[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2978 Engrossed in House (EH)]
<DOC>
119th CONGRESS
2d Session
H. R. 2978
_______________________________________________________________________
AN ACT
To permit State, local, and Tribal law enforcement agencies that
receive eligible Federal grant funds to use such funds for
investigating elder 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.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Guarding Unprotected Aging Retirees
from Deception Act of 2026'' or the ``GUARD Act of 2026''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Elder financial fraud.--The term ``elder financial
fraud'' means the illegal or improper use of the money,
property, or other resources of an elderly individual or adult
with a disability for monetary or personal benefit, profit, or
gain.
(2) Eligible federal grant funds.--The term ``eligible
Federal grant funds'' means funds received under any of the
following:
(A) Title IV of the Prioritizing Resources and
Organization for Intellectual Property Act of 2008 (34
U.S.C. 30103 et seq.) (commonly known as the
``Economic, High-Technology, White Collar, and Internet
Crime Prevention National Training and Technical
Assistance Program''), including relating to the use of
technology to solve crimes and to facilitate
prosecutions (commonly known as the ``Internet of
Things (IoT) National Training and Technical Assistance
Program'').
(B) Title 28, Code of Federal Regulations, part 23
(commonly known as ``Justice Information Sharing
Training and Technical Assistance Program'').
(C) Section 1401 of the Violence Against Women Act
Reauthorization Act of 2022 (34 U.S.C. 30107) to a
local law enforcement agency for enforcement of
cybercrimes against individuals.
(D) Section 1701 title I of the Omnibus Crime
Control and Safe Streets Act of 1968 (34 U.S.C. 10381),
relating to developing and acquiring effective
equipment, technologies, and interoperable
communications that assist in responding to and
preventing crime (commonly known as the ``COPS
Technology and Equipment Program'').
(3) General financial fraud.--The term ``general financial
fraud'' means, in order to obtain money or other things of
value--
(A) intentional misrepresentation of information or
identity to deceive an individual;
(B) unlawful use of a credit card, debit card, or
automated teller machine; or
(C) use of electronic means to transmit deceptive
information.
(4) 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.
(5) Scam.--The term ``scam'' means a financial crime
undertaken through the use of social engineering that uses
deceptive inducement to acquire--
(A) authorized access to funds; or
(B) personal or sensitive information that can
facilitate the theft of financial assets.
(6) State.--The term ``State'' means each of the several
States, the District of Columbia, and each territory of the
United States.
SEC. 3. FEDERAL GRANTS USED FOR INVESTIGATING ELDER FINANCIAL FRAUD,
PIG BUTCHERING, AND GENERAL FINANCIAL FRAUD.
(a) In General.--State, local, and Tribal law enforcement agencies
and grantees that receive eligible Federal grant funds may use such
funds for investigating elder 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 relating 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;
(4) encouraging improved data collection and reporting;
(5) supporting training and tabletop exercises to enhance
coordination and communication between financial institutions
and State, local, Tribal, and Federal law enforcement agencies
for the purpose of stopping fraud and scams; and
(6) designating a financial sector liaison to serve as a
point of contact for financial institutions to share and
exchange with State, local, Tribal, and Federal law enforcement
agencies information relevant to the investigation of fraud and
scams.
(b) Report to Grant Provider.--Each law enforcement agency and
grantee 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, submit to the Federal agency that
provided the eligible Federal grant funds, a report 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 elder 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 elder financial fraud, pig butchering, and
general financial fraud.
SEC. 4. REPORT ON GENERAL FINANCIAL FRAUD, PIG BUTCHERING, AND ELDER
FINANCIAL FRAUD.
No later than a year after the date of the enactment of this Act,
the Secretary of the Treasury, acting through the Director of the
Financial Crimes Enforcement Network, and in consultation with the
Attorney General, the Secretary of Homeland Security, and the
appropriate Federal banking agencies and Federal functional regulators,
shall submit to Congress a report on efforts to combat general
financial fraud, pig butchering, elder financial fraud, and scams,
including an evaluation of, and any legislative recommendations to
improve, the efficacy of the efforts.
SEC. 5. REPORT ON THE STATE OF SCAMS IN THE UNITED STATES.
Not later than 2 years after the date of enactment of this Act, and
two years thereafter, the Secretary of the Treasury, acting through the
Director of the Financial Crimes Enforcement Network, shall submit a
report to Congress on the state of financial fraud, pig butchering,
elder financial fraud, and scams, based on information available to the
Financial Crimes Enforcement Network, that--
(1) relies on information reported to or otherwise
available to the Financial Crimes Enforcement Network;
(2) analyzes trends in suspected financial fraud, pig
butchering, elder financial fraud, and scams, as reflected in
reports filed under subchapter II of chapter 53 of title 31,
United States Code (commonly referred to as the ``Bank Secrecy
Act''), including--
(A) the volume of relevant reports;
(B) the aggregate dollar amount associated with the
reports;
(C) typologies and methods identified through the
reports; and
(D) the role of digital assets in the reports; and
(3) summarizes activities conducted in cooperation with law
enforcement, including the Rapid Response Program, during the
period covered by the report, including--
(A) the number of referrals received from law
enforcement;
(B) the aggregate dollar amount of funds for which
interdiction was sought;
(C) the aggregate dollar amount of funds
successfully interdicted or recovered; and
(D) any limitations affecting the activities,
including limitations arising from reliance on law
enforcement referrals.
SEC. 6. 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 Banking, Housing, and Urban Affairs
of the Senate, the Committee on Financial Services of the House of
Representatives, the Committee on the Judiciary of the Senate, and the
Committee on the Judiciary of the House of Representatives containing
the information received from law enforcement agencies under section
3(b).
SEC. 7. 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.
Passed the House of Representatives September 15, 2026.
Attest:
Clerk.
119th CONGRESS
2d Session
H. R. 2978
_______________________________________________________________________
AN ACT
To permit State, local, and Tribal law enforcement agencies that
receive eligible Federal grant funds to use such funds for
investigating elder 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.