JPMorgan Chase & Co. (NYSE:JPM) is financing the immigration detention prisons that detain thousands of immigrants, a new report reveals. The report by the Center for Popular Democracy and Make the Road New York shows that Wall Street firms, including JP Morgan Chase, have extended loans, lines of credit and bonds amounting to $100 million to CoreCivic and GeoCorp, the largest private immigration detention centers in America.
The authors of the report analyzed Securities and Exchange Commission data to determine the financial involvement of Chase and how it stands to gain from the mass detention of immigrants. One of the loans is the $13.23 million that was extended to CoreCivic in June 2017. The report also confirms that Chase owned $89 million of CoreCivic bonds and a further $77 million in GeoCorp as of October last year.
The details further show that Chase was among 11 banks that underwrote CoreCivic’s 2015 corporate bond in which the bank contributed $40 million. The bank received an underwriting discount of $300,000. A year later, Chase received an underwriting discount of $630,000 after underwriting $42million worth of notes for Geo Group. The deep and cordial relationship between Chase and the two immigration detention centers goes beyond underwriting discounts. The report revealed that Chase also owns $72 million and $11 million worth of stocks in Geo Group and CoreCivic respectively. The bank, which recently hired Barclays PLC executive to hire its sapphire card business, has recently come out in public to denounce some of Trump’s anti-immigrant programs. However, activists believe that the bank is secretly aiding detention centers.
By exposing JP Morgan’s involvement in private prisons, Center for Popular Democracy and Make the Road New York seek to encourage other financial institutions to divest from private prisons. The immigrant detention centers have in the last few months faced criticism from activists for subjecting immigrants to harassment and abuse.
According to Ana Maria Archila, the co-executive director of the Center for Popular Democracy, Americans need to stand up for the people by refusing to facilitate president Trump’s anti-immigrant agenda. “Private prisons have thrived under Trump administration. All companies with a stake in these detention centers need to divest and support immigrant communities,” she said.