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Daily Compliance News

Daily Compliance News: February 11, 2026, The US Plummets on the TI-CPI Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee, and listen in to the Daily Compliance News. All, from the Compliance Podcast Network. Each day, we consider four stories from the business world, compliance, ethics, risk management, leadership, or general interest for the compliance professional.

Top stories include:

  • US plummets on 2026 TI-CPI. (TI)
  • A bitcoin blunder gives away $40bn. (WSJ)
  • Corporate jargon goes mainstream. (FT)
  • Texas attack with anti-ESG law thrown out of court. (Reuters)
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Compliance Into the Weeds

Compliance into the Weeds: NPAs, Escalation and Ethics in Competing

The award-winning Compliance into the Weeds is the only weekly podcast that takes a deep dive into a compliance-related topic, literally going into the weeds to explore it more fully. Looking for some hard-hitting insights on compliance? Look no further than Compliance into the Weeds! In this episode of Compliance into the Weeds, Tom Fox and Matt Kelly look at three recent stories to draw compliance lessons for the future.

They discuss significant developments in compliance, focusing on Jay Clayton’s recent speech regarding FCPA enforcement and the implications for companies. They also analyze a case involving the termination of compliance officers at Scotiabank for failing to escalate concerns about insider trading. The conversation concludes with a reflection on athlete decision-making in the context of injuries and the lessons for corporate compliance practices.

Key highlights:

  • Jay Clayton’s Speech and White Collar Crime Prosecution
  • Compliance Officers and Escalation Failures at Scotiabank
  • Ethics in Sports: Decision-Making and Compliance Lessons

Resources:

Matt in Radical Compliance

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A multi-award-winning podcast, Compliance into the Weeds was most recently honored as one of the Top 25 Regulatory Compliance Podcasts, a Top 10 Business Law Podcast, and a Top 12 Risk Management Podcast. Compliance into the Weeds has been conferred a Davey, a Communicator Award, and a W3 Award, all for podcast excellence.

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AI Today in 5

AI Today in 5: February 11, 2026, The Hits and Misses Edition

Welcome to AI Today in 5, the newest addition to the Compliance Podcast Network. Each day, Tom Fox will bring you 5 stories about AI to start your day. Sit back, enjoy a cup of morning coffee, and listen in to the AI Today In 5. All, from the Compliance Podcast Network. Each day, we consider five stories from the business world, compliance, ethics, risk management, leadership, or general interest about AI.

Top AI stories include:

  1. Hits and misses in compliance using AI. (CW)
  2. Turning AI into a competitive advantage. (IBS Intelligence)
  3. Preparing for AI-powered investigations. (CCI)
  4. How AI intensifies work. (HBR)
  5. Deploying AI against financial crime. (PYMNTS)

For more information on the use of AI in Compliance programs, my new book, Upping Your Game, is available. You can purchase a copy of the book on Amazon.com.

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Blog

AI, Compliance, and the Missing “Why”: Highlights from the Compliance Week AI Conference

If there was one clear message coming out of Compliance Week’s January 2026 AI conference, The Leading Edge: Applying AI and Data Analytics in E&C, it was not about tools, vendors, or futuristic promises. It was about discipline. More specifically, it was about something compliance professionals have preached for decades and are now being pressured to skip: the “why.”

In a recent episode of the podcast From the Editor’s Desk, I sat down with Compliance Week Editor in Chief Aaron Nicodemus to gather his reflections on the conference and its implications for compliance leaders. What emerged was not a story about artificial intelligence replacing compliance, but about AI exposing weaknesses in how organizations make decisions, manage pressure from the top, and integrate ethics into innovation. For compliance professionals, the discussion was a reminder that AI is not a technology problem. It is a governance problem.

The Step Everyone Is Skipping: Why Before What

One of the most striking takeaways from the conference came from Jen Gennai, former AI Ethics and Compliance Advisor at Google. Her message was deceptively simple: companies are skipping the “why.” Organizations are rushing to implement AI tools without first articulating what problem they are trying to solve or why AI is the appropriate solution. Instead of defining the use case and then selecting the right tool, teams are buying technology first and hoping value emerges later.

