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DOJ’s Civil Division initiates False Claims Act investigations of DEI practices

September 2025 federal employment law insider
Authors: 

H. Juanita Beecher, FortneyScott

The U.S. Department of Justice (DOJ), Civil Division is sending civil investigative demands (CIDs) to federal contractors seeking information on their diversity, equity, and inclusion (DEI) practices under its authority to investigate False Claims Act (FCA) claims.

Flowing from President Trump’s Executive Order 14173, which seeks to limit DEI efforts, the DOJ recently launched the Civil Rights Fraud Initiative, which uses the FCA to investigate and pursue claims against recipients of federal funds (including federal contractors) that their DEI practices violate federal civil rights laws.

The focus of these investigations will likely be: 

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