96-594: Los Angeles Uprising may refer to: Watts riots in 1965 1992 Los Angeles riots Topics referred to by the same term [REDACTED] This disambiguation page lists articles associated with the title Los Angeles Uprising . If an internal link led you here, you may wish to change the link to point directly to the intended article. Retrieved from " https://en.wikipedia.org/w/index.php?title=Los_Angeles_Uprising&oldid=1108398016 " Category : Disambiguation pages Hidden categories: Short description
192-409: A gang injunction issued against them, as the work of geographer Stefano Bloch and anthropologist Susan A. Phillips shows. While racist covenants, conditions, and restrictions (CCRs) were ruled "unenforceable" by the U.S. Supreme Court in the landmark 1948 case Shelley v. Kraemer, this decision did not make them illegal; it only prevented courts from enforcing them. It was not until the passage of
288-419: A 21-year-old African-American man, was pulled over for drunk driving . After he failed a field sobriety test, officers attempted to arrest him. Marquette resisted arrest, with assistance from his mother, Rena Frye; a physical confrontation ensued in which Marquette was struck in the face with a baton. Meanwhile, a crowd of onlookers had gathered. Rumors spread that the police had kicked a pregnant woman who
384-781: A Beginning?: A Report by the Governor's Commission on the Los Angeles Riots, 1965 . The McCone Commission identified the root causes of the riots to be high unemployment, poor schools, and related inferior living conditions that were endured by African Americans in Watts. Recommendations for addressing these problems included "emergency literacy and preschool programs, improved police-community ties, increased low-income housing, more job-training projects, upgraded health-care services, more efficient public transportation, and many more." Most of these recommendations were never implemented. Marquette Frye
480-618: A community, they may considered to be a form of "reverse redlining". The term "liquorlining" is sometimes used to describe high densities of liquor stores in low income and/or minority communities relative to surrounding areas. High densities of liquor stores are associated with crime and public health issues, which may in turn drive away supermarkets, grocery stores, and other retail outlets, contributing to low levels of economic development. Controlled for income, nonwhites face higher concentrations of liquor stores than do whites. One study done on "liquorlining" found that, in urban neighborhoods, there
576-513: A donation to the church in return for every new application. Many working-class blacks wanted to be included in the nation's home-owning trend. Instead of empowering them to contribute to homeownership and community progress, predatory lending practices through reverse redlining stripped the equity homeowners sought and drained the wealth of those communities for the enrichment of financial firms . The growth of subprime lending , higher cost loans to borrowers with flaws on their credit records, prior to
672-604: A great deal of racial and social tension. Reactions and reasoning about the riots greatly varied based on the perspectives of those affected by and participating in the riots' chaos. National civil rights leader Rev. Dr. Martin Luther King Jr. spoke two days after the riots happened in Watts. The riots were partly a response to Proposition 14 , a constitutional amendment sponsored by the California Real Estate Association and passed that had in effect repealed
768-454: A home on an all-white street, sell or rent it to a black family, and then buy up the remaining homes from Caucasians at cut-rate prices, then sell them to housing-hungry black families at hefty profits. The Rumford Fair Housing Act, designed to remedy residential segregation, was overturned by Proposition 14 in 1964, which was sponsored by the California real estate industry, and supported by
864-514: A majority believed the riots were linked to communist groups who were active in the area protesting high unemployment rates and racial discrimination. Those opinions concerning racism and discrimination were expressed three years after hearings conducted by a committee of the U.S. Commission on Civil Rights took place in Los Angeles to assess the condition of relations between the police force and minorities. These hearings were also intended to make
960-457: A majority of white voters. Psychiatrist and civil rights activist Alvin Poussaint considered Proposition 14 to be one of the causes of black rebellion in Watts. In 1950, William H. Parker was appointed and sworn in as Los Angeles Chief of Police. After a major scandal called Bloody Christmas of 1951 , Parker pushed for more independence from political pressures that would enable him to create
1056-665: A majority-black or Hispanic neighborhood and you wanted to apply for a mortgage, Hudson City Savings Bank was not the place to go." The enforcement agencies cited additional evidence of discrimination in Hudson City's broker selection practices, noting that the bank received 80 percent of its mortgage applications from mortgage brokers but that the brokers with whom the bank worked were not located in majority African-American and Hispanic areas. On January 12, 2023, City National Bank of California agreed to pay $ 31,000,000 to resolve allegations of redlining from 2017 to at least 2020, brought by
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#17328559385951152-424: A more professionalized police force. The public supported him and voted for charter changes that isolated the police department from the rest of the city government. Despite its reform and having a professionalized, military-like police force, William Parker's LAPD faced repeated criticism from the city's Latino and black residents for police brutality – resulting from his recruiting of officers from
