JPMorgan Acknowledges Shutting Down Trump Accounts After January 6 - Yahoo Finance

JPMorgan Chase & Co. (NYSE:JPM) acknowledged in a court filing that it shut down bank accounts tied to President Donald Trump and several of his businesses after the Jan. 6, 2021, Capitol riot, a point now sitting at the center of Trump's $5 billion lawsuit against the lender and its chief executive. The admission lands as Trump has argued that the move was political "debanking" pushed by the Biden administration, saying he had about 20 days to shift hundreds of millions of dollars.

CNBC reports the bank's filing includes a statement from former chief administrative officer Dan Wilkening saying that in February 2021, JPMorgan told the plaintiffs that certain accounts held with its private bank and commercial bank would be closed. The filing marks the first time the bank has explicitly said it closed those accounts, after previously addressing the topic only in general terms.

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How Trump’s Lawsuit Could Shift Banking Norms

Trump's attorneys argued the filing is a major win for their side, saying, "In a devastating concession that proves President Trump’s entire claim, JPMorgan Chase admitted to unlawfully and intentionally de-banking President Trump, his family, and his businesses, causing overwhelming financial harm."

The bank is seeking to relocate the litigation to New York, citing the location of the accounts and Trump's longstanding business ties to the state. The legal battle is emerging amid growing political debate over "debanking," a term once limited to industry jargon.

Earlier, Trump cited what he described as government pressure, alleging that the Biden administration influenced the account closures after Jan. 6. Separately, CEO Jamie Dimon has warned that undermining the Federal Reserve's independence could raise inflation expectations and interest rates, comments that emerged as JPMorgan criticized a Trump-era Justice Department criminal investigation involving Jerome Powell.

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Legal Maneuvers Over Dimon’s Involvement

This legal battle comes as JPMorgan’s legal team argued that President Trump’s lawsuit incorrectly includes Dimon, claiming he was named “fraudulently” to prevent the case from being moved to federal court. The bank’s lawyers asserted that the Florida’s Deceptive and Unfair Trade Practices Act does not apply to federally regulated bank executives acting in their official capacity, emphasizing the inapplicability of the claims against Dimon.