PayPal Agrees to Settle US Probe of DEI Business Initiative

PayPal Holdings Inc. has agreed to resolve a US Justice Department probe into allegations the company had violated federal civil rights laws when it started an initiative to support minority-owned businesses.

Under terms of the settlement, PayPal agreed to forgo about $30 million in processing fees from about $1 billion of transactions. The payment platform also plans to start a small business initiative, which would include fee waivers for veterans and businesses engaged in farming manufacturing or technology, according to the settlement agreement.

PayPal had announced the Economic Opportunity Fund to invest in black and minority-owned businesses in 2020 ...