1248-498: A national disclosure regulation or law to require banks to reveal their lending patterns. For many years, urban community organizations had battled neighborhood decay by attacking blockbusting (deceptive encouragement of white flight from neighborhoods in order to buy up real estate at a huge discount and then rent to low-income, usually black tenants), forcing landlords to maintain properties, and requiring cities to board up and tear down abandoned properties. These actions addressed
1344-412: A persistent adverse impact on the neighborhoods, with redlining affecting homeownership rates, home values and credit scores in 2010. Since many African-Americans could not access conventional home loans, they had to turn to predatory lenders (who charged high interest rates). Due to lower home ownership rates, slumlords were able to rent out apartments that would otherwise be owned. Retail redlining
1440-470: A record of purchases at retailers frequented by so-called "high-risk" customers, to be akin to redlining. Much of the economic impacts we find as a result of redlining and the banking system directly impact the African American community. Beginning in the 1960s, there was a large influx of black veterans and their families moving into suburban white communities. As blacks moved in, whites moved out and
1536-455: A red line around questionable areas on territorial maps." The New York Urban Coalition warned in 1978, "A neighborhood without insurance is a neighborhood doomed to death." Following a National Housing Conference in 1973, a group of Chicago community organizations led by The Northwest Community Organization (NCO) formed National People's Action (NPA), to broaden the fight against disinvestment and mortgage redlining in neighborhoods all over
1632-542: A ruling on the discrimination case against the police for their alleged mistreatment of members of the Nation of Islam . These different arguments and opinions are often cited in continuing debates over the underlying causes of the Watts riots. After the Watts Riots, white families left surrounding nearby suburbs like Compton, Huntington Park, and South Gate in large numbers. Although the unrest did not reach these suburbs during
1728-502: A rumor they had kicked a pregnant woman, angry mobs formed. As the situation intensified, growing crowds of local residents watching the exchange began yelling and throwing objects at the police officers. Frye's mother and brother fought with the officers and eventually were arrested along with Marquette Frye. After the arrests of Price and her sons, the Frye brothers, the crowd continued to grow along Avalon Boulevard. Police came to
1824-419: A store, a Los Angeles County Sheriff's deputy was accidentally shot by another deputy while in a struggle with rioters, and a Long Beach Police Department officer was shot by another police officer during a scuffle with rioters. 23 out of the 34 people killed in the riots were shot by LAPD officers or National Guardsmen. Debate rose quickly over what had taken place in Watts, as the area was known to be under
1920-1112: Is a spatially discriminatory practice among retailers. Taxicab services and delivery food may not serve certain areas, based on their ethnic-minority composition and assumptions about business (and perceived crime), rather than data and economic criteria, such as the potential profitability of operating in those areas. Consequently, consumers in these areas are vulnerable to prices set by fewer retailers. They may be exploited by retailers who charge higher prices and/or offer them inferior goods. A 2012 study by The Wall Street Journal found that Staples , The Home Depot , Rosetta Stone and some other online retailers displayed different prices to customers in different locations (distinct from shipping prices). Staples based discounts on proximity to competitors like OfficeMax and Office Depot . This generally resulted in higher prices for customers in more rural areas, who were on average less wealthy than customers seeing lower prices. Some service providers target low-income neighborhoods for nuisance sales. When those services are believed to have adverse effects on
2016-673: Is also an example of spatial inequality and economic inequality . The specific process termed "redlining" in the United States occurred on the background of racial segregation and discrimination against minority populations. It had its origins in sales practices of the National Association of Real Estate Boards and theories about race and property values codified by economists surrounding Richard T. Ely and his Institute for Research in Land Economics and Public Utilities, founded at
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#17328559385952112-421: Is clear that race has long affected and continues to affect the policies and practices of the insurance industry. Home-insurance agents may try to assess the ethnicity of a potential customer just by telephone, affecting what services they offer to inquiries about purchasing a home insurance policy. This type of discrimination is called linguistic profiling . There have also been concerns raised about redlining in
2208-743: Is different from Wikidata All article disambiguation pages All disambiguation pages Watts riots The Watts riots , sometimes referred to as the Watts Rebellion or Watts Uprising , took place in the Watts neighborhood and its surrounding areas of Los Angeles from August 11 to 16, 1965. The riots were motivated by anger at the racist and abusive practices of the Los Angeles Police Department , as well as grievances over employment discrimination, residential segregation, and poverty in L.A. On August 11, 1965, Marquette Frye,
