Chase To Porn Stars: We Don't Want Your Business

Looks like JPMorgan Chase is going to lengths to sever ties with the adult pornography industry. CNBC reports that several people in the porn industry have seen their accounts closed by Chase Bank for no apparent reason. Well, we can all guess the reason — it's because of their profession. The worst part? This appears to be legal, as all account holders agree to Chase's Deposit Account Agreement when opening an account, which states that the account holder or bank can close an account at any time, for any reason.

Porn star Teagen Presley told XBIZ, a publication specializing in adult industry news, that she'd received a letter stating her account had been reviewed and would be closed. (A letter from Chase was also posted on PerezHilton.com). In an interview with XBIZ, Presley said she'd been told her account would be closed because she's in the adult industry and can be easily recognized.

This recent news may be tied to the Justice Department's "Operation Choke Point," which began in 2013 as a part of President Barack Obama's Financial Fraud Enforcement Task Force. According to The Wall Street Journal, it's an initiative to stop any fraudulent businesses and illegal banking activity, but it's also forcing banks to close accounts without any evidence that the account holder did, indeed, do something wrong.

Other adult industry workers have been targeted by financial institutions in the past. Chanel Preston, a porn star, had her account at City National Bank closed due to "compliance issues."

This isn't the first time Chase has targeted the industry. Marc Greenberg, found of MRG Entertainment, a soft porn studio, filed a lawsuit against Chase last year after he was allegedly discriminated against when trying to refinance a loan. Greenberg says the bank is in violation of fair lending laws, and attorneys representing Greenberg say Chase Bank's vice president rejected the loan refinancing application because it would put the bank's reputation at risk.

In March, Tiffany Gaines, founder of Lovability, says she was told by a Chase Bank representative that it would harm the bank's reputation to process payments of a condom company.

It's unclear if the porn stars affected have a potential case against Chase Bank. But it does seem the financial institution has been doing this for a while now, either by choice or due to pressure from the Justice Department — and has been getting away with it.