Atlanta Venture Capital Fund For Minorities Sued For Alleged Reverse Racism
An Atlanta-based venture capital fund is the target of a lawsuit that alleges the endeavor has discriminatory practices. According to the Atlanta-Journal Constitution, The Fearless Fund has been sued by a group affiliated with a conservative activist who led the charge striking down affirmative action at the collegiate level.
In the lawsuit filed in Atlanta federal court, the American Alliance for Equal Rights (AAER) claims Fearless Fund violates the Civil Rights Act of 1866, asserting the initiative “has members who are being excluded from the program because they are the wrong race.”
The Civil Rights Act of 1866 became law after Congress overturned a veto from former President Andrew Johnson. The legislation declared that anyone born in the United States, regardless of race, color, or “previous condition of slavery or involuntary servitude,” is entitled to the basic rights of citizenship.
According to the report, Edward Blum, president of AAER, claims his group was first contacted by a woman-owned business asking for legal representation to challenge Fearless Fund. Three white and Asian women business owners, who remain anonymous, are part of the lawsuit, alleging the Fearless Strivers Grant Contest is “racially exclusive.”
Fearless Fund was established in 2019 by entrepreneur Arian Simone, organizational consultant Ayana Parsons, and actress/businesswoman Keshia Knight Pulliam. According to the mission statement found on the website, the “goal is to create a world where women of color have equal access to the resources and support they need to succeed in business.”
AJC reported Fearless Fund has raised more than $25 million and invested in more than 40 companies over the past four years, including Slutty Vegan and The Lip Bar.
According to the AJC, the AAER has also filed additional lawsuits against multiple law firms over their diversity fellowships. Additionally, conservative organizations have targeted major corporations like McDonald’s and Target to dismantle programs established to empower minority communities.
“We are inaugural defendants in one of the most defining lawsuits of our time,” detailed Simone during a speech in August at the 60th anniversary of the March on Washington, the Washington Examiner reported.
According to the outlet, Fearless Fund is represented by Gibson Dunn & Crutcher, the Global Black Economic Forum, and civil rights lawyer Ben Crump, with two other law firms, as well as the National Women’s Law Center and the NAACP Legal Defense Fund also consulting. The initial court date is set for Sept. 26.
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