INSIDE COMPLIANCE – Page 4 – Loyola University Chicago School of Law

DEI Under Fire: Corporate Compliance After Trump’s Executive Orders

March 5, 2025Employment, The Art of Compliance, Uncategorized

In January 2025, President Donald Trump issued a series of executive orders aimed at dismantling Diversity, Equity, and Inclusion (DEI) initiatives within the federal government and, by extension, influencing private-sector compliance. These executive actions, presented as a means of restoring merit-based hiring and eliminating what the administration described as “illegal discrimination,” have had profound effects on corporate compliance efforts across industries. While the immediate legal impact has primarily affected federal agencies and contractors, the broader implications have created uncertainty within corporate America, forcing many companies to reassess the scope and structure of their DEI initiatives. This article examines the legal and regulatory ramifications of these executive orders and explores how they have influenced corporate compliance strategies in the evolving landscape of workplace diversity policies.

Corporate ComplianceDEIexecutive order

Chicago’s Low-Income Housing Trust Fund at a Crossroads: Leadership, Equity, and an Uncertain Future

February 28, 2025Compliance Spotlight, Regulation

On February 11, the Chicago City Council Committee on Housing and Real Estate delayed approval of the appointment of eight board members to oversee the city’s low-income housing trust fund. The vote was postponed due to concerns about the lack of Black representation on the board and among the appointees, particularly from the South and West sides. For decades, Chicago has grappled with the challenge of providing affordable housing to its poorest residents. The Chicago Low-Income Housing Trust Fund (“Trust Fund”), established in 1987, has been a crucial force in addressing this need. The Trust Fund was created through a City Council ordinance and supports low-income residents—those earning at or below 50% of the city’s median income—by funding rental subsidies and housing programs.

ChicagoChicago Coalition to end HomelessnessChicago Low-Income Housing Trust FundcompliancehomelesshomelessnessHousingRegulationSam Paler-Ponce

Banking Regulators Accused of Debanking Scheme Targeted at Cryptocurrency

February 27, 2025Banking, Cryptocurrency

On January 23, 2025, President Trump signed an executive order aimed at supporting the growth of digital assets and blockchain technologies across the American economy, mitigating risks associated with Central Bank Digital Currencies (CBDCs), and protecting fair and open access to banking services for all private-sector entities. This executive order was created following accusations from industry leaders in digital assets who claim that banking regulators at the Federal Deposit Insurance Corporation (FDIC) were encouraged by the Biden administration to instruct banks to deny banking services to digital asset companies, also known as debanking. To investigate these claims further, the United States Senate Committee on Banking, Housing, and Urban Affairs conducted a hearing on February 5, 2025 to hear directly from industry leaders about the depth and impact of the allegations.

BankingCFPBCongressCryptocurrencyDebankingDigital AssetsFDICFederal Reservefinancefinancial regulation

Investigation into the Rise of Bird Flu in Dairy Farms and the Role of Regulatory Compliance

February 27, 2025Food and Drug Law

The recent emergence of highly pathogenic avian influenza (H5N1), commonly known as bird flu, in U.S. dairy farms has raised significant public health and regulatory concerns. While traditionally associated with poultry, the virus’s spread to dairy cattle has prompted urgent investigations into transmission patterns, biosecurity measures, and regulatory compliance. As federal and state agencies respond to this development, businesses must navigate evolving compliance requirements to ensure public safety and maintain industry stability.

Bird FluCDCcompliance programFDA regulationsOSHA

The Stained Story of Red Dye No. 3

February 26, 2025FDA, Food and Drug Law

In January 2025, the U.S. Food and Drug Administration (FDA) announced a ban on the use of Red Dye No. 3 (erythrosine) in food and ingested drugs. The main concern regarding the dye is that it is a potential carcinogen; studies from the 1980s found laboratory rats which were fed Erythrosine developed thyroid cancer. According to the Environmental Working Group, there are approximately 2,900 food products currently in the market that contain the dye, such as cherry sodas, candies, and frosting (not to mention medicines and supplements). While the ban is a step in the right direction, it is far overdue and leaves questions about what should be done about other artificial dyes that remain in the market.

artificial food color additives

Card Declined: CFPB Withdraws Proposed Rule Banning Nonsufficient Funds

February 26, 2025Banking

On January 24, 2024, the Consumer Financial Protection Bureau (CFPB proposed a rule that would block non-sufficient funds (NSF) fees on debit card, ATM, and peer-to-peer payment transactions that are declined instantaneously or nearly instantaneously. The proposal of this rule arose from a variety of initiatives under the CFPB of the Biden administration to crack down on “junk fees” charged by banks and other financial institutions. However, on January 14, 2025 the CFPB issued notice to withdraw their proposed rule regarding NSF fees.

CFPBJunk FeesNSF Fees

Eggflation: The Rising Cost of Eggs and Its Impact on Consumers

February 21, 2025Antitrust, FDA, FTC

Egg prices are soaring, but is it just supply issues—or something more? While avian flu and regulations have strained production, major suppliers are raking in record profits, raising suspicions of price manipulation. A federal jury recently found top producers guilty of price-fixing, fueling concerns that consumers are being taken advantage of. As grocery bills climb, the question remains: who’s really cracking under pressure?

agricultureAntitrustDOJFDA complianceFDA regulationsprice gougingUSDA

The RegTech Revolution: Automating Compliance in a Complex Regulatory Landscape

February 21, 2025Finance & Banking, technology, Uncategorized

In today’s rapidly evolving digital landscape, organizations face an ever-expanding array of regulations and compliance requirements. To navigate this complex environment, many businesses are turning to Regulatory Technology, or RegTech, to automate compliance processes. While automation promises increased efficiency and reduced costs, it also raises concerns about added complexities and potential risks. Is relying on technology to handle compliance a prudent strategy, or would this add layers to an already tangled web?

AI in ComplianceCompliance AutomationCompliance ManagementCompliance RisksCompliance SolutionsCompliance TrainingContinuous MonitoringCorporate Governancedata privacyEmployee TrainingEthical Standardsfinancial regulationFraud DetectionHuman OversightHybrid Approachmachine learningRegTechRegulatory TechnologyRisk AssessmentTechnology Integration

Should Private Equity Be Involved in Collegiate Sports?

February 21, 2025Athletic Regulation

In October 2024, a judge gave preliminary approval of a settlement over a multibillion-dollar class action lawsuit involving former collegiate athletes being denied compensation, House v. NCAA. One of the settlement conditions will be that universities can now pay players directly. Teams must now decide whether to pay players directly or rely on NIL compensation to remain competitive in recruiting top talent. This demand for players has made some speculate that conferences and their member universities will turn to private equity to help fund these teams.

NCAANIL

Is NIL the Killer or the Key to Classifying Student-Athletes as Employees?

February 20, 2025Athletic Regulation, Employment

Will name, image, and likeness (NIL) accelerate or hinder student-athletes being classified as employees? NIL refers to a person’s legal right to control how their image is used. For several years, college athletes forfeited these rights when they signed with collegiate sports teams. However, three years ago, NCAA rules changed, allowing athletes to profit off their NIL. Even without NIL deals, an increasing number of student-athletes have sought compensation while playing for universities. Student-athletes have sought compensation ranging from travel expenses to minimum wage. Historically, student-athletes have not been considered employees under labor and employment laws. Recently, courts have been divided on whether athletes receiving compensation should be considered a student or an employee. The addition of NIL rights that allows student-athletes to receive payment might be the factor that will ultimately decide this issue.