On July 23, the U.S. District Court for the District of Columbia issued a ruling in Harper v. Bessent that reinstated National Credit Union Administration (NCUA) Board members Todd Harper and Tanya Otsuka. Both were removed from their positions in April by the Trump administration.
The court’s decision restores the NCUA Board to its full capacity and reaffirms the independent structure Congress intended for financial regulatory agencies. Vincent Levy of Holwell Shuster & Goldberg LLP, who represented Harper and Otsuka, said in a statement:
“The Court’s decision today vindicates Congress’s judgment that the independence of financial regulators like the NCUA Board is necessary to ensure the stability of our financial markets.”
With this ruling, Harper returns to the NCUA Board as Chairman. In his statement, Harper said:
“Today’s ruling in favor of immediately restoring the Board to its full capacity is a real win for the 143 million Americans who rely on the National Credit Union Administration to protect their rights and insure their deposits. It’s also a win for all credit unions by maintaining the agency’s future independence. I look forward to once again working with my fellow Board members and the outstanding team at the NCUA to ensure our credit union system and our economy remain safe, stable, sound, secure, and fair.”
Board Member Tanya Otsuka added:
“The court's decision is a victory for the rule of law and the millions of people who use credit unions. I look forward to getting back to work to make sure we have a safe and resilient financial system.”
This ruling may carry lasting implications for governance and regulatory independence across the federal financial system. For credit unions, it reinforces continuity at the NCUA and returns the agency to its three-member leadership structure.
