Operation Choke Point seems to have made its comeback into the White House through President Joe Biden. The program was dubbed so by the then-Attorney General, Eric Holder. The program’s purpose was to use the power of the federal government to target leftist legal businesses like gun sellers and short-term money lenders.
Operation Choke Point
During the Trump administration, the government did its best to rectify the effect that this program had on businesses. In 2017, it was declared that the program was officially over. The office established a Fair Access Rule to establish its culmination. On Jan 28th, however, the Office of the Comptroller under Joe Biden announced that it would pause the law passed during the Trump era and make way for another Operation Choke Point.
One of the things the Trump government did was instruct all banks to conduct a risk assessment of individual customers instead of making broad assumptions of a company that ends up affecting an entire industry. Under Operation Choke Point, things run quite differently. There was obvious open discrimination against companies that the Obama administration found objectionable.
Even though the Obama administration said it was rooting out fraud by cutting off “high-risk” industries from the banking system, there was no clear distinction between legal and illegal “high-risk” businesses. The move grouped legal businesses like firearms sellers with illegal activities like Ponzi schemes.
Even though the operation received a lot of backlash, the Obama administration maintained that there was nothing wrong with it.
The Biden administration is trying to bring it back under a different name, and it’s no surprise that no one is talking about how absurd it is. People are so used to the cancel culture that they might not pay any attention to whatever is happening right before their eyes.