On July 23, 2025, the ABA Banking Journal reported that a federal court ruled that the firings of two former NCUA board members by President Trump were unlawful and therefore both individuals can remain on the board. Trump removed Todd Harper and Tanya Otsuka in April from the NCUA board despite both having several years left in their board terms.
Harper and Otsuka filed a lawsuit in federal court challenging their terminations from the NCUA. They argued that President Trump violated Congress’s mandate and has left the board without a quorum.
District Judge Amir Ali ruled in favor of the plaintiffs, stating that Congress established the conditions under which members of the NCUA board could be removed, and that former President Trump did not satisfy those conditions. As a result, Ali issued an injunction preventing the Trump administration from hindering Harper and Otsuka in their roles as board members.
According to the ABA Banking Journal report, the Department of Justice filed notice that it plans to appeal the ruling.
Read the full article here.
