Major bank drops gun policy after being slammed for discriminating against conservatives
zekuylkogda
Citigroup has reversed its firearms policies after Trump accused Wall Street of discriminating against conservatives.
The bank previously restricted services to clients selling firearms in certain circumstances after the devastating school shooting in Parkland, Florida in 2018.
However, the bank announced on Tuesday that it was scrapping its position and will have no specific firearms policy going forward.
'We appreciate the concerns that are being raised regarding 'fair access' to banking services, and we are following regulatory developments, recent executive orders and federal legislation that impact this area,' the banking giant said in a statement.
It comes after President Trump has accused lenders of denying services to certain industries or political groups because of their political leanings.
In January, Trump publicly claimed that Citi rivals Bank of America and JPMorgan Chase were denying banking services to some conservatives.
Speaking at the World Economic Forum Trump told Bank of America CEO Brian Moynihan that he hoped he would open the bank 'to conservatives, because many conservatives complain that the banks are not allowing them to do business.'
He added: 'You and Jamie and everybody… What you're doing is wrong,' referring to JPMorgan Chase CEO Jamie Dimon.
Citigroup has reversed its firearms policies after facing pressure from the White House
Both banks have previously refuted the claims.
Citi said it will also update its own employee code of conduct and access policies to include clauses that make clear it will not discriminate on the basis of political affiliation.
Last year a dozen state auditors claimed that Bank of America had engaged in 'political de-banking.'
De-banking is the process of an institution closing the of a client it deems high risk.
Bank of America said in a statement at the time that it has 'no political litmus test' for providing services.
Red states have since been pushing through laws intended to stop banks from denying services to conservatives, and the variable laws between states has created a regulatory frustration for banks.
Citi's 2018 policy stated that it would not provide banking services to retail clients that sold firearms to anyone under 21 or to those who didn't a background check.
It also said it would not serve clients that sold bump stocks or high-capacity magazines.
Trump has accused major Wall Street players of discriminating against conservatives
Citibank's offices in Long Island City, New York
Citigroup CEO Jane Fraser has reversed the bank's policy
The policy covered small businesses, commercial and institutional clients, and credit card partners.
However, it did not restrict how individual customers used their Citi cards and s.
'The policy was intended to promote the adoption of best sales practices as prudent risk management and didn't address the manufacturing of firearms,' Citi said on Tuesday.
In 2023, Citigroup was ordered to pay $25.9 million in fines and redress for illegally discriminating against some Americans when they applied for credit cards.
Between 2015 and 2021 the bank singled out applicants suspected of being of Armenian descent based on their surnames, the Consumer Financial Protection Bureau alleged.
The federal regulator said some bank employees argued internally that Armenian Americans were more likely to commit fraud and referred to applicants as 'bad guys' or as d with organized crime.
