Lifestyle
FAMU, a questionable donor and a $237 million gift that isn’t what it seemed
NEW YORK (AP) – It could be the largest-ever private gift to a historically black college or university: $237 million – far beyond the recipient’s means. The money was promised by the 30-year-old, who shared his journey from a childhood spent in foster care to becoming, as he put it, “the youngest African-American industrial hemp producer in Texas.”
And so, on the primary weekend of May, Florida A&M University celebrated Gregory Gerami’s extraordinary contributions with all of the mandatory pomp. He spoke at first. Administrators wearing regalia posed with a large check. Gerami even assured listeners that “the money is in the bank.”
This has not been the case and may never be the case.
In response to public backlash over the apparent failure to properly vet Gerami and the donation, FAMU said the donation had been suspended, dashing expectations for increased financial stability for the 137-year-old institution and its 9,000 students. Gerami maintains that all the pieces will work out ultimately, but other small universities he has approached with offers of larger donations have never received any money.
An eye-catching gift from a little-known company
According to Shawnta Friday-Stroud, then vp for university advancement, Gerami contacted Florida A&M’s advancement office in regards to the donation last fall. Shortly thereafter, university officials, including President Larry Robinson and Athletic Director Tiffani-Dawn Sykes, began meeting with him.
In January, Spelman College in Atlanta announced a $100 million gift, which was considered on the time the most important single donation to any HBCU. FAMU officials say Gerami desired to exceed that number. Ultimately, they agreed this might be through 14 million shares of his fledgling industrial hemp company.
However, the worth of the corporate – and these shares – stays unclear.
Gerami founded Batterson Farms Corp in 2021 with aspirations of becoming a leading producer of hemp-based plastics. While Texas Department of Agriculture records confirm that the corporate is licensed to grow hemp, there’s little else to point that that is the case.
The company’s website is poor. Affiliate links to buy HempWood products were severed and the checkout cart function was not working when an Associated Press reporter visited the positioning in late May and early June. The confusing message to investors also warned of late fees for missing monthly payments.
Kimberly Sue Abbott, a founding board member who told the AP she was incorrectly listed as co-CEO, forged doubt on Gerami’s stated stake value and said Batterson Farms “does not grow hemp anywhere that I am aware of.”
She and Gerami met around 2013 when she was a member of the Birmingham, Alabama City Council. She felt she needed guidance on how one can “do something good with her money”. Since then, he has invited her to take part in various ventures, but none of them last, she said.
“He never sticks to a schedule. The information he has is always wrong in some way. Technical issues are always a problem,” she said.
Greg Wilson, founding father of HempWood, confirmed that Gerami is a customer, but said he doesn’t buy much. High rates of interest have reduced each home sales and interest in remodeling with products like his, Wilson said, making it a bad time for wood alternative corporations.
Gerami called Abbott’s characterization “inaccurate” and outdated. Without answering whether Batterson Farms grows hemp, he said his company acts as an intermediary between farmers and consumers. He declined to supply details in regards to the company’s contracts, revenue and staff.
He also claimed that the corporate’s website was created by a third-party developer, which he said was never intended to be a place where people could buy flooring directly.
NDAs, ‘misrepresentation’ and lack of due diligence?
Florida A&M officials have shared little about Gerami and the vetting process.
Last month, Friday-Strroud told FAMU Foundation board members that an “extensive review” of Gerami’s past yielded the identical information that ended up “on social media,” an apparent reference to online upset over his previous reported donation attempts and the anomaly of his corporations.
Still, she said, they moved forward after Robinson’s loop. According to a recent report, Friday-Strud signed a confidentiality agreement on behalf of the inspiration’s board on April 26 at Gerami’s request. copy obtained by AP.
They also announced the donation pending a still-independent estimate of the worth of the private shares, which Gerami said he assessed based on existing but undisclosed sales agreements.
Officials admitted that the appraisal could end in a much lower valuation.
Stock donations and NDAs aren’t unusual for university development offices. But based on some higher education fundraisers, such donations typically come from wealthy shareholders of high-profile public corporations, and NDAs should involve the complete foundation’s board.
