The U.S. Department of Justice (DOJ) has ordered every U.S. attorney’s office to assign one prosecutor to serve in the newly established National Fraud Enforcement Division, according to a memo obtained by CBS News.
Assistant Attorney General Colin McDonald issued the directive on April 22, 2026, instructing each district to detail a prosecutor “in place” to work with the Washington-based fraud division. This centralized staffing aims to support the division’s mission to execute a coordinated nationwide strategy to combat fraud across all districts more effectively.
The memo specified that beginning July 1, prosecutors assigned to the fraud division should not receive any new cases or work without prior approval from the division, ensuring their focus remains on the division’s priorities.
Efforts to address staffing and expand fraud prosecutions
This staffing arrangement follows the DOJ’s recent announcement of a $300 million grant program aimed at state and local governments. The grants will fund temporary hires designated as special assistant U.S. attorneys to support fraud prosecutions, particularly targeting public benefit fraud involving individuals residing in the U.S. illegally.
The move comes amid staffing shortfalls across many U.S. attorney’s offices, which have faced challenges due to high turnover and recruitment difficulties. Some offices are also managing an influx of habeas corpus petitions related to immigration detentions implemented during the Trump administration.
Context of the new fraud division’s creation and focus
Earlier in April, Acting Attorney General Todd Blanche described the fraud division as a consolidation of offices handling criminal fraud cases related to health care, taxes, benefits, and corporate misconduct. Blanche noted the division intends to improve prosecution efficiency by leveraging local expertise within each district.
Blanche also indicated the division might accept criminal referrals directly from the White House, a shift away from protocols designed to protect criminal investigations from political influence ever since the post-Watergate reforms.
Why it matters
The DOJ’s establishment of the National Fraud Enforcement Division and its requirement for local prosecutor assignments represent a significant federal effort to enhance coordination and efficacy in fraud prosecutions nationwide. This move comes in response to increasing complex fraud schemes and serves to streamline resource use amid staffing challenges. The shift may also reflect broader policy priorities under the current administration regarding immigration-related fraud enforcement and government benefits oversight.
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