DOJ Fraud Division Names Health Care Among Top Enforcement Targets
In a client alert, Hall Render reports that DOJ's National Fraud Enforcement Division (NFED) Assistant Attorney General Colin M. McDonald issued an October 1, 2026 memo outlining corporate fraud enforcement priorities, including health care fraud, controlled substance distribution, and FDCA violations. Starting around October 8, 2026, prosecutors in the Fraud Division's prosecuting sections must report ongoing and new corporate investigations to a newly empowered Corporate Enforcement Section, which will also take over evaluating companies' compliance programs and resolution compliance. The memo lists aggravating factors prosecutors must weigh heavily, including management involvement in fraud, concealment from regulators, conduct lasting three-plus years, harm to taxpayer-funded programs, and losses exceeding $25 million or affecting 25+ victims. DOJ also directed the division to expand whistleblower incentive programs, signaling continued reliance on qui tam-style reporting mechanisms.