[Congressional Record Volume 164, Number 45 (Wednesday, March 14, 2018)]
[House]
[Pages H1570-H1573]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




             PREVENTING CRIMES AGAINST VETERANS ACT OF 2017

  Mr. ISSA. Mr. Speaker, I move to suspend the rules and pass the bill 
(H.R. 506) to amend title 18, United States Code, to provide an 
additional tool to prevent certain frauds against veterans, and for 
other purposes, as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                                H.R. 506

       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 ``Preventing Crimes Against 
     Veterans Act of 2017''.

     SEC. 2. ADDITIONAL TOOL TO PREVENT CERTAIN FRAUDS AGAINST 
                   VETERANS.

       (a) In General.--Chapter 63 of title 18, United States 
     Code, is amended by adding at the end the following:

     ``Sec. 1352. Fraud regarding veterans' benefits

       ``(a) Whoever knowingly executes, or attempts to execute, 
     any scheme or artifice to defraud an

[[Page H1571]]

     individual of veterans' benefits, or in connection with 
     obtaining veteran's benefits for that individual, shall be 
     fined under this title, imprisoned not more than five years, 
     or both.
       ``(b) In this section--
       ``(1) the term `veteran' has the meaning given that term in 
     section 101 of title 38; and
       ``(2) the term `veterans' benefits' means any benefit 
     provided by Federal law for a veteran or a dependent or 
     survivor of a veteran.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of chapter 63 of title 18, United States Code, is 
     amended by adding at the end the following new item:

``1352. Fraud regarding veterans' benefits.''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
California (Mr. Issa) and the gentlewoman from Texas (Ms. Jackson Lee) 
each will control 20 minutes.
  The Chair recognizes the gentleman from California.


