$43M From Slush Fund

PUBLISHED: 7:16 PM 27 Jun 2018

Consumer Financial Protection Bureau Has Big Refund Coming

The democrats go-to ad agency got millions but don’t have any receipts to show where most of the money went, other than their pockets. What was spent, went to liberal political favoritism.

Mulvaney knows full well just how powerful and independent the CFBP really is, which is why he is working hard to water it down. If he had chosen to, he could have done exactly what the Democrats had been doing and totally gotten away with it.

The Consumer Financial Protection Bureau has a big refund coming. As soon as they got the news that there isn’t any paper trail for $43 million shelled out to Obama’s favorite “consulting group,” the administrator that President Donald Trump named to head the bureau demanded taxpayer’s money back.

Media consulting firm GMMB notoriously “worked closely with Obama, and still advertises its work with the Democratic Senatorial Campaign Committee and the Democratic Governor’s Association on its website.”

Basically, democrats were using the ‘bureau’ they created, to send taxpayer money to democrat sycophants. The CFPB had absolutely no oversight, and basically funneled money to liberals while targeting conservative groups.

Conservatives demanded to know why Obama’s rogue CFPB hired an ad agency in the first place. “I’m not sure why,” Mick Mulvaney reports. “I don’t think our statutory mission was being served.”

“The SEC [Securities and Exchange Commission] does not advertise that it exists. The FDIC [Federal Deposit Insurance Corporation] does not advertise that it exists.”

Mulvaney found out it was only for kickbacks and liberal political favoritism, so he canceled the deal and is clawing back all the unspent money. “If I thought I were getting a good value for my $43 million, I would not have sought to cancel the contract.”

The CFPB was created by Elizabeth Warren (D-Mass.) under Barack Obama’s regime specifically as a Democrat-controlled slush fund, funneling millions of public dollars to themselves and their supporters, to attack conservatives with.

President Trump threw a monkey wrench into liberal plans by appointing Mulvaney to head the agency, seizing control from Democrat Leandra English who is still fighting through the courts to get the seat back but is expected to lose.

As soon as he took over, Mulvaney realized the agency had way too much power and he has been steadily pulling the “watchdog” bureau’s teeth.

Mulvaney knows full well just how powerful and independent the CFBP really is, which is why he is working hard to water it down. If he had chosen to, he could have done exactly what the Democrats had been doing and totally gotten away with it.

The Federal Reserve’s Office of the Inspector General released a report on Monday revealing that under Obama, the CFPB did not verify the expenditures GMMB made during its work with the government, particularly on labor costs, and did not always monitor how the advertising firm spent money intended for media purchases.”

Because the money has always been paid up front, “It appears that the Bureau is due a refund of prepaid funds that have been accumulating at GMMB.” Mulvaney told them where to send the check.

“This is particularly aimed at my colleagues across the aisle,” Mulvaney began. “That $242 million that I spent on the building, I could take that and hire Breitbart. I could that that and hire the Drudge Report to do marketing that I like for the bureau.”

“I’m not going to do it, because it’s the wrong thing to do, but I have that kind of flexibility.”

GMMB was awarded a much smaller contract, beating out the competition with the low bid. Originally they were only supposed to get $11.5 million. “The number grew as the bureau worked with GMMB, eventually reaching $43 million total by February 2018.”

According to the audit report, the invoices didn’t show the right information. “Without reviewing source documents for the liquidation of media placement or invoiced labor-hour charges, the [auditor] could not ensure that the Bureau was accurately charged or paid the correct amount for the goods and services received.”

The OIG looked very hard at the 22 jobs that GMMB was given to do, costing the government $31 million. On the labor charges, out of the $2.5 million billed, only 1.3 million could be verified. The 67 separate invoices which listed charges for labor “did not have any details or support to show actual labor hours and rates.”

The other $27 million was allegedly spent on media purchases but “the monitoring spreadsheet does not appear to be accurate or complete.”

We do know that CFPB “made a huge ad buy” for Newsweek media company ads involved in a federal fraud scheme. One of several companies that Newsweek owns, IBTimes, was caught “buying and manipulating traffic.”

Last year, IBT “won a significant portion of a large video and display advertising campaign” for the CFPB. An investigating consulting firm concluded that the ads were presented to “a significant amount of ‘cheap junk traffic with a share of bots.’”

A spokesman for the CFPB announced, “we take the allegations of fraud very seriously. Acting Director Mulvaney is actively looking into the work done by GMMB, and these allegations will be investigated as part of that process.”

Newsweek admits they fraudulently defrauded the American taxpayer. By inflating the traffic numbers, they were able to charge more than their ads were really worth. The FCC is looking into filing criminal charges.

Now that he has the situation reasonably back under control, Mulvaney is getting ready to step down himself and concentrate on his other position, head of the White House Office of Management and Budget. His replacement has already been named.

Kathy Kraninger “has more than a decade of experience with budgets for federal agencies, including those within the Treasury, Homeland Security, Housing and Urban Development and Homeland Security departments. Her role at OMB covers seven Cabinet departments and 30 agencies, including all federal financial regulators, according to the White House.”

Senate Majority Leader Mitch McConnell (R-Ky.) likes her and House Financial Services Committee Chairman Jeb Hensarling (R-Texas) does too. “She’s well equipped to reform what they consider an unruly and unaccountable regulator.”