DOJ releases new corporate crime enforcement guidance, telling companies what to expect—and how to avoid criminal penalties

That same day, Matthew R. Galeotti, Head of the Criminal Division, highlighted these updates during remarks at the Securities Industry and Financial Markets Association’s Anti-Money Laundering and Financial Crimes Conference, stating, “Effective white-collar prosecution requires focus, fairness, and efficiency—three principles that will guide the work of Criminal Division prosecutors going forward.”

Together, the Memo and accompanying policy announcements reflect the DOJ’s prosecutorial focus—and signal how companies should recalibrate their compliance and enforcement response strategies.

Key Enforcement Priorities

The Memo directs staff to focus on “urgent threats,” which reflect the Trump Administration’s previously articulated enforcement priorities, including cartels, narcotics trafficking, and violent offenders. The Memo alludes to the need for a balance between effective enforcement and minimizing unnecessary impacts on American enterprise, concluding that “focused, fair, and efficient white-collar enforcement promotes American economic and national security interests while protecting American taxpayers, investors, consumers, and businesses.”

The Criminal Division is implementing these principles by prioritizing white-collar investigations and prosecutions in areas determined by the Trump Administration as having significant economic or security impacts on the United States, including:

1. Waste, fraud, and abuse of public funds: Cases involving fraud against Medicare, Medicaid, COVID-19 relief programs, or defense procurement contracts remain a top concern, particularly where conduct threatens the integrity of federal programs.
2. Trade and customs fraud: The DOJ will target schemes such as tariff evasion and misclassification of imports that undermine US trade protections.
3. Fraud involving Variable Interest Entities (VIEs): The DOJ will increase scrutiny of VIEs, especially those tied to Chinese-affiliated companies that are involved in “ramp and dump” schemes, market manipulation, and elder fraud.
4. Investor and consumer fraud: Ponzi schemes, securities fraud, and other conduct harming US investors and consumers—especially servicemembers and the elderly—will be prioritized, particularly where consumer health and safety may be harmed.
5. National security-related financial threats: Enforcement will focus on misconduct by “gatekeepers” such as financial institutions and insiders who facilitate transactions for cartels, transnational criminal organizations (TCOs), hostile nation-states, and designated terrorist groups.
6. Corporate support to foreign terrorist organizations: This includes material assistance—direct or indirect—provided by corporate entities to cartels and TCOs recently designated as foreign terrorist organizations.
7. Complex money laundering networks: The DOJ will aggressively pursue money laundering operations tied to narcotics trafficking, TCOs, and Chinese money laundering organizations.
8. Counterfeit pharmaceuticals: Prosecutors will target the unlawful manufacture and distribution of counterfeit pills—especially those laced with fentanyl—as well as unlawful opioid distribution by medical professionals and companies.
9. Certain types of bribery cases: Cases involving foreign bribery that harm US business competitiveness or national interests—particularly where they benefit foreign officials—will continue to receive heightened attention.
10. Certain kinds of digital asset-related crime: The DOJ will also prioritize crimes involving digital assets that harm retail investors or facilitate other criminal conduct.

With these newly outlined enforcement priorities, the DOJ is signaling its intent to be “laser-focused” on corporate crimes it considers to “have the greatest impact in protecting American citizens and companies and promoting US interests.”

Emphasis on Self-Reporting

The DOJ also updated its Corporate Enforcement and Voluntary Self-Disclosure Policy (CEP) to offer more certainty and incentives for companies to self-disclose misconduct. The key change is that companies meeting specific criteria, such as timely self-disclosure, full cooperation, and effective remediation, can now receive a guaranteed declination of prosecution if there are no aggravating factors. This approach represents a change from the Biden Administration’s position that only created a “presumption” of not prosecuting if those criteria were met. The shift aims to encourage businesses to report issues promptly and foster a culture of compliance while reducing the need for criminal prosecution in qualifying cases. 

Additionally, companies that do not satisfy the criteria for a declination may still receive substantial benefits for voluntary self-disclosure and cooperation with investigations. The CEP now includes a “Near Miss” policy that allows companies that fall just short of qualifying as a voluntary self-disclosure and have limited aggravating factors to be eligible—notwithstanding their failure to fully voluntarily self-disclose—for receipt of a non-prosecution agreement, a reduced term (under three years), no independent monitor, and a penalty reduction.

The Memo also states that “where corporate criminal resolutions are necessary, prosecutors should consider all forms—non-prosecution agreements, deferred prosecution agreements, and guilty pleas.” It reiterates that not all corporate misconduct requires criminal charges, particularly where companies self-disclose and remediate. 

As Galeotti noted in his remarks, the DOJ is attempting to provide a “clear path” to avoiding criminal penalties for companies that come forward, cooperate, and put an end to criminal conduct.

Additional Developments

The Memo outlines several other key developments, including:

• Expansion of the Corporate Whistleblower Awards Pilot Program to include corporate misconduct involving sanctions violations, terrorism and TCO support, immigration offenses, customs and trade fraud, and procurement fraud.
• A reemphasis on individual accountability as the first priority when prosecuting low-level corporate misconduct.
• A focus on maximizing efficiency. To that end, the Memo announces a focus on streamlining investigations and narrowly tailoring monitorships to limit unnecessary burdens on businesses.

What This Means for Companies

In response to the DOJ’s updated priorities, companies should consider reassessing compliance programs, strengthening reporting systems, and focusing on early detection to mitigate liability. Corporate and white-collar criminal prosecutions will certainly continue, and they will be focused on the Trump Administration’s enforcement priorities and be consistent with the stated intent to prioritize American enterprise and economic interests. Non-US companies in particular should be mindful that the DOJ will prosecute cases based on the Trump Administration’s stated goal of favoring and advancing American business interests. Further, companies should not interpret the DOJ’s stated priorities as a signal that enforcement in other areas will necessarily diminish; existing legal requirements remain in effect and continue to carry enforcement risk. Early detection, self-reporting, and timely remediation are critical in mitigating DOJ scrutiny and potential liability.