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WEB POSTED 08-28-2001

 
 

 

 

Farmers press Federal Reserve, banks as part of an anti-discrimination battle

(NNPA)�America�s Black farmers continue to fight for their economic life after years of discrimination by the U.S. Department of Agriculture was confirmed in a court ruling five-years-ago.

The National Association of Black Farmers, who told of their continuing economic struggle in a Capitol Hill press conference in July, has escalated its movement into a demand for First Union and Wachovia banks to lend them money after decades of federal bias.

John Boyd, president of the group, said he has filed a petition with the Federal Reserve Bank, asking the institution to take another look at the merger between First Union and Wachovia because of what he says is their lack of loans to Black farmers. The Federal Reserve Board approved the merger in early August.

The organization conducted a survey of 60,000 current and former Black farmers, asking whether they�d ever received financial assistance from First Union, Wachovia or Suntrust banks, Mr. Boyd said. The three banks had been trying to merge until SunTrust was forced out.

"Nobody had received anything," Mr. Boyd said. "That�s disgusting. They continue taking our deposits, but they won�t lend us the dollar. They�re becoming larger and larger based on our deposits, but we�re not getting loans from these banks."

Mr. Boyd and a group of farmers were scheduled to meet with officials at First Union headquarters in Charlotte, N.C., in mid-August to discuss a possible financing plan. The meeting at First Union stemmed from an Aug. 3 Wachovia shareholder�s meeting during which Mr. Boyd, a Wachovia shareholder, chided the banks for their poor lending records for Black farmers.

Laurie Hedrick, a spokeswoman for First Union, acknowledged the meeting, but said the bank�s comments were limited.

"As far as any response to the statement that they made at the Wachovia shareholder meeting, that is indeed what they�re going to be talking about," Ms. Hedrick said.

The farmers appear to be on a roll with their demand for justice. Mr. Boyd led a handful of Black farmers at a passionate press conference in the office of Rep. Bennie Thompson (D-Miss.) in July. Congressman Thompson and Rep. Eva Clayton (D-N.C.) announced that they are sponsoring separate bills, asking Congress to help distressed Black farmers.

An NNPA story on the press conference was read over the air on Aug. 8 by Washington, D.C. morning radio talk show host Joe Madison as part of a discussion on the plight of Black farmers. Mr. Madison encouraged listeners and callers to email the article from BlackPress USA.com to the three banks involved in the merger or to stop by their branches, asking why they�re not granting loans to Black farmers.

The radio station�s advertising department got a call the next day from one of the banks, asking, "What the hell are you all talking about over there?" said Mr. Madison, whose show airs daily on 1450 WOL-AM, a Black news-talk radio station. "It worked out very well because I think they are now planning some meetings."

Mr. Boyd expressed appreciation for Mr. Madison and NNPA.

Federal government discrimination by USDA was proven during the historic Pigford v. Glickman class action lawsuit in 1996, but never fully remedied. Many of the farmers were never able to prove discrimination, so were never able to benefit from the $50,000 compensatory damages and debt write-off awarded to each plaintiff in the suit if they could prove their cases.

There are now 18,000 Black farmers in the U.S., down from a million at the turn of the 19th century, according to Mr. Boyd. He charged racial discrimination by USDA agents has caused more than 13 million acres of land to be "stolen" from Black farmers.

�Hazel Trice Edney

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