Representative Ilhan Omar (D-MN) and Senator Elizabeth Warren (D-MA) Lead Against Banking Discrimination
For years, Iranian Americans, Iranian nationals and other minority groups have been discriminated against by U.S. financial institutions who close or restrict their accounts with little to no warning. This process, which is done in an apparent overcompliance with broad sanctions on Iran, is known as “de-risking.” These incidents have been well documented, with closures impacting students far removed from financial support, individuals closing on a home or expecting a child, or even just friends paying each other back via mobile apps for Iranian food. Most recently, Bank of America was sued by an Iranian national – and permanent resident in the U.S. – for closing his account with no notice. In the lawsuit, Bank of America itself revealed that they had closed or restricted the accounts of a staggering 15,000 individuals of Iranian heritage. Given that these actions are intended to comply with various U.S. sanctions and anti-money laundering regulations, the federal government needs to step in to better safeguard minority communities from discriminatory banking practices. Thankfully, Senator Warren and Representative Omar have sent a new letter addressed to financial regulatory agencies with proposed executive actions to reduce the negative impacts of de-risking. This letter follows previous efforts to