HUD Paid Employee $900,000 Over This Single ‘Racist’ Word

Buckwheat photo

Photo by Michael_Lehet

(Daily Caller) Taxpayers wrote a $900,000 settlement check to a federal employee to compensate her for once being likened to a “Little Rascals” character by her boss, The Daily Caller News Foundation’s Investigative Group (TheDCNF)  has learned.

The secret settlement appears to be one of the largest-ever discrimination settlement payouts to an individual federal employee. The payment came after an Equal Opportunity Employment office ruled that the remark was racist and accepted without challenge the claim that it caused nearly a million dollars worth of emotional harm.

The offending boss was Mary K. Kinney, then-executive vice president of Ginnie Mae, which is part of the Department of Housing and Urban Development (HUD).

Kinney’s offense was referring to the employee, who is black, as “Buckwheat,” a character from the Little Rascals movie series. HUD had already settled with another black female over racism allegations against Kinney–which suggests that they found the allegations credible–but kept her in the top post anyway.


Settlements are intended to save money by avoiding a potentially much more expensive court-ordered payment. But there are few examples of courts ordering federal agencies to pay an amount even greater than the Kinney settlement to a similarly-situated federal employee, suggesting that they were not performing that calculation.

When another HUD employee received $900,000, it was heralded as one of the largest equal-employment settlements of all time–and that employee was left unable to breathe or walk after HUD put her in an office with mold and refused to lift a finger when she complained…

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