                             General Leave

  Mr. ISSA. Mr. Speaker, I ask unanimous consent that all Members have 
5 legislative days within which to revise and extend their remarks and 
to include extraneous material on H.R. 506, currently under 
consideration.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from California?
  There was no objection.
  Mr. ISSA. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, the Preventing Crimes Against Veterans Act of 2017 
closes a small but significant loophole in Federal law and, in so 
doing, gives Federal prosecutors an additional mechanism to protect 
veterans from criminals who seek to defraud them.
  In recent years, we have heard distressing and infuriating stories 
about particularly elderly veterans being swindled out of their 
veterans' benefits. Some of these veterans, including those in low-
income housing, have been deceived by fraudsters who, in fact, have 
preyed on their age and infirmity.
  Helping veterans in this case certainly should be a priority in this 
Congress.
  This is particularly insidious in that, in some cases, the criminal 
will claim to get a veteran's benefits approved in record time, will 
charge outrageous fees to file, and, ultimately, will provide the 
veteran with little or no assistance. They will just pocket the money 
that rightfully belongs to the elderly veteran.
  Mr. Speaker, this change in the law is critical. I want to thank Mr. 
Tom Rooney, the author of the bill. I want to urge that we consider it 
quickly, close this loophole, and provide prosecutors with the kind of 
ability to protect our aging veterans in a way that is currently not 
available.
  Mr. Speaker, I reserve the balance of my time.
  Ms. JACKSON LEE. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, the Preventing Crimes Against Veterans Act of 2017 would 
make it a crime to knowingly engage in any scheme to defraud a veteran 
or his or her dependents of veterans' benefits. This legislation 
provides an important, additional tool for Federal prosecutors to use 
to combat veterans' benefits fraud.
  Because we honor the service of our brave men and women, and because 
of the sacrifices our veterans have made for us, it is particularly 
important that we protect them from fraud and ensure the integrity of 
the benefit system we provide.
  According to a 2016 AARP study of investment fraud victims, it shows 
that while veterans are less than 10 percent of the U.S. population, 
they were one-third, 33 percent, of the victims of investment fraud 
because their money is certain. A recent Federal Trade Commission's 
Consumer Sentinel program reveals that the number of complaints filed 
by military veterans each year has increased by 63 percent over the 
past 5 years.
  Recently, my State of Texas highlighted these issues in an article 
which reported that several disabled veterans were unable to receive 
their benefits via direct deposit. Investigation revealed a number of 
veterans did not receive their VA disability compensation checks due to 
the theft that occurred by way of perpetrators rerouting veterans' 
benefits to virtual banks.
  Veterans are the targets of many of the same types of fraudulent 
activities as the rest of society, including mail, telephone, and 
online fraud. They are more victimized by fraud than nonveterans, and 
have lost money to scams 16 percent more than nonveterans during the 
past 5 years.
  Nearly 78 percent of veterans report having been a target of veteran-
specific scams, such as approving a VA loan, taking advantage of 
little-known government programs for vets, or paying for a back, knee, 
or arm brace because of one's military service. Nearly 22 percent of 
veterans report receiving 10 or more suspicious phone calls per week. 
Nearly all veterans, 97 percent, have received at least one scam 
attempt in the past 5 years.
  We hope we can stop this.
  Currently, there are about 21 million veterans--and more upcoming--of 
the United States military. These are men and women who selflessly 
served our Nation and in the theaters of war, from the Second World 
War, Korea, and Vietnam, to more recent conflicts in Iraq and 
Afghanistan. As I indicated, our veterans will continue to grow and be 
vulnerable to scams.
  Unfortunately, many of our veterans, as a result of their service, 
have physical and mental scars. There are well over 1 million American 
veterans with service-connected disabilities. It was my privilege to 
institute a PTSD center in my own district supported by the late 
Congressman Murtha.
  In addition, veterans are more likely than nonveterans to become 
homeless. They comprise 17 percent of our homeless population, even 
though many of them are eligible for veterans' benefits. On any given 
night, an estimated 50,000 veterans are sleeping on America's streets.
  In recognition of the extreme sacrifice by our veterans and the 
hardships many of them continue to face after their military service, 
it is our duty to provide, to the best of our ability, an appropriate 
measure of compensation for them, particularly those in need.
  For instance, we provide disability payments to those with service-
connected disabilities, pensions for veterans with limited incomes, 
education and training under the GI Bill, and also various life 
insurance benefits.
  This is the least we can do, and it is still not enough. There 
continues to be issues with the medical care we provide our veterans 
and problems about some benefits never being processed and paid because 
of the loss of claims by the Veterans Benefits Administration.
  That is why we must prohibit any schemes to defraud a veteran of his 
or her veteran's benefits. Anyone convicted of such crime could be 
fined, imprisoned, or be subject to both penalties. Those who defraud 
veterans or their surviving spouses or dependents endanger our system 
of veterans' benefits not only by harming the victims, but also by 
diminishing resources required to pay the claims and fund the programs 
that are needed to help those who have served their country have a 
decent quality of life.
  Accordingly, I support H.R. 506. I commend the bill's sponsors, 
Representative Tom Rooney and Representative Ted Deutch, for their work 
on this important issue.
  Mr. Speaker, I am pleased to support H.R. 506, the ``Preventing 
Crimes Against Veterans Act of 2017,'' which would make it a crime to 
knowingly engage in any scheme to defraud a veteran or his dependents 
of veteran's benefits. This legislation provides an important, 
additional tool for federal prosecutors to use to combat veterans' 
benefits fraud.
  Because we honor the service of our brave men and women, and because 
of the sacrifices our veterans have made for us, it is particularly 
important that we protect them from fraud and ensure the integrity of 
the benefit system we provide.
  According to a 2016 AARP study of investment fraud victims, it showed 
that while veterans are less than 10% of the U.S. population, they were 
one third (33%) of the victims of investment fraud. A recent Federal 
Trade Commission's Consumer Sentinel program reveals that the number of 
complaints filed by military veterans each year has increased by 63% 
over the past five years.
  Recently, my state of Texas highlighted these issues in an article, 
which reported that several disabled veterans were unable to receive 
their benefits via direct deposit. Investigation revealed that a number 
of veterans did not receive their VA disability compensation checks, 
due to the theft that occurred by way of perpetrators re-routing 
veterans' benefits to virtual banks.
  Veterans are the targets of many of the same types of fraudulent 
activities as the rest of society, including mail, telephone and online

[[Page H1572]]

