On August 13, 2026, Assistant Attorney General Colin M. McDonald issued the first enforcement priorities memorandum for the Department of Justice’s (DOJ) new National Fraud Enforcement Division (Fraud Division).1 The memorandum establishes five priority enforcement areas for what the DOJ describes as the first division in Department history dedicated solely to detecting, investigating, and prosecuting fraud against the United States and its citizens. With an estimated $233 to $521 billion in annual federal fraud losses at stake, the Division represents a fundamental restructuring of how the federal government pursues fraud—and companies across industries should take notice.
This alert discusses:
- The DOJ’s announcement and the Fraud Division’s structure;
- The five stated enforcement priority areas;
- Why this matters for companies, government contractors, and regulated entities; and
- Key…
These frauds exploit emotional vulnerability and trust rather than technical weaknesses.
- Romance Scams: Scammers build long-term online relationships with victims, eventually fabricating a “crisis” (medical emergency, legal trouble, or travel costs) that requires the victim to send money.
- Pig Butchering: A hybrid scam where the criminal builds a romantic or platonic relationship to eventually “tutor” the victim in a fraudulent cryptocurrency investment.