US Justice Department Targets Companies on DEI Using Fraud Law, According to WSJ
The Trump administration has initiated investigations into the implementation of diversity initiatives in hiring and promotion practices at major U.S. corporations, as reported by the Wall Street Journal.
Among the companies under scrutiny are tech giant Google and telecommunications leader Verizon. These firms have received requests from the Justice Department for documents and detailed information regarding their workplace diversity programs, according to sources familiar with the ongoing investigations.
As of now, Reuters has not been able to independently verify these claims. Both Verizon and Google, along with the Justice Department, have not provided immediate comments regarding the situation.
The investigations are being conducted under the False Claims Act, which is a federal civil law that enables the government to recover funds lost due to fraudulent activities. The sectors being examined include automotive, pharmaceuticals, defense, and utilities. Some companies have even engaged in face-to-face meetings with Justice Department officials to discuss the inquiries.
Since taking office in January, President Donald Trump has taken swift action to dismantle federal Diversity, Equity, and Inclusion (DEI) programs. His administration has actively discouraged similar initiatives in the private sector and educational institutions. This includes directives to terminate diversity officers at federal agencies and the withdrawal of grant funding for a variety of DEI programs.
(Reporting by Mihika Sharma in Bengaluru; Editing by Ronojoy Mazumdar and Rashmi Aich)
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The Trump administration has initiated investigations into the implementation of diversity initiatives in hiring and promotion practices at major U.S. corporations, as reported by the Wall Street Journal.
Among the companies under scrutiny are tech giant Google and telecommunications leader Verizon. These firms have received requests from the Justice Department for documents and detailed information regarding their workplace diversity programs, according to sources familiar with the ongoing investigations.
As of now, Reuters has not been able to independently verify these claims. Both Verizon and Google, along with the Justice Department, have not provided immediate comments regarding the situation.
The investigations are being conducted under the False Claims Act, which is a federal civil law that enables the government to recover funds lost due to fraudulent activities. The sectors being examined include automotive, pharmaceuticals, defense, and utilities. Some companies have even engaged in face-to-face meetings with Justice Department officials to discuss the inquiries.
Since taking office in January, President Donald Trump has taken swift action to dismantle federal Diversity, Equity, and Inclusion (DEI) programs. His administration has actively discouraged similar initiatives in the private sector and educational institutions. This includes directives to terminate diversity officers at federal agencies and the withdrawal of grant funding for a variety of DEI programs.
(Reporting by Mihika Sharma in Bengaluru; Editing by Ronojoy Mazumdar and Rashmi Aich)
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