In the paper titled, 'Tannaka–Krein duality for compact groupoids I, Representation theory', the author proves the Peter Weyl theorem on compact groupoids. In the statement, he gives the hypothesis that $\lambda_{u}(G^{v}_{u})\neq 0$, where $\lambda_{u}$ is the right haarsystem with support in $G_{u},u\in G^{0}$.
Here, $G^{v}_{u} = G^{v}\cap G_{u}$ with $G_{u}= d^{-1}(u)$ and $G^{v}= r^{-1}(v)$ , where $d$ and $r$ are domain and range maps respectively from groupoid $G$ to unit space $G^{0}$, defined as $d(x)=x^{-1}x$ and $r(x)=xx^{-1}$.
Can somebody provide an example of a compact groupoid that satisfies this hypothesis?
Here is the Peter Weyl theorem,
In this paper, $X$, is the unit space $G^{0}$.