2304-670: Is now known as the Racial Wealth Gap seen in the United States. Black families in America earned just $ 57.30 for every $ 100 in income earned by white families, according to the Census Bureau's Current Population Survey. For every $ 100 in white family wealth, black families hold just $ 5.04. In 2016, the median wealth for black and Hispanic families was $ 17,600 and $ 20,700, respectively, compared with white families' median wealth of $ 171,000. The black-white wealth gap has not recovered from
2400-399: Is tasked with administering and enforcing this law. The Equal Credit Opportunity Act (ECOA), codified at 15 U.S.C. § 1691 et seq., was enacted on October 28, 1974. This law makes it unlawful for any creditor to discriminate against any applicant regarding any aspect of a credit transaction based on race, color, religion, national origin, sex, marital status, or age (provided the applicant has
2496-521: Is weak correlation between demand for alcohol and supply of liquor stores. In December 2007, a class action lawsuit was brought against student loan lending giant Sallie Mae in the United States District Court for the District of Connecticut . The class alleged that Sallie Mae discriminated against African American and Hispanic private student loan applicants. The case alleged that
2592-509: The 2008 financial crisis , coupled with growing law enforcement activity in those areas, clearly showed a surge in manipulative practices. Not all subprime loans were predatory, but virtually all predatory loans were subprime. Predatory loans are dangerous because they charge unreasonably higher rates and fees compared to the risk, trapping homeowners in unaffordable debt and often costing them their homes and life savings. A survey of two districts of similar incomes, one being largely white and
2688-677: The Community Reinvestment Act . Redlining was prevalent in Canada from the 1930s to 1950s in Ontario, with intergenerational consequences that persist to the present day. In the United States, the Fair Housing Act of 1968 was passed to combat the practice of redlining. According to the Department of Housing and Urban Development, "The Fair Housing Act makes it unlawful to discriminate in
2784-658: The Federal Home Loan Bank Board (FHLBB), which oversaw S&Ls in cities all over the country. In 1974, Chicago's Metropolitan Area Housing Association (MAHA), made up of representatives of local organizations, succeeded in having the Illinois State Legislature pass laws mandating disclosure and outlawing redlining. In Massachusetts, organizers allied with NPA confronted a unique situation. Over 90% of home mortgages were held by state-chartered savings banks. A Jamaica Plain neighborhood organization pushed
2880-560: The Federal Housing Administration 's underwriting manual. The lenders had to consider FHA standards if they wanted to receive FHA insurance for their loans. FHA appraisal manuals instructed banks to steer clear of areas with "inharmonious racial groups", and recommended that municipalities enact racially restrictive zoning ordinances. Between 1945 and 1959, African Americans received less than 2 percent of all federally insured home loans. Banks and mortgage lenders were not
2976-649: The Pomona Valley . A commission under Governor Pat Brown investigated the riots, known as the McCone Commission, and headed by former CIA director John A. McCone . Other committee members included Warren Christopher , a Los Angeles attorney who would be the committee's vice chairman, Earl C. Broady, Los Angeles Superior Court judge; Asa V. Call, former president of the State Chamber of Commerce; Rev. Charles Casassa, president of Loyola University of Los Angeles;
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3072-632: The Rev. James E. Jones of Westminster Presbyterian Church and member of the Los Angeles Board of Education; Mrs. Robert G. Newmann, a League of Women Voters leader; and Dr. Sherman M. Mellinkoff , dean of the School of Medicine at UCLA. The only two African American members were Jones and Broady. The commission released a 101-page report on December 2, 1965, entitled Violence in the City ;– An End or
3168-703: The Rumford Fair Housing Act . In 1966, the California Supreme Court reinstated the Rumford Fair Housing Act in the Reitman v. Mulkey case (a decision affirmed by the U.S. Supreme Court the following year), declaring the amendment to violate the US constitution and laws. A variety of opinions and explanations were published. Public opinion polls studied in the few years after the riot showed that
3264-947: The Southern states . This wave of migration largely bypassed Los Angeles. In the 1940s, in the Second Great Migration , black workers and families migrated to the West Coast in large numbers, in response to defense industry recruitment efforts at the start of World War II . President Franklin D. Roosevelt issued Executive Order 8802 directing defense contractors not to discriminate in hiring or promotions, opening up new opportunities for minorities. The black population in Los Angeles dramatically rose from approximately 63,700 in 1940 to about 350,000 in 1965, rising from 4% of L.A.'s population to 14%. Los Angeles had racially restrictive covenants that prevented specific minorities from renting and buying property in certain areas, even long after
3360-456: The United States , and has mostly been directed against African-Americans . The most common examples involve denial of credit and insurance , denial of healthcare , and the development of food deserts in minority neighborhoods. Reverse redlining occurs when a lender or insurer targets majority-minority neighborhood residents with inflated interest rates by taking advantage of
