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She was a top DEI manager at Facebook and Nike. Then the feds showed up at her door

By
Ruth Umoh
Ruth Umoh
Editor, Next to Lead
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By
Ruth Umoh
Ruth Umoh
Editor, Next to Lead
Down Arrow Button Icon
June 12, 2024, 3:37 PM ET
Barbara Furlow-Smiles, who pleaded guilty to wire fraud in the case in December, stole more than $4.9 million that had been earmarked for DEI initiatives from Facebook alone.
Barbara Furlow-Smiles, who pleaded guilty to wire fraud in the case in December, stole more than $4.9 million that had been earmarked for DEI initiatives from Facebook alone.Robin L Marshall—Getty Images

By now, you’ve likely heard about the case of Barbara Furlow-Smiles.

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For those not yet in the know, here’s a quick recap: Furlow-Smiles held prominent DEI roles at Nike and Facebook (now Meta) and was allegedly in the running for a role at Pixar before news broke that she’d been accused of stealing $5 million to fund a high-priced luxury lifestyle. In May, a judge sentenced her to five years in prison and ordered her to return the stolen funds.

At first glance, this seems like any other white-collar scheme. But in a deeply riveting and colorfully written feature, my colleague Lila MacLellan uncovers the humanity behind the crime and explores what led someone who, by many accounts, seemed to live comfortably—and made her name in a field that’s perceived as more values-driven and moralistic than others—to steal millions of dollars earmarked for underrepresented people. 

While the insider backstory is a fascinating one, MacLellan also teases out the racial elements and potential hypocrisy in how punishment is meted out to Black people. MacLellan spoke to several of Furlow-Smiles’s friends and former colleagues who argue that while the ex-DEI head is rightfully being held accountable for her crimes, her sentence is too harsh for behavior they view as rampant at large firms, especially in tech.

“White executives commit wrongdoing and walk away with a multimillion-dollar package,” one professional friend of Furlow-Smiles told MacLellan. The rules, however, are different for people of color. “They can do whatever they want to do, but if you’re Black, you keep your nose clean.” 

The importance of a healthy organizational culture is also an undercurrent in this tale. Furlow-Smiles’s lawyers allege that she got caught up in what they describe as Facebook’s move-fast and win-at-all-costs mentality. 

Meta declined to comment on its history with Furlow-Smiles, instead directing Fortune to a Department of Justice press release about the case. Nike did not respond to a request for comment.

Read the full article here. I’ll get you started:

It was a cool, mostly cloudy Thursday in late October when two men in suits turned up outside the Portland home of Barbara Furlow-Smiles, a DEI executive between jobs. According to a sentencing memo that would be filed by her lawyers months later, Furlow-Smiles knew she was in trouble because, let’s face it, “no one wears suits in Oregon.”  

Ruth Umoh
@ruthumohnews
ruth.umoh@fortune.com

What’s Trending

Cultural phenom. As Asian grocers like H Mart and Patel Brothers Ranch expand, they’re reshaping American eating habits and turning cultural specialties into staples. NYT

Oh deere. John Deere must pay $1.1 million in back wages to Black and Hispanic job seekers who it allegedly discriminated against and provide 53 job offers to eligible victims. DOL

Not so cheery-o. Cereal giant General Mills is facing a class-action lawsuit from Black employees in Georgia who allege white managers have “embraced a racially hostile work environment perpetuated by white supremacists.” NPR

The agitators. From UPS to Target, “anti-woke” shareholders are voting against proposals that are in favor of social initiatives. WSJ

The Big Think

One thing about me: I salivate over deep dives on elitism. New York Times columnist David Brooks has an engrossing read aptly titled “The Sins of the Educated Class,” in which he explores the leftward drift of the “haute bourgeoisie,” arguing that while this cohort performs substantial moral preening, their lifestyles contribute to the impoverishment of historically oppressed groups.

“When your identity is based on siding with the marginalized, but you work at Horace Mann or Princeton, you have to work really hard to make yourself and others believe you are really progressive,” Brooks writes. “You’re bound to drift further and further to the left to prove you are standing up to the man.”

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About the Author
By Ruth UmohEditor, Next to Lead
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Ruth Umoh is the Next to Lead editor at Fortune, covering the next generation of C-Suite leaders. She also authors Fortune’s Next to Lead newsletter.

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