Former US President Donald Trump has declared he will file a lawsuit against banking giant JPMorgan Chase, alleging the institution improperly severed its financial ties with him following the January 6th Capitol riot.
Lawsuit Threat and Denial Over Fed Role
In a social media post on Saturday, Trump stated his intention to sue the largest bank in the United States within the next two weeks. He claims JPMorgan Chase "incorrectly and inappropriately" debanked him after the protest at the US Capitol on 6 January 2021.
Trump tied this threat to his criticism of a recent Wall Street Journal report. That article claimed he had once offered the top job at the US Federal Reserve to JPMorgan's chief executive, Jamie Dimon. The former president insists this report is false and that no such offer was ever made.
Unsubstantiated Claims and Bank Rejections
Trump reiterated his unverified assertion that his banking access was cut off after the Capitol attack, though he provided no evidence. He also repeated his baseless claim that the 2020 presidential election was "rigged" against him.
He has previously alleged that several major banks, including Bank of America alongside JPMorgan, refused his business post-January 6th. Both financial institutions have strongly denied these accusations. JPMorgan was contacted for a fresh comment on the latest threat.
Broader Feud Over Federal Reserve Independence
The lawsuit threat comes amid a wider clash between Trump and the banking establishment over the Federal Reserve. Last week, Dimon warned that Trump's attacks on the current Fed chair, Jerome Powell, risked the central bank's independence and could backfire by pushing interest rates and inflation higher.
Trump defended his criticism of Powell, stating, "I think it's fine what I'm doing. And we have a bad Fed person." Responding to Dimon's caution, Trump said this week, "I think he's wrong. We should have lower [interest] rates. Jamie Dimon probably wants higher rates, maybe he makes more money that way."
Powell, who is facing a Justice Department investigation over renovations to the Fed's headquarters, has suggested the Fed is being targeted for not acquiescing to Trump's demands for lower rates. Trump claims he was unaware of the probe before it became public.
The former president also used his Saturday post to criticise the Wall Street Journal's fact-checking, warning its credibility would "continue to DIVE". This follows a separate $10bn libel lawsuit Trump filed last year against the paper's owner, Rupert Murdoch, and two reporters.