3456-685: The United States Department of Justice . ShoreBank , a community-development bank in Chicago 's South Shore neighborhood, was a part of the private sector fight against redlining. Founded in 1973, ShoreBank sought to combat racist lending practices in Chicago's African-American communities by providing financial services, especially mortgage loans, to local residents. In a 1992 speech, then-Presidential candidate Bill Clinton called ShoreBank "the most important bank in America". On August 20, 2010,
3552-575: The University of Wisconsin in 1920. With the National Housing Act of 1934 the federal government began to be involved in the practice and the concurrent establishment of the Federal Housing Administration (FHA). The FHA's formalized redlining process was developed by their Chief Land Economist, Homer Hoyt , as part of an initiative to develop the first underwriting criteria for mortgages . The implementation of this federal policy accelerated
3648-415: The Watts neighborhood and Compton . Such real-estate practices severely restricted educational and economic opportunities available to the minority community. Following the US entry into World War II after the attack on Pearl Harbor , the federal government removed and interned 70,000 Japanese-Americans from Los Angeles, leaving empty spaces in predominantly Japanese-owned areas. This further bolstered
3744-511: The automotive insurance industry. Reviews of insurance scores based on credit are shown to have unequal results by ethnic group. The Ohio Department of Insurance in the early 21st century allows insurance providers to use maps and collection of demographic data by ZIP code in determining insurance rates. The FHEO Director of Investigations at the Department of Housing and Urban Development , Sara Pratt, wrote: Like other forms of discrimination,
3840-646: The City of Chicago has been one of the most persistently racially segregated cities, despite efforts to improve mobility and reduce barriers. Other cities like Detroit , Houston , and Atlanta likewise have very pronounced black and white neighborhoods, the same neighborhoods that were originally redlined by financial institutions decades ago. While other cities have made progress, this continued racial segregation has contributed to reduced economic mobility for millions of people. Formerly redlined neighborhoods in places like Los Angeles have been shown to be more likely to have
3936-699: The Great Recession. In 2007, immediately before the Great Recession, the median wealth of blacks was nearly 14 percent that of whites. Although black wealth increased at a faster rate than white wealth in 2016, blacks still owned less than 10 percent of whites' wealth at the median. A multigenerational study of people from five race groups analyzed upward mobility trends in American cities. The study concluded that black men who grew up in racially segregated neighborhoods were substantially less likely to gain upward economic mobility, finding "black children born to parents in
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4032-516: The LAPD were sent to assist the Long Beach Police Department (LBPD) in controlling the unruly crowd. By nightfall on Saturday, 16,000 law enforcement personnel had been mobilized and patrolled the city. Blockades were established, and warning signs were posted throughout the riot zones threatening the use of deadly force (one sign warned residents to "Turn left or get shot"). Angered over
4128-537: The South with strong anti-black and anti-Latino attitudes. Chief Parker coined the term " thin blue line ", representing the police as holding down pervasive crime. Resentment of such longstanding racial injustices is cited as reason why Watts' African-American population exploded on August 11, 1965, in what would become the Watts Riots. On the evening of Wednesday, August 11, 1965, 21-year-old Marquette Frye, an African-American man driving his mother's 1955 Buick while drunk,
4224-533: The assistance of the California Army National Guard . Chief Parker believed the riots resembled an insurgency, compared it to fighting the Viet Cong , and decreed a " paramilitary " response to the disorder. Governor Pat Brown declared that law enforcement was confronting " guerrillas fighting with gangsters". The rioting intensified, and on Friday, August 13, about 2,300 National Guardsmen joined
4320-471: The attention of insurance regulators in the Illinois Department of Insurance, as well as federal officers enforcing anti-racial discrimination laws. The United States Federal Government has enacted legislation since the 1970s to reduce the segregation of American cities. While many cities have reduced the amount of segregated neighborhoods, some still have clearly defined racial boundaries. Since 1990,
4416-480: The attorneys for the plaintiffs receiving $ 1.8 million in attorneys' fees. Credit card redlining is a spatially discriminatory practice among credit card issuers, of providing different amounts of credit to different areas, based on their ethnic-minority composition, rather than on economic criteria, such as the potential profitability of operating in those areas. Scholars assess certain policies, such as credit card issuers reducing credit lines of individuals with
4512-641: The bank was declared insolvent, closed by regulators and most of its assets were acquired by Urban Partnership Bank . In the mid-1970s, community organizations, under the banner of the NPA, worked to fight against redlining in South Austin, Illinois. One of these organizations was SACCC ( South Austin Coalition Community Council ), formed to restore South Austin's neighborhood and to fight against financial institutions accused of propagating redlining. This got
4608-430: The bottom household income quintile have a 2.5% chance of rising to the top quintile of household income, compared with 10.6% for whites." Because of this intergenerational poverty, black households are "stuck in place" and are less able to grow wealth. A 2017 study by Federal Reserve Bank of Chicago economists found that redlining—the practice whereby banks discriminated against the inhabitants of certain neighborhoods—had
