Resumed FCPA Enforcement
Question: What should Israeli companies be aware of light of the recent FCPA enforcement priorities?
Answer: President Trump issued an Executive Order, “pausing” enforcement of the Foreign Corrupt Practices Act(FCPA) in order to “further American economic and national security” and shifting enforcement priorities away from corporate enforcement on areas such as immigration, human trafficking, cartels and gangs (see our previous publication). In addition, further to the Executive Order, the US Department of Justice (DOJ) Criminal Division outlined its new White-Collar Enforcement Plan and set its priorities for prosecuting corporate and white-collar crimes in the new Administration (see our previous publication). One of the enforcement priorities was bribery and associated money laundering that impact U.S. national interests, undermine U.S. national security, harm the competitiveness of U.S. businesses, and enrich foreign corrupt officials.
In line with the outlined priorities, Deputy Attorney General Todd Blanche recently stated that the overhaul of the FCPA enforcement is aimed at protecting American business and sharpening its national security focus. [1]Protecting American economic interests and national security is linked to preserving competitiveness of law-abiding US companies. This competitiveness is distorted when other companies are bribing foreign officials in order to obtain business. Therefore, the DOJ will prioritize cases where the alleged misconduct resulted in economic disadvantage to US companiesor prevented them to compete fairly in foreign markets.
Sectors like defense, intelligence, or critical infrastructure were also identified as those, where corruption causes increased harm to American national securities interests. Thus, enforcement in those areas will also be prioritized.
Further, FCPA enforcement actions shall not focus on alleged misconduct centered around routine business practices or de-minimis generally accepted business courtesies. Instead, the focus of FCPA enforcement shall be on substantial bribe payments, sophisticated efforts to conceal them and fraudulent conduct in furtherance of bribery scheme and efforts to obstruct justice.
To conclude, the Blanche Memorandum signals clearly that FCPA enforcement did not come to an end, instead it will remain active, with an adjusted focus that protects American business and targets foreign companies that obtain unjust advantage through paying bribes.
[1]June 9, 2025 Memorandum on Guidelines for Investigations and Enforcement of the Foreign Corrupt Practices Act (FCPA): https://www.justice.gov/dag/media/1403031/dl(the “Blanche Memorandum”).
*The contents of this message, current at the date of publication, are for reference and general informational purposes only and do not constitute legal advice. You should contact your attorney to obtain advice with respect to any particular legal matter. You should not act or refrain from acting on the basis of information in this publication without first seeking legal advice from counsel in the relevant jurisdiction. Only your individual attorney can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation.
Question: What should Israeli companies be aware of light of the recent FCPA enforcement priorities?
Answer: President Trump issued an Executive Order, “pausing” enforcement of the Foreign Corrupt Practices Act(FCPA) in order to “further American economic and national security” and shifting enforcement priorities away from corporate enforcement on areas such as immigration, human trafficking, cartels and gangs (see our previous publication). In addition, further to the Executive Order, the US Department of Justice (DOJ) Criminal Division outlined its new White-Collar Enforcement Plan and set its priorities for prosecuting corporate and white-collar crimes in the new Administration (see our previous publication). One of the enforcement priorities was bribery and associated money laundering that impact U.S. national interests, undermine U.S. national security, harm the competitiveness of U.S. businesses, and enrich foreign corrupt officials.
In line with the outlined priorities, Deputy Attorney General Todd Blanche recently stated that the overhaul of the FCPA enforcement is aimed at protecting American business and sharpening its national security focus. [1]Protecting American economic interests and national security is linked to preserving competitiveness of law-abiding US companies. This competitiveness is distorted when other companies are bribing foreign officials in order to obtain business. Therefore, the DOJ will prioritize cases where the alleged misconduct resulted in economic disadvantage to US companiesor prevented them to compete fairly in foreign markets.
Sectors like defense, intelligence, or critical infrastructure were also identified as those, where corruption causes increased harm to American national securities interests. Thus, enforcement in those areas will also be prioritized.
Further, FCPA enforcement actions shall not focus on alleged misconduct centered around routine business practices or de-minimis generally accepted business courtesies. Instead, the focus of FCPA enforcement shall be on substantial bribe payments, sophisticated efforts to conceal them and fraudulent conduct in furtherance of bribery scheme and efforts to obstruct justice.
To conclude, the Blanche Memorandum signals clearly that FCPA enforcement did not come to an end, instead it will remain active, with an adjusted focus that protects American business and targets foreign companies that obtain unjust advantage through paying bribes.
[1]June 9, 2025 Memorandum on Guidelines for Investigations and Enforcement of the Foreign Corrupt Practices Act (FCPA): https://www.justice.gov/dag/media/1403031/dl(the “Blanche Memorandum”).
*The contents of this message, current at the date of publication, are for reference and general informational purposes only and do not constitute legal advice. You should contact your attorney to obtain advice with respect to any particular legal matter. You should not act or refrain from acting on the basis of information in this publication without first seeking legal advice from counsel in the relevant jurisdiction. Only your individual attorney can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation.
