JPMorgan Ends Financing of Private Prisons After Criticism
By Michelle Davis
The biggest U.S. bank says it will break off its relationship with the private-prison industry after deciding it’s too risky.
“JPMorgan Chase has a robust and well-established process to evaluate the sectors that we serve,” spokesman Andrew Gray said in an emailed statement. “As part of this process, we will no longer bank the private-prison industry.”
JPMorgan Chase & Co. has been criticized for lending to Geo Group Inc. and CoreCivic Inc., which run facilities that have held immigrant families. As part of the change, JPMorgan won’t extend new financing to the industry and wants to get rid of its credit exposure as soon as possible, according to a person with knowledge of the matter.
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