Vice Chairman Anne Finucane: Bank of America will stop lending to private prisons and detention centers. “We are exiting the relationship; this is our decision. The broader issues are the need for reforms in the criminal justice system and immigration.’’ (following a review by the bank’s environmental, social and governance committee, which included site visits and consultation with clients, civil rights leaders, criminal justice experts and academics). The Charlotte, North Carolina-based lender met with its own Hispanic and black leaders.
Morgan took a similar step in March; Wells Fargo & Co. is halting loans to the industry. Protesters have been urging banks to back away from the business, and shares of several prison companies slumped last week after presidential candidate Warren brought up the issue.