The founder and chairman of Papa Johns, John Schnatter, has been accused of using the N-word during a conference call in May, sources told Forbes.
Schnatter was on a conference call with executives of his company and the marketing agency Laundry Service when he allegedly said, “Colonel Sanders called Blacks N**gers,” Forbes reports, adding that Sanders never received blowback for his comments.
The call was in regards to his comments last November when he said that the national anthem protests in the NFL were hurting sales at Papa John’s.
“The NFL has hurt us by not resolving the current debacle,” he said during the third-quarter earnings call during the November 2017 call.
Sources told Forbes that many people were offended over additional comments he made during the May call where he spoke about his time growing up in Indiana where people used to kill African-Americans by dragging them from trucks.
Laundry Service made a decision to end its agreement with Papa Johns, following Schnatter’s comment, according to Forbes.
In January, he stepped down as the company’s CEO after backlash from his comments swelled.
Shares have dipped by 25% since his initial comments, per Forbes.