withdrawal by May Overnight Defense: Dems divided on length of stopgap spending measure | Afghan envoy agrees to testify before House panel | Trump leans into foreign policy in campaign's final stretch MORE (D-Mass.). “What the heck are they doing now?”

Mulvaney will appear before the Senate Banking Committee on Thursday. Sen. Elizabeth Warren Elizabeth WarrenHarris joins women's voter mobilization event also featuring Pelosi, Gloria Steinem, Jane Fonda Judd Gregg: The Kamala threat — the Californiaization of America GOP set to release controversial Biden report MORE (D-Mass.), the architect of the CFPB who has emerged as the most vocal critic of Mulvaney, will have a chance to question Mulvaney at the hearing.