Key considerations for compliance officers under President Trump

The Trump Administration has ushered in massive shifts in enforcement and policy priorities. From crypto to anti-corruption measures and tariffs to technology, the new Administration has changed the compliance landscape significantly.

This issue of Practical Compliance provides a summary of many of the changes that have been initiated or communicated by the Trump Administration and guidance for compliance professionals in adapting their existing compliance programs.

As compliance officers look to the years ahead, they should be aware of the changes that have already taken place and are encouraged to ensure their policies and procedures are flexible enough to continue to change and improve as the Administration pivots.

DOJ policies

On her first day as Attorney General (AG), Pam Bondi issued various memos on February 5, 2025 announcing the strategic priorities of the US Department of Justice (DOJ) under the Trump Administration.

These included a General Policy Regarding Charging, Plea Negotiations and Sentencing. This policy directed prosecutors to “charge and pursue the most serious, readily provable offense” in the absence of “unusual facts.” AG Bondi stated that “prosecutors may not use criminal charges to exert leverage to induce a guilty plea.”

The memo also said that prosecutors may not “abandon pending charges to achieve a plea bargain that is inconsistent with the prosecutor's assessment of the seriousness of the defendant's conduct.” The memo included a clear direction to prosecutors not to allow personal or political interests to influence investigation and charging decisions.

AG Bondi’s memos also outlined the enforcement priorities of the DOJ under the Trump Administration, including immigration; human trafficking and smuggling; organized crime, cartels, and gangs; protection of law enforcement personnel; and national security. The memos signal dramatic changes in how the DOJ will enforce white collar crime and specifically the Foreign Corrupt Practices Act (FCPA).

In addition to these initial memos, in the ensuing days and weeks, the DOJ has continued to issue memos announcing various changes to DOJ enforcement policies and Administration priorities with regard to many areas of enforcement. Further guidance is expected to be issued in the coming months.

Bribery and corruption directives

President Donald Trump signed an Executive Order (EO) on February 10, 2025 titled “Pausing Foreign Corrupt Practices Act Enforcement to Further American Economic and National Security.” This EO directed changes to the DOJ’s approach to enforcing laws governing bribery and corruption, specifically with regard to the FCPA. (See here for more on the FCPA).

The EO mandated a six-month pause on FCPA enforcement while the AG conducts a review of FCPA enforcement policies. The US Securities and Exchange Commission (SEC), which also has the authority to enforce the FCPA, has similarly paused enforcement while the DOJ evaluates enforcement policies.

One of AG Bondi’s memos indicated that the FCPA will be used to aid in the Administration’s pursuit of the “total elimination of Cartels and Transnational Criminal Organizations (TCOs).” (See here for more).

In other words, FCPA enforcement is expected to focus on companies that allegedly commit foreign bribery to facilitate criminal operations by cartels and TCOs, while shifting focus away from typical commercial bribery cases that do not have such implications.

When the pause on FCPA enforcement is lifted, the DOJ could pay more attention to conduct occurring in countries where cartels and TCOs are known to operate. Given the EO’s statement that the policy aims to “advance American economic and national security by eliminating excessive barriers to American commerce abroad,” there may be more rigorous enforcement of the FCPA over non-US companies than over US companies.

Despite these changes to FCPA enforcement, the global anti-corruption landscape has remained unchanged. Companies that have global operations must ensure that their compliance programs meet the compliance expectations of the other countries in which they operate, even if the US authorities decline to enforce the FCPA.

Additionally, other countries may see this pause in FCPA enforcement as an invitation to increase their corruption enforcement. For example, the UK, France, and Switzerland announced an Anti-Bribery and Anti-Corruption Task Force aimed at increasing cooperation and collaboration among the nations.

Companies are also encouraged to maintain compliance with state corruption and bribery laws, including commercial bribery laws, for states in which they conduct business.

SEC enforcement changes

Securities regulation and enforcement have already seen significant changes under the new Administration. The SEC’s leadership has changed with SEC Chair Gary Gensler resigning from his role on January 20, 2025. President Trump’s nominee for SEC Chairman, Paul Atkins, was sworn in on April 21, 2025.

The Trump Administration has signaled that it will not pursue enforcement actions related to cryptocurrency unless there is fraud or a misstatement involved. The SEC, shortly following President Trump’s inauguration, announced a crypto task force and invited public input on potentially reexamining crypto as a “security.” (See here for more).

Additionally, the SEC has moved to dismiss certain claims against cryptocurrency companies and their executives, involving allegations that the firms were trading securities and marking a sharp reversal in the agency’s regulatory approach toward digital assets. The SEC also announced its view that meme coins are not subject to securities regulations. The SEC’s future cases involving cryptocurrency will likely involve more typical securities fraud claims related to fraudulent statements in public disclosures.

