A perceived slowdown in the investigation and prosecution of violations related to the Foreign Corrupt Practices Act (FCPA) during the Trump administration became a subject of public and professional discussion. This act prohibits U.S. companies and individuals from bribing foreign officials to obtain or retain business. While no formal policy announcement indicated a deliberate halt, data analysis suggested a potential decline in the initiation of new FCPA cases and settlements during that period compared to previous administrations. For example, some observers noted fewer high-profile corporate enforcement actions.
The significance of consistent FCPA enforcement lies in upholding fair competition in international markets and combating corruption, which can undermine economic development and the rule of law. Historically, robust enforcement has served as a deterrent, encouraging companies to establish strong compliance programs and self-report potential violations. A perceived reduction in enforcement activity could potentially weaken these deterrent effects and increase the risk of companies engaging in corrupt practices abroad.
