Trump sues Jamie Dimon, JPMorgan Chase over debanking
A lawsuit was filed against President Donald Trump JPMorgan Chase and CEO Jamie Dimon sued Thursday for closing his and related entities’ accounts in early 2021 after being a customer of the bank for decades, allegedly for political reasons.
The closures come on the heels of the Jan. 6, 2021, insurrection at the U.S. Capitol by Trump supporters and the president’s departure from the White House later that month following the confirmation of his election loss to former President Joe Biden.
JPMorgan on Thursday denied closing Trump’s accounts for political reasons and suggested the closures were due to federal rules and regulations that the bank sought to change during this and previous presidential administrations.
Trump and other plaintiffs in the case, business entities affiliated with the president, are seeking at least $5 billion in damages.
“Plaintiffs are confident that JPMC’s unilateral decision arose as a result of political and social motivations and unfounded ‘evoked’ beliefs that JPMC should distance itself from President Trump and his conservative political views,” the lawsuit alleges.
“In fact, JPMC canceled Plaintiffs’ Accounts bank account because it believed that the political trend of the moment favored it,” says the lawsuit filed in state court in Miami-Dade County, Florida.
The lawsuit states that JPMorgan did not explain why the bank terminated the accounts, but that “plaintiffs later learned that their banks had been wiped out as a result of political discrimination against President Trump, the Trump Organization, its affiliates, and/or the Trump family.”
The lawsuit does not include details of what the plaintiffs learned to prove this claim.
The lawsuit also states that JPMorgan’s “reckless decision is leading a growing trend of financial institutions.”
“The United States will cut off a consumer’s access to banking services if their political views conflict with those of the financial institution.”
Besides alleging motivation for the shutdowns, the complaint states that Trump and the plaintiffs “recently learned that JPMC — at Dimon’s direction — “had blacklisted some or all of their names, including the names of President Trump, the Trump Organization and its affiliates, and/or the Trump family.”
The lawsuit states that the plaintiff “has always complied with banking rules and regulations,” and that the so-called blackjack is accessible by federally regulated banks and “consists of individuals and entities with a history of malicious conduct and failure to comply with applicable banking rules and regulations.”
The complaint does not give an official name to the blacklist in question, nor does it indicate that it is part of the government’s regulatory apparatus.
The complaint alleges trade libel and violation of JPMorgan’s implied covenant of good faith and fair dealing.
Dimon also allegedly violated Florida’s Unfair and Deceptive Trade Practices Act.
In addition to Trump, the plaintiffs include Trump Payroll Corp. and various limited companies.
“While we regret that President Trump is suing us, we believe the lawsuit has no merit,” JPMorgan said in a statement to CNBC.
“We respect the president’s right to sue us and our right to defend ourselves; that’s what the courts are for,” said Patricia Wexler, a spokeswoman for the bank. “JPMC does not close accounts for political or religious reasons.”
“We close accounts because they pose legal or regulatory risk to the company. We regret having to do this, but often rules and regulatory expectations direct us to do so,” Wexler said.
“We demand that both this Administration and previous administrations change the rules and regulations that have put us in this position, and we support the Administration’s efforts to prevent the weaponization of banking.”
