The House Financial Services and Intelligence panels had "legitimate legislative purpose" in requesting President Trump's financial records, the judge said. It is the second such ruling this week.
Sens. Sherrod Brown, D-Ohio, and Chris Van Hollen, D-Md., called on the bank to explain a report that the private wealth management division quashed anti-money-laundering reports prepared by compliance staff.
The announcement comes after several news reports that Stephen Moore would not back down from his anticipated nomination to serve on the Fed despite growing concerns from Republican senators.
The banks were ordered to submit records related to President Trump's businesses, but lawmakers have agreed to give the companies until seven days after a judge rules on the Trump family's request to block the subpoena.
Congress has broad subpoena powers to demand the president’s financial records, but no bank wants to disclose confidential information about a powerful client.
The suit seeks to block the banks from complying with congressional subpoenas targeting the president’s bank records, escalating his showdown with Democratic lawmakers investigating his finances.
The Fed wants to make it easier for investors to own big stakes in banks without triggering oversight; Shelley O’Connor has been named head of the firm's two regulated bank entities.
