Justice Department hosts forum in Newark to combat modern-day redlining

Justice Department forum in Newark discusses modern-day redlining: Agencies announce measures to combat discrimination

The Justice Department held a forum at Seton Hall Law School in Newark, New Jersey, to address the issue of modern-day redlining, an illegal practice where lenders avoid providing credit services to certain communities because of the race, color, or national origin of the residents. 

The forum, which commemorated Fair Housing Month and the 55th anniversary of the Fair Housing Act, featured Assistant Attorney General Kristen Clarke, Director Rohit Chopra of the Consumer Financial Protection Bureau, U.S. Attorney Philip Sellinger for the District of New Jersey, and New Jersey Attorney General Matthew Platkin. Newark Mayor Ras Baraka also provided opening remarks at the event.

U.S. Attorney Sellinger emphasized that achieving the American dream of homeownership should be color blind, and racial discrimination cannot be tolerated. Assistant Attorney General Clarke added that the Justice Department had secured nearly $85 million dollars in relief for communities that have suffered from lending discrimination through its Combating Redlining Initiative. 

CFPB Director Chopra highlighted that the agency is prioritizing efforts to uncover illegal digital redlining by algorithms and artificial intelligence, reverse redlining through predatory targeting, and harmful discrimination by nonbanks.

New Jersey Attorney General Platkin stressed that access to quality and safe housing is a right that should be enjoyed by all, and his state's strong housing laws and federal fair lending laws send the message that discriminatory practices in housing access will not be tolerated. 

Mayor Baraka noted that redlining has been historically pervasive and deliberate in this country, and although it is illegal, it is still widely practiced.

The forum also featured Seton Hall Law professors and civil rights stakeholders in New Jersey, who provided their invaluable perspectives on the effects of redlining on communities of color in the state and the vital role that community engagement can play in combatting redlining. 

The Justice Department’s Civil Rights Division also released a fact sheet highlighting the successes of the Combatting Redlining Initiative. Since its launch, the initiative has announced six redlining cases and settlements and nearly $85 million in relief for communities of color that have been victims of lending discrimination nationwide. 

Individuals may report lending discrimination by calling the Justice Department’s housing discrimination tip line at 1-833-591-0291 or by submitting a report online.