“Before you announce that decision, you always want to make sure those resources will be available,” said W. Anthony Neal, a longtime HBCU fundraiser who has worked with the Gers previously. “Because you don’t want to come back with egg on your face.”
Before making a gift of stock, corporations typically obtain a so-called 409A valuation from an independent third party, said Bob Musumeci, a business professor at Indiana University with a background in corporate finance.
The value of equity, variety of employees, financial projects and other details are taken into consideration within the assessment. Outside investment, resembling a family trust, may also increase a company’s value beyond what sales numbers and public data, when available, may suggest.
Gerami didn’t break any law by flouting this standard, Musumeci said, but the very fact that the gift was not properly assessed before publication raises questions.
“I would definitely be cautiously pessimistic about this. But I can not say whether that’s the case or not,” he said in regards to the accuracy of the valuation.
Both FAMU and Gerami said the transfer of share certificates between their accounts took place in April.
A spokesman for Carta, the capital management company that they are saying accomplished the exchange, only confirmed that the platform notified Gerami on May 14 that his contract had been terminated on account of “misrepresentation.” They declined to comment on FAMU’s claims that it had an account with Carta and Gerami’s claim that the corporate sent documentation confirming the transfer.
Small schools with little funding
Florida A&M just isn’t the primary school to receive a suggestion from Gerami.
Neal, an HBCU fundraiser, was overseeing a $3.4 million fundraising campaign in 2023 to have a good time the a hundred and fiftieth anniversary of Wiley University in Marshall, Texas, when Gerami reached out to us. Neal said they discussed funding for brand spanking new campus facilities within the range of $1 million to $2 million, and he began the “normal review process” as then-senior vp for institutional advancement.
However, not much information has emerged. After at the very least seven interviews, Neal requested a one-on-one meeting to personally confirm Gerami’s legitimacy. Communication then broke down.
“Sometimes donors just pull out,” Neal said. “It doesn’t mean anything bad.”
But three years earlier, Coastal Carolina University also withdrew a $95 million contribution from an anonymous donor because it “failed to meet prior expectations of the deal,” a news release said.
Although CCU declined to discover the anonymous donor in an email to the AP, Gerami was identified as a benefactor last spring. The Sun News in Myrtle Beach, South Carolina.
Gerami told the AP that he has “considered” as many as 15 colleges and universities lately as a part of a strategy to determine research partnerships that he believes will make his company eligible for grants. Although Gerami didn’t reveal the names of those schools, all those documented are small institutions with modest funding. He said he’s institutions that need funding and have capabilities in hydroponics, a approach to growing plants without soil.
The transformative gift was gone
The consequences at FAMU are tangible.
The school ended its cooperation with the Gers. Friday-Strud resigned. University trustees – surprised that they were kept at the hours of darkness throughout the six-month process – approved a third-party investigation involving government officials He joined.
In a May 15 speech to trustees, Robinson called the announcement of the Gerami gift “premature at best.”
“I saw the potential in this unprecedented gift to serve our students and our athletic programs in ways unimaginable at the time,” Robinson said. “I wanted it all to really happen, and I ignored the warning signs along the way.”
Days after announcing the donation, Robinson reportedly withdrew a $15 million request to the local economic development board to upgrade FAMU’s soccer stadium. documents obtained by AP.
Although he didn’t provide a reason and the university refused to comment, amongst other things: gift agreement shows a one-time allocation of $24 million from the Gerami gift to athletics facilities.
Millions a 12 months would also fund scholarships, a nursing school and a student business incubator over the subsequent decade.
The public embarrassment has apprehensive some HBCU supporters who hope a lot negative attention won’t dampen the resurgent fundraising atmosphere.
“For someone who wants HBCUs to always be successful, it’s really heartbreaking because there was so much emotion,” said Marybeth Gasman, an education researcher at Rutgers University and a three-time HBCU board member. “Just real, real excitement for a transformative gift of this magnitude.”
