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In a new legal filing, former NCUA Board Members Todd Harper and Tanya Otsuka cited a recent federal court decision to bolster their argument that their removals by President Donald Trump were unconstitutional.
The filing, submitted June 16 in the U.S. District Court for the District of Columbia, referenced a ruling from the District of Maryland in Mary Boyle v. Donald J. Trump, where a federal judge reinstated members of the Consumer Product Safety Commission (CPSC). The court found no separation-of-powers violation in the CPSC’s structure, even though it exercises law enforcement authority, because its actions must be approved by the U.S. Attorney General, who remains accountable to the president.
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Harper and Otsuka’s attorneys argued that the same reasoning applies to the NCUA. Unlike agencies such as the Federal Reserve or FDIC, the NCUA lacks independent litigation authority and must rely on the Department of Justice to pursue enforcement actions. This connection to the executive branch, they said, undermines Trump’s claim that their statutory removal protections infringed on presidential power.
The NCUA Board cannot appear in court or enforce penalties without the consent of the Attorney General, the filing argued, citing both legal precedent and statutory limitations.
The supplemental authority aims to reinforce the plaintiffs’ position that their term-limited, Senate-confirmed roles are protected from arbitrary dismissal and that their ouster violates constitutional norms.
The case remains under review by Judge Amir H. Ali.
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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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