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The Cahall Law Firm PLLC Cahall Law Firm
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JPMorgan Chase Sued by Florida Business for Defamation


Our words are powerful. While they may not be enough to “break bones” like sticks and stones, the things we say in oral or written form have the ability to do a lot of damage. They can hurt people’s feelings, break up relationships, and even ruin the reputation of an individual or business.

A Florida business is accusing a popular financial services entity of defamation after allegedly poisoning its business relationships with misinformation. Broward County medical services company Sinai Holdings has filed a lawsuit against JPMorgan Chase for telling customers that the company has had ongoing federal sanctions.

JPMorgan Chase wrongfully canceled transactions, closed accounts, and told customers of Sinai Holdings that transfers couldn’t be completed. The bank closed business accounts with no warning and allegedly poisoned business relationships with the lies and misinformation.

Sinai Holdings operates surgery centers and clinics. JPMorgan placed the business and its owner on a list of people and entities it doesn’t want to bank. This is according to the lawsuit, which was filed in the U.S. District Court in southern Florida. This negatively impacted business operations, with JPMorgan Chase refusing transactions. The bank also told customers, business partners, and other banks that Sinai Holdings was the subject of an investigation by the Office of Foreign Assets Control.

The Office of Foreign Assets Control is a unit of the Treasury Department. This department prevents people and entities from evading U.S. sanctions. Financial institutions such as JPMorgan Chase must comply with orders from the Office of Foreign Assets Control, which include instructions against processing transactions for those involved in drug trafficking, money laundering, and terrorism, among other crimes.

These sanctions are for human traffickers or terrorists, which Sinai Holdings is clearly not. The company says that Chase knows this as well, yet still cancels transactions from the company and its clients.

JPMorgan Chase is refusing to work with Sinai Holdings, which has made it difficult for the company to execute simple business transactions. Because of this, business partners and customers have been asked to use financial institutions other than JPMorgan Chase.

It has also been challenging for the company to access credit from other lenders, so it has been unable to meet its funding obligations. Other banks have closed Sinai Holdings’ bank accounts due to the defamation from Chase.

The company is asking for injunctive relief from the court, which means JPMorgan Chase would be ordered to process transactions from both parties. It is also requesting general, special, and punitive damages from the bank.

JPMorgan Chase is not commenting on the case. This is not the first time that JPMorgan Chase and other large banks have drawn scrutiny for closing bank accounts for unknown reasons. In fact, this has happened to hundreds of other customers, but without the defamation.

Contact a Defamation Lawyer Today

Words can hurt. Defamation such as libel and slander can ruin a business’ reputation, as seen in this case.

A Bradenton defamation lawyer from Cahall Law Firm can help you with your case. We understand that lies and misinformation can have a huge impact on a business. Schedule a free consultation to learn more. Call (941) 281-2019 or fill out the online form.


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