According to a Breitbart.com article posted on January 8, 2014, Operation Choke Point is an outgrowth of the President’s Financial Fraud Task Force, established by President Obama by Executive Order in 2009.
It (Operation Choke Point) also appears to have been kicked off in secret by the Department of Justice, FDIC, and the CFPB in early 2013 without the requisite statutory authority. Officials at the Department of Justice have withheld information about the program from Congress, though they have eagerly shared details with federal financial institution examiners authorized to supervise and discipline the nation’s banks and related financial institutions.
In an article posted yesterday, the Daily Caller describes Operation Choke Point as follows:
Operated under a cloud of secrecy by the Department of Justice and in coordination with the Federal Deposit Insurance Corporation, Operation Choke Point forces banks to keep a closer eye on companies in industries that are deemed “high risk”, including gun and ammunition dealers, coin dealers, payday lenders, and debt consolidation service providers.
This is the story:
Mark Cohen, who owns Powderhorn Outfitters, a Hyannis, Mass. gun retailer, said that his longtime bank, TD Bank, refused to extend a line of credit because of the business he is in.
Cohen explained what happened in an interview with The Daily Caller on Friday.
“This year I went to apply for a line of credit, and the bank manager came by the store,” said Cohen, adding that he’s known the bank manager for over 20 years.
“Mark, I apologize,” she said, according to Cohen, “your credit history is great, but the bank is turning you down because you sell guns.”
Cohen told his friend and lender that he would have no choice but to close his accounts with the bank since they couldn’t provide the services his company needs.
…Cohen believes that TD Bank didn’t want to do business with his gun store because of a government initiative called Operation Choke Point.
TD Bank has since tried to make amends, but Mr. Cohen has said that he will no longer do business with them. There is no law against legally selling guns, and there is no indication or charge that Mr. Cohen was doing anything illegal. We currently have an out-of-control federal government. We have November 2014 and November 2016 to shut it down. If we elect people who will continue in the direction we are going, we deserve what we get.