Over the past year, the Trump Administration has prioritized the False Claims Act (“FCA”) as a primary weapon to combat federal program fraud. Most recently, in May, Assistant Attorney General Brett A. Shumate of the US Department of Justice’s (“DOJ”) Civil Division announced new guidelines to accelerate the investigation and prosecution of qui tam whistleblower actions that allege fraud on federally funded, state-administered benefits programs. Specifically, AAG Shumate’s memorandum (the “Shumate Memo”) provides for:

• Expedited government investigation of qui tam complaints through mandatory DOJ review timeframes of no more than 120 days;
• An increased role for relators in developing evidence in FCA investigations; and
• Improved coordination among government agencies in which benefits-fraud allegations may be simultaneously reviewed for civil, criminal, and administrative enforcement.

Deeming the FCA “one of the government’s most powerful weapons for fighting fraud and ensuring that government funds are spent properly,” the Shumate Memo reflects the DOJ’s latest effort to aggressively combat fraud involving federal programs.

The Trump Administration’s efforts have paid off. 2025 marked a record-breaking year for FCA fines, and 2026 looks to be on par with the previous year. Companies that conduct business with the federal government – whether in health care, government contracts and defense, or through customs and tariffs – should reexamine their compliance programs to...

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