Citizens Bank to Scale Back Ties with Private Prison Companies

NEW YORK – Citizens Bank has announced plans to reduce its financial connections with two private prison firms, CoreCivic and The GEO Group. This decision follows rising public pressure from advocacy groups and progressive city governments.

These companies have been involved in managing immigrant detention centers during the Trump administration, working under contracts with U.S. Immigration and Customs Enforcement (ICE) amid increased immigration enforcement efforts.

A significant public campaign has urged Citizens Bank to cut ties with these firms. In fact, at least two city councils in New Jersey—Montclair and Jersey City—have threatened to withdraw their funds unless the bank severs its relationship with private prison operators.

“The announcement that Citizens Bank will end its financing relationships with CoreCivic and GEO is a significant victory for those who want to prevent banks from supporting the human suffering associated with the federal government’s ICE detention policies,” stated the Citizens Bank Coalition to End ICE.

Despite the advocacy efforts, Citizens Bank claims its decision is based purely on business reasons, not political pressure. The federal government is considering acquiring several facilities managed by CoreCivic and is currently negotiating with GEO, which has led to a decrease in demand for funding from these companies, according to the bank.

Citizens Bank clarified, “This is a business decision influenced by changes in the commercial environment and does not reflect our views on these companies’ operations.”

The discussion around banks terminating relationships with certain entities has become a notable political issue during Trump’s administration. Regulatory bodies have begun investigating banks on their practices regarding debanking, which could lead to penalties for non-compliance.

“All banks, including us, need to take these regulatory and contractual frameworks into account when deciding who to bank with,” Citizens stated.