Trump Administration Tries to Bully Banks into Funding Fossil Fuels

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Washington, DC -- Today, the Trump administration’s Office of the Comptroller of the Currency (OCC) released a new proposal aimed at forcing banks to fund fossil fuel companies. 

Over the last year, five of the six biggest American banks -- Goldman Sachs, JPMorgan Chase, Citi, Wells Fargo, and Morgan Stanley -- have all updated their lending policies to rule out funding for new drilling in the Arctic, citing significant financial and reputational risks. 

Today’s proposal from Trump’s OCC comes in response to complaints from politicians including Alaska Senator Dan Sullivan that these policies ruling out bad investments discriminate against oil companies. Banking law experts have raised questions about the legality and efficacy of these efforts to intimidate banks into supporting favored industries. 

In response, Sierra Club Senior Campaign Representative Ben Cushing released the following statement: 

"Contrary to the claims of oil-backed politicians, banks don't want to finance more drilling in the Arctic not because of some vast liberal conspiracy, but because it's bad business. The idea that this constitutes discrimination is ludicrous. No amount of saber-rattling in the final days of the Trump administration is going to change the fact that Arctic drilling is a risky investment that any savvy financial institution would stay far away from."

 

About the Sierra Club

The Sierra Club is America’s largest and most influential grassroots environmental organization, with more than 3.5 million members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.