Operation Choke-Point Is Worse Than We Thought

Tyler Durden's picture

Operation Choke Point is an initiative of the DoJ that was announced in 2013 which investigates bank interactions with certain businesses believed to be at higher risk for fraud and money laundering. When first disclosed it was heavily criticised for bypassing due process with critics warning that "it's a thinly veiled ideological attack on industries the Obama administration doesn't like, such as gun sellers," and precious metals dealers. However, as Mike Maloney explains, it is far worse than that... "it violates the most fundamental principles of the rule of law and accountable, transparent government."

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From: Staff Report, 113th Congress, December 8, 2014

"At a minimum, Operation Choke Point is little more than government-mandated de-risking.

 

FDIC, in cooperation with the Justice Department, made sure banks understood – or in their own language, “got the message” – that maintaining relationships with certain disfavored business lines would incur enormous regulatory risk.

 

The effect of this policy has been to deny countless legal and legitimate merchants access to the financial system and deprive them of their very ability to exist.

 

Accordingly, Operation Choke Point violates the most fundamental principles of the rule of law and accountable, transparent government."

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We strongly suggest you are not holding anything sharp while you watch these clips....

Mike Maloney digs into the details... (Introduction)

 

And the follow-up "it's far worse than we thought" - Must Watch!!

 

Links: 

Oversight Committee Report: http://oversight.house.gov/wp-content/uploads/2014/12/Staff-Report-FDIC-and-Operation-Choke-Point-12-8-2014.pdf

CPFB Compliance Bulletin: http://files.consumerfinance.gov/f/201501_cfpb_compliance-bulletin_treatment-of-confidential-supervisory-information.pdf

FDIC Press Release: https://www.fdic.gov/news/news/press/2015/pr15009.html

Hawkins Guns Targeted By Operation Chokepoint: http://usconsumers.org/hawkinsguns/

Daily Caller Report, Banks Told To Not Disclose: http://dailycaller.com/2015/01/28/do-not-disclose-obama-admin-tells-banks-to-shut-up-about-its-targeting-of-consumers-gun-dealers/

Ian Murray's article: http://www.theblaze.com/contributions/operation-choke-point-consumer-protection-bureau-can-act-as-judge-jury-and-executioner-to-targeted-businesses/

Wikipeida entry for Operation Chokepoint: http://en.wikipedia.org/wiki/Operation_Choke_Point

Operation Choke Point is an initiative of the DoJ that was announced in 2013, which is investigating banks in the United States and the business they do with payment processors, payday lenders, and other companies believed to be at higher risk for fraud and money laundering.

 

This operation, first disclosed in August 2013 Wall Street Journal story has been criticized for bypassing due process; the government is pressuring the financial industry to cut off the companies' access to banking services, without first having shown that the targeted companies are violating the law. As reported by the St. Louis Post-Dispatch, critics believe "it's a thinly veiled ideological attack on industries the Obama administration doesn't like, such as gun sellers and coal producers."

 

The operation itself is now under investigation by two federal agencies.

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somecallmetimmah's picture

Generation to generation, progressive fascists don't really change that much.

Arrowflinger's picture

Full choke in 12 guage is a great deer gun. Government doesn't need to be giving the full choke to the 2nd Amendment

Proofreder's picture

It's a Choke-Hold, as in New York City - 

Illegal, but still used a lot, by cops and banksters alike it seems.

Now what could they have in common - both are pigs ?

A Lunatic's picture

It's time for Operation Choke a Congressman.......

SafelyGraze's picture

operation choke point is an anagram

NoDebt's picture

And.... here's the punchline:  the next President will support it fully, no matter which party they are from or what they claim to support during their campaign.

Absolute control's a hell of a drug.

Payne's picture

State owned and Chartered with no FDIC regulations or guarantees (bankrupt promises).

 

http://banknd.nd.gov/about_BND/index.html

Stackers's picture

Anyone want to bet Cass Sunstein was neck deep in writing this ?

buyingsterling's picture

This must be a non-story with zero impact. Republicans held power for years and never pulled this crap, but since there's no difference between the parties, this was inevitable, right? It didn't require the rancid President Pimp and is army of malevolent monkeys, it was always right around the corner regardless of party power.

Billy the Poet's picture

 

 

"but since there's no difference between the parties, this was inevitable, right?"

Right.

 

"it was always right around the corner regardless of party power."

Wrong. The owners decided that this action was required at this time and the current manager simply did what he was told to do.

 

 

stacking12321's picture

simple solution:

use bitcoin for transactions the govt doesn't approve of.

when bitcoins are outlawed, only outlaws will use bitcoin!

 

commander gruze?'s picture

Perfect way to choke the gov't.

Anyone can just as well get a .1 of bitcoin for the sake of experiment. Put them on paper wallet, make a backup copy or two, put them in a safe.

freedogger's picture

How is it a solution? Chokepoint is all about targeting any bank that deals with bitcoin. They won't touch it. Have you tried getting any money out of an exchange lately? Almost impossible.

stacking12321's picture

bitcoin is a currency that can be used to buy things the govt doesn't approve of - gold, guns, what have you. and there is no central point of control, it does not require banks.

you're asking if i got $USD out of a bicoin exchange lately ($USD are not money as you probably know)?

yes i have, it's no problem. i have a fidelity account linked to coinbase, just sold 5BTC a few days ago, deposit just showed up in my account:

02/18/2015 DIRECT DEPOSIT COINBASE.COM8003435845 (Cash) $1,233.89        
Hope Copy's picture

LoL, but not for the general public.  Only been through Bismark once, as I saw it a lovely town.

