DOJ Announces Civil Rights Fraud Initiative for Investigating DEI Programs of Federal Contractors and Grantees

The U.S. Department of Justice (“DOJ”) recently announced the creation of the Civil Rights Fraud Initiative (the “Initiative”). The Initiative will use the False Claims Act (“FCA”) to investigate and pursue claims against any recipient of federal funds that “knowingly violates federal civil rights laws,” with a particular emphasis on bringing claims against entities engaging in diversity, equity, and inclusion (“DEI”) practices that may violate federal anti-discrimination laws. This stems from an early Trump Administration Executive Order, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity” (the “Executive Order”), which first linked violations of federal anti-discrimination laws with potential enforcement under the FCA.

Kelly JinesMay 28, 2025DEI, False Claims Act, Discrimination, Executive Orders