Caltech has produced dozens of Nobel laureates. In 2021, it commenced court proceedings to remove names associated with the eugenics movement, including the name of its first laureate. Another name was Harry Chandler, who bolstered the LA Times and was one of the biggest land developers in the US.
On 13 July 1923, upon Chandler’s approval, the original Hollywoodland sign was unveiled:
The tenor of the ad is clear enough. As to whether segregation was a formal part of the process, I have only been able to track down a 1993 article from the LA Times:
The rewriting of history to accommodate new truths is a controversial and difficult endeavour, founded in part on Jesus Christ’s encouragement to believing Jews, which makes its way into Caltech’s motto, “The truth shall make you free”.