The U.S. Department of Justice (DOJ) has announced it will use the False Claims Act to investigate and pursue claims against any federal funds recipients that violate federal civil rights laws. Violations of the False Claims Act can result in triple damages and significant penalties.
The DOJ’s Civil Rights Fraud Initiative “is an extension of Executive Order 14173, ‘Ending Illegal Discrimination and Restoring Merit-Based Opportunity,’ and the memorandum issued by U.S. Attorney General Pam Bondi on Feb. 5, ‘Ending Illegal DEI and DEIA Discrimination and Preferences,’ ” said Andrew Turnbull, an attorney with Morrison Foerster in Washington, D.C.
The majority of HR professionals (58%) say recent executive orders have had little to no impact on inclusion and diversity (I&D) efforts at their organization over the last three months, according to SHRM’s May Current Events Pulse survey. However, “nearly 1 in 5 (19%) say their organization has ceased or reduced DEI efforts,” the survey found.
With the Civil Rights Fraud Initiative, “DEI practices are more under the microscope than ever,” said Christy Kiely and Teddie Arnold, attorneys with Seyfarth in Washington, D.C. Under the initiative, “It’s not just the federal government looking for unlawful DEI, but also applicants, employees, customers, suppliers, and even the general public.”
Entities could be tied up in costly litigation dragging on for years, they added.
In the May 19 memorandum...
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