U.S. President Donald Trump filed a $5 billion lawsuit against JPMorgan Chase (JPM.N), opens new tab and its CEO Jamie Dimon on Thursday, accusing them of debanking him by closing several of his accounts to further a political agenda.
The lawsuit, filed in a Florida state court in Miami-Dade County, accused the largest U.S. bank of violating its own policies by singling out Trump to ride the “political tide.”
JPMorgan denied that it closes accounts for political or religious reasons.
“While we regret President Trump has sued us, we believe the suit has no merit,” it said. “We respect the President’s right to sue us and our right to defend ourselves.”
Trump has also attacked other lenders including Bank of America (BAC.N), opens new tab with allegations of debanking, and recently stirred up industry opposition by demanding a 10% cap on credit card interest rates.
Dimon, who has run JPMorgan for two decades and is one of the most influential figures in corporate America, told the World Economic Forum on Wednesday that capping card rates would curb access to credit for many consumers and amount to an “economic disaster.”
At the same time, industry executives have cheered the administration’s push for deregulation, which they say could cut red tape, boost profits and spur economic growth.
Trump accused JPMorgan of violating its principles unilaterally by shutting accounts belonging to him and his hospitality companies.
He also accused Dimon of ordering a malicious “blacklist” to warn other banks about doing business with the Trump Organization and Trump family members, as well as with Trump himself.
“Plaintiffs also suffered extensive reputational harm by being forced to reach out to other financial institutions in an effort to move their funds and accounts, making it clear that they had been debanked,” Trump added.
JPMorgan said it closes accounts that 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,” it said.
