Citizens Bank Ends Lending to CoreCivic and The GEO Group Amid Protests

Citizens Bank announced it will wind down its credit facilities with CoreCivic and The GEO Group, the two for-profit prison operators that contract with U.S. Immigration and Customs Enforcement (ICE) to run immigration detention centers. The bank said the move reflects “changed commercial circumstances” and does not signal a shift in its view of the companies’ business models.

BNN Bloomberg

CoreCivic has been a Citizens client since 2011, and The GEO Group since 2018. Both firms expanded their role under the Trump administration, which awarded them contracts to operate ICE detention and deportation facilities. In 2019, several major banks already terminated relationships with private-prison operators. More recently, the federal government announced plans to purchase several CoreCivic facilities and is in talks with The GEO Group, reducing the firms’ need for large-scale banking services.

BNN Bloomberg

Citizens emphasized that its decision is a “business decision based on changed commercial circumstances” and cited regulatory and contractual frameworks that require banks to evaluate client relationships. The bank also noted that the federal government’s acquisition plans have lessened the companies’ financing needs. City councils in Montclair and Jersey City, New Jersey, threatened to withdraw deposits unless the bank cut ties, prompting additional public scrutiny.

Associated Press

Activist groups, including the De-ICE Citizens Bank Coalition, hailed the announcement as a victory against “human suffering” caused by ICE detention. The Greater Boston Interfaith Organization (GBIO) pledged to pull $13 million in deposits, with nearly 100 affiliated individuals committing another $7 million. Ray Hammond, a pastor at Bethel AME Church and former board member of Citizens, expressed cautious elation, arguing that the bank’s reputation depends on distancing itself from ICE-related operations.

Boston Globe

• “Today’s announcement that Citizens Bank will exit its current lending relationships with private prison giants CoreCivic and The GEO Group is an important victory for the people who refused to let a major bank finance human suffering brought on by ICE detention activities of the current federal administration,” — De-ICE Citizens Bank Coalition

Associated Press

• “This is a business decision based on changed commercial circumstances and does not reflect any change in our view regarding these companies’ business models or operations.” — Citizens Bank statement

Boston Globe

• “I have to believe that banks care about their reputation and their brand,” — Ray Hammond, pastor, Bethel AME Church

Boston Globe

• “All banks, including ourselves, must consider these regulatory and contractual frameworks in making decisions on who to bank or not bank,” — Citizens Bank statement

Associated Press