Obama Names Warren to New Post -- Finds Way to Bypass Congress

WASHINGTON (AP) — President Barack Obama has named Wall Street critic Elizabeth Warren to help oversee creation of a new agency to look out for the interests of consumers in their dealings with banks, mortgage companies and other financial institutions.

Obama says the agency was Warren's idea so it only makes sense that she be "the architect" working with Treasury Secretary Timothy Geithner to get it up and running.

Despite her many critics on Wall Street and in the financial industry, Obama says that both he and Geithner agree that Warren is the best person for the job.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP's earlier story is below.

WASHINGTON (AP) — President Barack Obama has named Wall Street critic Elizabeth Warren to help oversee creation of a new agency to look out for the interests of consumers in their dealings with banks, mortgage companies and other financial institutions.

Obama says the agency was Warren's idea so it only makes sense that she be "the architect" working with Treasury Secretary Timothy Geithner to get it up and running.

Despite her many critics on Wall Street and in the financial industry, Obama says that both he and Geithner agree that Warren is the best person for the job.

UPDATE:

According to the New York Times, President Obama got around the confirmation process by naming Warren as an "assistant to the president":

Ms. Warren was named an assistant to the president, a designation that is held by senior White House staff members, including Rahm Emanuel, the chief of staff. She will also be a special adviser to the Treasury secretary, Timothy F. Geithner, and report jointly to Mr. Obama and Mr. Geithner. The financial regulation law delegated to the Treasury Department the powers of the bureau until a permanent director was appointed and confirmed by the Senate to a five-year term.

While the appointment does not preclude the possibility that Ms. Warren could eventually be named director, it does allow her to play a pivotal role in deciding whom to appoint.