For compliance professionals, this should sound uncomfortably familiar. Risk management, third-party due diligence, investigations; every mature compliance process begins with a defined purpose. There is a reason the first step in the third-party risk management process is the Business Rationale. This is the ‘why’, requiring a business sponsor to explain why your organization needs a new or different business partner. Yet when AI enters the picture, that discipline often evaporates. The result is experimentation without accountability and pilots without strategy.

The irony is that compliance already knows how to do this. The failure is not a lack of knowledge; it is pressure.

Tone at the Top, Revisited: Pressure Without Direction

According to a recent Compliance Week and konaAI study released at the conference, more than 60 percent of compliance officers feel pressure from the board or C-suite to “use AI.” Not to use it in a specific way. Not to achieve a defined outcome. To use it. This top-down mandate creates a new kind of compliance risk. When leadership demands adoption without guidance, teams feel compelled to move quickly, sometimes cutting corners they would never cut in other risk domains.

This is not inherently nefarious. Boards are doing what they believe is necessary to keep their organizations competitive. But pressure without clarity creates the conditions for poor governance. Compliance leaders must recognize this moment not as a threat, but as an opening. Because when leadership says “use AI,” compliance has an opportunity to respond with structure: identify manual pain points, define defensible use cases, and align AI deployment with existing policies and ethical standards. The mandate may be broad, but the implementation can and should be deliberate.

Humans in the Loop: Why Oversight Is Not Optional

Another recurring theme from the conference was the danger of letting AI evaluate AI. Scaling tools without human oversight compounds error. One flawed assumption becomes many. Bias multiplies. Outputs drift. The lesson here is not anti-technology; it is pro-governance. AI works best when humans remain embedded throughout the lifecycle: selecting tools, defining scope, reviewing outputs, and deciding whether the system is working at all.

This aligns squarely with long-standing compliance principles. Judgment-heavy decisions, investigations, escalations, and remediations must remain human. Attempting to automate them introduces fairness and defensibility risks that no compliance program can explain away after the fact. AI should accelerate compliance work, not absolve responsibility for it.

Trust and Integrity: The Core Compliance Tension with AI

The most profound tension discussed at the conference was philosophical. Compliance programs are built on trust and integrity. AI, by contrast, is often perceived as opaque, untrustworthy, and occasionally wrong. This creates a credibility problem.

Why would a compliance function that spends years telling employees to act ethically, verify sources, and question assumptions deploy a tool that fabricates answers or cannot explain its reasoning? If compliance cannot articulate why an AI system aligns with the organization’s ethical standards, it should not be deployed, no matter how efficient it appears to be. Trust is not just about outputs. It extends to inputs, data quality, and understanding how systems interact with information. AI amplifies what it is given. Bad data does not improve through automation; it spreads faster.

Iteration Over Perfection: Learning Is Part of the Process

A healthy counterpoint emerged as well: AI is not a one-shot deployment. It requires iteration. Early failures are not proof that AI does not work; they are evidence that learning has begun. Several speakers emphasized that AI improves through feedback. Teams must be willing to correct it, teach it, and refine its outputs over time. Compliance professionals who abandon tools after one or two imperfect attempts misunderstand how the technology functions.

That said, iteration does not excuse carelessness. Learning must occur within guardrails: governance frameworks, usage boundaries, and documentation matter more, not less, when tools evolve.

Compliance as Value Creator, Not Speed Bump

One of the most encouraging insights from the conference was how AI is reshaping compliance’s role inside organizations. When compliance is involved early, before tools are rolled out, it becomes a partner in innovation rather than an obstacle.

Nicodemus pointed out companies like Robinhood, and Hemma Lomax, Deputy General Counsel, Vice President, and Head of Business Integrity at DocuSign, illustrated this point clearly. Compliance teams that embed themselves in product development and operational change help shape tools that work within ethical and regulatory boundaries from the start. That credibility compounds.

Lomax noted that at DocuSign, she and her compliance teams have gone further, creating AI agents that perform defined tasks continuously, with built-in ethical guardrails. When these tools are handed to new users, the hard questions have already been answered. This is how compliance becomes a competitive advantage; not by saying no, but by helping the business say yes safely.

No Experts, Only Practitioners

Another refreshing theme from the conference was humility. No one claimed to be an AI expert. Especially not in compliance. That matters. When technologies move quickly, false certainty is dangerous. Compliance professionals should not be intimidated by those who claim mastery. Instead, they should lean into their strengths: skepticism, documentation, and principled decision-making. AI does not require omniscience. It requires informed judgment.

