Wharton alum donates Penn $1 million to ‘let healing begin’ after controversial semester and leadership change

A graduate of the University of Pennsylvania’s Wharton Business School is donating $1 million to the university to “let the healing begin,” according to a statement released by Penn on Wednesday.

The sum comes at the close of a tumultuous semester for the Ivy League institution, one that ended with Penn tapping J. Larry Jameson, executive vice president of the university’s health system and its medical school dean, to temporarily replace its embattled former president, Liz Magill.

The donation, offered by entrepreneur and 1962 graduate Stewart Colton, was given to “support the early work” of Jameson “during a time of transition,” according to Penn’s statement.

“As a physician, Larry is naturally oriented toward healing, and I see this as an important moment for us to come together,” Colton said in the statement. “Throughout all the challenges the University has faced in recent months, we felt it was critical to stand by Penn and support the University. We feel this even more strongly today.”

Colton and his wife, Judy, have given the university over $60 million overall since 2021, funding the creation of the research-oriented Colton Center for Autoimmunity.

Wealthy donors played an outsize role in the controversy at Penn that crescendoed since the war between Israel and Hamas began on Oct. 7.

Magill’s initial response to the attack — which some pro-Palestinian supporters criticized for failing to mention Gaza — launched a student and faculty walkout, and protests for Palestinians in Gaza in the following weeks and led some Jewish students to allege that the university was not doing enough to address harassment and discrimination against students.

Some donors suggested they would withhold contributions to the university, and Magill’s administration launched a task force and announced a plan to combat antisemitism. In November, the federal government began an investigation into Penn and a handful of other institutions after receiving complaints of both antisemitism and Islamophobia among students.

Tensions had been rising even before Hamas’ deadly attack. In September, Penn administrators came under fire for allowing the school to host the Palestine Writes festival, which critics said featured speakers with a history of antisemitic remarks. Billed as the largest Palestinian literature festival in North America, the gathering was held days after two antisemitic incidents rattled campus, including vandalism at Penn Hillel that officials said was unrelated to the festival.

Criticism of Magill came to a head in early December, when her testimony during a congressional hearing on antisemitism drew national condemnation. When pressed on whether calling for genocide of Jewish people would violate Penn’s rules or code of conduct, Magill said it was “a context-dependent decision.”

On Dec. 9, Magill resigned along with Scott L. Bok, chair of Penn’s board of trustees.

The controversy reverberated across the donor class, emboldened by one of the most public displays of activism among deep-pocketed alumni in recent memory. Penn graduate and investment firm CEO Ross Stevens announced he would withdraw a donation of $100 million after Magill’s congressional testimony, telling the New York Times he believed the university was “prioritizing D.E.I. over enhancing the business school’s academic excellence.”

Similar criticisms from billionaire alumnus Marc Rowan led some Penn faculty to worry that affluent donors were setting an agenda, launching a takeover of the school that departed from its core academic function and freedom.

Penn’s statement said that it was “rare” for the university to receive unrestricted donations like Colton’s. Without a designation, the university is free to decide the best use of the $1 million.

“This has been an enormously challenging time for Penn and, as we undertake the important work of this moment and look to a stronger future, a gift like this is impactful and encouraging to all who care about our University,” Jameson said in the statement.

Colton has spent several decades as a philanthropist after selling his business, Alpha Metals Co., an international metals and chemical company serving the electronics industry.

The Colton autoimmunity center is part of the “Colton Consortium,” a research network that includes New York University, Yale, and Tel Aviv University, the statement said. Much of the Coltons’ philanthropic efforts are in the field of medicine and the arts, according to a page for the couple on Penn’s Perelman School of Medicine website.

Penn said Colton trusts that Jameson will find the best use of his donation.

“I believe in creating goodwill with our philanthropy,” Colton said, “and I offered this gift, hoping that it will serve as a catalyst for others to contribute in the months ahead.”