fraud. They are more victimized by fraud than nonveterans and have lost 
money to scams (16%) than nonveterans during the past five years.
  Nearly (78%) of veterans report having been a target of veteran-
specific scams, such as improving a VA loan, taking advantage of 
little-known government programs for vets or paying for a back, knee or 
arm brace because of one's military service. Nearly (22%) of veterans 
report receiving 10 or more suspicious phone calls per week. Nearly all 
veterans (97%) have received at least one scam attempt in the past five 
years.
  Currently, there are about 21 million veterans of the United States 
military--men and women who selflessly served our Nation and in 
theaters of war, from the Second World War, Korea, and Vietnam to more 
recent conflicts in Iraq and Afghanistan.
  Unfortunately, many of our veterans--as a result of their service--
have physical and mental scars. There are well over 1 million American 
veterans with service-connected disabilities.
  In addition, veterans are more likely than non-veterans to become 
homeless. They comprise 17% of our homeless population. On any given 
night, an estimated 50,000 veterans are sleeping on America's streets.
  In recognition of the extreme sacrifice by our veterans and the 
hardships many of them continue to face after their military service, 
it is our duty to provide, to the best of our ability, an appropriate 
measure of compensation for them, particularly for those in need.
  For instance, we provide disability payments to those with service-
connected disabilities, pensions for veterans with limited incomes, 
education and training under the GI Bill, and also various life 
insurance benefits.
  This is the least we can do and it is still not enough. There 
continue to be issues with the medical care we provide our veterans, 
and problems about some benefits never being processed and paid because 
of the loss of claims by the Veterans Benefits Administration.
  That is why we must prohibit any schemes to defraud a veteran of his 
or her veteran's benefits. Anyone convicted of such crime could be 
fined, imprisoned, or be subject to both penalties.
  Those who defraud veterans, or their surviving spouses or dependents, 
endanger our system of veterans' benefits not only by harming the 
victims, but also by diminishing resources required to pay the claims 
and fund the programs that are needed to help those who have served 
their country.
  Accordingly, I support H.R. 506 and I commend the bill's sponsors, 
Representative Tom Rooney and Representative Ted Deutch, for their work 
on this important issue.
  Mr. Speaker, we must do everything we can to protect our Veterans who 
have given so much of themselves to keep us all safe. We must ensure 
that the benefits they have earned are safeguarded against criminal 
acts.
  We ask our veterans to lay their lives on the line so that we can 
enjoy the freedom, which is at the heart of this great country. We owe 
them much. Surely we can and should repay our gratitude whenever we 
can.
  Protecting their veterans' benefits is one way of expressing our 
appreciation, and it is the right and just thing to do.
  For reasons, I urge my colleagues to join me in supporting this bill.
  Mr. Speaker, I reserve the balance of my time.
  Mr. ISSA. Mr. Speaker, I yield such time as he may consume to the 
gentleman from Florida (Mr. Thomas J. Rooney), who is the author of the 
bill.
  Mr. THOMAS J. ROONEY of Florida. Mr. Speaker, my district is home to 
over 75,000 veterans, and I am proud to represent an area that has one 
of the highest concentrations of veterans in the country.
  With that distinction comes a duty to fight on their behalf to ensure 
that the VA is functioning and funded at levels deserving of their 
sacrifice. As a member of the Committee on Appropriations Subcommittee 
on Military Construction, Veterans Affairs, and Related Agencies, I am 
proud that we have secured increases in funding for VA programs that 
are important to my constituents.
  On a daily basis, my staff and Members of Congress' staff across this 
country try to help veterans navigate the VA bureaucracy. It is no 
secret that the claims process at the VA is far too slow, so we all try 
to help veterans with their claims and expedite the process when 
possible. We have won countless battles against the system, and we have 
helped constituents far and wide to get the care and benefits they 
deserve.
  One of our responsibilities as Members of Congress is to listen to 
these veterans when they tell us there is still more work to be done to 
help fix the system. In 2016, a group of veterans brought a disturbing 
problem to my attention concerning individuals who were deliberately 
stealing money from veterans and the VA without fear of criminal 
punishment. I started to hear story after story about people 
advertising their so-called services to veterans, claiming that, for a 
fee, they can help veterans obtain certain VA benefits or expedite 
existing claims with the VA.

