New York Banking Commission votes to halt deposits at Capital One and Keybank

TL;DR Breakdown

  • New York City’s Banking Commission has frozen deposits into Capital One and KeyBank due to their failure to provide plans detailing efforts against discrimination.
  • Comptroller Brad Lander also voted against designating International Finance Bank, PNC Bank, and Wells Fargo to hold public funds.
  • This move sets a precedent for demanding transparency and fairness from banks, potentially initiating a global shift toward equitable banking.

The New York City Banking Commission has frozen deposits into Capital One and KeyBank, two of the city’s prominent financial institutions. However, the historic decision, sparked by the banks’ failure to submit plans detailing their efforts to combat discrimination, signifies the city’s commitment to demanding transparency and fairness in the financial sector.

Championing equity in the financial sphere

The world’s financial epicenter, New York City, has laid down the gauntlet in its push for equitable banking. This move, spearheaded by City Comptroller Brad Lander in collaboration with Mayor Eric Adams and the Department of Finance, has reiterated that banks seeking to operate within the city limits must demonstrate their commitment to fair practices.

A prerequisite for banks operating within NYC requires the submission of certificates detailing their non-discrimination policies in hiring, promotion, and service delivery. In a recent action, Capital One and KeyBank, holders of substantial city deposits—$7.2 million and $10 million, respectively—failed to meet these requirements, leading to the Commission’s decision to freeze their city deposits. This action, however, won’t affect existing accounts, which will continue servicing payments but won’t accept any new deposits.

Reinforcing social responsibility

Comptroller Brad Lander also voted against designating International Finance Bank, PNC Bank, and Wells Fargo to hold public funds in a bold move to strengthen oversight. This decision echoes his sentiment: “Banks seeking to do business with New York City must demonstrate that they will be responsible managers of public funds and responsible actors in our communities.”

Echoing these sentiments, Deputy Comptroller for Policy Annie Levers underscored the Commission’s role in ensuring the city only conducts business with banks committed to community reinvestment and fair credit practices. Her comments followed a public hearing that heard testimony from citizens who experienced discrimination in banking processes and predatory lending practices that jeopardized their rights and living conditions.

The decision to freeze deposits and the commitment to higher scrutiny is an isolated act and part of a series of actions to reinforce social responsibility in the banking sector. Twenty-six banks were certified to receive deposits from New York City agencies for the next two years, indicating that those adhering to fair practices can expect to flourish within the city limits.

New York City has sent a clear message that discrimination, in any form, will not be tolerated, especially within the city’s thriving financial sector. This pivotal move is not just a bold statement within NYC but also sets a precedent for cities worldwide to follow, potentially initiating a global shift toward a more equitable banking landscape.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

文章来源于互联网:New York Banking Commission votes to halt deposits at Capital One and Keybank

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年5月28日 03:59
Next 2023年5月28日 08:07

Related articles

  • Sega shifts its focus away from making blockchain games

    TL;DR Breakdown Sega has announced that it is not in a rush to create a game that will be infused into blockchain. The company has cited issues over values and gameplay. Description Sega, the renowned gaming company renowned for iconic titles like Sonic the Hedgehog and its classic consoles from the 80s and 90s, is reportedly scaling back its involvement in blockchain games. According to a recent report from Bloomberg, Sega Co-Chief Operating Officer Shuji Utsumi revealed that the studio will refrain from licensing its major franchises … Read more Sega, the renowned gaming company renowned for iconic titles like Sonic the Hedgehog and its classic consoles from the 80s and 90s, is reportedly scaling back its involvement in blockchain games. According to a recent report from Bloomberg, Sega Co-Chief Operating Officer Shuji Utsumi revealed that the studio will refrain from licensing its major franchises for third-party blockchain games and will not develop its in-house blockchain games. The decision stems from concerns that integrating blockchain technology may devalue Sega’s content, as well as a perception that the gameplay in many…

    Article 2023年7月10日
  • Venezuelan authorities seize Bitcoin mining machines in raid on notorious Tocoron prison

