TALLAHASSEE, Fla. – Florida A&M University has decided to halt a monumental $237 million donation, which sent shockwaves through the campus community, causing a crisis of confidence within the administration. The donation was initially announced by Texas hemp farmer Gregory Gerami during a graduation ceremony, accompanied by FAMU President Larry Robinson.
During an emergency meeting of the FAMU Foundation Board, President Robinson announced that the university will pause the acceptance of the donation until the true value of the stock options donated by Gerami can be determined. The donation was made by Gerami, who is the CEO of Batterson Farms Corp, and a trustee of the Isaac Batterson Family 7th Trust.
The decision to halt the donation came after concerns were raised about the lack of proper vetting, communication, and procedures involved in the donation process. Several board members expressed disappointment over the handling of the donation, which included a non-disclosure agreement imposed by Gerami, limiting knowledge of the donation to only a few administrators.
Further scrutiny revealed that the stock donated by Gerami, valued at $15.85 a share, could potentially be worth anywhere between zero and $300 million, depending on the buyer. This revelation led to discussions about the need for a thorough third-party valuation to assess the true worth of the stocks.
In response to the unfolding situation, FAMU officials have scheduled a special meeting of the Board of Trustees to delve deeper into the details of the donation. The meeting, open to the public, aims to scrutinize and formalize the processes for receiving major gifts, with a focus on enhancing transparency and accountability within the university.
As the university grapples with the aftermath of the halted donation, there is a shared sentiment among board members that while the intent behind the donation may have been positive, there is a need for greater diligence and oversight in future gift acceptance processes. The unfolding events serve as a learning opportunity for FAMU as it strives to attract major donors and excel in its mission of higher education excellence.