ABC News reports…
But the real controversy came as Republicans repeatedly blocked Cordray’s nomination [in 2011]. After six months of partisan bickering in Congress and all rule-making brought to a standstill at the Consumer Financial Protection Bureau, Obama invoked executive authority to put [Richard] Cordray in place.
He used a “recess appointment” – making the decision when Congress is not in session – to put him to work a year ago, and so far he’s helped the CFPB do a lot, including implementing new mortgage protections, fining big banks over $400 million for credit card services people didn’t want or know about, and assuming oversight of credit reporting agencies.
Some have challenged the legality of the appointment. But even if it was perfectly legitimate, because of the way he was appointed, Cordray can’t stay on much longer without Congressional approval. If his renomination isn’t accepted, he’ll leave the job at the end of the year.