Trump’s Long-Favored Banks Pull Back Amid Fallout From Riot
13 Jan 2021

Deutsche Bank AG and Signature Bank, two of Donald Trump’s favored lenders, are pulling away from the billionaire president in the wake of last week’s deadly riot at the U.S. Capitol.

The German lender has decided not to conduct any further business with Trump and his company, said two people with knowledge of the matter, asking not to be identified because the deliberations were confidential. Trump owes the Frankfurt-based lender more than $300 million.

Signature Bank, the New York lender that’s long catered to his family, is closing two personal accounts in which Trump held about $5.3 million, a spokesperson for the firm said on Monday. It’s also calling for the president to step aside before his term officially ends on Jan. 20.

“We believe the appropriate action would be the resignation of the president of the United States, which is in the best interests of our nation and the American people,” the bank said in a separate statement on Monday.

The lenders are following social media outlets and other companies in suspending ties with the president after he encouraged attendees at a rally last week to march on the Capitol, where they stormed the building and interrupted the certification of the electoral college vote. At least five people died in the mayhem and its immediate aftermath.

“Yesterday was a dark day for America and our democracy,” Deutsche Bank Americas head Christiana Riley posted on LinkedIn a day after the riot. “We are proud of our Constitution and stand by those who seek to uphold it to ensure that the will of the people is upheld and a peaceful transition of power takes place.”

Signature bank has served Trump and others in his orbit, including Ivanka Trump, Jared Kushner and Michael Cohen.

By Sophie Alexander, Sonali Basak and Steven Arons, Bloomberg, 12 January 2021

Read more at Bloomberg

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