    TL;DR Breakdown Venezuelan authorities seized Bitcoin mining machines and heavy weaponry, including rocket launchers, from Tocoron prison during a raid targeting the Tren de Aragua gang. The country’s frequent electricity blackouts and a temporary ban on cryptocurrency mining have led to increased scrutiny of such operations, especially after a corruption scheme involving crypto wallets was uncovered. The prison, run by the gang, had lavish facilities like a restaurant, pool, and even a zoo; four prison guards were arrested for suspected involvement, and some inmates managed to escape during the raid. Description Venezuelan authorities have seized a collection of Bitcoin mining machines from the Tocoron prison. The operation also uncovered an array of heavy weaponry, including rocket launchers and grenades. Over 11,000 police and soldiers, backed by tanks and armored vehicles, stormed the prison. They targeted the Tren de Aragua gang, which had been using the prison … Read more Venezuelan authorities have seized a collection of Bitcoin mining machines from the Tocoron prison. The operation also uncovered an array of heavy weaponry, including rocket launchers and grenades. Over 11,000 police…

    Article 2023年9月24日
  • Chibi Finance disappears with $1 million on Arbitrum in suspected “rug pull”

    TL;DR Breakdown Chibi Finance, an Arbitrum-based DeFi project, allegedly disappears with $1 million in customer funds. The project’s cold storage was compromised, resulting in the theft of 555 ether (ETH). The Chibi Finance team used Tornado Cash to conceal their transactions and make tracking difficult. Description The decentralized finance (DeFi) space has suffered yet another setback as Chibi Finance, an innovative project running on Arbitrum, has been accused of absconding with approximately $1 million in customer funds. This disconcerting incident is a stark reminder that extensive research and caution are vital in the DeFi domain. Leading blockchain security firm PeckShield conducted … Read more The decentralized finance (DeFi) space has suffered yet another setback as Chibi Finance, an innovative project running on Arbitrum, has been accused of absconding with approximately $1 million in customer funds. This disconcerting incident is a stark reminder that extensive research and caution are vital in the DeFi domain. Leading blockchain security firm PeckShield conducted an extensive on-chain investigation, revealing that Chibi Finance’s cold storage had been compromised, resulting in the theft of 555 ether (ETH)…

    Article 2023年6月30日
  • Hong Kong Finance Minister cautions against overreliance on tax reduction for stock market survival

    TL;DR Breakdown Hong Kong’s Finance Minister, Paul Chan Mo-po, has warned that reducing the tax on securities trading may not be enough to revive the sluggish stock market. Chan expressed concerns about the unsatisfactory performance of Hong Kong’s stock market, citing an 8% decline in the Hang Seng Index in August. Chan cautioned against the newly created task force taking piecemeal stimulus measures, saying that they could fail to invigorate the market and further erode investor confidence. Description Hong Kong’s Finance Minister, Paul Chan Mo-po, cautioned that reducing the tax on securities trading might not necessarily revive the city’s sluggish stock market. This warning comes as discussions about a potential stamp duty reduction on securities have been widespread since a 13-member task force was established last week. Hong Kong’s stock market performance unsatisfactory Chan … Read more Hong Kong’s Finance Minister, Paul Chan Mo-po, cautioned that reducing the tax on securities trading might not necessarily revive the city’s sluggish stock market. This warning comes as discussions about a potential stamp duty reduction on securities have been widespread since a 13-member task…

    Article 2023年9月4日
  • U.S. has a problem with the jury selection questions in SBF trial

    TL;DR Breakdown The U.S. government has raised concerns over the defense’s proposed questions for potential jurors in the trial against former FTX CEO, Sam Bankman-Fried (SBF). U.S. Attorney Damian Williams criticized the defense’s questions as “unnecessary,” “time-consuming,” and “prejudicial.” Williams took issue with questions about pretrial publicity, effective altruism, political donations, and ADHD. Description The courtroom drama surrounding the case against Sam Bankman-Fried, the former CEO of FTX, took a new twist on September 15. As the U.S. government raised eyebrows and objections over the defense’s suggested questions for potential jurors, it became evident that selecting an impartial jury wouldn’t be straightforward. With stakes so high – the potential … Read more The courtroom drama surrounding the case against Sam Bankman-Fried, the former CEO of FTX, took a new twist on September 15. As the U.S. government raised eyebrows and objections over the defense’s suggested questions for potential jurors, it became evident that selecting an impartial jury wouldn’t be straightforward. With stakes so high – the potential imprisonment of a high-profile figure in the cryptocurrency world – the process of…

    Article 2023年9月17日
TOP