United States: Chopra's First Year – A Statistical View

Much has been written about Rohit Chopra's tenure as Director of the Consumer Financial Protection Bureau (CFPB or Bureau). While many expected an aggressive enforcement posture, in part because of an aggressive hiring spree in enforcement, his tenure has been marked more by an aggressive use of guidance and exhortation. Recently released statistics bear this out. In response to a FOIA request, the CFPB released data about the number of enforcement investigations opened in Fiscal Year 2022, which is roughly equivalent to Chopra's first full year as Director. (New enforcement investigations are non-public unless and until they blossom into enforcement actions, typically a year or more after they are opened. The data discussed here relate to the number of investigations opened, not the number of actions brought.) That data demonstrates that the Bureau opened only 25 new enforcement investigations in the last fiscal year—fewer than in any year since FY2019, when Mick Mulvaney and Kathleen Kraninger served as Directors. Below is a table showing the number of enforcement investigations opened in each Fiscal Year, according to data released by the CFPB.

Other data released by the CFPB shows a mild drop in the number and percent of supervisory matters referred to enforcement during the same time period. In FY2022, the CFPB referred 45 supervisory matters to its Action Review Committee (ARC) for consideration as to whether the matter should be referred to enforcement. Nine of those 45 matters—or 20%—were referred at least in part to enforcement. That is slightly lower than the agency's historical average of referring about 29% of ARC matters at least in part to enforcement.

It will be interesting to see if these trends continue or if the agency ramps up its enforcement activity in the coming years. We will continue to monitor and report on these issues.

Visit us at mayerbrown.com

Mayer Brown is a global legal services provider comprising legal practices that are separate entities (the "Mayer Brown Practices"). The Mayer Brown Practices are: Mayer Brown LLP and Mayer Brown Europe – Brussels LLP, both limited liability partnerships established in Illinois USA; Mayer Brown International LLP, a limited liability partnership incorporated in England and Wales (authorized and regulated by the Solicitors Regulation Authority and registered in England and Wales number OC 303359); Mayer Brown, a SELAS established in France; Mayer Brown JSM, a Hong Kong partnership and its associated entities in Asia; and Tauil & Chequer Advogados, a Brazilian law partnership with which Mayer Brown is associated. "Mayer Brown" and the Mayer Brown logo are the trademarks of the Mayer Brown Practices in their respective jurisdictions.

© Copyright 2020. The Mayer Brown Practices. All rights reserved.

This Mayer Brown article provides information and comments on legal issues and developments of interest. The foregoing is not a comprehensive treatment of the subject matter covered and is not intended to provide legal advice. Readers should seek specific legal advice before taking any action with respect to the matters discussed herein.