False Claims Act Playbook

In a move that would mark a significant departure from longstanding practice separating Department of Justice operations from direct White House control, the White House announced on January 8, 2026, a plan to create and directly supervise a new Department of Justice (DOJ) division for national fraud enforcement. The division would be led by a Senate-confirmed assistant attorney general (AAG). According to Vice President Vance, the new AAG will have “nationwide jurisdiction over the issue of fraud” and will be supervised by President Trump and Vice President Vance, rather than by DOJ leadership.  

With the DOJ’s new directive to pursue denaturalization in civil healthcare fraud cases, naturalized citizens in leadership roles face heightened personal risk. Robust compliance and careful review of employment practices are more important than ever for healthcare organizations.

The U.S. Department of Justice (DOJ) has signaled that it will use the False Claims Act (FCA) as a tool against diversity, equity, and inclusion (DEI) policies that discriminate against certain groups. 

The annual False Claims Act (FCA) recovery statistics issued by the U.S. Department of Justice for Fiscal Year 2024, coupled with the Trump administration’s focus on the elimination of waste, fraud, and abuse in government spending and apparent intentions to rely on the FCA to pursue other administration priorities, signal a likely increase in FCA investigations and actions throughout 2025 and beyond.

On January 21, 2025, President Trump issued a sweeping executive order titled “Ending Illegal Discrimination and Restoring Merit-Based Opportunity” (EO). The EO targets diversity, equity, inclusion, and accessibility (DEI) programs in the public and the private sectors. The EO signals that organizations receiving federal funds, whether through government contracts or otherwise, may be liable under the False Claims Act (FCA)—one of the government’s most powerful anti-fraud enforcement tools providing for treble damages and steep penalties—if they maintain what the EO refers to as “illegal” DEI programs that violate federal anti-discrimination laws. Significantly, the EO includes provisions that are likely to make it easier to establish FCA violations.