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Fund sued over grant program for Black women enlists prominent civil rights attorneys to fight back

August 13, 2023
in Black Media
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By Haleluya Hadero, AP Enterprise Author

Attorneys for an Atlanta-based enterprise capital agency being sued over a grant program for Black ladies vowed Aug. 10 to battle again in opposition to the lawsuit, calling it misguided and frivolous.

At a New York information convention, the attorneys additionally introduced that distinguished civil rights legal professionals, together with Ben Crump, would be part of the protection for the Fearless Fund, which was based in 2019 by three Black ladies.

The lawsuit, filed final week in U.S. District Court docket in Atlanta, was introduced by a nonprofit based by anti-affirmative motion activist Edward Blum, the person behind the Supreme Court docket instances that led to the dismantling of race-conscious faculty admissions applications throughout the U.S.

The grievance could possibly be a take a look at case, because the battle over concerns on race shifts to the office. Final month, 13 Republican state attorneys common despatched a letter to 100 of the largest U.S. corporations arguing that the courtroom ruling on affirmative motion might additionally apply to non-public entities, like employers.

In its lawsuit, American Alliance For Equal Rights argues the fund’s Fearless Strivers Grant Contest, which awards $20,000 to Black ladies who run companies, violates a piece of the Civil Rights Act of 1866 prohibiting racial discrimination in contracts. It claims it has members who’re being excluded from this system due to their race and mentioned it’s entitled to aid.

The enterprise capital agency was established to deal with boundaries that exist in enterprise capital funding for companies led by ladies of colour. It runs the grant contest 4 instances a 12 months. To be eligible, a enterprise should be not less than 51% owned by a Black lady, amongst different {qualifications}.

“Right now, the enjoying area shouldn’t be degree — that’s past dispute,” Alphonso David, a civil rights legal professional who serves as president and CEO of The International Black Financial Discussion board, mentioned on the information convention. “These concentrating on Fearless Fund wish to propagate a system that privileges some and shuts out most. They need us to faux that inequities don’t exist. They need us to disclaim our historical past.”

Crump mentioned he was grateful to have the ability to defend the ladies who run the Fund in opposition to “the enemies of equality.”

Blum “thought they might be the best ones to select off. Oh, was he incorrect,” Crump mentioned.

Blum mentioned Aug. 10 his group remains to be awaiting a proper reply to the lawsuit from the fund’s attorneys.

“To date, all that has been asserted in protection of this racially unique and unlawful program are meaningless cliches,” he mentioned.

Arian Simone, CEO and co-founder of the Fearless Fund, mentioned the fund has invested in additional than 40 companies over the previous 4 years. She mentioned it has deployed over $26.5 million in investments and awarded a whole bunch of grants that whole greater than $3 million. It’s backed by J.P. Morgan Chase, Mastercard and different corporations.

The distinguished legislation agency Gibson, Dunn and Crutcher can even participate within the protection, together with the NAACP Authorized Protection Fund and the Nationwide Girls’s Regulation Heart, which have been enlisted as consultants.

___

AP Enterprise Author Alexandra Olson contributed to this report.



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Tags: AttorneysBlackCivilenlistsFightFundGrantprogramProminentRightsSuedWomen
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