- They suspect the bank of discrimination
- And found a lot of examples of illegal closing of customer accounts
- This story can become a driver of new anxiety in the markets
Recent news about banking giant JPMorgan has sparked new debate about the use of capital in the banking industry. The company was accused of systematically discriminating against its customers and closing their accounts without warning.
Republican Attorneys General of 19 states wrote an open letter with the requirement to check the work of the company. The appeal was led by Kentucky Attorney General Daniel Cameron.
In a letter addressed to JPMorgan CEO Jamie Dimon, lawyers say the bank is violating the principles of equality.
Officials put special emphasis on JPMorgan’s accusation of systemic discrimination of clients on the basis of their religious or political beliefs. And even give a specific example. The bank abruptly closed the checking account of the National Committee for Religious Freedom (NCRF), a non-profit organization that advocates the right to choose a religion for all Americans. The account was closed in May 2022. And, according to the letter, the decision was made directly by JPMorgan’s “corporate office” without any clear rationale for the client.
Attorneys general are asking the bank to publicly disclose its internal policy on closing accounts.
We will closely monitor this story, because such scandals affect the mood of investors and the financial market as a whole.
