DOJ proposes weaponizing False Claims Act against DEI

On May 19, 2025, the Department of Justice (DOJ) announced a new civil rights fraud initiative, which will use the False Claims Act (FCA) to investigate and, as appropriate, pursue claims against any recipient of federal funds that knowingly violates federal civil rights laws. Violations of the FCA can result in treble damages and significant penalties.

Deputy U.S. Attorney General Todd Blanche issued a memorandum instructing Justice Department attorneys to file FCA claims against recipients of federal money if they knowingly violate civil right laws and falsely certify compliance with Title IV, Title VI, and Title IX of the Civil Rights Act of 1964. The memo states that the FCA “is also implicated whenever federal-funding recipients or contractors certify compliance with civil rights laws while knowingly engaging in racist preferences, mandates, policies, programs, and activities, including through diversity, equity, and inclusion (DEI) programs that assigns benefits or burdens on race, ethnicity, or national origin.”

The memo specifically outlines the following as violating the FCA: “Accordingly, a university that accepts federal funds could violate the False Claims Act when it encourages antisemitism, refuses to protect Jewish students, allows men to intrude into women’s bathrooms, or requires women to compete against men in athletic competitions.”