Wachtell Lipton: DOJ Announces New FCPA Enforcement Guidelines
By Lawdragon News | June 11, 2025 | Press Releases, Wachtell Lipton News
On June 9, 2025, Deputy Attorney General Todd Blanche announced the awaited new guidelines for prosecutors investigating and enforcing the Foreign Corrupt Practices Act (“FCPA”). These enforcement guidelines were issued in response to President Trump’s Executive Order titled “Pausing Foreign Corrupt Practices Act Enforcement to Further American Economic and National Security,” which directed DOJ to “pause” certain FCPA investigations while reassessing enforcement priorities and to issue new FCPA enforcement guidelines within 180 days. The stated aim of the new policy is to reduce undue burdens on American companies operating abroad and to focus on activities that undermine U.S. national interests. The memorandum announcing the guidelines directs prosecutors to consider the following non-exhaustive factors and confirms that these new guidelines shall govern all current and future FCPA investigations and enforcement actions:
Total Elimination of Cartels and Transnational Criminal Organizations. Consistent with Attorney General Pam Bondi’s memorandum announcing a shift in DOJ’s FCPA enforcement approach, the guidelines direct prosecutors to consider whether their investigation or enforcement action advances the Administration’s goal of pursuing the “total elimination of Cartels and transnational criminal organizations (TCOs).” In particular, the guidelines instruct prosecutors to assess whether the alleged misconduct “(1) is associated with the criminal operations of a Cartel or TCO; (2) utilizes money launderers or shell companies that engaged in money laundering for Cartels or TCOs; or (3) is linked to employees of state-owned entities or other foreign officials who have received bribes from Cartels or TCOs.”
Safeguarding Fair Opportunities for U.S. Companies. The guidelines also direct prosecutors to advance the economic interests of U.S. businesses abroad by focusing on alleged misconduct that deprives U.S. entities of the ability to compete or causes an economic injury to a U.S. person or entity. In short, prosecutors’ focus will be on foreign actors and corrupt competitors who seek to “skew markets and disadvantage law-abiding U.S. companies.”
Advancing U.S. National Security. Under the new guidelines, FCPA enforcement resources will also be dedicated to the “most urgent threats to U.S. national security,” focusing in particular on corruption of foreign officials involved in defense, intelligence, or critical infrastructure sectors.
Prioritizing Investigations of Serious Misconduct. To best advance the priorities identified above, the guidelines further instruct prosecutors not to focus on alleged misconduct involving “routine business practices” or de minimis or low-dollar matters. Instead, prosecutors are to focus on serious misconduct tied to particular individuals, “such as substantial bribe payments, proven and sophisticated efforts to conceal bribe payments, fraudulent conduct in furtherance of the bribery scheme, and efforts to obstruct justice.” The new guidelines also instruct prosecutors to consider whether foreign law-enforcement authorities are “willing and able” to pursue the misconduct.
Time will tell whether these new policies change the direction of DOJ prosecutions, but it is reasonable to expect that DOJ’s new FCPA guidelines and enforcement strategies will cause prosecutors to focus less on U.S. companies and instead on foreign cartels, TCOs, and individuals. It is important to bear in mind, however, that these changes reflect a change in enforcement priorities, not a wholesale retreat from FCPA enforcement. Companies should exercise caution when considering how to react to these changes and should seek guidance before relaxing their FCPA compliance infrastructure as FCPA investigations often involve conduct spanning many years (and administrations). Companies that react aggressively to these changes today could well invite additional, unnecessary risk of enforcement action under a changed set of priorities during the current administration or some future administration.
