In the wake of criticism received by Lloyds TSB for closing the account of Interpal, a UK based charity, Barclays bank is discontinuing the account of a predominantly Islamic charity, Ummah Welfare Trust. Muslims across the region are requesting a reversal of the closing and are organizing a boycott if demands are not met.

Ummah Welfare Trust raises funds for humanitarian aid projects and orphanages in several countries including Afghanistan, Kosovo and Iraq. It also financially supports Interpal, a nonprofit undergoing its third investigation by the UK Charity Commission.

It is widely believed that pressure from the U.S. Department of Treasury is forcing the hands of both banks to act. Barclays has not issued a statement explaining their actions.

Closing the account, effectively shutting down the charity, "will harm millions of vulnerable people in 25 countries," according to Ummah Welfare Trust. Outraged Muslims are planning a boycott that threatens Barclay's worldwide reputation.

An article with further details is available here.