Capital One says Trump Organization accounts closed after anti-money laundering review

Capital One Financial has defended its decision to close hundreds of Trump Organization bank accounts, telling a US court that the move followed an extensive anti-money laundering (AML) review rather than any political motivation.

In a court filing on Friday, the bank said its AML specialists spent months reviewing the accounts before deciding to shut them down in 2021, in line with internal policies and regulatory guidance. While Capital One stressed it has never accused the Trump Organization of illegal money laundering, it argued that the account closures were driven solely by compliance concerns.

The filing marks the first time a bank has formally linked anti-money laundering considerations to its decision to end its banking relationship with Donald Trump’s family business.

The legal battle began after Capital One notified the Trump Organization in March 2021 that it would close more than 300 affiliated accounts. In March 2025, the Trump Organization and Eric Trump sued the bank in a Florida federal court, alleging the closures were politically motivated and influenced by the climate following the January 6, 2021, attack on the US Capitol.

Capital One rejected those claims, calling the allegations “misguided” and based on selective excerpts taken out of context. The bank said the transaction patterns identified during its review were consistent with activities highlighted in federal banking guidance for AML monitoring.

The Miami federal court has already dismissed two versions of the lawsuit while allowing the plaintiffs to amend their complaint. Capital One argued that the latest amended filing, submitted in July, still suffers from the same legal deficiencies.

The dispute unfolds amid broader tensions between the Trump administration and major US banks. During his second term, President Donald Trump has accused financial institutions of discriminating against conservatives and signed an executive order in August 2025 aimed at preventing politically motivated “debanking.” Earlier this year, Trump also sued JPMorgan Chase on similar grounds.

Trump has previously clashed with major banks over financial records. In 2019, during his first term, he sued Capital One and Deutsche Bank in an effort to block them from providing his financial information to Congress as part of a Democratic-led investigation. Reports at the time claimed AML specialists at Deutsche Bank had raised concerns about certain transactions, allegations the bank denied.