The Trump administration isn't slowing down its efforts to defang the Consumer Financial Protection Bureau, with lawsuits dropped against a handful of big banks and financial services firms, most notably a case previously accusing payments app Zelle of failing to secure its network.
Consumer agency drops Zelle lawsuit against big banks
The Consumer Financial Protection Bureau (CFPB) hit three of the United States’ biggest banks with a lawsuit, which has now been dropped.
The Consumer Financial Protection Bureau late Tuesday dropped its lawsuit against Early Warning Services LLC, operator of the Zelle person-to-person payments network. The suit had also named Bank of America, JPMorgan Chase, and Wells Fargo as defendants. The financial institutions are three of the seven bank owners of Early Warning.
It's the latest lawsuit abandoned by the Consumer Financial Protection Bureau since Trump appointees have taken over at the bureau.
The agency, which was virtually shuttered by President Donald Trump last month, had accused JPMorgan Chase, Bank of America and Wells Fargo of failing to protect consumers from fraud costing hundreds of millions of dollars.
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