Foreign Corrupt Practices Act 1977 suspended
On Monday 10th February 2024, President Donald Trump signed an executive order pausing the United States Department of Justice from enforcing the US' Foreign Corrupt Practices Act 1977 (FCPA).
The FCPA makes it illegal for companies that operate in the United States to bribe foreign government officials to secure business deals.
Federal authorities have used the law to crack down on bribery, especially in countries where it is a common business practice.
The law has been “abused in a manner that harms the interests of the United States,” Mr. Trump’s executive order reads, adding that its enforcement was impeding foreign policy objectives.
The order bars federal authorities from starting any new investigations under the act or enforcing new actions for 180 days. The administration will also review existing investigations launched under the act to “restore proper bounds” on the law.
The order directs the attorney general to issue new guidance on how to enforce the act “that promotes American competitiveness and efficient use of federal law enforcement resources.”
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