A New York credit union challenging the appointment of Mick Mulvaney asacting director of the CFPB does not have standing to challenge theappointment, the Department of Justice said in documents filed in aNew York federal court.

“All Plaintiff’s brief offers on standing is six words in afootnote: ‘Plaintiff is regulated by the CFPB.,'" the JusticeDepartment said. "That bald assertion does not suffice.”

The Lower East Side People’s Federal Credit Union filed suit inU.S. District Court for the Southern District of New Yorkcontending that President Trump illegally appointed Office ofManagement and Budget Director Mick Mulvaney to serve as interimdirector of the agency.

The credit union contends that Leandra English, the agency’snewly appointed deputy director, should be running the agency underthe Dodd-Frank Act. However, the administration contends in thissuit and another filed by English, that the Federal Vacancies Actgave President Trump the authority to make the appointment.

When agency Director Richard Cordray resigned, he appointedEnglish as deputy director. Cordray and English argue that underDodd-Frank, English is the proper acting director since the lawstates that the deputy serves as director when the director isabsent or unavailable.

The credit union is asking for an injunction prohibitingMulvaney from serving as director.

The Justice Department said that even before considering thesubstantive argument, Judge Paul Gardephe of the Southern Districtof New York, should dismiss the suit because the credit union lacksstanding.

The department said that the credit union has not cited specificregulations they feel that Mulvaney is improperly enforcing. As aresult, it would be improper for the judge to issue a preliminaryinjunction.

And the Justice Department noted that CUNA has filed a brief inthe Washington, D.C. suit supporting the administration’s argument.The lower east side credit union is not a member of CUNA orNAFCU.