House Passes Bill to Create Senior Fraud Task Force

The full House passed late Monday H.R. 2593, the Senior Security Act of 2023, which requires the Securities and Exchange Commission to set up a Senior Investor Task Force to protect senior investors from fraud.

“Unfortunately, far too many of our seniors have had their hard-earned retirement savings stolen right out from under them when a scammer calls or shows up at their door,” Rep. Josh Gottheimer, R-N.J., said after the bill’s passage. “Millions of seniors across the country, including my own mother, have been the victims of financial scams, and far too many have been cheated out of their retirement savings.”

Gottheimer said his bipartisan legislation takes on senior fraud and scams head on. “Senior scams cost older Americans more than $36 billion a year, often hitting their retirement nest eggs,” he said.

Senior scams have more than doubled since 2020, Gottheimer continued. “Unfortunately, only one in every 42 cases of elder exploitation actually gets reported.”

Companion legislation has been introduced in the Senate by Kyrsten Sinema, I-Ariz., and Susan Collins, R-Maine.

The task force at the SEC, Gottheimer explained, will, among other duties, identify challenges that senior investors encounter, including problems associated with financial exploitation and cognitive decline. The group will also consult, as appropriate, with state securities and law enforcement authorities, state insurance regulators and other federal agencies as well as coordinate with other SEC divisions.

The taskforce is also charged with submitting a biennial report to Congress.