MINNEAPOLIS, Minn.–One of the people who was expected to play a major role in the launch of a black-owned credit union in this city who was ousted from the job said she was dismissed after she accused the organization of discriminating against a white employee.
As CUToday.info reported here, Me’Lea Connelly was removed from efforts to launch Village Financial Credit Union to serve this city’s black community after allegations were made of fraud and mismanagement. But in a statement to the board of the Association for Back Economic Power, of which Connelly was also director, she said the termination was actually the result of a discrimination complaint she made related to Joe Riemann, who was CFO of the Association for Black Economic Power, according to the Minneapolis Star Tribune. Riemann—who has also been involved in plans to charter the CU–and Connelly are in a romantic relationship, the Star Tribune reported.
‘Abrupt and Surprising’
In her statement, Connelly said the "abrupt and surprising" complaints from staff "were not about this leader's poor performance or behavior" but instead were about his "role being inappropriate" because he's "not black." Connelly said the board forced her to terminate Riemann "without cause,” according to the Star Tribune.
"In dialogue with the board, I expressed that removing a staff member due to their race is not only illegal but in direct contradiction to what I believed were, our shared values," Connelly said in the statement, the Star Tribune said. "It was and is my belief that, in any efforts we make towards achieving economic equity, we must not replicate the discrimination and abuse we say we are working to overcome."
Connelly confirmed the statement through her attorney, but declined further comment.
Alleged Misuse of Funds
But the Star Tribune reported that earlier staff of ABEP had filed a report with the Minneapolis police that cited "reported misuse of grant funds" between May 16 and Aug. 13. The department is still reviewing the report for further investigation, police spokesman John Elder told the Star Tribune. Both Connelly and Riemann have denied wrongdoing.
Several sources told the Star Tribune the turmoil could jeopardize the launch of the credit union before year-end, which had been the goal. The Minnesota Department of Commerce, which oversees credit unions in the state, does not currently have an application for consideration for Village Financial, Emma Bauer, the department's communications director, told the Star Tribune.
The city of Minneapolis has pledged $500,000 to help Village Financial open, $410,000 of which is in the form of a forgivable loan, if it met certain benchmarks, including opening a brick-and-mortar location by the end of this year.