June 24, 2003	Tuesday	Rabi-us-Sani 23,1424

WASHINGTON, June 23: US-based Muslims organizations on Sunday expressed concern over continuing reports regarding cancellation of Muslim Americans’ accounts by financial institutions without any apparent cause.

The financial institutions, however, defended their actions, saying they were acting in accordance with the provisions of the US Patriot Act, which required them to be “extremely careful” in financial dealings.

A Washington-based advocacy group, the Council on American- Islamic Relations said that institutions like the American Express, HSBC, Fleet Bank, and Western Union, were making unreasonable requests for private information about Muslim account-holders.

In most cases, Muslims had been asked to provide large amounts of documentation without cause, and regardless of their credit history. Requests included tax and banking information, financial statements, residency documentation, and proof of identity.

Officials with the institutions cancelling Muslim accounts cited random selection and reports from credit agencies, even when individuals had impeccable credit.

An HSBC representative told one Muslim account-holder: “We are collecting this information to comply with the US Patriot Act, and this is a bank-wide project reaching to all customers.”

A spokesperson for the American Banking Association explained that the cancellations were “standard procedure” in attempts to block money going to terrorists or terrorist groups.

Banks and financial institutions check names against a 103- page list of ‘Specially Designated Nationals’ and ‘Blocked Individuals,’ provided by the Department of Treasury’s Office of Foreign Assets Control (OFAC).

Many victims of account cancellations had apparently been singled out because their names “matched” with those appearing on the list. Other unofficial and inaccurate lists were also used in this regard.

“This is just another indication that the US Patriot Act is being misused to infringe on the rights of law-abiding Americans, particularly American Muslims,” said CAIR Legal Adviser Khurram Wahid. “A system must be set up to allow those who are unfairly targeted to clear their names and continue making financial transactions.”