Trump Pauses Enforcement of an Antibribery Law

President Trump has ordered a pause in the enforcement of the Foreign Corrupt Practices Act, a federal law aimed at curbing corruption in multinational companies. He argues that the law creates an uneven playing field for American firms.

The Foreign Corrupt Practices Act, enacted in 1977, makes it illegal for companies operating in the United States to pay foreign government officials to secure business deals. The law has been used to crack down on bribery, especially in countries where it is a common business practice.

President Trump’s executive order states that the law has been “abused in a manner that harms the interests of the United States” and that its enforcement is impeding foreign policy objectives.

Under the executive order, federal authorities are barred from starting new investigations under the act or enforcing new actions for 180 days. Existing investigations will be reviewed to “restore proper bounds” on the law.

The order also directs the attorney general to issue new guidance on how to enforce the act in a way that promotes American competitiveness and the efficient use of federal law enforcement resources.