S. 2544: Guarding Unprotected Aging Retirees from Deception Act

This bill, known as the Guarding Unprotected Aging Retirees from Deception Act (or GUARD Act), aims to enhance the ability of law enforcement agencies at various levels—state, local, and tribal—to investigate and combat financial fraud targeting the elderly. Here’s a breakdown of its main components:

Key Provisions

• Investigation Funding: The bill permits state, local, and tribal law enforcement agencies, as well as certain grantees, to use federal grant money for investigating cases of elder financial fraud, a specific type of fraud called pig butchering, and general financial fraud. This funding can be used for:
  • Hiring necessary personnel (e.g., analysts and agents)
  • Providing specialized training for complex financial investigations
  • Acquiring software and tools for financial crime investigations
  • Encouraging better data collection and reporting
  • Enhancing coordination between financial institutions and law enforcement
  • Designating liaisons to facilitate information sharing
• Reporting Requirements: Law enforcement agencies that utilize these federal funds must submit a report within one year detailing:
  • The amount of funds used and their purposes
  • Statistics on related fraud cases within their jurisdiction
  • An assessment of their ability to deter fraud
• Comprehensive Reporting on Financial Fraud: Within one year of the act's enactment, the Secretary of the Treasury and other key authorities are required to submit a report to Congress that includes:
  • Estimates of the frequency and financial impact of financial fraud and scams
  • An overview of federal enforcement actions taken against fraud perpetrators
  • Identification of financial resources allocated to address fraud
  • Solicitation of public comment to gather input from various stakeholders
• Assistance with Tracing Tools: Federal agencies are allowed to assist state and local law enforcement in utilizing technological tracing tools, particularly those related to blockchain technology, to investigate financial fraud.

Definitions

The bill provides specific definitions for various terms, including:

• Elder Financial Fraud: The improper use of the financial resources of elderly individuals for illegal gain.
• Pig Butchering: A type of investment fraud where victims are gradually manipulated into investing larger amounts of money, typically in cryptocurrency, until the scammer disappears with their funds.
• General Financial Fraud: Includes a broad range of deceptive practices aimed at obtaining money or valuables from victims.

Relevant Companies

None found.