February 28, 2010 | Online

Citibank: 'We're not homophobes'

When Citibank froze the account of gay social networking site fabulis, it should have expected the firestorm in the gay media that resulted.

fabulis is not an adult company nor is it even active. The site is currently in beta testing, with a blog the only online part of the network. Understandably its founder Jason Goldberg was surprised to receive an e-mail declaring the content of his network was "not in compliance with Citibank’s standard policies."

Goldberg fired back on his site's blog: "In a bit of strange and disturbing news, fabulis discovered today that someone(s) at Citibank had decided arbitrarily to block fabulis’ bank account due to what was described to us on the phone as "objectionable content" on our blog. In fact, the account--it turns out--was blocked a few days ago without anyone letting us know about it by phone or email."

After several blogs took Citibank to task, the company changed its position. The account was unfrozen, and the bank claimed the error was an issue of missing documentation and not offensive content.

A Citibank statement said, "Mr. Goldberg is a valued customer and we appreciate his business. Also, Citi is strongly committed to diversity, including support for the gay, lesbian, bisexual and transgender community, and other organizations promoting diversity. In fact, this week Citi has announced the financing for the True Colors Residence, a housing facility for homeless GLBT youth in New York City."

Of course it is possible that a single over-zealous and homophobic employee was behind this whole mishap, in which case we really hope he'll be unceremoniously jettisoned from the bank.  Now that would be fabulis.

Citibank to Internet Start-Up: ’We’re Not Homophobic!’ [Edge Boston]