Operation Chokepoint 2.0: Trump Files $5B Lawsuit Against JPMorgan Over Alleged Debanking

President Donald Trump is suing JPMorgan Chase and Co. and  CEO Jamie Dimon for at least $5 billion in damages. He is accusing the bank of illegally terminating his accounts because of political reasons.

The complaint was filed on Thursday in Miami-Dade County. It is the most publicized legal splash so far in Trump’s revitalized efforts to stop what he termed politically-motivated attempts by large American financial institutions to debank him.

Trump Cites Political Reasons For JPMorgan’s Debanking

In a filing cited in a Bloomberg report, Trump asserted that JPMorgan suddenly halted its banking services to him, his companies, and other entities associated with him without prior notice. The claims in the lawsuit include trade libel, breach of the implied covenant of good faith, and violation of Florida’s Deceptive Trade Practices Act (FDUTPA).

The filing is happening a few days after a Coingape report stated that Trump would sue JPMorgan in weeks for the same reason. The legal team of Trump claimed that the decision would cause major financial and reputational damage.

The court document says JPMorgan shut down Trump-related accounts approximately seven weeks following the January 6, 2021, U.S. Capitol riot.

Trump also claimed that the bank did not do so because of risk exposure, but because it was best not to associate with him at that time due to his political ideology, which was deemed conservative.

The filing also alleged that JPMorgan blacklisted Trump, the Trump Organization, and his family members. Thus, this denied them wealth management services.

JPMorgan Rejects Claims But Faces Scrutiny

JPMorgan has strongly dismissed the charges. In a quote from the Bloomberg article, the bank stated that it does not shut accounts based on political or religious grounds.

The banking giant claimed that it can sometimes terminate accounts due to legal, regulatory, or compliance risks. However, it asserted that, in many cases, changing regulatory expectations prompt a bank to make such a decision. It is worth noting that JPMorgan has also faced allegations of debanking crypto stakeholders.

Senator Lummis once called out JPMorgan for allegedly debanking Bitcoin advocate Jack Mallers. Meanwhile, Tyler Winklevoss, Gemini’s co-founder, claimed that JPMorgan Chase halted their onboarding process.

The legal filing that Trump has submitted makes reference to Florida laws. These forbid the termination of any customer account by a financial institution on the basis of political opinions or affiliations.