The Vibe Shift: From Fear to Engagement

Perhaps the most telling insight came not from the stage, but from the hallways. Compared to earlier events, the mood around AI has shifted. Compliance professionals are no longer crossing their arms in resistance. They recognize the benefits and risks and want to engage. No one believes AI will disappear. The debate is no longer whether to use it, but how. Some organizations will lean in aggressively. Others will move cautiously. All will need compliance to guide those choices. The most effective analogy offered was this: AI is like a very confident intern. Smart. Fast. Occasionally wrong. Useful, but never in charge.

Conclusion: AI Is a Compliance Opportunity, If Compliance Leads

The Compliance Week AI conference made one thing clear: AI is not undermining compliance. It is testing it. Programs that lack clarity, governance, or confidence will struggle. Programs that know who they are, what they stand for, and how they make decisions will thrive. For compliance professionals, the question is not whether AI belongs at the table. It already sits there. The real question is whether compliance will claim its seat, not as a roadblock, but as the function that ensures innovation aligns with integrity. That is not a burden. It is an opportunity.

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Great Women in Compliance

Great Women in Compliance: Why Decision Rubrics Matter in the Age of AI with Hemma Lomax and Shalini Rajoo

In this conversation, GWIC host Dr. Hemma R. Lomax and Shalini Rajoo explore the critical role of decision rubrics in governance, accountability, and trust, especially in the context of AI. Shalini shares her journey from law to compliance, emphasizing the importance of understanding systems and the impact of leadership on decision-making processes. They discuss how transparency and clarity in decision-making can build trust within organizations and the necessity of responsible AI governance. Practical tips for improving decision quality are also provided, highlighting the importance of self-awareness and critical thinking in leadership.

Takeaways:

  • The biggest risk in governance is unclear decisions.
  • AI amplifies existing clarity or confusion in decision-making.
  • Systems and rules reflect the identities of their architects.
  • Everyone has an impact on those around them every day.
  • Leadership is about improving the people around you.
  • It’s not just about rules; it’s about how people behave.
  • Decision rubrics provide consistency and predictability in outcomes.
  • Transparency in decision-making processes builds trust.
  • Slowing down to ask questions can lead to better decision-making.
  • Writing down the reasons for decisions brings clarity and accountability.

Sound bites:

“Systems and rules are not inherently neutral.”

“Transparency in decision making builds trust.”

“Slow is smooth, and smooth is fast.”

Chapters:

00:00 Introduction to Decision Rubrics and Governance

02:55 Shalini’s Journey: From Law to Governance

06:09 The Impact of Systems on Leadership and Accountability

09:09 Transitioning to Compliance and Ethics

11:49 Understanding Decision Rubrics in Compliance

15:06 The Role of Leadership in Decision Making

18:03 Designing Conditions for Effective Decision Making

20:47 The Importance of Transparency in Decision Processes

24:09 Decision Rubrics: Building Trust in Organizations

26:49 AI and Governance: Leadership Infrastructure Failures

29:47 Responsible AI: The Role of Ethics and Compliance

32:55 Practical Tips for Improving Decision Quality

36:00 Conclusion: The Future of Decision Making in AI

Guest Biography:

Shalini Rajoo is the Founder and Principal Consultant of Shalini Rajoo Advisory, LLC, where she partners with organizations to design governance, compliance, and decision-making systems that are resilient, trustworthy, and aligned to real operational pressures. Across more than two decades in law, compliance, HR, and organizational leadership, Shalini has helped companies and leaders move beyond check-the-box frameworks to build structures that embed accountability, clarity, and performance into everyday decisions.

She began her career in South Africa, first as a public prosecutor and then leading regulatory work with the Department of Trade and Industry, collaborating with legislative and executive stakeholders on corporate, competition, and consumer law. After relocating to the U.S., Shalini practiced commercial litigation. She later served as Director of Global Business Conduct for a Fortune 500 company, where she redesigned ethics and compliance systems, led global risk assessments, and championed psychological safety and integrity-based practices.

Today, Shalini’s work centers on helping leaders clarify decision rights, governance architectures, and accountability pathways — especially as organizations adopt AI and automation. She recently spoke at the Opal Group’s Corporate Governance & Ethics in the Age of AI conference, where she reframed AI governance as a leadership-infrastructure challenge rather than a purely technical or compliance one.