CAMPAIGNERS supporting residents in Palestine have launched legal action after one of their bank accounts was inexplicably closed down.

York’s Palestine Solidarity Campaign (PSC) has had one of its accounts cancelled - and 11 other organisations working on humanitarian and solidarity work with the Palestinian people, including three scholarship funds, have also suffered the same fate.

According to the group the Co-operative Bank cited “the bank’s risk appetite” for the closure.

PSC and its legal team believe the decision is discriminatory and contravenes the Equality Act 2010.

Dr Monica Wusteman, of York PSC, said: “None of these accounts have sent any money to Palestine at all.”

“They haven’t provided us with any explanation.”

Another PSC York committee member, David Pegg, added: “It creates big problems because, just like any other group, we require accounting services to function.

“If other banks start doing this it is going to be an extremely big problem.

“It has made everyone angry and they are trying to find somewhere else to bank.”

ITN solicitors, acting on behalf of PSC, says the Co-operative Bank’s “failure to provide any reasons for the closure of PSC’s account, which has been compounded by your failure to provide appropriate disclosure, leads to the conclusion that the decision to close the account is based on our client’s cogent belief in Palestinian rights, including the right to self-determination and the right of return, and to oppose Israel’s occupation and violations of international law, and the nationality or religion of the Palestinian people.

“Therefore the decision to close PSC’s account is ‘contrary to sections 13 and 29 of the [Equality] Act [2010]’.”

A spokesman for the bank said that after carrying out due diligence on the group and ‘quite extensive research, the charities involved did not meet their our requirements.’.”

He added: “We remain a committed supporter of charities which can meet the industry level requirements. However, in common with all banks, we have to perform due diligence on our customers, their accounts and the payments they make to ensure the bank complies with anti-money laundering obligations and to manage the bank’s risk.

“For customers who operate in, or send money to, any very high risk or high risk locations throughout the world, advanced due diligence checks are required by all banks to ensure that funds do not inadvertently fund illegal or other proscribed activities.”