The E. Barrett Prettyman U.S. Courthouse, home of the U.S. Court of Appeals for the District of Columbia Circuit. Photo: Diego M. Radzinschi/ALM
The legal challenge brought by former NCUA Board Members Todd Harper and Tanya Otsuka against their April firings by President Donald Trump is moving swiftly through the U.S. District Court for the District of Columbia.
The case, Harper et al. v. Bessent et al., was filed on April 28 and centers on allegations that the President's removal of the two Senate-confirmed board members, before the expiration of their terms, violates federal law and threatens the independence of the NCUA. The plaintiffs are seeking a preliminary injunction and summary judgment to restore the Board’s lawful composition.
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According to the court docket, Judge Amir H. Ali has adopted an expedited briefing schedule: The defendants must file their opposition to the motion by May 7, and the plaintiffs must reply by May 12. This timeline aims to provide clarity before the NCUA’s next scheduled Board meeting on May 22, a date that may be affected by the litigation’s outcome.
In their joint status report filed April 29, government attorneys noted they currently “do not know whether the National Credit Union Administration (NCUA) Board meeting scheduled for May 22, 2025, will proceed as planned”. The court has instructed the parties to notify it immediately if the meeting is postponed.
In fact, all future NCUA Board meetings on the agency's calendar beyond May are listed as “Tentative”.
Harper and Otsuka have argued that their removal undermines the statutory framework designed to ensure the NCUA’s independence and nonpartisanship. “Credit union members need a strong, independent watchdog,” Harper said when the lawsuit was filed. Otsuka added, “Weakening financial watchdogs like the NCUA puts people’s money at risk and makes it harder and more expensive to pay your bills, start a new business, or buy a home.”
The suit named President Trump, Treasury Secretary Scott Bessent, NCUA Chairman Kyle Hauptman, NCUA Executive Director Larry Fazio and a senior White House personnel official as defendants.
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Michael Ogden
Editor-in-Chief at CU Times. To connect, email at [email protected]. As Editor-in-Chief of CU Times since 2016, Michael Ogden has led the editorial team in all aspects of content strategy and execution, including the creation of the publication’s exclusive and proprietary research database of the credit union industry’s economic landscape. Under Michael’s leadership, CU Times has successfully shifted to an all-digital editorial product with new focuses on the payments, fraud, lending and regulatory beats. Most recently, he introduced a data-focused editorial product for subscribers that breaks down credit union issues into hard data, allowing for a deeper and more factual narrative for readers. In 2024, he launched the "Shared Accounts With CU Times" podcast, which offers a fresh, inside-the-newsroom perspective through interviews with leaders from the credit union industry and the regulatory world. He dives into pressing credit union issues, while revealing the personalities working behind-the-scenes to push the credit union world forward. His background includes years as a radio and TV anchor/reporter and a public relations and digital/social media manager, where he covered the food and music industries, as well as cooperatives and credit unions. Over the years, he has launched numerous exclusive video and podcast series, including a successful series of interactive backstage interviews with musicians at music festivals, showcasing his social media and live streaming production skills.
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