Capital One is requesting a federal judge to dismiss a lawsuit filed by the Trump Organization. The suit concerns the closure of hundreds of bank accounts in 2021. According to Capital One, the shutdowns resulted from an anti-money-laundering review, not retaliation for the January 6 Capitol riot, as claimed by the Trump enterprises.
Capital One’s lawyers have filed a motion to dismiss the case in a Florida federal court. They argue the bank closed the accounts due to anti-money-laundering reasons. The bank states the decision came after months of analysis by its financial-crimes team. This team reportedly includes staff with significant law enforcement experience.
The filings indicate the Trump Organization and related entities were not given a chance to address concerns before the account closures. It is unclear if other banks have flagged money-laundering issues with the Trump Organization since then.
A Long Dispute Over Accounts
The case involves about 385 accounts linked to the Trump Organization and businesses such as a winery and a golf course developer. These accounts were with Capital One for more than a decade before closing in mid-2021. In a revised complaint, Trump-affiliated companies argue the closures were politically motivated, not due to financial crimes.
Capital One denies these accusations. The bank claims the Trump theory relies on selective quotes and is not supported by the complete context of the bank’s records. Additionally, Capital One kept its reasons for account closures confidential, providing the Trump companies time to transfer their funds elsewhere.
Contractual Rights and Legal Disputes
Capital One maintains its contractual right to close any account at any time without notice. Judge Roy Altman had already dismissed a previous version of the lawsuit for this reason. Now, Capital One seeks a permanent dismissal of the new complaint. The bank also counters a new claim that it misled the Trump companies by remaining silent about its reasons for closing the accounts. According to Capital One, there was no obligation to explain, and banking secrecy laws would have prohibited such disclosures.
Privacy and Public Disclosure Issues
A related matter involves what information should remain sealed under the Bank Secrecy Act. Capital One seeks to keep some exhibit portions sealed, including employee names and customer accounts. The Trump companies agree to some redactions but contest others.
A similar case against JPMorgan Chase involves accounts closed in the same period. President Trump had previously directed regulators to address politically motivated ‘debanking.’ In 2019, Capital One and Deutsche Bank were involved in a lawsuit by President Trump to prevent them from releasing his financial records to Congress.