4704-463: The breakdown of social order in Watts, especially since white motorists were being pulled over by rioters in nearby areas and assaulted. Many in the black community, however, believed the rioters were taking part in an "uprising against an oppressive system." In a 1966 essay, black civil rights activist Bayard Rustin wrote: The whole point of the outbreak in Watts was that it marked the first major rebellion of Negroes against their own masochism and
4800-482: The capacity to contract). It also prohibits discrimination based on the applicant's income deriving from a public assistance program or the applicant's good faith exercise of any right under the Consumer Credit Protection Act. The ECOA applies to any person who regularly participates in credit decisions, including banks, retailers, bankcard companies, finance companies, and credit unions. The part of
4896-577: The city was already 80% covered by racially restrictive covenants in real estate. By the 1940s, 95% of Los Angeles and southern California housing was off-limits to certain minorities. Minorities who had served in World War II or worked in L.A.'s defense industries returned to face increasing patterns of discrimination in housing . In addition, they found themselves excluded from the suburbs and restricted to housing in East or South Los Angeles , which includes
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#17328559385954992-432: The complaint that the bank purposely rejected mortgage applications from black and Latino applicants. The final settlement required AB to open branches in non-white neighborhoods. New York Attorney General Eric Schneiderman announced a settlement with Evans Bank for $ 825,000 on September 10, 2015. An investigation had uncovered the erasure of black neighborhoods from mortgage lending maps. According to Schneiderman, of
5088-422: The country. This organization, led by Chicago housewife Gale Cincotta and Shel Trapp , a professional community organizer, targeted The Federal Home Loan Bank Board, the governing authority over federally chartered Savings and loan associations (S&L) that held at that time the bulk of the country's home mortgages. NPA embarked on an effort to build a national coalition of urban community organizations to pass
5184-513: The courts ruled such practices illegal in 1948 and the Civil Rights Act of 1964 was passed. At the beginning of the 20th century, Los Angeles was geographically divided by ethnicity, as demographics were being altered by the rapid migration from the Philippines ( U.S. unincorporated territory at the time) and immigration from Mexico, Japan, Korea, and Southern and Eastern Europe. In the 1910s,
5280-563: The decay and isolation of minority inner-city neighborhoods through withholding of mortgage capital, making it even more difficult for neighborhoods to attract and retain families able to purchase homes. The discriminatory assumptions in redlining exacerbated residential racial segregation and urban decay in the United States. In 1935, the Federal Home Loan Bank Board (FHLBB) asked the Home Owners' Loan Corporation (HOLC) to look at 239 cities and create "residential security maps" to indicate
5376-648: The decision-making process in loans and insurance which allowed the insertion of discriminatory assessments into final decisions about either. In reverse redlining, lenders and insurers target minority consumers by charging them more than a similarly situated white consumer would be charged, specifically marketing the most expensive and onerous loan products. In the 2000s, some financial institutions considered black communities as suitable for subprime mortgages. Wells Fargo partnered with churches in black communities, where pastors would deliver "wealth building" sermons encouraging new mortgage applications. The bank would then make
5472-609: The disinvestment issue into the statewide gubernatorial race. The Jamaica Plain Banking & Mortgage Committee and its citywide affiliate, The Boston Anti-redlining Coalition (BARC), won a commitment from Democratic candidate Michael S. Dukakis to order statewide disclosure through the Massachusetts State Banking Commission. After Dukakis was elected, his new Banking Commissioner ordered banks to disclose mortgage-lending patterns by ZIP code . The suspected redlining
5568-549: The door for slum landlords (who could get approved for low interest loans in those communities) to take over and do as they saw fit. Gregory D. Squires wrote in 2003 that data showed that race continues to affect the policies and practices of the insurance industry. Racial profiling or redlining has a long history in the property-insurance industry in the United States. From a review of industry underwriting and marketing materials, court documents, and research by government agencies, industry and community groups, and academics, it
5664-979: The early 21st century, brokers and telemarketers actively encouraged subprime mortgages to be offered to minority residents. A majority of the loans were refinance transactions, allowing homeowners to take cash out of their appreciating property or pay off credit card and other debt. Redlining has helped preserve residential segregation between blacks and whites in the United States. Lending institutions such as Wells Fargo have shown that they treat black mortgage applicants differently when they are buying homes in white neighborhoods than when buying homes in black neighborhoods by offering them subprime and predatory loans when black residents try and integrate neighborhoods. The inequality in loaning extends past residential to commercial loans as well; Dan Immergluck writes that in 2002, small businesses in black neighborhoods received fewer loans, even after accounting for business density, business size, industrial mix, neighborhood income, and
