You aren't looking very hard. Is it ok for BOA to lend money to members of al quada? They are private parties. ILLEGAL ALIENS, shouldn't be here, let alone have access to credit cards. That's the problem that you don't see.
The comparison is totally ridiculous. The feds track or block money that goes to known terrorists in order to stop terrorism. They don't try to stop money from going to anyone who commits (or may commit) a crime.
Do you habitually speed on the highway? Should BOA be allowed to lend to you?
Next we need to ban bars from selling beer for less than $3, because such a practice encourages illegal aliens to come here and have a good time.
BOA is not only regulated by federal and state laws, it is also governed by the FDIC. It would seem to me that this program puts customer deposits in an unreasonable amount of risk. Did we not learn anything from the S&L crisis?