Justice Dept Announces it Will End Use of For-Profit Prisons — Prison Stocks Plummet

From Claire Bernish:

 

“They simply do not provide the same level of correctional services, programs, and resources; they do not save substantially on costs; and as noted in a recent report by the Department’s Office of Inspector General, they do not maintain the same level of safety and security,” Deputy Attorney General Sally Yates explained in today’s announcement.

According to the Washington Post, a memo from Yates instructs officials to either decline to renew private prison contracts upon their expiration, or “substantially reduce” the contracts’ scope.

This announcement comes on the heels of a rather scathing report from the DOJ’s inspector general last week which found the nefarious privately-run facilities had a greater number of safety and security incidents than those run by the Federal Bureau of Prisons.

According to that report, various disturbances in private prison facilities in recent years led to “extensive property damage, bodily injury, and the death of a Correctional Officer.”

“The fact of the matter is that private prisons don’t compare favorably to Bureau of Prisons facilities in terms of safety or security or services, and now with the decline in the federal prison population, we have both the opportunity and the responsibility to do something about that,” asserted Yates in an interview, according to the Post.

As soon as the news broke the DOJ would be abandoning for-profit prisons, stock value crashed for both Corrections Corporation of America and the GEO Group, as Zero Hedge reported, the latter evaporating 35 percent of its value in record time.

Countless advocacy groups and media outlets, including The Free Thought Project, have frequently highlighted countless abuses, violence, and horrid conditions, if not outright human rights violations — as well as numerous deaths under suspicious circumstances — found in notorious for-profit prisons.

Toward the goal of severely constricting private prison …

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