The SEC, under the Trump Administration, has also signaled that it will not focus on regulations concerning environmental, social, and governance (ESG). The SEC has issued guidance mandating that owners who pressure management on ESG issues file a 13D, rather than the less intensive 13G, discouraging beneficial owners from heavily influencing ESG decisions at companies. The SEC also voluntarily stayed implementation of its own recently adopted Climate Disclosure Rules, pending completion of review of the challenges to the laws. (See here for more).

The SEC has also announced the creation of the Cyber and Emerging Technologies Unit (CETU). The CETU will “utilize the staff’s substantial fintech and cyber-related experience to combat misconduct as it relates to securities transactions.” Specifically, the CETU will focus on: fraud committed using emerging technologies such as artificial intelligence (AI); use of social media and the internet to commit fraud; hacking; takeovers of retail brokerage accounts; fraud involving blockchain and crypto; regulated entities’ compliance with cybersecurity rules; and fraud in issuer disclosures related to cybersecurity.

Sanctions and tariffs

On April 2, 2025, the Trump Administration announced various tariffs against numerous countries, covering essentially all imports to the US. (See here for more).

Although many of these were paused for 90 days, the Administration has made clear that it is committed to implementing tariffs as a way to bring manufacturing back to the US. If they remain in place, tariffs are expected to affect numerous aspects of businesses, especially supply chain and manufacturing considerations.

The Trump Administration has indicated that it will continue to use sanctions as a key foreign policy and national security tool. For example, shortly after the inauguration, the US imposed sanctions geared at targeted Iranian oil sales, indicating a focus on Iran and its trade partners. Because of the Administration’s focus on China, it is likely that additional sanctions will be imposed against China in addition to the tariffs that are already imposed.

Recently, President Trump has also signaled that the US is willing to impose sanctions on Russia as a means to put an end to the war with Ukraine. The Administration has made clear that it will continue to use sanctions as a key tool to attempt to achieve its foreign policy goals.

Continued focus on AI and data analytics

In addition to the SEC CETU discussed above, the Trump Administration has signaled that it is focused on the development and innovation of AI, rather than constricting its growth through regulations. On January 23, 2025, President Trump issued an EO titled “Removing Barriers to American Leadership in Artificial Intelligence,” which seeks to develop policies that will solidify the US’s position as the global leader in AI.

The EO requires various advisors to President Trump to develop and submit an action plan for AI and to review the existing policies on AI and amend or revoke them where necessary.

What this means for compliance

The Trump Administration’s policies have already had profound effects on the business community and the compliance landscape, which will continue to change over the next few years.

Compliance professionals may consider the following when making determinations about how to implement new compliance priorities and whether to adapt their programs to these evolving Administration orders and guidance:

• Continue to follow existing law: Regardless of the Administration’s EOs, enforcement priorities, and pronouncements, companies must continue to comply with all existing laws.
  
  
• Risk assessments: Companies are encouraged to conduct updated risk assessments to identify their risk profiles under the current Administration’s priorities and guidance. Risks may have shifted in the past few months, and compliance professionals cannot begin to amend their programs without an accurate picture of those changing risks and liabilities.
  
  
• Supply chain analyses and assessments: With additional tariffs and changing national security concerns, compliance officers may consider conducting assessments to identify risks within the supply chain, conduct country of origin analyses, and develop mitigation strategies. Companies can ensure they have adequate controls over their supply chain and can find alternate suppliers to diversify their supply chain in the face of mounting tariffs targeted at various geographies.
  
  
• Anti-bribery and anti-corruption: Companies are encouraged to continue developing and implementing their existing anti-bribery and anti-corruption policies and procedures. While the Trump Administration’s enforcement of the FCPA may be paused, international and state-level corruption laws will continue to be enforced. The FCPA also remains in force and its statute of limitations is at least five years; any decisions as to FCPA compliance will have implications that could outlive the current Administration. The current Administration could also choose to enforce the FCPA in a more traditional fashion at any time.
  
  
• Compliance program requirements: While there has been notable change within the DOJ, it is not clear whether AG Bondi will significantly alter the expectations for cooperation or the expectations for effective corporate compliance programs. There will likely be more clarity when AG Bondi issues the new guidance as directed by President Trump’s EO. Regardless of the changes that the Administration may make to DOJ policy, companies are encouraged to continuously monitor and improve their programs, ensuring they are tailored to identify, investigate, and remediate compliance issues. This approach is likely to protect the business against future policy changes and ensure strong compliance controls that safeguard the business overall.
  
  
• Whistleblowers as a priority: Despite the Administration’s changing priorities, it appears whistleblowers may continue to be an important aspect of criminal and civil enforcement. First, the Trump Administration is committed to using the False Claims Act (FCA) as a tool to eliminate perceived fraud, waste, and abuse within the federal government, including diversity, equity, and inclusion (DEI) programs and policies. Potential whistleblowers/qui tam plaintiffs will likely play a key role in this process. Second, as the Administration streamlines and downsizes federal enforcement resources, regulatory agencies may look to whistleblowers to fill some of those gaps. Compliance officers are encouraged to ensure that their whistleblowing reporting mechanisms, internal investigation processes, and remediation functions are sufficient to identify potential issues.