USA: JPMorgan Chase to stop financing private operators of prisons & detention centers

Author: David Henry & Imani Moise, Reuters, Published on: 6 March 2019

"JPMorgan backs away from private prison finance," 5 March 2019

JPMorgan Chase & Co has decided to stop financing private operators of prisons and detention centers, which have become targets of protests over Trump administration immigration policies. “We will no longer bank the private prison industry,” a company spokesman told Reuters. The decision is a result of the bank’s ongoing evaluations of the costs and benefits of serving different industries, he said... JPMorgan’s move away from the industry comes after activists have challenged Chief Executive Officer Jamie Dimon at the bank’s last two annual meetings over its financing of prison companies... Wells Fargo said in January it was reducing its relationship with the prison industry as part of its “environmental and social risk management” process.

... CoreCivic spokesman Steven Owen called JPMorgan’s decision “disappointing.” He said in an email that “decisions like this are being based on false information spread by politically motivated special interests, who completely mischaracterize our company.”... A GEO Group spokesman said in an email that the company “has never managed facilities that house unaccompanied minors.” He added, “We welcome the opportunity to have an open dialogue with all financial institutions to address the common mischaracterizations of our company’s role and record as a government services provider.” [also refers to Bank of America, BlackRock, Citigroup]

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Related companies: JPMorgan Chase Wells Fargo