As procurement fraud enforcement continues to be a priority for the Department of Justice and other federal agencies, we take a look back at significant 2025 enforcement developments affecting government contractors, grant recipients and participants in federal programs in our 2025 Procurement Fraud Review.
The Review examines notable False Claims Act settlements, procurement fraud investigations, cybersecurity enforcement developments, customs and tariff-related matters, and other key trends shaping the government contracting landscape. Many of the enforcement themes that emerged in 2025 — including defective pricing, cybersecurity compliance obligations, tariff evasion and pandemic relief fraud — continue to receive significant government attention in 2026.
The Department of Justice reported that settlements and judgments under the False Claims Act exceeded $6.8 billion in fiscal year 2025, the highest annual recovery total in the statute’s history. Although healthcare matters continued to account for most FCA recoveries, DOJ also pursued significant procurement-related matters involving defense contracts, cost mischarging, customs fraud and cybersecurity compliance.
Together, these matters reflect the government’s continued focus on procurement integrity, contractor compliance obligations and fraud affecting federal funding programs.