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WASHINGTON, D.C.: The White House is preparing to take action against banks accused of cutting off clients over political views, with a draft executive order that would direct federal agencies to investigate and penalize such behavior, the Wall Street Journal reported this week.

Citing a draft of the order, the Journal said it would instruct regulators to examine whether any financial institutions are violating existing laws—including the Equal Credit Opportunity Act, antitrust statutes, and consumer financial protection rules—by dropping customers based on political beliefs or affiliations.

The order, which could be signed as soon as this week, would authorize a range of disciplinary tools, including fines, consent decrees, and other penalties against violators. It also calls on regulators to remove any internal policies that may have contributed to banks’ disengagement from specific clients. Additionally, the Small Business Administration would be required to review the conduct of banks involved in its loan guarantee programs, according to the report.

The White House declined to comment when contacted by Reuters.

The pending executive action comes amid growing pressure from Republican lawmakers and conservative activists who accuse central U.S. banks of practicing “woke capitalism” by cutting ties with politically controversial industries, such as firearms, fossil fuels, and conservative advocacy groups.

U.S. President Donald Trump has previously accused top banks of discriminating against right-leaning clients. In January, he claimed that the CEOs of JPMorgan Chase and Bank of America refused to offer services to conservatives. Both banks denied that political beliefs influence their business decisions.

The right has grown critical of Wall Street in recent years, particularly in response to banks’ internal ESG (environmental, social, and governance) policies and climate commitments. Several Republican-led states have taken legal or legislative action against financial firms over perceived discrimination against industries such as oil, gas, and firearms manufacturing.

The proposed executive order would mark a significant expansion of the administration’s push to reshape financial regulation. Trump officials argue that existing rules often punish businesses arbitrarily or limit innovation, and they are pursuing a broader deregulatory agenda that includes revisiting capital requirements for banks.