Purdue Reaches Deal To Send Papa John's Money Back

Purdue University President Mitch Daniels confirms the school has reached an agreement to return a gift made by Papa John’s Pizza founder John Schnatter.

Purdue’s Trustees earlier this month said they would “offer” to return the gift the Schnatter Family Foundation had made to endow an entrepreneurship center within the Krannert School of Management.

Daniels says only a portion of the promised $8 million needs to be given back.

“Only $1 million of the eight had actually been delivered and it’s being returned,” Daniels says.

Purdue elected to cut ties with Schnatter after the pizza magnate admitted to uttering a racial slur on a conference call with company executives in May – a call designed to mitigate previous comments he’d made, including suggesting black National Football League players kneeling before games was costing him money.

Though Purdue decided to sever its relationship with Schnatter, Ball State University officials chose a different path -- saying they will keep donations the Kentucky businessman has committed to the Muncie campus.