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Capital One closed Trump Organization accounts after investigation
CNBC • • business
Key Points:
- Capital One defended its decision to close over 300 Trump Organization bank accounts in 2021, stating the move followed a thorough anti-money laundering (AML) review and was not politically motivated.
- This is the first instance where a bank has formally linked money laundering concerns to the Trump family business, although Capital One has not accused the Trump Organization of illegal activity.
- The Trump Organization and Eric Trump filed a lawsuit alleging the account closures were due to Capital One's "woke" beliefs and political bias after the January 6 Capitol riot, but the court has dismissed previous complaints while allowing amended filings.
- Capital One criticized the latest lawsuit as flawed and based on selective evidence, emphasizing that flagged transaction patterns align with federal banking AML guidance.
- The case reflects broader tensions between the Trump administration and major banks, with Trump previously signing an executive order against discriminatory debanking and suing JPMorgan Chase on similar grounds.
