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!!



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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Billy the Poet's picture



Kramer: Anyway, it's been two years. I mean isn't there like statue of limitations on that?

Jerry: Statute.

Kramer: What?

Jerry: Statute of limitations. It's not a statue.

Kramer: No, statue.

Jerry: Fine, it's a sculpture of limitations.

clade7's picture

Good example of a bubbling idiot talking to a mouth breeder!

BeanusCountus's picture

Gun dealers and gold dealers? Bet most of them report stuff, too many credit card transactions. How about congressmen and party stores?

Chupacabra-322's picture

ACTION: Contact your Senators and urge them to cosponsor S. 477, a bill that will take down Operation Choke Point once and for all.

So now, Senator Marco Rubio (R-FL) has introduced legislation to shut the doors of Operation Choke Point -- and bar all of the possible escape routes.

Rubio's bill, S. 477, would defund Operation Choke Point -- permanently. It would insure that the FDIC didn't use "fees" to fund a program which could no longer go on with appropriated funds. And it would prohibit Holder and the FDIC from reestablishing "Choke Point" under another name.

Furthermore, Rubio is committed to not just allow his legislation to lie dormant. He understands that he may have to add the proposal as an amendment to a must-pass bill. This is exactly what we will need to overcome a potential presidential veto.

Rubio's strategy can become a template for other pro-gun legislation, in addition to putting the Second Amendment community on the offense, rather than simply playing a defensive strategy.


Chupacabra-322's picture

GOA-backed “Constitutional Carry” Bills Introduced in Congress!
Rep. Marlin Stutzman (R-IN) and Sen. John Cornyn (R-TX) have introduced concealed carry reciprocity bills that will prohibit anti-gun states like New York and California from cancelling the Second Amendment rights of Americans from other states. The bills are H.R. 923 and S. 498.

If you have a concealed carry permit -- or if you come from a freedom-loving “constitutional carry” state that doesn't require one! -- you should be able to carry anywhere in the country without fear of losing your constitutional rights because of where you are.

The Stutzman/Cornyn bills are quite different from competing bills which would require constitutional carry states like Vermont to change their pro-gun laws so that their citizens could enjoy reciprocity. The Stutzman/Cornyn bills impose NO RESTRICTIONS upon pro-gun states that recognize the right of citizens to carry without a permit.

To be clear, their bills would NOT force citizens living in constitutional carry states to get a permit to travel out-of-state -- something that competing reciprocity bills would do.

Contact your Representative and Senators and urge them to cosponsor the “constitutional carry” friendly reciprocity bills (H.R. 923 and S. 498).


GeezerGeek's picture

I wonder what excuse the SCOTUS would come up with if someone pointed out that states like Florida voted against homosexual marriage but were forced to accept it because it was legal in certain other states, yet the same logic does not apply to 2nd amendment rights.

The time for tar and feathers draws nearer, which unfortunately is what TPTB want: an excuse for all-out repression.

Oldwood's picture

Marriage is love...guns are hate. Its the power of government to take care of us and promote love not hate...unless its something they hate, then not so much love.

We are quickly migrating to a banana republic as we see a piling on of so many laws, it is impossible to sort them all out, which gives them even more excuse to enforce them arbitrarily.

stacking12321's picture

strange comments, i can't relate.

marriage can be love, or it can be for convenience, or for money. marriage is a contract, and does not necessitate love.

guns are not hate, they are inanimate objects, they are merely tools. they can be used for hunting, for self-defence, or for violence. i would certainly like to have one if someone were intent on attacking me violently - wouldn't you?

it's best not to simplify things.

and this: "Its the power of government to take care of us and promote love not hate"...the government has no power, except that which it takes from the people through intimidation or force. the government never produces anything - all that it has, was stolen from hard working people by threats. i.e., give us part of your paycheck, pay us 1% of the value of your house every year, or we will take your house by force and evict you, we will garnish your wages and sieze your bank account, and don't resist or we will shoot you. that is how they get their police battle-tanks, their napalm, their NSA eavesdropping equipment.

so, to expect those that bullied you and stole from you to "promote love" as you put it, is a bizarre expectation to have. they are not in the love-promotion business, they are in the business of siezing power.

Abaco's picture

They would mumble and shuffle off to resume fellating one another.

OldPhart's picture

Yeah, I'll get right on that.

Dear Senators Boxer and Feinstein:

If you could put a halt to your fascist government, that would be great...


buyingsterling's picture

No point in taking any political action connected to the GOP, because as legions of fucktards on this site will tell you, there is no difference between the parties.

SubjectivObject's picture

... so self conscious about being right that they do nothing.

That'l work.

Billy the Poet's picture

Some folks have more sense that to stand around pushing a button that isn't connected to anything.

Billy the Poet's picture

There isn't apart from the furniture.

CunnyFunt's picture

The rule of law has become so quaint.

Cautiously Pessimistic's picture

Operation Chokepoint?  Does this have something to do with Reggie Love, Barry Soetoro and a set of plastic bed sheets?

HedgeHammer's picture

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


So the Fed is again investigating itself. Priceless

mvsjcl's picture

They're merely investigating to ensure that the implimentation is seemless.

Gringo Viejo's picture

Just purchased 4 10 ounce RCM .9999 Silver bars for under $800 paper dollars.

Like the man said in Dances With Wolves........

"Good Trade."


BrosephStiglitz's picture

Didn't they shut this down very recently?  Does someone more informed have specific information on that?

