Citi targets firearms biz
CITIGROUP FIRED a figurative shot Thursday over the bow of its many business partners.
The New York-based bank, in a groundbreaking move among its Wall Street competitors, imposed new restrictions on all its clients involved in the selling of firearms.
The “common-sense practices” include banning the sale of weapons without a background check, a minimum age of 21 for gun buyers and a ban on the sale of high-capacity magazines and bump stocks.
The bank will cut ties with any businesses that opt to ignore Citigroup’s new three-pronged reform.
“As a society, we all know that something needs to change,” said Ed Skyler, Citi executive vice president for global affairs, in a blog post.
“We don’t have the perfect solution, but we have come to the conclusion that we must do our part to keep guns out of the hands of those who wish to do harm. And we hope our actions help achieve that goal.”
The move follows the Feb. 14 mass shooting that left 17 dead at a Parkland, Fla., high school and became a flashpoint for the gun control movement.
The new Citigroup policy applies across the firm’s list of partners, including small business, commercial and institutional clients, as well as credit card partners — both co-branded and private label.
The bank said it has few relationships with gun manufacturers, and Citigroup intends to meet with those companies to ensure their adherence to the new policy.
The National Rifle Association did not respond Thursday to a request for comment on the Citigroup move.
Citigroup’s announcement was just the latest corporate response to the killings at Marjory Stoneman Douglas High School.
Customer feedback led Nebraska-based First National Bank of Omaha to stop producing branded credit cards for the NRA once their current contract expires.
Bank of America contacted clients involved in the manufacturing of assault rifles to “understand what they can contribute” to the prevention of additional mass murders.
Skyler’s blog posting made it clear that Citigroup does not view its new policy as a panacea for the nation’s divisive debate over the Second Amendment.
“We recognize that we don’t have all the answers,” wrote Skyler. “We hope to leverage collective action to encourage responsible practices by all who sell firearms.”