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Mr. Pierce provided documentation showing that the Ku Klux Klan signed up for a Business/Premier Account using the email address firstname.lastname@example.org.
Even though the KKK found PayPal to be "valuable and helpful," things started to go down hill after the KKK began collecting significant amounts of money and then transferring their money to their bank account.
Mr. Pierce told Screw-PayPal.com that, "It was a real hustle having to call in and beg them [PayPal] to transfer our funds into the corporate account.
They wanted us to make purchases through PayPal so they could earn on both ends.
The KKK explained to PayPal that they needed their money for administration only and did not need the option of making purchases using their PayPal balance.
In December 2005, PayPal limited and closed the Ku Klux Klan's PayPal account because they were not making enough money with them.
"We called to find out what could be wrong, it took several days before one of their representatives informed us our service was canceled due to the fact that our PayPal activities did not generate enough revenue for them and the fact that our website mentions race on it.
Mr. Pierce went on to explain that PayPal knew it was doing business with the Ku Klux Klan and PayPal knew that the KKK has a strong focus on race.
PayPal then hung up on the Ku Klux Klan.
Throughout December 2005, the KKK continued to make phone calls to PayPal.
"Every call I made I got an underling who had and could obtain no information, no one could or would make a decision, or put me in touch with anyone who could.
The wagons were circled and we were froze out," a calm Travis Pierce explained.
KRT Wire | 03/14/2004 | Detroit student alleges harassment from someone in Klan outfit
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