In his first public remarks, delivered just days into his tenure, SEC Enforcement Division Director David Woodcock announced that he will “provide hands-on leadership” to make sure SEC Enforcement investigators “focus on the fundamentals,” which he defined as “protecting investors and safeguarding markets from real harm.”[1] In announcing his “back-to-basics” approach, Woodcock gave top billing not just to traditional scams, but also to cases involving financial reporting and private funds and investment advisers. Woodcock’s remarks and his prior tenure at the SEC—and our own work on recent and ongoing SEC investigations and resolutions—indicate that the agency will continue to pursue these often complex cases even when they do not find or charge fraud, perhaps to the surprise of commentators who prematurely announced the demise of SEC Enforcement.
Continue Reading New SEC Enforcement Director David Woodcock Outlines Enforcement Priorities, Including Focus on Financial Reporting and Private Funds
California Diversity Reporting Law for Venture Capital Funds Pushed to 2027 (Or Later)
California’s statute on Fair Investment Practices by Venture Capital Companies (the “VC Diversity Law”) was originally scheduled to come into effect in 2026, with an initial registration date of March 1, 2026 to self-identify as a venture capital company subject to reporting and initial substantive reports due on April 1, 2026. However, on March 17, the California Department of Financial Protection and Innovation (the “DFPI”) announced that enforcement of the VC Diversity Law would be suspended, pending rulemaking and final regulations. As a result, covered entities are no longer required to submit registrations or file reports by April 1, 2026. The DFPI plans to spend several months seeking input from industry stakeholders before beginning a year-long formal rulemaking process.
Continue Reading California Diversity Reporting Law for Venture Capital Funds Pushed to 2027 (Or Later)DOJ Releases First Department-Wide Corporate Enforcement Policy
On March 10, 2026, the Department of Justice (DOJ) announced its first Department-wide Corporate Enforcement and Voluntary Self-Disclosure Policy (CEP) for criminal matters, with the exception of antitrust. The CEP explicitly supersedes any previously-issued policies by DOJ components or U.S. Attorneys’ Offices (USAOs).[1] Deputy Attorney General Todd Blanche explained this change was part of DOJ’s commitment to “transparency and fairness” and the new CEP “creates incentives for companies to come forward and do the right thing when misconduct occurs.”[2]
Continue Reading DOJ Releases First Department-Wide Corporate Enforcement PolicyWhistleblowing in Focus: Recent Developments, Emerging Issues, and Considerations for Companies
Introduction[1]
Many jurisdictions have passed laws promoting and protecting whistleblower reporting, particularly with respect to potential violations of law by companies and their executives, while certain law enforcement authorities have introduced monetary awards programs to provide incentives to report potential violations of law.[2] These previous efforts to encourage whistleblower reporting generally continued in the past year. In this three-part series, we first discuss the outlook for whistleblower programs in the United States under the new administration. Second, we review initiatives relating to whistleblower reports in other jurisdictions over the past year. Third, we address emerging issues and considerations for companies in relation to whistleblower reports.
Continue Reading Whistleblowing in Focus: Recent Developments, Emerging Issues, and Considerations for CompaniesEnforcement Countdown: Is DOJ Ready for the Bulk Data Rule “Grace Period” to End?
As of July 8, the U.S. Department of Justice (“DOJ”) is scheduled to begin full enforcement of its Data Security Program (“DSP”) and the recently issued Bulk Data Rule after its 90-day limited enforcement policy expires, ushering in “full compliance” requirements for U.S. companies and individuals.[1]
Continue Reading Enforcement Countdown: Is DOJ Ready for the Bulk Data Rule “Grace Period” to End?DOJ National Security Division Issues First Declination Under Merger-Related Safe Harbor Provisions
On June 16, 2025, the Department of Justice’s National Security Division (“NSD”) and the U.S. Attorney’s Office for the Southern District of Texas announced a landmark declination to prosecute private equity firm White Deer Management LLC following its voluntary self-disclosure of sanctions violations committed by an acquired company.[1] This marks the first application of the safe harbor provisions for voluntary self-disclosure in connection with mergers and acquisitions—a policy put in place during the previous administration—and demonstrates the benefits of NSD’s enforcement policies while highlighting continued enforcement priorities across administrations.
Continue Reading DOJ National Security Division Issues First Declination Under Merger-Related Safe Harbor ProvisionsDOJ Criminal Division Announces White Collar Enforcement Plan and Revisions to Three Key Policies
On May 12, 2025, the Criminal Division of the Department of Justice (“DOJ”) announced several policy changes related to its approach to white collar criminal enforcement. Matthew R. Galeotti, the current head of the Criminal Division, noted that DOJ would be “turning a new page on white-collar and corporate enforcement” and emphasizing the principles of “focus, fairness and efficiency” in its investigations and prosecutions. As part of this policy roll-out, DOJ issued a new White Collar Enforcement Plan (the “Enforcement Plan”) and key revisions to the Corporate Enforcement and Voluntary Self-Disclosure Policy (“CEP”), Monitor Selection Policy, and Whistleblower Awards Pilot Program.[1]
Continue Reading DOJ Criminal Division Announces White Collar Enforcement Plan and Revisions to Three Key PoliciesFinCEN Eliminates CTA Requirements for All U.S. Companies and U.S. Individuals
As discussed in our last Corporate Transparent Act (CTA) update, the U.S. Treasury Department announced on March 2 that it planned to issue an interim rule excluding U.S. companies and citizens from CTA reporting obligations. The Financial Crimes Enforcement Network (FinCEN) has now done so, limiting the scope of the CTA to non-U.S. parties. This will dramatically reduce the operational burdens and costs of the CTA for registered investment advisers.
Continue Reading FinCEN Eliminates CTA Requirements for All U.S. Companies and U.S. IndividualsTrump Administration Proposes Eliminating CTA Requirements for All U.S. Companies
We noted in our last Corporate Transparent Act (CTA) update that on February 27, 2025, the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Treasury Department, announced that it would not take any enforcement actions against any company that does not file or update beneficial ownership information required under the CTA until after FinCEN issued a new interim rule. The Treasury Department announced yesterday that it will not enforce any penalties or fines against “U.S. citizens or domestic reporting companies or their beneficial owners” for not filing this information even after the new interim rule. Instead, the Treasury Department said that it will issue a proposed rulemaking “that will narrow the scope of the rule to foreign reporting companies only.”
Continue Reading Trump Administration Proposes Eliminating CTA Requirements for All U.S. CompaniesFinCEN Pauses All CTA Filing Obligations and Will Issue New Rules
Amid various ongoing litigation concerning the constitutionality of the Corporate Transparency Act (CTA), the U.S. Financial Crimes Enforcement Network (FinCEN) had announced on February 19, 2025, that it was extending the CTA beneficial ownership information filing deadline for most companies to March 21, 2025 (see Client Alert here). Now, FinCEN has taken a step further, announcing yesterday “that it will not issue any fines or penalties or take any other enforcement actions against any companies based on any failure to file or update” any reports mandated by the CTA. According to FinCEN, “no enforcement actions will be taken, until a forthcoming interim final rule becomes effective.” FinCEN states that it will issue the interim rule no later than March 21, 2025, and the new rule will establish new CTA filing deadlines.
Continue Reading FinCEN Pauses All CTA Filing Obligations and Will Issue New Rules