Stephen Bannon's former Hollywood business partner is praising the White House chief strategist, saying he has "great character" and is not a racist.

"As a liberal, I don’t judge people on their politics, I judge them on their character," Jeff Kwatinetz, the founder of The Firm, told The Hollywood Reporter.

"And from what I knew then and what I know now, Steve has great character. He’s not a racist or anti-Semitic. Things like that are absurd."

Kwatinetz said many employees who worked with Bannon are now asking why the media isn't telling the truth about him.