Danielle Powell had nearly finished her Bachelor's Degree at Omaha's Grace University when the school administration found out that she was a lesbian. They outed her to her family and fellow students and suspended her (Grace is a religious school, which requires that its students abstain from "sexually immoral behavior, including premarital sex, adultery, and homosexual acts"). During her suspension, they made extensive queries to discover if she was still involved in same-sex relationships, and on discovering that she was, they did.
Powell has attempted to finish her degree at another university, but Grace refuses to provide her transcripts unless she pays back about $6,000 in merit scholarships that she received from the institution. Powell's wife has started a petition to get the university to provide Powell's transcripts and forgive the "debt."
"They were doing a witch hunt," Powell said, "calling around to see if I was in a same-sex relationship."
James told Powell in a letter, a copy of which was provided to HuffPost, that she was being "deceitful" and said it would be "unethical" for the university to readmit her since it "would be impossible for the faculty of Grace University to affirm your Christian character, a requirement for degree conferral."
By October 2012, as Powell was looking into attending another college, she said she was told that Grace would only transfer the credits from her three and a half years if she paid a $6,300 tuition bill from the semester during which she was suspended for being gay. The university denies they have withheld her transcripts, but Powell said she's only been offered a student copy she cannot use to transfer.
Danielle Powell, Grace University Student Kicked Out For Being Lesbian, Must Repay Thousands: [Tyler Kingkade/HuffPo] (via Reddit)