H.R.2978 - Guarding Unprotected Aging Retirees from Deception Act; GUARD Act (119th Congress)
Summary
H.R.2978, the GUARD Act, aims to combat elder financial fraud, pig butchering scams, and general financial fraud by allowing state, local, and tribal law enforcement agencies to use federal grant funds for investigation and prosecution. It also clarifies that federal law enforcement agencies can assist these entities with tracing tools for blockchain and related technologies. The bill mandates several reports to Congress on the state of scams and the use of grant funds.
Expected Effects
The bill is likely to enhance the ability of law enforcement agencies to investigate and prosecute financial fraud, particularly those targeting the elderly. It will also increase collaboration between federal, state, local, and tribal agencies. The reporting requirements will provide Congress with data to assess the effectiveness of these efforts and inform future policy decisions.
Potential Benefits
- Enhanced protection for elderly and vulnerable populations from financial fraud.
- Improved coordination and collaboration among law enforcement agencies at different levels.
- Increased availability of resources and training for investigating complex financial crimes.
- Better data collection and reporting on financial fraud trends.
- Strengthened partnerships between law enforcement and financial institutions to prevent and stop scams.
Potential Disadvantages
- Potential for increased government spending and administrative burden associated with reporting requirements.
- Risk of misuse or ineffective allocation of grant funds.
- Possible privacy concerns related to the use of blockchain tracing tools.
- The effectiveness of the bill depends on the actual implementation and enforcement by various agencies.
- May not address the root causes of financial fraud, such as lack of financial literacy.
Constitutional Alignment
The bill appears to align with the Constitution's general welfare clause (Preamble) by aiming to protect vulnerable citizens from financial exploitation. It also respects the principles of federalism by empowering state, local, and tribal law enforcement agencies. The emphasis on data collection and reporting could potentially raise Fourth Amendment concerns regarding unreasonable searches and seizures if not implemented carefully, but the bill itself does not directly violate any specific constitutional provision.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).