Kenneth Rijock

Kenneth Rijock

Wednesday, July 30, 2014

HSBC, CITING LACK OF "RISK APPETITE," TO CLOSE MUSLIM BANK ACCOUNTS IN UK


HSBC, which has had regulatory problems in the recent past, has notified Muslim account holders that it will be closing their accounts; the stated reason was that the provisions of banking services to these clients "fall outside out Risk appetite," meaning that the bank has judged the risk level too high to continue them as customers.

The types of businesses that have received these letters:

(1) Mosques.
(2) Muslim charities.
(3) NGOs serving Muslim needs.
(4) Muslim think tanks.
(5) Individual Muslims.

Will other UK bank follow suit ? Will civil suits by the affected account holders follow, even though the maintenance of bank accounts is a matter of contract,and is considered a privilege, and not a right ? we cannot say, but we will be monitoring the response of other retail UK financial institutions to this development.

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