[Congressional Record Volume 148, Number 72 (Wednesday, June 5, 2002)]
[Senate]
[Pages S5055-S5056]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                  STATEMENTS ON SUBMITTED RESOLUTIONS

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SENATE RESOLUTION 281--DESIGNATING THE WEEK BEGINNING AUGUST 25, 2002, 
      AS ``NATIONAL FRAUD AGAINST SENIOR CITIZENS AWARENESS WEEK''

  Mr. LEVIN (for himself, Ms. Collins, Mrs. Clinton, Ms. Cantwell, Mr. 
Bayh, Mr. Corzine, Mr. Specter, Mr. Smith of Oregon, Mr. Inouye, Ms. 
Landrieu, Mr. Breaux, Mr. Torricelli, Mr. Bunning, Mr. Akaka, Mr. 
Hagel, Mr. Craig, Mr. DeWine, Mr. Durbin, and Mr. Campbell) submitted 
the following resolution; which was referred to the Committee on the 
Judiciary:

                              S. Res. 281

       Whereas perpetrators of mail, telemarketing, and Internet 
     fraud frequently target their schemes at senior citizens 
     because seniors are often vulnerable and trusting people;
       Whereas, as victims of such schemes, many senior citizens 
     have been robbed of their hard-earned life savings and 
     frequently pay an emotional cost, losing not only their 
     money, but also their self-respect and dignity;
       Whereas perpetrators of fraudulent schemes against American 
     seniors often operate outside the United States, reaching 
     their victims through the mail, telephone lines, and the 
     Internet;
       Whereas the Deceptive Mail Prevention and Enforcement Act 
     increased the power of the United States Postal Service to 
     protect consumers against those who use deceptive mailings 
     featuring games of chance, sweepstakes, skill contests, and 
     facsimile checks;
       Whereas the Postal Inspection Service responded to 66,000 
     mail fraud complaints, arrested 1,691 mail fraud offenders, 
     convicted 1,477 such offenders, and initiated 642 civil or 
     administrative actions in fiscal year 2001;
       Whereas mail fraud investigations by the Postal Inspection 
     Service in fiscal year 2001 resulted in over $1,200,000,000 
     in court-ordered and voluntary restitution payments;
       Whereas the Postal Inspection Service, in an effort to curb 
     cross-border fraud, is involved in 3 major fraud task forces 
     with law enforcement officials in Canada, namely, Project 
     Colt in Montreal, The Strategic Partnership in Toronto, and 
     Project Emptor in Vancouver;
       Whereas consumer awareness is the best protection from 
     fraudulent schemes; and
       Whereas it is vital to increase public awareness of the 
     enormous impact that fraud has on senior citizens in the 
     United States, and to educate the public, senior citizens, 
     their families, and their caregivers about the signs of 
     fraudulent activities and how to report suspected fraudulent 
     activities to the appropriate authorities: Now, therefore, be 
     it
       Resolved, That the Senate--
       (1) designates the week beginning August 25, 2002, as 
     ``National Fraud Against Senior Citizens Awareness Week''; 
     and
       (2) requests the President to issue a proclamation calling 
     on the people of the United States to observe the week with 
     appropriate activities and programs to--
       (A) prevent the purveyors of fraud from victimizing senior 
     citizens in the United States; and
       (B) educate and inform the public, senior citizens, their 
     families, and their caregivers about fraud perpetrated 
     through mail, telemarketing, and the Internet.