5760-446: The economic impact led to the passing of the Community Reinvestment Act in 1977. Racial and economic redlining set the people who live in these communities up for failure from the start, so much so that banks would often deny people who came from these areas bank loans or offered them at stricter repayment rates. As a result, there was a very low rate at which people (in particular African Americans) were able to own their homes; opening
5856-497: The factors Sallie Mae used to underwrite private student loans caused a disparate impact on students attending schools with higher minority populations. The suit also alleged that Sallie Mae failed to properly disclose loan terms to private student loan borrowers. The lawsuit was settled in 2011. The terms of the settlement included Sallie Mae agreeing to make a $ 500,000 donation to the United Negro College Fund and
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#17328559385955952-420: The federal Fair Housing Act of 1968 that such discriminatory practices were explicitly outlawed. State-Level Legislation: Public Awareness and Education Digital Archives and Databases: Universities and nonprofits are creating searchable databases of racial covenants to help homeowners and researchers access information about these restrictive clauses. The practice of redlining actively helped to create what
6048-405: The general peace and prosperity, most of these suburbs barred black people, using a variety of methods. White middle-class people in neighborhoods bordering black districts moved en masse to the suburbs, where newer housing was available. The spread of African Americans throughout urban Los Angeles was achieved in large part through blockbusting , a technique whereby real estate speculators would buy
6144-499: The history of insurance redlining began in conscious, overt racial discrimination practiced openly and with significant community support in communities throughout the country. There was documented overt discrimination in practices relating to residential housing—from the appraisal manuals which established an articulated "policy" of preferences based on race, religion and national origin. to lending practices which only made loans available in certain parts of town or to certain borrowers, to
6240-406: The impounded 1955 Buick which her son had been driving because the storage fees exceeded the car's value. Motorcycle officer Lee Minikus died on October 19, 2013, at age 79. Redlining Redlining is a discriminatory practice in which financial services are withheld from neighborhoods that have significant numbers of racial and ethnic minorities. Redlining has been most prominent in
6336-545: The intersection of Avalon Boulevard and 116th Street that evening, she scolded Frye about drinking and driving as he recalled in a 1985 interview with the Orlando Sentinel . However, the situation quickly escalated: someone shoved Price, Frye was struck, Price jumped an officer, and another officer pulled out a shotgun. Backup police officers attempted to arrest Frye by using physical force to subdue him. After community members reported that police had roughed up Frye and shared
6432-426: The lack of lending competition relative to non-redlined neighborhoods. The effect also emerges when service providers artificially restrict the supply of real estate available for loanable funds to nonwhites, thus providing alternative pretext for higher rates. Neighborhoods which were targeted for blockbusting were also subject to reverse redlining. In the 1960s, sociologist John McKnight originally coined
6528-503: The law that defines its authority and scope is known as Regulation B, referenced as 12 C.F.R. § 1002.1(b) (2017). from the (b) that appears in Title 12 part 1002's official identifier: 12 C.F.R. § 1002.1(b) (2017). Failure to comply with Regulation B can subject a financial institution to civil liability for actual and punitive damages in individual or class actions. Liability for punitive damages can be as much as $ 10,000 in individual actions and
6624-438: The lesser of $ 500,000 or 1% of the creditor's net worth in class actions. The Community Reinvestment Act (CRA), passed by Congress in 1977, requires banks to apply the same lending criteria in all communities. In May 2015, the U.S. Department of Housing and Urban Development announced that Associated Bank had agreed to a $ 200 million settlement over redlining in Chicago and Milwaukee. The three-year HUD observation led to
6720-475: The level of security for real-estate investments in each surveyed city. On the maps, the newest areas—those considered desirable for lending purposes—were outlined in green and known as "Type A". These were typically affluent suburbs on the outskirts of cities. "Type B" neighborhoods, outlined in blue, were considered "Still Desirable", whereas older "Type C" were labeled "Declining" and outlined in yellow. "Type D" neighborhoods were outlined in red and were considered
6816-411: The maps were used by private and public entities for years afterward to deny loans to people in black communities, though planners and historians have debated the exact role of HOLC and its maps in redlining. Redlining maps even became prominent under private organizations, such as appraiser J. M. Brewer's 1934 map of Philadelphia. Private organizations created maps designed to meet the requirements of
6912-516: The market value of these homes dropped dramatically. In observation of said market values, bank lenders were able to keep close track by literally drawing red lines around the neighborhoods on a map. These lines signified areas that they would not invest in. By way of racial redlining, not only banks but savings and loans companies, insurance companies, grocery chains, and even pizza delivery companies thwarted economic vitality in black communities. The severe lacking in civil rights laws in combination with
