Black Billionaire Accuses Liberal Sen. Schumer of Racism

Black Billionaire Accuses Liberal Sen. Schumer of Racism

CNSNews.com
Tuesday, Jan. 30, 2001

One of the U.S. Senate's most liberal members faces an accusation of racism. The charge leveled at Sen. Charles Schumer, D-N.Y., comes from an unlikely source, Robert Johnson, the founder of Black Entertainment Television, who states that Schumer favored white-owned companies over his own.

Johnson, the nation's first black billionaire, proposed the start of "DC Air," a regional airline that would include slots in New York City and reach airports in upstate New York. However, Johnson accuses Schumer of trying to get the U.S. Justice Department to clip the wings of his efforts to create what he said would be the nation's first minority-owned airline in more than 30 years.

The explosive allegations became public when Johnson sent a letter to Schumer, outlining his feelings on the subject. According to the letter, first obtained by a New York newspaper, Johnson states, "As an African-American businessperson who has a personal net worth significantly greater than the market capitalization of [rival companies] Jet Blue and Air Tran combined, I am offended that you could argue that these two companies deserve an opportunity that should be denied to me.

"It cannot be that you believe that they are better businesspersons; perhaps it is because they are white businesspersons."

An aide to Schumer did not deny that the letter was sent or the contents of the letter. A spokesman in Schumer's New York office stated that the senator's decision was solely based on "how it would benefit the people of New York, not on the basis of any political or racial consideration."

Schumer contends that Johnson's airline "would not result in lower airfares or better service for New York state, either in New York City or the underserved cities of upstate, which face so much economic hardship."

Under the proposed deal, American Airlines will have the opportunity to buy out DC Air at any time, which could result in a windfall of airport slots for American. It is this element of the deal that Schumer dislikes and that prompted him to remark that Johnson's business plan "would not be the creation of a new minority airline competitor."

According to Schumer, "Had DC Air shown any willingness to partner with a low-cost carrier instead of with one of the major airlines, which have shown no commitment to providing low-cost service, I would have been happy to support it."

Schumer said "all things being equal," he'd back a minority-owned airline.

The published report claimed that when asked if he was accusing Schumer of racism, Johnson responded, "If it walks like a duck and talks like a duck and quacks like a duck ... "

One of New York's top black elected Democrats, State Comptroller Carl McCall immediately jumped to Schumer's defense, dismissing the idea that this is a racial issue. "I don't think Chuck [Sen. Schumer] in this instance, or any other, is operating from the basis of any kind of racial motive."

McCall is speculated to be a Democratic challenger in the next New York State gubernatorial election.