(Patrick Howley) The Obama administration’s Consumer Financial Protection Bureau is threatening banks to be silent about the administration’s new programs supervising and investigating private bank account holders.
A shocking bulletin that CFPB issued to banks, which was obtained by
The Daily Caller, was sent around this week in the midst of controversy
regarding the administration’s Operation Choke Point program, by which
the administration pressures banks to cut off accounts for supposedly
suspicious businesses, including gun dealers. Operation Choke Point’s
anti-gun mission was recently confirmed in a series of audiotapes published by the US Consumer Coalition, in which a bank teller explained to a gun dealer why his account was being shut down.
“The Consumer Financial Protection Bureau [CFPB] issues this
compliance bulletin as a reminder that, with limited exceptions, persons
in possession of confidential information, including confidential
supervisory information [CSI], may not disclose such information to
third parties,” the bulletin states.
“‘Confidential information’ means ‘confidential consumer complaint
information, confidential investigative information, and confidential
supervisory information, as well as any other CFPB information that may
be exempt from disclosure under the Freedom of Information Act
pursuant,” according to the bulletin.
Even non-disclosure agreements are invalid according to the CFPB’s effort to suppress information.
CFPB states that “private confidentiality and non-disclosure
agreements neither alter the legal restrictions on the disclosure of CSI
nor impact the CFPB’s authority to obtain information from covered
persons and service providers in the exercise of its supervisory
Good thing President Obama’s Dodd-Frank Act gave CFPB vast powers to enforce this kind of information-suppressing.
“Many supervised financial institutions became subject to federal
supervision for the first time under the Dodd-Frank Wall Street Reform
and Consumer Protection Act [Dodd-Frank Act]. Pursuant to authority
granted under the Dodd-Frank Act, the CFPB has issued regulations that
govern the use and disclosure of CSI. The CFPB expects all supervised
financial institutions to know and comply with the regulations governing