By Dave Workman
Editor-in-Chief
Citigroup announced Tuesday it is scrapping its “universal firearms policy” adopted in 2018 in reaction to a mass high school shooting, and instead shifting its banking practices “with the intent of striking the right balance between our commitment to fair and unbiased access to our products while continuing to manage all risks to the bank appropriately,” according to a company announcement.
But, according to the Financial Times, “Citigroup has revoked a policy curbing its dealings with companies that sell firearms in the latest sign of how corporate America is shifting its approach on major political issues under pressure from Donald Trump.”
According to William Sack, director of legal operations for the Second Amendment Foundation, this isn’t a display of altruism on Citi’s part.
“Since 2018 Citi has enforced its so-called ‘Universal Firearms Policy,’ which restricted access to banking services related to constitutionally protected conduct – namely, the sale and acquisition of firearms,” Sack recalled. “In its memo announcing the policy, Citi made clear that its dissatisfaction with what it deemed to be congressional ‘inaction’ on gun control was the impetus for adopting its own unilaterally imposed gun control against its customers. Citi customers who desired to continue making use of basic banking services were now required to enforce Citi’s own demand for universal background checks, unconstitutional bans on firearms sales to adults under 21, and the ban on the sale of entirely legal bump stocks and constitutionally protected standard capacity magazines.
“Now,” Sack added, “Citi admits that the legislative and regulatory zeitgeist has shifted, and so it has now made the ‘brave’ decision to align with the current administration and abandon this policy. Second Amendment Foundation welcomes this change, while reminding Citi and the rest of the banking industry that both SAF and the American people will keep a vigilant eye on them moving forward.”
SAF founder and Executive Vice President Alan Gottlieb concurred, and tersely observed, “It’s like putting lipstick on a pig.”
According to the Citigroup release, “Citi has always been fully committed to treating all current and potential clients fairly and we have policies, procedures and controls in place for this express purpose. At the same time, we appreciate the concerns that are being raised regarding ‘fair access’ to banking services, and we are following regulatory developments, recent Executive Orders and federal legislation that impact this area…
“We also will no longer have a specific policy as it relates to firearms,” the announcement states. “Our U.S. Commercial Firearms Policy was implemented in 2018 and pertained to sale of firearms by our retail clients and partners. The policy was intended to promote the adoption of best sales practices as prudent risk management and didn’t address the manufacturing of firearms. Many retailers have been following these best practices, and we hope communities and lawmakers will continue to seek out ways to prevent the tragic consequences of gun violence.
“These changes reinforce our commitment to serve all clients fairly, and we will continue to work with regulators and elected officials on ways to improve transparency and trust in the banking sector,” Citi said
Financial Times reported, “Citi’s decision to remove its firearms policy represents a shift on an issue that has long been a lightning rod in American politics and culture.
“Trump has said the government will review gun policies made during his predecessor Joe Biden’s administration that may infringe on Americans’ constitutional rights to possess weapons,” the story explained. “He has also been a strong critic of corporate policies that support social causes.”
The change, according to Financial Times, “comes after Trump has claimed that some US banks had declined to provide services based on political affiliation.”
