U.S. Court of Appeals for the Federal Circuit in Washington, D.C. Photo: Diego M. Radzinschi/ALM

The U.S. Court of Appeals for the D.C. Circuit issued an administrative stay Friday that temporarily blocks a lower court’s ruling reinstating Todd Harper and Tanya Otsuka to the NCUA Board. The pause halted their return to office pending further review of the Justice Department’s emergency motion to stay the ruling during appeal.

The order came just days after a federal judge ruled that Harper and Otsuka’s April removals by President Trump were unlawful and ordered their immediate reinstatement. The July 22 ruling declared that Congress had insulated NCUA Board members from at-will removal by the President, citing the agency’s structure, statutory history and quasi-judicial functions.

The D.C. Circuit emphasized that Friday’s administrative stay is not a ruling on the merits. Instead, it is intended to give the court sufficient time to evaluate the full motion for a stay pending appeal.

The court set deadlines for both sides: Harper and Otsuka must respond to the government’s stay request by Aug. 4, and the government must file its reply by Aug. 11.

Harper and Otsuka had resumed their board duties and participated in the NCUA’s July 25 board meeting before the stay was issued. Their future participation now hinges on how the court rules on the pending stay motion and the broader appeal.

NOT FOR REPRINT

© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.