Since the termination of Operation Choke Point, some have questioned whether Obama-era federal regulators really did engage in systematic and top-down attempts to squeeze off access to financial services for businesses that were lawful but disliked. Now Rep. Blaine Luetkemeyer (R-Mo.) has released documents produced in connection with a lawsuit against the Federal Deposit Insurance Corporation. They show extensive pressure by numerous FDIC regional directors and other officials on regulated banks to terminate customer relationships with payday lenders (the banks were generally already not themselves engaged in such lending). They also include repeated wordings about how higher-ups wanted the pressure applied and that banks’ decisions to cut off customers should be styled as if it were a voluntary choice. [Luetkemeyer press release; Norbert Michel, Forbes; John Berlau, Forbes; trade group Community Financial Services of America]
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And of course all our public employees deny any wrongdoing. Norbert Michel’s piece in Forbes led me to Wikipedia for background study. This Wiki bit stood out:
“Bishop characterizes CFPB head Elizabeth Warren’s defense of Choke Point as heavy-handed and furthermore as “ideological imperialism” when applied to sovereign tribal territory.”