Oklahoma bank and the Justice Department propose settlement of redlining allegations around Tulsa

abcnews.go.com:

The U.S. Department of Justice and an Oklahoma bank have announced a proposed agreement to settle claims that the bank discriminated in lending to Blacks and Hispanics

The U.S. Department of Justice and a northeastern Oklahoma bank have announced a proposed agreement to settle claims that the bank discriminated in lending to Blacks and Hispanics in the Tulsa area.

Collinsville-based American Bank of Oklahoma used the illegal practice known as redlining in majority-Black and Hispanic neighborhoods in the Tulsa area, including the area of the 1921 Tulsa Race Massacre, according to the Justice Department.

The proposed consent agreement filed in federal court in Tulsa on Monday is pending court approval and calls for ABOK to provide $1.15 million in credit opportunities in neighborhoods of color in the Tulsa area.

“This agreement will help expand investment in Black communities and communities of color in Tulsa and increase opportunities for homeownership and financial stability," Assistant Attorney General Kristen Clarke of the department’s Civil Rights Division said in a statement.

“Remedial provisions in the agreement will open up opportunities for building generational wealth while focusing on neighborhoods that bear the scars of the Tulsa Race Massacre,” Clarke said.

ABOK denied the allegations but said in a statement that it agreed to the proposal to avoid the cost and distraction of lengthy litigation.

Bank chief executive Joe Landon said in a statement that ABOK, with branches in Collinsville, Ramona, Muskogee, Disney and Skiatook, is a small community bank with $383 million in assets and lamented that the Justice Department referenced the 1921 Race Massacre.

“As Oklahomans, we carry a profound sense of sorrow for