                              {time}  1530

  There are two problems with this. Number one, it is illegal for 
anyone who isn't approved by the VA to charge fees for helping veterans 
with their claims or appeals; and two, often times these promises of 
assistance are empty and never followed through with. Unfortunately, 
there are no penalties for breaking this law.
  One local VSO explained to me at length how these scammers 
specifically target senior veterans in low-income housing communities, 
almost as a rule, because they consider those veterans to be the most 
vulnerable and most likely to fall victim to their schemes. I have 
heard countless accounts of these con artists going into assisted 
living facilities, rounding up all the veterans and coercing them all 
to apply for benefits they don't even qualify for.
  When I hear people are taking advantage of these heroes and making a 
quick buck off of them, it makes me sick, as I am sure it makes all of 
us sick, because it is wrong and it needs to stop.
  The reality is that this isn't just happening in my backyard. It is 
happening in every one of our districts. These con artists are getting 
away with it. I refuse to let this fraudulent scheme against some of 
the most respectable people in our Nation continue.
  Without a Federal criminal penalty, we have been unable to prevent 
these financial predators from preying on our veterans and defrauding 
the VA.
  My friend and fellow Congressman, Democrat Ted Deutch from south 
Florida, joined me in introducing this bipartisan bill to penalize 
these scammers who make their living stealing from our veterans. Our 
bill would give prosecutors and law enforcement the tools they need to 
appropriately penalize these predators by imposing a hefty fine, 
imprisoning them for up to 5 years, or both.
  I urge my colleagues to join me in support of this commonsense, 
bipartisan bill, and I hope that the Senate will act quickly to send it 
to the President's desk.
  These criminals need to pay the price for these actions. Our veterans 
have done everything to protect us and our way of life. Now it is our 
duty in Congress to make sure that they are protected as well.
  Ms. JACKSON LEE. Mr. Speaker, I yield 2 minutes to the distinguished 
gentleman from Florida (Mr. Deutch), the coauthor of this legislation.
  Mr. DEUTCH. Mr. Speaker, I thank my friend from Texas for yielding.
  Mr. Speaker, many veterans face extraordinary obstacles when they 
return home, especially in retirement.
  Too often, one of the obstacles to a safe and secure retirement for 
our veterans are so-called pension poachers. These are people who 
create high-pressure sales pitches that directly target older veterans. 
They make big promises, knowing they have no intention of ever 
delivering on them.
  These are criminals who not only prey on our veterans, they prey on 
every American taxpayer who wants to do right by those who have served 
our country. They prey on the fact that we try to take good care of our 
veterans. They try to do it for financial gain. It is despicable, and 
we need to take action to stop it and make them pay for it. It is our 
job to ensure that they can't get away with it.
  That is why I am proud to have partnered with my colleague, fellow 
Floridian, a veteran and my friend, Mr. Rooney, to draft the Preventing 
Crimes Against Veterans Act. This bill will give Federal prosecutors 
the tools they need to target criminals who actively work to avoid 
current mail and wire fraud statutes, all while targeting our veterans. 
It is time to crack down on pension poachers and fraudsters.
  I am thankful for Chairman Goodlatte, Ranking Member Nadler, and my 
Judiciary colleagues for their support in helping to get this bill to 
the

[[Page H1573]]

floor. I thank every Member of this House who voted unanimously to pass 
this legislation in the last Congress.
  Finally, I would like to thank Veterans Service Officer Greg Dover 
from Palm Beach County, Florida, who has helped to alert my office of 
these schemes and has worked tirelessly on behalf of our veterans to 
stand up for their rights and the benefits they deserve.
  I ask all of my colleagues to support our veterans and to vote 
``yes'' on the Preventing Crimes Against Veterans Act.
  Ms. JACKSON LEE. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, H.R. 506 creates a new section, 1352, in chapter 63, 
title 18, to penalize fraudsters that knowingly execute or attempt to 
execute a scheme or artifice to defraud a veteran of his or her 
benefits--that is a dastardly act--or in connection with obtaining that 
veteran's benefits by imposing a fine, imprisonment of up to 5 years, 
or both.
  Under current law, you can be an agent or attorney and meet certain 
standards and you can help a veteran. But there are many who were not 
licensed, not connected, or had the approval of various States or local 
governments, and they were fraudulently taking precious resources from 
our veterans. There was no criminal or financial penalty for breaking 
the law.
  So, H.R. 506 provides that penalty because, in recent years, 
financial predators across the country have targeted easy targets, who 
are veterans. Many, as we have said, have been physically or mentally 
maimed in their service to this Nation. Many of them are also elderly 
and live in low-income housing.
  This bill is long in coming. I thank Mr. Rooney and Mr. Deutch, 
working with the members of the Judiciary Committee, for moving this 
legislation forward.

  We ask our veterans to lay their lives on the line so that we can 
enjoy freedom, which is at the heart of this great country. We owe them 
much. Surely, we can repay our gratitude whenever we can. Protecting 
their veterans' benefits is one way of expressing our appreciation, and 
it is the right and just thing to do.
  Mr. Speaker, for these reasons, I urge my colleagues to join me in 
supporting this legislation, and I yield back the balance of my time.
  Mr. ISSA. Mr. Speaker, I yield myself the balance of my time.
  Mr. Speaker, our Nation's veterans have sacrificed. They have given 
us so much. They have protected us.
  In his second inaugural address, President Lincoln reminded us of our 
solemn duty ``to care for him who shall have borne the battle and for 
his widow, and his orphan.''
  By doing this today, we keep that promise of so long ago: the promise 
to give back, as appropriate, and to protect that by giving back to the 
widows, the orphans, and the veterans themselves, because our values 
don't just say we write a check. We also protect to make sure that 
check gets to the true beneficiary. This enforcement will do just that.
  Mr. Speaker, I urge my colleagues to, on a bipartisan basis, which 
this bill has been from day one, support it and to move it to the 
Senate.
  Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from California (Mr. Issa) that the House suspend the rules 
and pass the bill, H.R. 506, as amended.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

                          ____________________