Is Bank of America taking a political stance with its clients?
Bank of America seems to be doing all it can to obstruct any business transaction involving gums and ammunition from transpiring through its services. Last month following the Sandy Hook school shooting, the bank allegedly froze accounts of American Spirit Arms, an established arms dealer, according to company owner Joe Sirochman. American Spirit has been a client of Bank of America for a decade, however just recently faced difficulties processing deposits – a development that seriously disrupts business.
More recently, rumors have circulated that Bank of America is refusing to do business with any clients dealing with firearms. In a report denied by the bank, McMillan Fiberglass Stocks was supposedly told that, because it now manufactures firearms, its business is no longer welcome.
The blogosphere is buzzing with speculation about why Bank of America has decided to take measures against arms dealers itself, to date the only bank to do so. Critics point out that Bank of America receives billions in federal funding and is also one of two vendors processing payments for Obama’s presidential campaign. The bank has denied all charges that it has declined business from arms manufacturers and has released the following statement:
“We want to let you know that we hear your comments and questions regarding one of our customers. While we cannot discuss the details of any individual client we work with, we can assure you the allegations being made here are completely false. Bank of America does not have a policy that prohibits us from banking clients in this industry. In fact, we have numerous, longstanding customers in the industry.
“We are also extremely proud of our support of the US military and reject any assertion to the contrary. We count as clients many companies that provide for our nation’s defense. We employ thousands of veterans, Guardsmen, and Reservists, and plan to increase our hiring this year.”
This story continues to illustrate the unease businesses face with deliberations regarding the Federal Gun Control Act forthcoming. Rumors about Wal-Mart’s alleged preemptive measures also blur the line between government and commercial business.