In a closely watched civil rights case, a panel on the 11th Circuit U.S. Court of Appeals blocked Fearless Fund from awarding $20,000 grants to businesses owned by Black women while the case is litigated, siding with conservative activist Edward Blum that the grant program is likely discriminatory.
The appeals court disagreed with a federal judge who ruled in September that the lawsuit was unlikely to prevail on First Amendment grounds.
The defeat for the Atlanta firm working to boost scarce venture capital funding for Black women could have sweeping implications for race-based initiatives in the private sector.
"This is devastating for the Fearless Fund and Foundation, and for the women in which we have invested in. I am shattered for every girl of color who has a dream but will grow up in a nation determined not to give her a shot to live it. On their behalf, we will turn the pain into purpose and fight with all our might," Arian Simone, CEO and founding partner of Fearless Fund and founder of the Fearless Foundation, said in a statement to USA TODAY.
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