7008-617: The migration of black residents into the city during the Second Great Migration to occupy the vacated spaces, such as Little Tokyo . As a result, housing in South Los Angeles became increasingly scarce, overwhelming the already established communities and providing opportunities for real estate developers. Davenport Builders, for example, was a large developer who responded to the demand, with an eye on undeveloped land in Compton. What
7104-513: The most risky for mortgage support. While about 85% of the residents of such neighborhoods were white, they included most of the African-American urban households. These neighborhoods tended to be the older districts in the center of cities; often they were also African-American neighborhoods , and only six majority African-American neighborhoods in the entire United States were not evaluated as "Type D." Urban planning historians theorize that
7200-527: The neighborhood due to low wages and high prices for local workers. To quell the riots, Chief Parker initiated a policy of mass arrest . Following the deployment of National Guardsmen, a curfew was declared for a vast region of South Central Los Angeles . In addition to the Guardsmen, 934 LAPD officers and 718 officers from the Los Angeles County Sheriff's Department (LASD) were deployed during
7296-405: The only private entities to develop redlining practices. Property insurance companies also instituted rigid redlining policies in the post-World War II period. According to urban historian Bench Ansfield, the postwar advent of comprehensive homeowners' insurance was limited to the suburbs and withheld from neighborhoods of color in U.S. cities. One Aetna bulletin from 1964 advised underwriters to "use
7392-547: The other largely black, found that bank branches in the black community offered exclusively subprime loans. Studies found out that high-income blacks were almost twice as likely to end up with subprime home-purchase mortgages compared to low-income whites. Fueled by deep racism, some loan officers referred to blacks as "mud people" and to subprime lending as "ghetto loans". Lower savings rate and distrust of banks, stemming from this legacy of redlining, may explain why there are fewer financial institutions in minority neighborhoods. In
7488-420: The over 1,100 mortgage applications the bank received between 2009 and 2012, only four were from African Americans. Following this investigation, The Buffalo News reported that more banks could be investigated for the same reasons in the near future. The most notable examples of such DOJ and HUD settlements have focused heavily on community banks in large metropolitan areas, but banks in other regions have been
7584-631: The police in trying to maintain order on the streets. Sergeant Ben Dunn said: "The streets of Watts resembled an all-out war zone in some far-off foreign country, it bore no resemblance to the United States of America." The first riot-related death occurred on the night of August 13, when a black civilian was killed in the crossfire during a shootout between the police and rioters. Over the next few days, rioting had then spread throughout other areas, including Pasadena , Pacoima , Monrovia , Long Beach , and even as far as San Diego , although they were very minor in comparison to Watts. About 200 Guardsmen and
7680-532: The police response, residents of Watts engaged in a full-scale battle against the first responders . Rioters tore up sidewalks and bricks to hurl at Guardsmen and police, and to smash their vehicles. Those actively participating in the riots started physical fights with police and blocked Los Angeles Fire Department (LAFD) firefighters from using fire hoses on protesters and burning buildings. Arson and looting were largely confined to local white-owned stores and businesses that were said to have caused resentment in
7776-430: The rioting. Watts and all black-majority areas in Los Angeles were put under the curfew. All residents outside of their homes in the affected areas after 8:00 p.m. were subject to arrest. Eventually, nearly 3,500 people were arrested, primarily for curfew violations. By the morning of Sunday, August 15, the riots had largely been quelled. Over the course of six days, between 31,000 and 35,000 adults participated in
7872-503: The riots, many white residents in Huntington Park, for instance, left the area. With so much destruction of residential properties after the Watts Riots, black families began to relocate in other cities that had established black neighborhoods. One of these was the city of Pomona . The arrival of so many black families to Pomona caused White flight to take place there and saw many of those white families move to neighboring cities in
7968-400: The riots. Around 70,000 people were "sympathetic, but not active." Over the six days, there were 34 deaths, 1,032 injuries, 3,438 arrests, and over $ 40 million in property damage from 769 buildings and businesses damaged and looted and 208 buildings completely destroyed, including 14 damaged public buildings and 1 public building completely destroyed. Many white Americans were fearful of
8064-474: The scene to break up the crowd several times that night, but were attacked when people threw rocks and chunks of concrete. A 46-square-mile (120 km ) swath of Los Angeles was transformed into a combat zone during the ensuing six days. After a night of increasing unrest, police and local black community leaders held a community meeting on Thursday, August 12, to discuss an action plan and to urge calm. The meeting failed. Later that day, Chief Parker called for
