Alan Flynn, a bitcoin trader from Australia, filed a complaint against two commercial banks in the country – ANZ and Westpac – both accused of systemic discrimination. Flynn is seeking compensation of up to A $ 250,000 (approximately $ 192,000), according to a report from the Australian Financial Journal.
Flynn said he has been subjected to discriminatory practices by banks, which allegedly continue to close his accounts. Speaking to AFR, Flynn complained that at least 20 banks have closed accounts managed by the stock exchange over the past three years, adding:
“How can I run a legal business if I can not open a bank account?”
For Flynn, account additions are reported despite exchanging cryptocurrencies, registered with the Australian Transaction Reporting and Analysis Center (AUSTRAC). The Flynn platform serves over 450 customers.
Back in 2020, Flynn filed a complaint with the Australian Financial Complaints Authority. However, the AFCA ruled that Westpac – one of the banks involved in the case – acted on certain terms.
At the time, Westpac offered Flynn $ 250 in compensation for the sudden closure of the account, which the applicant said had not yet been received. Flynn also says that Westpac previously attributed the closure of its account to an ongoing investigation into cryptocurrency fraud. ANZ, for its part, stated that they do not offer banking services to cryptocurrency brokers.
Flynn’s new complaint to the ACT Civil and Administrative Court will begin in March.
ANZ and Westpac did not immediately respond to Cointelegraph’s request for comment.
The stock market accuses banks of discriminatory practices, not just in Australia. In March 2020, India’s Supreme Court lifted the central bank’s ban on banks serving cryptocurrency businesses. However, reports of “cryptophobia” among Indian banks continue to come even after the Supreme Court ruling.
A similar situation exists in Latin America as commercial banks continue to increase account closure for cryptocurrency exchanges. In Brazil, the two most important platforms have also been forced to close down due to strict tax policies.