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CFPB Data Imperiled by Cybersecurity Contract Cancellation, Ex-Official Says

Hana.haghani by Hana.haghani
2025-03-01
in Technews
Reading Time: 2 mins read
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The termination of nearly 30 cybersecurity contracts at the US Consumer Financial Protection Bureau (CFPB) poses a significant threat to the protection of sensitive data held by the federal agency, according to a former senior official’s court filings submitted on Friday.

Erie Meyer, the former chief technologist at the CFPB, expressed in the documents that the expedited cancellation of these contracts raises critical issues regarding data preservation and the bureau’s overall operational capacity. These contract terminations were part of a broader initiative by the Trump administration to undermine the CFPB by halting its oversight functions, shutting down its Washington headquarters, and dismissing its director along with numerous staff members.

\According to Meyer, the 32 canceled cybersecurity contracts included various essential services such as vulnerability assessments, penetration testing, security audits, log analysis, VPN deployment, and the management of IT networks, systems, and applications. Meyer emphasized the importance of this data, stating it is vital for tasks ranging from identifying and aiding victims of consumer fraud to tracking financial information necessary for the bureau’s role in stabilizing financial markets and responding to consumer-related issues. Representatives from both the CFPB and the White House did not provide immediate comments on the matter. The CFPB was established in the aftermath of the 2008 financial crisis with the mission of safeguarding consumers, but it has faced ongoing criticism for allegedly exceeding its authority. Jonathan McKernan, President Trump’s nominee to lead the agency, assured the Senate Banking Committee on Thursday of his commitment to appropriately adjusting the bureau’s scope.

On February 14, Elon Musk’s government efficiency team publicly released details of some of the canceled contracts, just one day before a court ordered the preservation of all data held by the bureau. Meyer noted in her filing that the termination of these contracts raises significant concerns regarding the bureau’s adherence to the court’s directive.

Meyer’s statement was submitted alongside a lawsuit filed by the National Treasury Employees Union concerning the dismissal of employees by acting director Russell Vought, who halted nearly all CFPB operations upon assuming control on February 7. Additionally, the bureau announced on Thursday the dropping of several lawsuits initiated during the Biden administration against major lenders.

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Hana.haghani

Hana.haghani

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