8160-602: The short-term issues of neighborhood decline. Neighborhood leaders began to learn that these issues and conditions were symptoms of disinvestment that was the true, though hidden, underlying cause of these problems. They changed their strategy as more data was gathered. With the help of NPA, a coalition of loosely affiliated community organizations began to form. At the Third Annual Housing Conference held in Chicago in 1974, eight hundred delegates representing 25 states and 35 cities attended. The strategy focused on
8256-505: The subject of such orders as well, including First United Security Bank in Thomasville, Alabama, and Community State Bank in Saginaw, Michigan. The United States Department of Justice announced a $ 33 million settlement with Hudson City Savings Bank , which services New Jersey , New York , and Pennsylvania , on September 24, 2015. The six-year DOJ investigation had proven that the company
8352-488: The term to describe the discriminatory practice in the United States, Chicago , of banks classifying certain neighborhoods as "hazardous," or not worthy of investment due to the racial makeup of their residents. In the 1980s, a Pulitzer Prize -winning series of articles by investigative reporter Bill Dedman demonstrated how Atlanta banks would often lend in lower-income white neighborhoods but not in middle-income or even upper-income Black neighborhoods. Blacklisting
8448-424: The terms, conditions, or privileges of sale of a dwelling because of race or national origin. The Act also makes it unlawful for any person or entity involved in residential real estate-related transactions to discriminate against any person in making available such a transaction, or in the terms or conditions of such a transaction, because of race or national origin." The Office of Fair Housing and Equal Opportunity
8544-510: Was a related mechanism employed by redlining institutions to keep track of areas, groups, and people that the discriminating party intended to exclude . In academic literature , redlining falls under the broader category of credit rationing . The documented history of redlining in the United States is a manifestation of the historical systemic racism that has had wide-ranging impacts on American society , two examples being educational and housing inequality across racial groups. Redlining
8640-450: Was carried on with the express purpose of asserting that they would no longer quietly submit to the deprivation of slum life. Despite allegations that "criminal elements" were responsible for the riots, the vast majority of those arrested had no prior criminal record. Three sworn personnel were killed in the riots: a Los Angeles Fire Department firefighter was struck when a wall of a fire-weakened structure fell on him while fighting fires in
8736-487: Was convicted of drunk driving, battery and malicious mischief. On February 18, 1966 he received a sentence of 90 days in county jail and three years' probation. He received another 90-day jail term after a jury convicted him of battery and disturbing the peace on May 18, 1966. Over the 10-year period following the riots he was arrested 34 times. He died of pneumonia on December 20, 1986, at age 42. His mother, Rena Price, died on June 10, 2013, at age 97. She never recovered
8832-454: Was intentionally avoiding granting mortgages to Latinos and African Americans and purposely avoided expanding into minority-majority communities. The Justice Department called it the "largest residential mortgage redlining settlement in its history." As a part of the settlement agreement, HCSB was forced to open branches in non-white communities. As U.S. Attorney Paul Fishman explained to Emily Badger for The Washington Post , "[i]f you lived in
8928-410: Was originally a mostly white neighborhood in the 1940s increasingly became an African-American, middle-class dream in which blue-collar laborers could enjoy suburbia away from the slums. In the post-World War II era, suburbs in the Los Angeles area grew explosively as black residents also wanted to live in peaceful white neighborhoods. In a thinly-veiled attempt to sustain their way of life and maintain
9024-903: Was present at the scene. Six days of civil unrest followed, motivated in part by allegations of police abuse. Nearly 14,000 members of the California Army National Guard helped suppress the disturbance, which resulted in 34 deaths, as well as over $ 40 million in property damage. It was the city's worst unrest until the Rodney King riots of 1992. In the Great Migration of 1915–1940, major populations of African Americans moved to Northeastern and Midwestern cities such as Detroit , Chicago , St. Louis , Cincinnati , Philadelphia , Boston , and New York City to pursue jobs in newly established manufacturing industries; to cement better educational and social opportunities; and to flee racial segregation , Jim Crow laws , violence and racial bigotry in
9120-424: Was pulled over by California Highway Patrol rookie motorcycle officer Lee Minikus for alleged reckless driving. After Frye failed a field sobriety test, Minikus placed him under arrest and radioed for his vehicle to be impounded. Marquette's brother, Ronald, a passenger in the vehicle, walked to their house nearby, bringing their mother, Rena Price, back with him to the scene of the arrest. When Rena Price reached
9216-593: Was revealed. Richard W. "Rick" Wise, a former community organizer who led the Boston organizing, has published a novel, Redlined , which gives a somewhat fictionalized account of the anti-redlining campaign. NPA and its affiliates achieved disclosure of lending practices with the passage of The Home Mortgage Disclosure Act of 1975. The required transparency and review of loan practices began to change lending practices. NPA began to work on reinvestment in areas that had been neglected. Their support helped gain passage in 1977 of
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