Edit:  Nevermind, watched the second vid.  Gotta love Mike Maloney, the man is on point. 

kowalli's picture

conspiracy theorists are not so crazy

CunnyFunt's picture

The conspiracy theorists who staff the MSM and those who are known as "officials" seem completely insane to me. Turn their lexicon on them.

OldPhart's picture

When the FBI shows up, just tell them what I did...

"I'm a crank, not a kook!"

vegas's picture

"WTF Sheeple, what's not to understand? We're talking about Emperor Goebbels here and his libtard Alinksy socialist robots. Rules and laws are for the little people. Fuck these guys.



Berspankme's picture

the day will come when true patriots will have to sacrifice if we are to have any chance of preserving the nation

Duc888's picture




Ayup...."land of the free"




logicalman's picture

Ayup, lad, there has never been a 'land of the free'.

It's a myth that has been used against people over and over.

If you have to try to convince someone they live there, you are attempting (in many cases succeeding) in bullshitting them.

The most potent weapon of the oppressor is the mind of the oppressed - Steve Biko

walküre's picture

First they came for the gun shop owners, I didn't say anything.

Then they came for the bullion shops, again I didn't say anything.

After that they targeted small time farmers like myself, and nobody is saying anything.

America is a fascist state run by some of the most evil corporations this planet has ever seen.

Speak up or nobody will speak for yourself when it's your turn to be investigated!

GeezerGeek's picture

Add Christian churches to the list of those who say nothing and will find out the folly of their silence. The Revolutionary War in America was supported vocally and actively by what was called the Black-Robed regiment, pastors who were boldly assertive on the side of independence. Today most churches are silent on many issues because they fear IRS interference, and few churches are bold enough to push back. The parishoners follow, acting more like ostriches than Christians.

Smiley's picture

The US government in its current state is an unmitigated clusterfuck.

Make sure you stay on good terms with friends and family living outside the states; you may find yourself doing a little fence jumping of your own soon...

OldPhart's picture

Is a mexican refugee camp better than a FEMA camp?

Smiley's picture

The Mexican camps don't have warehouses of injection molded coffins waiting to get filled.

Porous Horace's picture

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

Fundamental principles? Rule of law? Transparent government? What are these things you speak of?

Goldilocks's picture

Illegitimate is as illegitimate does.

Coletrane's picture

anything less than complete subserviance to the state is wholly unacceptable.






why bother with the pretense of the rule of law anymore ?

ghengis86's picture

Oh, we're getting closer by the day brother. Stick around a little while longer and you'll have a front row seat to the final act!

Bemused Observer's picture

People seem to get more worked up over the guns being controlled. I am much more concerned about the gold.

Of the two, guns and gold, which of them is being targeted globally? Because in this economy, you need the "gold" to get the guns...Meaning you need money. THEIR money. That THEY control the value of, your access to...By controlling your money by forcing you to use their fiat, they can, through taxation, devaluation, and inflation, insure that you are NEVER able to accumulate enough money to afford the guns they aren't coming out and taking from you.

Watch for regulations (for our own good) that have the effect of grossly inflating prices of things like guns and ammo, while lip service gets paid to that second amendment thingy...

And of course, they don't want you to stash gold in order to get around their plans, so they go all out to control that, because it doesn't look like gun control and slips past everyone's radar.

It's MONEY control, and if they get THAT they have no need for specific laws on this or that. They will control everything we need to live in this economy THROUGH their control of the money.

Fight for your gun rights if you feel threatened, but please, mind what they're doing to your MONEY...that's the key to everything.

Normalcy Bias's picture

People seem to get more worked up over the guns being controlled.

Ummm... if they have guns and you don't, good luck holding on to your gold. It's pretty simple, really...

Billy the Poet's picture

One of the benefits of a society armed according the individual's preference is that miscreants never know who has a defensive weapon and who doesn't.

Lanka's picture

During chaos, guns trump gold.  Get your guns and ammo while you still can.

samsara's picture

You may see a rise in "Flea Markets" and other venues for distribution...  At those "Cash"  places,  "Real Money"  will always work.    Outlawing  Au/Ag  will have about as much effect as outlawing drugs has on their availability. 

Crazed Smoker's picture

Stealing our pensions and savings via financial system manipulation is just low, but this is something different.  It's quite scary.  

seek's picture

A FYI, certainly the pressure needs to be kept on to permanently prevent this shit from every happening again, but so much of Choke Point's illegality has been exposed and so much pressure brought to bear already that the FDIC issued a letter basically reversing all the choke point orders about two weeks ago. We'll what happens with the CFPB, if they keep up what the FDIC was doing, they're committing political suicide.

My bet is when the rest of the investigations wrap up there's going to be some pretty massive civil suits over this hitting the administration right around the time they're leaving. When the American Banker's Association is openly calling the FDIC out on this shit, you know what we saw was nothing compared to what was actually happening.

samsara's picture

If you look at the trends,  there is a weakening in the force.

An uproar over Sezures by the Gov.  Now this,  It just goes to show something may be happening.  Vaccines - gov vs individual,  

things are changing in the base sway of the population.  That is the general mood change say around 177xish.

10mm's picture

Bad guys don't care about rights.  Hence, so should defenders. 

Proofreder's picture

  Violates the most fundamental principles of the Rule of Law ...


Well of course - we have a criminal as POTUS - what does the country expect when they elect a pot-smoking joy-rider with mostly criminal associates.  This accounts perfectly for the Us vs Them paradigm that dictates the day-to-day discourse and mind-set within 'the administration'.   Petty criminals at the core.  God help us all.

/end rant 

A Lunatic's picture

Meanwhile, nobody commits more fraud and money laundering than the U.S. Government and the TBTF financial institutions.....