  Mr. LEVIN. Mr. President, I rise today to submit a resolution 
designating the week beginning August 25, 2002, as ``National Fraud 
Against Senior Citizens Awareness Week.'' This legislation will bring 
increased awareness to mail, Internet and telemarketing schemes that 
frequently target elderly Americans. These schemes rob America's 
seniors not only of their hard-earned savings, but also of their self 
respect and dignity. Recognizing that increased awareness, especially 
on the part of seniors, their families and caregivers, is the best 
defense, this resolution highlights the efforts being made to protect 
our nation's elderly.
  Last June, the Permanent Subcommittee on Investigations held two days 
of hearings that focused on the growing problem of Internet, mail and 
telemarketing fraud. The Subcommittee found that in this age of 
international communications, foreign countries have unfortunately 
become a major point of origin for lottery, sweepstakes, and advance-
fee-for-loan scams that prey upon Americans through telemarketing. 
Worse yet, the Subcommittee found that such schemes often specifically 
target the elderly, who are often the most vulnerable and least able to 
afford being defrauded.
  Last year, alone, the U.S. Postal Inspection Service, USPIS, 
responded to 66,000 mail fraud complaints, arrested nearly 1700 mail 
fraud offenders, and convicted nearly 1500 such offenders. Moreover, 
mail fraud investigations resulted in over $1.2 billion in court-
ordered restitution and voluntary restitution payments.
  The USPIS has joined with the Senior Action Coalition, a grassroots 
multi-agency organization, to develop a national multi-media fraud 
prevention campaign. The campaign will include public service 
announcements as well as newspaper advertisements, mailing inserts and 
poster displays. Designating National Fraud Against Senior Citizen 
Awareness Week will highlight these efforts and help reach a wide 
segment of the elderly population and those who care for them.
  I would like to thank Senator Susan Collins for cosponsoring this 
legislation as well as all of the other original cosponsors. I hope the 
rest of my colleagues will consider cosponsoring this resolution and 
that we can enact it well before the August recess so we can 
commemorate the week for the first time this year.
  Ms. COLLINS. Mr. President, I join Senator Levin in submitting a 
resolution that will designate the week of August 25, 2002, as National 
Fraud Against Senior Citizens Awareness Week. This designation of this 
week will increase public awareness of mail, Internet and telemarketing 
schemes that target elderly Americans. It is through increased 
awareness on the part of seniors, their families, and their caregivers 
that such schemes, which rob seniors not only of their hard-earned 
savings but of their dignity and self respect, can best be prevented.
  This kind of fraud, unfortunately, is pervasive. Last year alone, the 
U.S. Postal Inspection Service responded to 66,000 mail fraud 
complaints, arrested nearly 1,700 mail fraud offenders, and secured 
nearly 1,500 convictions.
  The elderly are often especially vulnerable, and they are frequently 
among the least able to afford being defrauded. The AARP, the National 
Association of Attorneys General, and the Federal Trade Commission have 
estimated that 85 percent of the victims of telemarketing fraud are age 
65 or older.

[[Page S5056]]

During hearings of the Permanent Subcommittee on Investigations that I 
chaired last June on mail, Internet and telemarketing fraud, several 
elderly witnesses testified about how they had been defrauded of 
thousands of dollars and the resulting hardships caused by the loss of 
their life savings.
  Mrs. Ann Hersom of Acton, for example, testified that her 80-year-old 
husband, formerly a successful businessman, had fallen prey to devious 
telemarketers and clever mail solicitations. She estimated that he lost 
$20,000 to these schemes, and described how devastating these losses 
had been to their family.
  The telemarketing fraud industry is a highly mobile, sophisticated 
racket that very often involves ``boiler rooms'' in which hundreds of 
people make high pressure calls, sometimes 16 hours a day, seven days a 
week. These fraudulent telemarketers often gear their pitches to 
elderly citizens living alone and fearful of not having sufficient 
funds for their remaining years. In fact, it appears that some 
unscrupulous telemarketers may select their elderly victims by using 
lists to target those who have recently placed a spouse in a nursing 
home. Thus, the friendship and compassion these telemarketers appear to 
offer come when the elderly are particularly vulnerable to such 
enticements.
  Foreign countries have unfortunately become a source of entry for 
lottery, sweepstakes and advance-fee-for-loan scams that prey upon 
Americans through direct mail and telemarketing. According to Federal 
Trade Commission figures, U.S. consumers filed nearly 13,000 complaints 
against foreign companies during calendar year 2001. Similarly, the 
dollar value of losses reported by consumers against these companies is 
nearly $25 million. In the first quarter of 2002, U.S. consumers have 
filed nearly 7,000 complaints against foreign companies.
  How do we fight such fraud? The first line of defense against mail, 
Internet and telemarketing fraud is to promote public awareness of the 
dangers of such crimes, the types of schemes in which criminals are 
likely to engage, and what consumers can do to report fraudulent 
overtures and help law enforcement officials catch up with the con 
artists.
  National Fraud Against Senior Citizens Week is designed to do just 
that. During the week of August 25, 2002, the U.S. Postal Inspection 
Service, together with the Senior Action Coalition, a grassroots multi-
agency organization based in Pittsburgh, will launch a national multi-
media fraud prevention campaign. The campaign will be kicked off with 
events in Washington, DC, Maine, and elsewhere.
  The campaign will include radio and television public service 
announcements by national spokesperson Betty White. On Sunday, August 
25, announcements in newspapers will run in the 13 states that recorded 
the most complaints of fraud by seniors, including Maine. Poster 
displays highlighting the problem and what seniors and their caregivers 
can do to protect themselves and report fraud will be displayed in post 
office lobbies and other public areas, and mailers are planned to be 
sent to seniors. Designating National Fraud Against Senior Citizens 
Awareness Week will help reach a wide segment of America's elderly and 
those who care for them with the time-honored advice of: ``If it sounds 
too good to be true, it probably is too good to be true.''

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