Topic: Geo Group

A GAO report found that the Biden administration used funds allocated for the border wall to conduct environmental planning instead. Simultaneously, the Florida-based GEO Group secured a $25 million annual contract to provide air operations support for ICE, facilitating the transport of immigrants within the country.

The U.S. Justice Department announced it will end the use of private prisons, citing concerns over safety, security, and lack of cost savings. Deputy Attorney General Sally Yates issued the memo, which affects 13 federal facilities but excludes immigration detention centers. While Bill Clinton recently called for prison reform, critics noted that his 1990s policies were largely responsible for the massive increase in the federal inmate population.

Following the Justice Department's announcement, stocks for private prison companies CCA and GEO Group plummeted by over 35% in a single trading day. The timing of the announcement during active trading hours raised suspicions of insider trading or "setting up buddies" to profit from the volatility. Major investors like the Bill and Melinda Gates Foundation and Warren Buffett have historically held stakes in these corporations.

The Bill and Melinda Gates Foundation has come under scrutiny for investing millions of dollars into private prison operators like the GEO Group. Critics point out the irony of the foundation's humanitarian image while profiting from an industry notorious for human rights abuses. The lack of coverage on PBS is attributed to the foundation's significant financial support of the network.

The GEO Group, a major operator of correctional facilities, acquired BI Incorporated for $415 million. BI Incorporated is known for manufacturing electronic monitoring bracelets and remote alcohol detection systems, signaling an expansion of the private prison industry into home-based detention.