Papa John’s founder John Schnatter (pictured behind) on Wednesday resigned as board chairman from the pizza giant after apologising for his racial remarks during a conference call in May that was set up to help him deal with racially sensitive situations. Forbes reported the story on Wednesday citing a source and Schnatter confirmed making the remark in an emailed statement to Forbes adding that racism has no place in society. Asked how he would distance himself from racist groups online, Schnatter had said in May that Colonel Sanders, the founder of the Kentucky Fried Chicken chain, never faced backlash when he used to call blacks ****. To show how much he opposed racism, he also recounted an incident from his early life in Indiana where people used to drag African-Americans from trucks until they died. Those who were on the call found his remarks and story highly offensive. Laundry Service, a marketing agency which was guiding him on how to prevent using offensive words, ended its contract with him after the call. On Wednesday, Schnatter also resigned from the University of Louisville board of trustees. The self-made millionaire had created a controversy in November last year when he blamed poor sales at Papa John’s on the NFL’s “poor leadership” in handling players’ protest against police brutality and racial inequality in the US during the national anthem.