118 HR 9480 IH: Empowering Law Enforcement to Combat Financial Fraud Act U.S. House of Representatives 2024-09-06 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

I118th CONGRESS2d SessionH. R. 9480IN THE HOUSE OF REPRESENTATIVESSeptember 6, 2024Mr. Nunn of Iowa (for himself, Mr. Gottheimer, and Mr. Fitzgerald) introduced the following bill; which was referred to the Committee on the Judiciary, and in addition to the Committee on Homeland Security, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concernedA BILLTo permit State, local, and Tribal law enforcement agencies that receive eligible Federal grant funds to use such funds for investigating senior financial fraud, pig butchering, and general financial fraud, and to clarify that Federal law enforcement agencies may assist State, local, and Tribal law enforcement agencies in the use of tracing tools for blockchain and related technology, and for other purposes.

1.

Short title

This Act may be cited as the Empowering Law Enforcement to Combat Financial Fraud Act.

2.

Definitions

In this Act:(1)

Eligible Federal grant funds

The term eligible Federal grant funds means funds received under the following:(A)The Department of Justice Economic, High-Technology, White Collar, and Internet Crime Prevention National Training and Technical Assistance Program.(B)The Department of Justice Information Sharing Training and Technical Assistance Program.(C)The Department of Justice Internet of Things National Training and Technical Assistance Program.(D)Section 1401 of the Violence Against Women Act Reauthorization Act of 2022 (34 U.S.C. 30107; relating to Local Law Enforcement Grants for Enforcement of Cybercrimes Against Individuals).(E)Section 2220A of the Homeland Security Act of 2002 (6 U.S.C. 665g; relating to the State and Local Cybersecurity Grant Program).(F)The National Cybersecurity Preparedness Consortium Act of 2021 (6 U.S.C. 652 note; relating to the National Cybersecurity Preparedness Consortium).(G)The Department of Justice COPS Technology and Equipment Program.(2)

General financial fraud

The term general financial fraud means the intentional misrepresentation of information or identity to deceive others, the unlawful use of a credit card, debit card, or automated teller machine or the use of electronic means to transmit deceptive information, in order to obtain money or other things of value.(3)

Pig butchering

The term pig butchering means a confidence and investment fraud in which the victim is gradually lured into making increasing monetary contributions, generally in the form of cryptocurrency, to a seemingly sound investment before the scammer disappears with the contributed monies.(4)

Senior financial fraud

The term senior financial fraud means the illegal or improper use of an elderly or adult with a disability’s money, property, or other resources for monetary or personal benefit, profit, or gain.(5)

State

The term State means each of the several States, the District of Columbia, and each territory of the United States.

3.

Federal grants used for investigating senior financial fraud, pig butchering, and general financial fraud

(a)

In general

State, local, and Tribal law enforcement agencies that receive eligible Federal grant funds may use such funds for investigating senior financial fraud, pig butchering, and general financial fraud, including by—(1)hiring and retaining analysts, agents, experts, and other personnel;(2)providing training specific to complex financial investigations, including training on—(A)coordination and collaboration between State, local, Tribal, and Federal law enforcement agencies;(B)assisting victims of financial fraud and exploitation;(C)the use of blockchain intelligence tools and related capabilities related to emerging technologies identified in the February 2024 Critical and Emerging Technology List Update of the Fast Track Action Subcommittee on Critical and Emerging Technologies of the National Science and Technology Council (the Critical and Emerging Technology List); and(D)unique aspects of fraud investigations, including transnational financial investigations and emerging technologies identified in the Critical and Emerging Technology List;(3)obtaining software and technical tools to conduct financial fraud and exploitation investigations; and(4)encouraging improved data collection and reporting.(b)

Report To grant provider

Each law enforcement agency that makes use of eligible Federal grant funds for a purpose specified under subsection (a) shall, not later than 1 year after making such use of the funds, issue a report to the Federal agency that provided the eligible Federal grant funds, containing—(1)an explanation of the amount of funds so used, and the specific purpose for which the funds were used;(2)statistics with respect to senior financial fraud, pig butchering, and general financial fraud in the jurisdiction of the law enforcement agency, along with an analysis of how the use of the funds for a purpose specified under subsection (a) affected such statistics; and(3)an assessment of the ability of the law enforcement agency to deter senior financial fraud, pig butchering, and general financial fraud.

4.

Report to Congress

Each Federal agency that provides eligible Federal grant funds that are used for a purpose specified under section 3(a) shall issue an annual report to the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate containing the information received from law enforcement agencies under section 3(b).

5.

Federal law enforcement agencies assisting State, local, and tribal law enforcement and fusion centers

Federal law enforcement agencies may assist State, local, and Tribal law enforcement agencies and fusion centers in the use of tracing tools for blockchain and related technology tools.