Capital One Financial has stated that it closed the Trump Organization’s bank accounts several years ago following a review by its anti-money-laundering specialists, marking the first time a bank has formally linked money-laundering concerns to Donald Trump’s family business.
The disclosure came in a court filing on Friday as the bank sought to dismiss a lawsuit brought by the Trump Organization, which alleges it was illegally “debanked” — denied financial services on political or religious grounds.
Capital One is casting doubt on those claims by pointing to the internal review, which it says was conducted by experts assessing potential compliance risks rather than any political motivation. The account closures date back to 2021, in the aftermath of the January 6 attack on the U.S. Capitol.
The Trump Organization filed suit against the lender, arguing the decision to sever ties amounted to unlawful discrimination. The company has framed the closures as part of a broader pattern of financial institutions distancing themselves from Trump-affiliated businesses.
Debanking has become a politically charged issue in the United States, with allegations from various quarters that banks have severed relationships over ideological or reputational considerations. Financial institutions counter that account closures typically stem from regulatory obligations and internal risk assessments.
Anti-money-laundering rules require U.S. banks to monitor client activity, report suspicious transactions and, in some cases, terminate relationships that they judge to carry elevated compliance risk. Banks are generally limited in what they can publicly disclose about such decisions.
Capital One has grown into one of the largest consumer lenders in the country. Regulators earlier approved its acquisition of Discover, a deal that further expanded its footprint in the payments and card markets and drew scrutiny from officials and competitors alike.
The lawsuit adds to a series of legal disputes involving the president’s business interests, several of which have intersected with the financial sector during and after his time in office.
A court will now weigh Capital One’s motion to dismiss. The outcome could shape how future debanking claims are litigated and how much detail banks must provide when justifying the closure of high-profile accounts.