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There was a time when HBCUs needed to depend on an unknown miracle donor, but Gasman said that’s less common lately. Long missed by foundations and underfunded by some states, these schools have gained renewed interest from corporations lately.
However, disparities in public financing persist. Historically, Black land-grant universities in 16 states have lost $12.6 billion over the past three many years — including $1.9 billion that must have gone to FAMU, based on a 2023 Biden administration evaluation.
For his part, Gerami believes that questions on his donation are unnecessary. He admitted that the donation amount was his own estimate, but he expected an independent valuation to verify the worth of the shares inside a month. He said he also believes FAMU will accept the gift after an independent investigation is accomplished.
“Until a third-party valuation is done, this is purely speculation,” Gerami said.
“We want to act very carefully because we don’t want to play games that lead to speculation without actual, fact-based information,” he added.
Lifestyle
Steph Curry is using the NBA Tunnel to showcase Black and Brown designers this season
This NBA season, Steph Curry is bringing latest talent to his team with the help of a friend and stylist, Jason Bolden. As a part of the duo’s ongoing collaboration with Rakuten, Bolden styles the Golden State Warriors point guard and two-time league MVP in an array of black and brown designers for his walks through the NBA tunnels during the 2024-25 season.
“My mission at every opportunity I have is to upskill people who deserve it and spread awareness of very talented individuals, especially in the fashion industry where Black and brown communities don’t necessarily have the same resources and opportunities,” Curry explained , per Women’s on a regular basis clothing. “Using our tunnel walks, which have become a really big part of the NBA experience with cameras everywhere behind the scenes, you have that moment when you walk in, and it’s a great opportunity to express yourself through the clothes you wear.”
In recent years, the NBA tunnel has change into something of a runway for menswear designers, as the league’s most trendy players use their entrances and exits to showcase their personal style, drawing attention that sometimes rivals the games themselves.
“In my rookie season in 2009, there was one camera following me from the car to the locker room – our Golden State Warriors PR team,” Curry recalls. “How all of it became almost a runway show, because you get out of the automobile, the bus, and go into the locker room – the funny thing is that we dress, whether you are at home or in a hotel, and you are probably wearing outfit from half-hour to an hour, depending on how long the trip is. Then you go to the locker room, take it off and put it back on after the match, but that moment is special because you wish to look good,” he added.
While Curry typically opts for traditional styles, he admits his fashion sense has evolved “dramatically” over the course of his profession. According to WWD, this season his wardrobe will feature creations by each established and emerging designers, including Áwet and Saif Ud Deen, co-founder of Pharrell Williams Billionaire Boys Club.
“My goal is not to try to stand out too much… I never dress loudly just to dress loudly, and I think I have a very classic, modern, casual style,” Curry explained, later adding: “Any brand we wear , has a unique way of coping with or attacking this problem and it can be nice to see diversity inside the different outfits I wear.”
Fans who like Curry’s look can shop online at stores like Neiman Marcus, Saks Fifth Avenue and Mr. Porter while also receiving money back through Rakuten.
“The saying ‘look good, feel good and have fun’ is true,” Curry said. “Have fun with what you wear in the tunnel and during the game – it helps you be present in the moment.”
Lifestyle
An AI discrimination class action lawsuit has finally been settled
Mary Louis’ excitement about moving right into a Massachusetts apartment within the spring of 2021 turned to dismay when Louis, a Black woman, received an email informing her that a “third-party service” had denied her a lease.
This third-party service included an algorithm designed to judge rental applicants, which became the topic of a class-action lawsuit led by Louis that alleged the algorithm discriminated on the premise of race and income.
On Wednesday, a federal judge approved a settlement in that lawsuit, certainly one of the primary of its kind. The company behind the algorithm has agreed to pay greater than $2.2 million and to recall some parts of its monitoring products that the lawsuit said were discriminatory.
The settlement doesn’t include an admission of wrongdoing by SafeRent Solutions, which said in a press release that while it “continues to believe that SRS Scores complies with all applicable laws, litigation is time-consuming and expensive.”
