civil investigative demand

Tribal challenge made to Cordray appointment

By Barbara S. Mishkin on May 29, 2013

Posted in CFPB Enforcement, Regulatory and Enforcement

According to a Bloomberg report, the Chippewa-Cree tribe in Montana, as grounds for objecting to a Civil Investigative Demand (CID) issued by the CFPB, has challenged the validity of Director Richard Cordray’s recess appointment.

The tribe reportedly has asserted that because the CFPB does not have a validly-appointed director, it cannot exercise its supervisory or enforcement authority over non-banks. … Continue Reading

CFPB denies another motion to modify or set aside CID

By Ballard CFS Group on October 31, 2012

Posted in CFPB Enforcement, Regulatory and Enforcement

The CFPB has refused to modify or set aside a civil investigative demand (CID) issued to Next Generation in connection with an investigation of the company’s debt settlement services business.

In its decision and order denying Next Generation’s petition to modify or set aside the CID, the CFPB stated that the petition was denied because it was not filed within 20 calendar days of service of the CID as required by CFPB rules. … Continue Reading

CFPB’s final investigations rules still disfavor extensions for challenging CIDs

By Ballard CFS Group on June 13, 2012

Posted in CFPB Enforcement, Regulatory and Enforcement

We were disappointed to see that the CFPB’s final Rules Relating to Investigations still include the statement that “requests for extensions of time [to petition for an order modifying or setting aside civil investigative demands (CIDs)] are disfavored.”

The CFPB says that its policy of disfavoring extensions “means to prompt recipients to decide within 20 days whether they intend to comply with the CID.” … Continue Reading