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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Atomizer's picture

Chrome dome Janet Yellen must have her Calvin Klein boxers in a knot. How dare they go after a ponzi scheme enterprise.

GMacTrader's picture

Well I just figured out why my accounts at Chase was closed and they wouldn't tell me why!

Vinividivinci's picture

Who gives a cluck !
I can barely afford smokes with my part-time dishwashing job.
I won't be buying any PM's anytime soon...
Thanks Mr. Harper !

samsara's picture

I think you are wrong somewhat. (I've been where you are believe me),  

Save up and buy an Oz of Silver once a month.   20something bucks maybe at a coin shop.  

Just keep doing that.   Think long term. YOU have your accumulated worth with you...

(just as big as a roll of coins....  You can hide it anywhere. 

Global Douche's picture

This is disgusting, but you know what I'm thinking deep inside? Could the CFPB and Operation Choke Point be all about diverting and hiding the fact that the Treasury likely has no gold remaining and our Dear Emperor on Pennsylvania Avenue has no clothes? (except for the TV cameras and the golf course.)

Son of Captain Nemo's picture

On that list in the first video, Mike forgot to mention gun sho...  Oh wait a minute!

Guess all the bases are covered!!!

If anybody had doubts about confiscation after watching this, we'd love to hear you say that we're just paranoid?!!!!

Cloud9.5's picture

You know as I look back over the series of abuses heaped upon the colonies I have come to realize that it was a slow fermentation that gave rise to revolution.  The act that lit the fuse in both Massachusetts and Virginia was a move against ammunition.   The men who shot the crap out of the British Army in Massachusetts were not the well-organized militia touted in the Second Amendment.  The organized militia had been blown away earlier in the day on Lexington Green. It was a swarm of several thousand lone wolves that shot the British Army to pieces. 

 

The Southern Poverty Law Center has its panties in a wad about lone wolves  for good reason.  Here is a thought for you progressive types.  An army is a fighting force of about fifty thousand men. If ATF stats are right, enough firearms have been bought every two days since the election of President Obama to outfit an army. Got that every two days?  Now if you take three percent of the gun owners in the U.S. that leaves you with a force of about 2,250,000 men. That is three percent of the gun owning public who will more than likely shoot the man that comes for their guns.  That’s two million, two hundred and fifty thousand lone wolves or thought of another way, a swarm of fifty armies.

 

You cannot disarm the American public.  Any serious effort will burn down what is left of the Republic.

 

 

Operation Choke Hold is too little too late and is but just another of the abuses heaped on the population.  As in the prerevolutionary period, we will bitch and moan and do little or nothing until some plutocrat lights the fuse. And then it is on.

thebigunit's picture

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

I took this advice seriously.

But even the risk of my head exploding was enough to discourage me from watching.

Atomizer's picture

Twitter v. Holder Suit to Disclose NSLs

http://cryptome.org/2015/02/twitter-nsl-001-028-034-037-042.pdf

 

No comment needed.

dexter_morgan's picture

Ho Lee Fuk - bastards

He really like that backdoor shit don't he

WTF_247's picture

The reasons these types of programs gets more and more popular is:

  1. The govt has gotten better at creating and enforcing laws  and regulations that help it to hide illegal things legally
  2. These laws then used to start all kinds of hidden programs, off budget that cannot be inquired into
  3. The govt has figured out it has No Constitutional Bounds (Yaaay!) in these programs because the very existence is hidden, giving them full reign to do whatever they want.
  4. The govt is able to "coerce" (blackmail) corporations into going along (when needed) by making them a deal they cannnot refuse.
  5. There is NO RECOURSE to the public for getting caught - there is no way to gather enough details to prosecute anyone - its all hidden.
  6. Even if they get caught, they hide behind some bullshit "legal opinion" they have drafted up which tells them the program is ok - essentially a get out of jail free card for everyone involved (those few they may be able to identify.

The biggest issue is that any program like this, once hidden, is exceedingly hard to stop even if you find out about it.  All the documents, even the existence of the program itself, is sheilded.  You sue under Freedom of Information Act, they give you nothing, stating no such program exists.

This is a relatively low level program - hence the ability to try to stop it.  I think the really evil ones we will never find out about.

 

q99x2's picture

Bitcoin last price $243

22winmag's picture

Big surprise (or not)... Wikipedia is full of shit claming Chokepoint is essentially finished.

 

Better stock up on M855 before the BATFE pulls the plug on it.

R19's picture

#keephimonthegolfcourseasmuchaspossible

Manipuflation's picture

My bank won't stop calling me about purchases and especially when I make a coin purchase as I did this morning.  We had to run through all of the purchases that I made right down to buying some gasoline the other day.  The kid on the phone from was about 23 years old or something like that.  This is the third time this has happened in the last few weeks.  No one called when I paid off ALL of my debt.  So now I have no debt and almost no seizable assets other than a life insurance policy and about 12K in vehicles.  That drives them absolutely crazy because most people my age do not do that.  It drives them nuts that I am stacking PM's.  They know I have some but they do not know how much.  They can't comprehend what I am doing so therefore I must be a terrorist.  No, I just don't want to pay interest to any banks.  Pretty simple.

 

R19's picture

Buy some snapchat.  That will get them,

Manipuflation's picture

You cracked me up with that one.  I had no idea what snapchat was.  I looked it up.  I don't think that it fits what I am doing but that was a good one.;-)

Jack Daniels Esq's picture

USG - total failure post WWII

1stepcloser's picture

looks like the Nazi party won WWII.  And captain America is a documentary.

 

-Hail Hydra

MickV's picture

You all (some, many) still don't get it. THERE IS NO "United States" or "Constitution". It was ended by the installation of an illegal executor of the laws, Hussein Obama, who was born a British subject, of a British subject father, and thus is not a natural born Citizen. There is no law when the executor of the laws is an illegal entity. The only way back to the Republic is to oust the criminal Usurper puppet, and hang the criminal co-conspirators in Congess. Until then the beatings will comtinue. There is no law for them, only for you.

redman38's picture

thanks zero hedge

Shitgum Suicide's picture
Shitgum Suicide (not verified) Feb 18, 2015 10:01 AM

Mike Maloney said that operation choke point was going after ponzi schemes. Well I guess that makes engaging in the social security system as well as filing a tax return ILLEGAL now doesn't it?