While such lawsuits could also be relatively latest, using algorithms or artificial intelligence programs to screen and rate Americans is just not. For years, artificial intelligence has been secretly helping make essential decisions for US residents.
When an individual applies for a job, applies for a house loan, and even seeks specific medical care, there may be a risk that a man-made intelligence system or algorithm will judge or evaluate them as Louis did. These AI systems, nonetheless, are largely unregulated, although some have been found to cause discrimination.
“Management companies and property owners need to know that they have been warned that systems they believe are reliable and good will face challenges,” said Todd Kaplan, certainly one of Louis’ attorneys.
The lawsuit alleged that SafeRent’s algorithm didn’t bear in mind housing voucher advantages, which it said were a very important detail affecting a tenant’s ability to pay monthly bills, and due to this fact discriminated against low-income applicants who qualified for assistance.
The lawsuit also accused the SafeRent algorithm of over-reliance on credit information. They argued that it doesn’t provide an entire picture of an applicant’s ability to pay rent on time and unfairly awards housing voucher applicants to Black and Latino applicants, partly because they’ve lower average credit scores, which will be attributed to historical inequalities.
Christine Webber, certainly one of the plaintiff’s lawyers, argued that simply because the algorithm or artificial intelligence is just not programmed to discriminate, the info the algorithm uses or weights can have “the same effect as if you told it to intentionally discriminate.”
When Louis’ application was rejected, she tried to appeal the choice by sending two landlords references confirming that she had paid her rent early or on time for 16 years, despite the fact that she didn’t have a robust credit history.
Louis, who had a housing voucher, was floundering, having already notified her previous owner that she was moving out, and was facing custody charges against her granddaughter.
The response from a management company that used SafeRent’s tenant screening service was: “We do not accept appeals and cannot overrule a tenant screening result.”
Louis felt defeated; the algorithm didn’t know her, she said.
“It’s all about numbers. You can’t get individual empathy from them,” Louis said. “You can’t beat the system. The system will always beat us.”
While state lawmakers have proposed aggressive regulation of a majority of these AI systems, these proposals have largely modified them did not obtain sufficient support. This implies that lawsuits like Louis’ are beginning to lay the groundwork for AI liability.
SafeRent’s attorneys argued within the motion to dismiss that the corporate shouldn’t be chargeable for discrimination because SafeRent didn’t make the ultimate decision on whether to simply accept or deny a tenant. This service would screen applicants, evaluate them and supply a report, but leave it to the landlords or management firms to come to a decision whether to simply accept or reject the tenant.
Louis’ lawyers, together with the U.S. Department of Justice, which filed a press release of interest within the case, argued that the SafeRent algorithm could possibly be held liable since it still plays a job in housing access. The judge denied SafeRent’s motion to dismiss the lawsuit on these grounds.
The settlement stipulates that SafeRent cannot include its rating in tenant screening reports in certain cases, including if an applicant is on a housing voucher. It also requires that if SafeRent develops a distinct audit result that it plans to make use of, it have to be validated by a 3rd party, to which the plaintiffs agree.
Louis’ son found her an inexpensive apartment on Facebook Marketplace, which she moved into, even though it was $200 dearer and in a less desirable neighborhood.
“I’m not optimistic that I’ll be able to take a break, but I have to continue playing and that’s it,” Louis said. “I have too many people depending on me.”
Lifestyle
Percival Everett wins the National Book Award for his Huckleberry Finn-inspired epic “James.”
NEW YORK (AP) – Percival Everett’s “James,” a daring reworking of “The Adventures of Huckleberry Finn,” won the National Book Award for fiction. The winner in the nonfiction category was “Soldiers and Kings: Survival and Hope in the World of Human Smuggling” by Jason De León, while the finalists included Salman Rushdie’s memoir about his brutal stabbing in 2022, “The Knife.”
