Two members of the NCUA Board have issued strong public statements after being abruptly removed from their posts by President Donald Trump, raising concerns about the independence of the nation’s credit union regulator.
Former Board Member Todd Harper called his firing “wrong” and “politically motivated,” warning it could undermine public trust in the financial system. “It violates the bipartisan statutory framework adopted by Congress to protect credit union members and their deposits,” Harper said.
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“This ill-conceived and politically motivated decision to fire me before the end of my term upsets that important regulatory balance and will harm consumers.”
Harper, a longtime regulator appointed by Trump in 2019 and later designated as NCUA Chairman by President Joe Biden in 2021, was serving a term set to expire in 2027. He emphasized his record of bipartisan leadership and his work to protect low-income consumers and strengthen the credit union system.
Board Member Tanya Otsuka, also dismissed this week, echoed Harper’s concerns. “Unfortunately, President Trump has decided to put politics above consumers and the safety of our financial system,” Otsuka said. “Congress established the Board of the NCUA ... to be bipartisan and independent. Our independence is critical to maintaining confidence and stability in the financial system.”
Otsuka, who was informed of her termination by email, added: “I am just the latest public servant the President has attempted to remove. I intend to keep fighting for the rule of law and to protect the millions of Americans who put their hard-earned money in credit unions.”
The NCUA declined to comment on the abrupt removal of Harper and Otsuka.
Wednesday’s news came less than a week after it was reported that members of the Department of Government Efficiency (DOGE) had entered the NCUA. DOGE, led by Elon Musk, has implemented sweeping reforms across many federal agencies aimed at reducing government size and increasing efficiency. These reforms have included significant workforce reductions and restructuring efforts, raising concerns among federal employees and stakeholders.
According to sources inside the NCUA, as of Wednesday morning, some senior staff members, including members of Harper’s and Otsuka’s staff, were shut out of their agency phones and computers. CU Times has not been able to confirm if members of Harper's and Otsuka's teams remain at the NCUA.
Also, an untold number of NCUA staff have opted to sign on to the agency’s Deferred Resignation Program, which means eligible employees have agreed to resign at a predetermined date.
The NCUA Board meeting that was scheduled for Thursday has been canceled. The Board was set to discuss the agency’s Voluntary Separation Programs with only one Board member, Chairman Kyle Hauptman.
Since Hauptman was appointed Chairman of the NCUA Board by President Trump in January, the Board has only met once and that was in February.
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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.
