On February 10, 2025, President Donald J. Trump signed an executive order pausing the enforcement of the Foreign Corrupt Practices Act (FCPA) of 1977, aiming to enhance American business competitiveness and national security. The FCPA prohibits U.S. individuals and entities from bribing foreign officials to secure business advantages.

 

The executive order directs Attorney General Pam Bondi to halt all FCPA-related actions until revised enforcement guidelines are established. Future investigations and enforcement actions will require approval from the Attorney General under the new framework, which seeks to reduce regulatory burdens on U.S. companies operating internationally.

 

The White House argues that stringent FCPA enforcement has disadvantaged American businesses by restricting them from engaging in practices common among international competitors. The administration contends that the law, originally intended to curb corporate bribery, has been overextended, hindering U.S. firms in securing strategic assets such as deep-water ports and critical minerals.

 

This suspension may have implications for ongoing cases, including the indictment of Adani Group Chairperson Gautam Adani. In November 2024, the U.S. Department of Justice charged Adani and other executives with orchestrating a $250 million bribery scheme to secure favorable solar energy contracts in India. While the executive order pauses FCPA enforcement, it remains unclear how it will affect existing cases, as the order mandates a review of past and ongoing FCPA cases to determine their alignment with the new enforcement priorities.

 

Critics express concern that this move could undermine global anti-corruption efforts and damage the reputation of U.S. businesses. Transparency International's U.S. office warned that suspending FCPA enforcement diminishes a key tool in combating global corruption.