CFPB And DOJ Teaming Up In Enforcement And Other CFPB Updates

Consumer Financial Protection Bureau (CFPB or Bureau) investigational fact finding – whether through a civil investigative demand (CID) or other means – might yield evidence for civil lawsuits brought by the Bureau and potential evidence for criminal matters prosecuted by the Department of Justice (DOJ). In addition to the monetary relief and civil money penalties the CFPB can impose, the Consumer Financial Protection Act (Title X of the Dodd-Frank Act) provides that if the CFPB "obtains evidence" of conduct that "may constitute a violation of Federal criminal law, the Bureau shall transmit such evidence" to the DOJ. Individuals or companies that receive a CID from the CFPB should take these requests seriously and approach them as if they are evidence-gathering mechanisms with far-reaching consequences. Recent enforcement actions demonstrate the extent to which the CFPB and DOJ are working together to investigate and prosecute alleged violations of consumer protection