The U.S. Department of Justice said on Tuesday it had reached a settlement with PayPal (PYPL.O), to resolve an investigation into a 2020 investment program that the department described as giving “unlawful” preferences to Black and minority-owned businesses.
Under the settlement, PayPal will launch a new initiative that waives processing fees on $1 billion in transactions — valued at about $30 million — for eligible U.S. small businesses that are veteran-owned or operate in farming, manufacturing or technology, the department said in a statement.
{snip}
The deal includes no monetary penalty paid to the government, and the Justice Department made no finding that PayPal violated the Equal Credit Opportunity Act, which prohibits creditors from discriminating against credit applicants on the basis of race, color, national origin or other protected characteristics.
PayPal “expressly denies any liability” related to the 2020 program, according to the agreement, which was signed on Monday by Assistant Attorney General Harmeet Dhillon and PayPal CEO Enrique Lores.
The program at issue was a one-time $530 million commitment PayPal announced in June 2020 to support Black and underrepresented minority businesses and communities. PayPal described the economic opportunity fund as designed “to support and strengthen Black and underrepresented minority businesses and communities over the long term, and designed to help drive financial health, access and generational wealth.”
{snip}
The post PayPal to Waive $30 Million in Fees to Settle DOJ Probe of Minority Business Program appeared first on American Renaissance.
American RenaissanceRead More
T1
