President Donald Trump sued JPMorgan Chase and its CEO, Jamie Dimon, on Thursday for closing his and related entities’ accounts in early 2021 after decades of being customers of the bank, allegedly for political reasons.
The closures came on the heels of the Jan. 6, 2021, riot by Trump supporters at the U.S. Capitol, and the president exiting the White House later that same month after his electoral loss to former President Joe Biden was confirmed.
Trump and the other plaintiffs in the case, which are business entities related to the president, are seeking at least $5 billion in civil damages.
“Plaintiffs are confident that JPMC’s unilateral decision came about as a result of political and social motivations, and JPMC’s unsubstantiated, ‘woke’ beliefs that it needed to distance itself from President Trump and his conservative political views,” the lawsuit alleges.
“In essence, JPMC debanked Plaintiffs’ Accounts because it believed that the political tide at the moment favored doing so,” says the suit, which was filed in state court in Miami-Dade County, Florida.
The suit also says that JPMorgan’s “reckless decision is leading a growing trend by financial institutions in
the United States of America to cut off a consumer’s access to banking services if their political iews contradict with those of the financial institution.”
In addition to alleging motivations for the closures, the complaint says that Trump and the plaintiffs “have recently learned that JPMC — at the direction of Dimon — “has unlawfully and unjustifiably published some or all of their names, including the names of President Trump, the Trump Organization with its affiliated entities, and/or the Trump family, on a blacklist.”
That purported blackist is accessible by federally regulated banks “and is comprised of individuals and entities that have a history of malfeasant acts and are otherwise non-compliant with applicable banking rules and regulations,” the suit says, while stating that the plaintiffs “have always complied” with banking rules and regulations.
The complaint alleges trade libel, and breach of implied covenant of good faith and fair dealing by JPMorgan.
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It also alleges violations of Florida’s Unfair and Deceptive Trade Practices Act by Dimon.
In addition to Trump, the plaintiffs include Trump Payroll Corp., and various limited liability corporations.
JPMorgan, in a statement to CNBC, said, “While we regret President Trump has sued us, we believe the suit has no merit.”
“We respect the President’s right to sue us and our right to defend ourselves – that’s what courts are for,” said the bank’s spokeswoman, Patricia Wexler. “JPMC does not close accounts for political or religious reasons.”
“We do close accounts because they create legal or regulatory risk for the company. We regret having to do so but often rules and regulatory expectations lead us to do so,” Wexler said.
“We have been asking both this Administration and prior administrations to change the rules and regulations that put us in this position, and we support the Administration’s efforts to prevent the weaponization of the banking.”