Capital One Cites Money-Laundering Concerns in Trump Account Closures

Why it matters locally: As a major financial hub, New York's banking sector and businesses with national financial ties could see ripple effects from precedents set in cases involving financial institutions and high-profile entities.

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Capital One stated it terminated accounts associated with the Trump Organization in 2021 following an internal review that identified concerns about potential money laundering. The bank communicated this position in court documents, urging a judge to dismiss a lawsuit brought by businesses connected to former President Donald Trump. The bank's legal filing argued that a months-long internal investigation prompted the account closures, not the events of January 6, 2021. Hundreds of accounts belonging to Trump-affiliated entities were impacted by Capital One's decision.