Judge Blocks Biden Administration’s Attempt to Expand Lending Rules

[excalibur]

Another day, another diktat by the Biden Regime gets smacked down.

Biden and his crew of power-hungry swamp dwellers think they can do anything they want. Fortunately, much of that is getting stopped by the courts when standing is granted.

​

Government’s interpretation diverges from the law, federal judge finds.​

​

The federal government’s attempt to expand fair lending rules has been blocked for many institutions.​

​

The new rules, which had been due to take effect on April 1, are based on incorrect interpretations of federal law, U.S. District Judge Matthew Kacsmaryk ruled on March 29.​

​

Current rules, for instance, based on the Community Reinvestment Act (CRA), require banks and other lenders to provide services to low- and moderate-income people in the local community. The expanded rules stretch the definition of community to any individuals with whom the lenders do business.​

​

Government officials alleged that the word “entire” before community in the law necessitated a fresh examination of the statute and prompted the new rules.​

​

“True, ’the word ”entire“ ... should not be read out of [the statute],'” Judge Kacsmaryk wrote in his ruling. “But it does not have the effect defendants attribute to it. In modifying ‘community,’ the word ‘entire’ merely clarifies that the whole community must be served, it does not change what a ‘community’ is. If a statutory ‘community’ is created around every individual customer with whom a bank does business—regardless of whether that customer is within the geography of the bank’s physical presence—the term becomes meaningless and the statute ineffectual.”​

​

The judge, an appointee of President Donald Trump, also said that the section of the new rules that authorize federal banking agencies (FBAs) to assess deposits, instead of only credit activities, was based on an incorrect reading of the law.​

​

He pointed to how the law says the agencies shall “assess the institution’s record of meeting the credit needs of its entire community, including low- and moderate-income neighborhoods” by taking into account “capital investment, loan participation, and other ventures undertaken by the institution” provided that these activities “help meet the credit needs of local communities.”​

​

“Not a single foregoing provision—nor any other CRA provision—authorizes the FBAs to assess deposit products,” he said.​

​

The preliminary injunction blocks the rules for many groups, including the U.S. Chamber of Commerce, which sued over them. The groups said the rules should be blocked as illegal.​

​

...​

Judge Blocks Biden Administration’s Attempt to Expand Lending Rules

Government’s interpretation diverges from the law, federal judge finds.

www.theepochtimes.com

 

[1srelluc]

Forcing banks to buy into leftist dem grift is no way to run a country.

 

[Invisibleflash]

Another day, another diktat by the Biden Regime gets smacked down.

Biden and his crew of power-hungry swamp dwellers think they can do anything they want. Fortunately, much of that is getting stopped by the courts when standing is granted.

​

Government’s interpretation diverges from the law, federal judge finds.​

​

The federal government’s attempt to expand fair lending rules has been blocked for many institutions.​

​

The new rules, which had been due to take effect on April 1, are based on incorrect interpretations of federal law, U.S. District Judge Matthew Kacsmaryk ruled on March 29.​

Current rules, for instance, based on the Community Reinvestment Act (CRA), require banks and other lenders to provide services to low- and moderate-income people in the local community. The expanded rules stretch the definition of community to any individuals with whom the lenders do business.​

​

Government officials alleged that the word “entire” before community in the law necessitated a fresh examination of the statute and prompted the new rules.​

​

“True, ’the word ”entire“ ... should not be read out of [the statute],'” Judge Kacsmaryk wrote in his ruling. “But it does not have the effect defendants attribute to it. In modifying ‘community,’ the word ‘entire’ merely clarifies that the whole community must be served, it does not change what a ‘community’ is. If a statutory ‘community’ is created around every individual customer with whom a bank does business—regardless of whether that customer is within the geography of the bank’s physical presence—the term becomes meaningless and the statute ineffectual.”​

​

The judge, an appointee of President Donald Trump, also said that the section of the new rules that authorize federal banking agencies (FBAs) to assess deposits, instead of only credit activities, was based on an incorrect reading of the law.​

​

He pointed to how the law says the agencies shall “assess the institution’s record of meeting the credit needs of its entire community, including low- and moderate-income neighborhoods” by taking into account “capital investment, loan participation, and other ventures undertaken by the institution” provided that these activities “help meet the credit needs of local communities.”​

​

“Not a single foregoing provision—nor any other CRA provision—authorizes the FBAs to assess deposit products,” he said.​

​

The preliminary injunction blocks the rules for many groups, including the U.S. Chamber of Commerce, which sued over them. The groups said the rules should be blocked as illegal.​

​

...​

 

[MarathonMike]

The last time the Democrats changed lending rules to make them more "FAIR", we got the banking collapse of 2007. They never learn and they never stop trying to **** up the country.

 

[yidnar]

Forcing banks to buy into leftist dem grift is no way to run a country.

the same crap caused the crash in 08 ..

 

[1srelluc]

the same crap caused the crash in 08 ..

Maybe we can get in on the Big Short this time.

 

[Cassandro]

Congress should be required to approve agency regulations that purport to carry out its legislative purpose.

 

[Marener]

Another day, another diktat by the Biden Regime gets smacked down.

Biden and his crew of power-hungry swamp dwellers think they can do anything they want. Fortunately, much of that is getting stopped by the courts when standing is granted.

​

Government’s interpretation diverges from the law, federal judge finds.​

​

The federal government’s attempt to expand fair lending rules has been blocked for many institutions.​

​

The new rules, which had been due to take effect on April 1, are based on incorrect interpretations of federal law, U.S. District Judge Matthew Kacsmaryk ruled on March 29.​

​

Current rules, for instance, based on the Community Reinvestment Act (CRA), require banks and other lenders to provide services to low- and moderate-income people in the local community. The expanded rules stretch the definition of community to any individuals with whom the lenders do business.​

​

Government officials alleged that the word “entire” before community in the law necessitated a fresh examination of the statute and prompted the new rules.​

​

“True, ’the word ”entire“ ... should not be read out of [the statute],'” Judge Kacsmaryk wrote in his ruling. “But it does not have the effect defendants attribute to it. In modifying ‘community,’ the word ‘entire’ merely clarifies that the whole community must be served, it does not change what a ‘community’ is. If a statutory ‘community’ is created around every individual customer with whom a bank does business—regardless of whether that customer is within the geography of the bank’s physical presence—the term becomes meaningless and the statute ineffectual.”​

​

The judge, an appointee of President Donald Trump, also said that the section of the new rules that authorize federal banking agencies (FBAs) to assess deposits, instead of only credit activities, was based on an incorrect reading of the law.​

​

He pointed to how the law says the agencies shall “assess the institution’s record of meeting the credit needs of its entire community, including low- and moderate-income neighborhoods” by taking into account “capital investment, loan participation, and other ventures undertaken by the institution” provided that these activities “help meet the credit needs of local communities.”​

​

“Not a single foregoing provision—nor any other CRA provision—authorizes the FBAs to assess deposit products,” he said.​

​

The preliminary injunction blocks the rules for many groups, including the U.S. Chamber of Commerce, which sued over them. The groups said the rules should be blocked as illegal.​

​

...​

Judge Blocks Biden Administration’s Attempt to Expand Lending Rules

Government’s interpretation diverges from the law, federal judge finds.

www.theepochtimes.com

Another fringe ruling from a fringe judge.