SAN FRANCISCO, Aug 1 (Reuters) – Capital One Financial COF.N responded on Friday to a lawsuit regarding its past decision to close bank accounts associated with the Trump Organization. The bank stated this action was taken following an assessment by anti-money laundering experts.
This revelation is the first instance where a bank has officially linked money laundering concerns to the business operations of U.S. President Donald Trump’s family. Capital One is attempting to have the lawsuit dismissed by questioning the validity of claims that the Trump Organization was illegally denied banking services based on religious or political grounds.
Both the Trump Organization and Capital One did not provide immediate comments when approached.
Although Capital One has not accused the Trump Organization of money laundering, its recent filing asserts that “documents and Plaintiffs’ own allegations make clear that Capital One closed Plaintiffs’ accounts for anti-money laundering (“AML”) reasons. The closures were the result of months of analysis and a careful review by Capital One’s AML team in accordance with bank policies and regulatory guidance.”
In March 2021, Capital One announced its intention to close over 300 bank accounts associated with Trump. Subsequently, in March 2025, the Trump Organization and Eric Trump, the president’s son, initiated a lawsuit in a Florida federal court. They claimed the account closures were influenced by Capital One’s “woke” ideology and aimed to capitalize on the political climate following the January 6, 2021, Capitol riot.
‘Misguided’ Allegations: Capital One
A federal court in Miami has dismissed two complaints in this case, although plaintiffs were allowed to amend and resubmit their claims. Capital One argued that the most recent complaint, submitted in July, shares “the same fundamental flaws as their prior two pleadings.”
In its Friday filing, Capital One described the Trump Organization’s allegations of political bias as “misguided” and based on selective quotations that do not represent the full context of the documents presented to the court.
According to the filing, “The transaction patterns identified by Capital One are among the types of activity flagged by federal banking guidance.”
Since Trump’s second term began, his administration has pressured several large banks, reflecting conservative criticism that these institutions are specifically targeting those on the political right.
In August 2025, Trump signed an executive order prohibiting discriminatory debanking. Additionally, in January, Trump filed a lawsuit against JPMorgan Chase JPM.N on similar grounds, highlighting the challenging policy landscape Wall Street faces during his second term.
In 2019, during his initial term, Trump filed a lawsuit against Capital One and Deutsche Bank to prevent them from sharing financial records with Congress, amidst a probe led by Democratic lawmakers. Although anti-money laundering experts at Deutsche Bank reportedly identified suspicious transactions, these were allegedly ignored by executives; Deutsche Bank denied these claims at that time.