The youth literature prize was awarded Wednesday night to Shifa Saltaga Safadi’s coming-of-age story “Kareem Between,” and the poetry prize was awarded to Lena Khalaf Tuffah’s “Something About Living.” In the translation category, the winner was “Taiwan Travel Diary” by Yáng Shuāng-zǐ, translated from Mandarin Chinese by Lin King.
Evaluation panels composed of writers, critics, booksellers and other representatives of the literary community chosen from lots of of submitted entries, and publishers nominated a complete of over 1,900 books. Each of the winners of the five competitive categories received $10,000.
Everett’s victory continues his remarkable development over the past few years. Little known to readers for many years, the 67-year-old was a finalist for the Booker and Pulitzer Prizes for such novels as “Trees” and “Dr. No” and the novel “Erasure” was adapted into the Oscar-nominated “American Fiction”.
Continuing Mark Twain’s classic about the wayward Southern boy, Huck, and the enslaved Jim, Everett tells the story from the latter’s perspective and highlights how in another way Jim acts and even speaks when whites usually are not around. The novel was a finalist for the Booker and won the Kirkus Prize for Fiction last month.
“James was well received,” Everett noted during his speech.
Demon Copperhead novelist Barbara Kingsolver and Black Classic Press publisher W. Paul Coates received Lifetime Achievement Medals from the National Book Foundation, which awards the awards.
Speakers praised diversity, disruption and autonomy, whether it was Taiwanese independence or immigrant rights in the US. The two winners, Safadi and Tuffaha, condemned the years-long war in Gaza and U.S. military support for Israel. Neither mentioned Israel by name, but each called the conflict “genocide” and were met with cheers – and more subdued reactions – after calling for support for the Palestinians.
Tuffaha, who’s Palestinian-American, dedicated her award partly to “all the incredibly beautiful Palestinians this world has lost, and all the wonderful ones who survive, waiting for us, waiting for us to wake up.”
Last yr, publisher Zibby Owens withdrew support for the awards after learning that the finalists planned to sentence the war in Gaza. This yr, the World Jewish Congress was amongst critics of Coates’ award, citing partly his reissue of the essay “The Jewish Onslaught,” which was called anti-Semitic.
National Book Foundation executive director Ruth Dickey said in a recent statement that Coates was being honored for his body of labor, not for any single book, and added that while the foundation condemns anti-Semitism and other types of bigotry, it also believes in free speech.
“Anyone who looks at the work of any publisher over the course of almost fifty years will find individual works or opinions with which they disagree or find offensive,” she added.
The National Book Awards took place way back in mid-November, shortly after the election, and supply an early glimpse of the book world’s response: hopeful in the wake of Barack Obama’s 2008 victory, when publisher and honorary winner Barney Rosset predicted a “new and uplifting program.” ; grim but determined in 2016, after Donald Trump’s first victory, when fiction winner Colson Whitehead urged viewers to “be kind to everyone, make art and fight power.”
This yr, as lots of gathered for a dinner ceremony at Cipriani Wall Street in downtown Manhattan to have a good time the seventy fifth anniversary of the awards, the mood was certainly one of sobriety, determination and goodwill.
Host Kate McKinnon joked that she was hired because the National Book Foundation wanted “something fun and light to distract from the fact that the world is a bonfire.” Musical guest Jon Batiste led the crowd in a round of “When the Saints Go Marching In” and sang a couple of lines from “Hallelujah,” the Leonard Cohen standard that McKinnon somberly performed at the starting of the first “Saturday Night Live” after the 2016 election.
Kingsolver admitted that she feels “depressed at the moment”, but added that she has faced despair before. She compared truth and like to natural forces equivalent to gravity and the sun, that are at all times present whether you may see them or not. The screenwriter’s job is to assume “a better ending than the one we were given,” she said.
During Tuesday evening’s reading by the award finalists, some spoke of community and support. Everett began his turn by confessing that he really “needed this kind of inspiration after the last few weeks. In a way, we need each other. After warning that “hope just isn’t a technique,” he paused and said, “Never has a situation seemed so absurd, surreal and ridiculous.”
It took him a moment to understand that he wasn’t discussing current events, but fairly was reading James.
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