The New York City committee votes to halt deposits with Capital One

NEW YORK, May 25 (Reuters) – The New York City Banking Commission voted to halt deposits into the city’s bank accounts at Capital One (COF.N) and KeyBank (KEY.N) after the lenders failed to submit plans for their efforts to eradicate discrimination.

City comptroller Brad Lander joined Mayor Eric Adams and the Treasury Department in announcing that the city would stop making deposits to the two banks, Lander said in a statement Thursday.

The existing accounts will be used to make payments, but no additional deposits will be made and no new accounts will be opened at either bank, a spokesman for the comptroller said.

“Capital One prohibits discrimination and harassment against any applicant, intern, employee, vendor, contractor, customer or client based on protected characteristics,” the bank said in a statement following the auditor’s announcement.

(This story has been corrected to clarify the use of accounts after the auditor officially amended the statement in paragraphs 1, 2, 3 and the heading, and to correct the spelling of the auditor’s surname in the second reference in paragraph 2. correct)

Reporting by Lananh Nguyen; Edited by Richard Chang

Our Standards: The Thomson Reuters Principles of Trust.

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