US Rolls Back Corporate Crime Probes – Boost for Infra & IT Sectors

US Cracks Go Soft: Infra & IT Sectors Catch a Break

Trump’s Corporate Crime U-Turn Sends Shockwaves Through Global Business

In a move already sending ripples through boardrooms and markets alike, the Trump administration has significantly scaled back the enforcement of white-collar crime—particularly in cases involving foreign bribery, money laundering, and crypto-related misconduct. Legal experts are still digesting the implications, but investors have wasted no time in placing their bets.

A Legal Pivot with Global Ripples

Two months since President Donald Trump signed an executive order suspending prosecutions under the Foreign Corrupt Practices Act (FCPA)—a central anti-bribery law—the Department of Justice (DoJ) is said to be realigning its priorities. Attorney General Pam Bondi has instructed federal prosecutors to shift their attention to global crime syndicates and drug cartels, according to a detailed exposé by The Wall Street Journal.

This change in enforcement strategy is being marketed by the White House as an effort to “level the playing field” for US companies operating overseas. The administration asserts that American businesses have been unfairly penalised for pursuing business practices common elsewhere in the world.

Sectors Poised to Benefit: Infra, IT, and Beyond

Although the rollback has created controversy in legal and diplomatic circles, markets have already begun to respond optimistically—especially in the areas of infrastructure and information technology.

Firms undertaking mega-projects involving Build-Operate-Transfer (BOT), clean energy deals, and international IT services are expected to benefit from the reduced regulatory overhang. With diminished compliance risk, these industries may experience a boom in cross-border deal-making, investment, and renewed project momentum.

On the tech side, legal respite has already been seen. Charges against former officials of one of India’s biggest IT services firms—Cognizant—were dropped by newly installed New Jersey US Attorney Alina Habba, who was once a Trump adviser. Her ruling reversed earlier approvals to proceed to trial, The Wall Street Journal reported.

Similarly, companies such as Azure Power—previously linked with contract work for an Indian infrastructure group—now appear more favourable to investors as regulatory concerns begin to ease.

A Controversial but Commercially Catalytic Move

While critics argue that the rollback undermines the global fight against corporate corruption, the White House maintains that the FCPA had evolved into a liability—placing American firms at a disadvantage in jurisdictions where business norms diverge from US practices.

The revised guidelines do not merely pause current prosecutions; they effectively redefine the boundaries of corporate misconduct. According to The Wall Street Journal, Attorney General Pam Bondi has shifted the Department of Justice’s focus towards international criminal networks, moving away from corporate compliance enforcement. At the same time, firms previously burdened by legal investigations are now seeking to have charges dismissed—some successfully.

Even high-profile players in the clean energy, cryptocurrency, and defence sectors are benefiting. From dismissed bribery allegations to presidential pardons, the Trump administration’s legal clemency is reshaping America’s approach to corporate wrongdoing abroad.

Among the most notable developments:

• Lawyers for Indian billionaire Gautam Adani are reportedly requesting the DoJ to drop criminal charges tied to an alleged foreign bribery scheme—allegations the group has labelled “baseless”, per WSJ.
• Commodity giant Glencore, which had earlier pleaded guilty to bribery and market manipulation, has received approval to end expensive compliance monitoring.
• Crypto exchange BitMEX and its founders were granted pardons, enabling them to avoid a $100 million penalty.
• Nikola founder Trevor Milton, convicted of defrauding investors, was also issued a presidential pardon.

The Bottom Line: Legal Reset or Economic Power Play?

As Washington redraws the boundaries of corporate accountability, the world is watching closely. This legal reset is bound to provoke ethical debate, but it is also releasing pent-up momentum across sectors long paralysed by compliance risk.

Share prices in these industries have already risen by 4–6% in recent trading sessions, indicating growing investor confidence. As capital begins to unfreeze and project pipelines reopen, we may be witnessing the early innings of a legislation-led business revival.

For now, the message is clear: the Trump administration is prioritising commercial advantage over courtroom caution—and the markets are aligned with that vision. Whether this represents a bold economic correction or a dangerous precedent is something only time will tell.

One thing is certain: corporate America is entering a new era of regulatory rebalancing—and global investors are already repositioning themselves.

Insights drawn from The Wall Street Journal’s report on the US Department of Justice’s policy shift, alongside official White House statements and recent stock market responses across infrastructure and IT-linked firms.