– Operation Choke-Point Is Worse Than We Thought (ZeroHedge, Feb 17, 2015):
Operation Choke Point is an initiative of the DoJ that was announced in 2013 which investigates bank interactions with certain businesses believed to be at higher risk for fraud and money laundering. When first disclosed it was heavily criticised for bypassing due process with critics warning that “it’s a thinly veiled ideological attack on industries the Obama administration doesn’t like, such as gun sellers,” and precious metals dealers. However, as Mike Maloney explains, it is far worse than that… “it violates the most fundamental principles of the rule of law and accountable, transparent government.”
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From: Staff Report, 113th Congress, December 8, 2014
“At a minimum, Operation Choke Point is little more than government-mandated de-risking.
FDIC, in cooperation with the Justice Department, made sure banks understood – or in their own language, “got the message” – that maintaining relationships with certain disfavored business lines would incur enormous regulatory risk.
The effect of this policy has been to deny countless legal and legitimate merchants access to the financial system and deprive them of their very ability to exist.
Accordingly, Operation Choke Point violates the most fundamental principles of the rule of law and accountable, transparent government.”
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We strongly suggest you are not holding anything sharp while you watch these clips….
Mike Maloney digs into the details…(Introduction)
And the follow-up “it’s far worse than we thought” – Must Watch!!
Links:
Oversight Committee Report: http://oversight.house.gov/wp-content/uploads/2014/12/Staff-Report-FDIC-and-Operation-Choke-Point-12-8-2014.pdf
CPFB Compliance Bulletin: http://files.consumerfinance.gov/f/201501_cfpb_compliance-bulletin_treatment-of-confidential-supervisory-information.pdf
FDIC Press Release: https://www.fdic.gov/news/news/press/2015/pr15009.html
Hawkins Guns Targeted By Operation Chokepoint: http://usconsumers.org/hawkinsguns/
Daily Caller Report, Banks Told To Not Disclose: http://dailycaller.com/2015/01/28/do-not-disclose-obama-admin-tells-banks-to-shut-up-about-its-targeting-of-consumers-gun-dealers/
Ian Murray’s article: http://www.theblaze.com/contributions/operation-choke-point-consumer-protection-bureau-can-act-as-judge-jury-and-executioner-to-targeted-businesses/
Wikipeida entry for Operation Chokepoint: http://en.wikipedia.org/wiki/Operation_Choke_Point
Operation Choke Point is an initiative of the DoJ that was announced in 2013, which is investigating banks in the United States and the business they do with payment processors, payday lenders, and other companies believed to be at higher risk for fraud and money laundering.
This operation, first disclosed in August 2013 Wall Street Journal story has been criticized for bypassing due process; the government is pressuring the financial industry to cut off the companies’ access to banking services, without first having shown that the targeted companies are violating the law. As reported by the St. Louis Post-Dispatch, critics believe “it’s a thinly veiled ideological attack on industries the Obama administration doesn’t like, such as gun sellers and coal producers.”
The operation itself is now under investigation by two federal agencies.
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