Hope Copy's picture

LoL, but not for the general public.  Only been through Bismark once, as I saw it a lovely town.

A Nanny Moose's picture

The same way future Presidents (of what, we don't quite know) supported the Alien and Sedition Act.

A greater drug is control conferred by those long since dead.

PAWNMAN's picture

I can attest to this firsthand as a pawn shop owner. The list of banks that would deal with us get smaller every year.

Beam Me Up Scotty's picture

"Generation to generation, progressive fascists don't really change that much."

Ya they do.  They get worse and worse, because in every situation, it would have worked if we had just done MOAR of it!!

Save_America1st's picture

yep, because they're regressive, not progressive, and they continue to degenerate into deeper and darker psychosis the longer we allow them to exist.

nmewn's picture

Now there's something I can never get across to my "progressive friends".

Progressivism is regressive.

"We need moar regulations!" No, you have known consequences for breaking them now.

"We need another law!" Because the mountain of laws we have now have worked so well?

"You're simplistic, every issue is different & complex!" No its not. You gave way too much power to the ones who screwed up complex issues the last time, because you're the simpleton.

knukles's picture

We got the same Progressive buds!

Greenskeeper_Carl's picture

I still like john stossels 'stossel rule' which simply states that before they can pass any new law, they first must repeal 2 old, stupid ones'. I personally think instead of 2, it should be more like 10, but it's a nice idea.

A Nanny Moose's picture

Fuck that.

Any vote is, by default a Nay, if the voting party is not present. No more quorums, no more not present votes. If something is important enough, you will get your ass in the chair, and fucking vote.

This is second choice to requiring a consensus in the original meaning...unanimity.

A Nanny Moose's picture

It seems to be contagious.

Ignatius's picture

.

"it violates the most fundamental principles of the rule of law and accountable, transparent government."

As does secret evidence, secret courts, secret trials, extra-legal detention authority, asset forfeiture, NSA mass surveillence, torture....

Did I miss any?

logicalman's picture

You almost certainly did miss some, but you mostly got the important stuff.

Violating the most fundamental principles of the rule of law and accountable, transparent government IS THE PLAN.

We need to find the dude with the cat on his lap, who's making the plan, and off the fucker.

A Lunatic's picture

I hate cats as much as the next guy, but do you really think that is the solution...........??

logicalman's picture

A reference to Ernst Stavro Blofeld.

http://en.wikipedia.org/wiki/Ernst_Stavro_Blofeld

It's not the cat that bothered me.

Row Well Number 41's picture

There is nothing more Libertarian in the world then a cat that can hunt.

 

#41

Global Douche's picture

Don't forget that gradually-dying breed of ubiquitous Red Light SCAMeras! (whereas a lack of due process per the States), The TSA with Big Sister's No-Fly-List that even Swimmer Ted Kennedy had issues with. Finally, the government militarization of local police under the 1033 program gets some needed attention, but I don't see any real reform.

Too bad "Meh!" doesn't rhyme with Word or Bird, or I'd have a killer parody written up for the masses to sing loudly with their middle fingers extended vertically, jumping like banshees.

logicalman's picture

Due process...

You have been duly processed, more like.

El Vaquero's picture

It's funny how ineffective those red light camera programs get once the population figures out that they aren't enforcable.  In Rio Rancho, NM, something like 40% of those tickets are unpaid.  Albuquerque has since nixed its program, but before it had, the state ordered Abq to remove it's biggest moneymaker down because it was on a state road.  You should have heard one of the city councilors squealing about the lost revenues on the radio.  Then Redflex, the company that made the cameras, started threatening Albuquerque that it would sue over 90,000 unpaid tickets, so Abq handed the rights to sue over to Redflex, and it started threatening to sue people.  Nothing came of it last I heard.  

Charming Anarchist's picture

Ineffective?   The goal is not traffic reduction. 

Methinks the goal is to have cameras installed on every street.  It looks like a success to me. 

El Vaquero's picture

Their goal is a bigger revenue stream.  Their goal is to fleece the public and enrich the camera company (cronies) and the public coffers.  Enough people are simply throwing the tickets in the trash and not paying them to severely reduce that revenue stream.  

Oldwood's picture

It's the only way we can be "safe".

Don't you feel so much more secure knowing there is something or someone watching you ever moment?

Abaco's picture

Pellet guns and paintballs

mvsjcl's picture

Nothing surprises me anymore. I'm far beyond that.

FreeShitter's picture

Im numb to life, its better just to be numb to it all.

Ignatius's picture

What drugs do you recommend?

Big Corked Boots's picture

Lithium, Vybrid, Xanax and Prozac, in that order; wash it down with Everclear.

Works for me.

A Nanny Moose's picture

Grape juice. Preferably fermented.

OldPhart's picture

Blue Agave Cactus Juice, highly fermented

yogibear's picture

Obama and the socialist  can shut down businesses they don't approve of. 

Just like Eric Holder's Just-Us department rewriting  the statue of limitations against his bankster buddies.

More and more rights and liberties taken away from the sheeple. 

Anyone wonder how Adolph Hitler took over Germany? We are living it. 

A Nanny Moose's picture

Abolition of all private property - Check

Social welfare - Check

Education System - Check

Sovereign Insolvency blamed on a myriad of Strawmen - Check

Wait a minute, this is sounding a lot like that guy with the 10 planks....fuck!!!