Why Risk Leaders Must Stay the Course Amid Shifting Federal Bribery Enforcement

According to an article by Navex, President Trump’s February executive order paused federal enforcement of the US Foreign Corrupt Practices Act (FCPA), directing the Attorney General to halt new investigations and bribery enforcement actions. 

While the FCPA remains on the books, its temporary federal dormancy raises critical questions for compliance and risk leaders. The FCPA prohibits US individuals and companies with US ties from bribing foreign officials to gain a business advantage, aiming to safeguard fair competition. Despite the pause in federal enforcement, the law’s statute of limitations and potential for future prosecution remain very real.

The article notes that California was quick to respond. On April 2, Attorney General Rob Bonta issued a legal alert reaffirming that bribing foreign officials remains illegal under California’s Unfair Competition Law (UCL). His message was clear: California will pursue civil enforcement against businesses engaging in corrupt practices regardless of shifting federal priorities. The alert urges companies to maintain rigorous internal controls and reminds them that FCPA violations may still trigger state-level consequences such as civil penalties, restitution, and injunctions.

Meanwhile, international anti-corruption efforts continue to gain momentum. A newly formed task force uniting enforcement authorities from the UK, France, and Switzerland underscores that global bribery enforcement persists, with or without US federal leadership.

For risk professionals and compliance officers, ethical business conduct and robust anti-bribery compliance are not optional. In an era of regulatory uncertainty, state-level enforcement and global cooperation fill the void, and firms must act accordingly to protect their reputation, operations, and legal standing.