Source: Fortune
Summary
Citizens Bank plans to end its financial relationship with private prison companies CoreCivic and The GEO Group, which have been contracted by the Trump administration to operate immigration detention centers. The decision comes after public pressure from advocates and city governments. Citizens claims the decision is based on “changed commercial circumstances” and not due to political pressure.
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Citizens Bank’s decision to cut ties with CoreCivic and The GEO Group comes as the federal government plans to buy several facilities run by these companies. The bank cites “changed commercial circumstances” as the reason, but the move follows intense public pressure. This is not the first time a bank has faced scrutiny for its relationships with private prison companies. The Trump administration has been investigating banks’ debanking practices, and regulators may issue fines or penalties for banks found to have committed debanking.
Citizens Bank’s announcement is a victory for advocates who have been pushing for the bank to cut ties with private prison companies.
This decision may signal a shift in how banks approach relationships with companies involved in controversial industries.
Author: Evan Null
