Senate blocks Moody anti-fraud division bill

Senate effort blocked

Senate Democrats blocked Florida Sen. Ashley Moody’s effort this week to pass the National Fraud Enforcement Division Act on the Senate floor. Moody filed the Senate measure one day after corresponding legislation passed the U.S. House.

The bill would put the administration’s existing anti-fraud enforcement division into federal law by formally creating a National Fraud Enforcement Division within the U.S. Department of Justice. Its stated purpose is to investigate and prosecute people who improperly obtain taxpayer money.

Moody criticized the move after the floor action, saying fighting fraud and protecting taxpayer funds should receive support from every senator. The administration has reported identifying more than billion in fraud nationwide.

Moody’s other fraud proposals

Moody serves on the Senate Anti-Fraud Task Force, a congressional oversight group focused on weaknesses in federal programs, stolen federal money and possible accountability measures.

She has introduced or supported several other proposals dealing with financial fraud and consumer scams. Those measures address retail gift-card fraud, crashes deliberately staged with commercial trucks, alleged fraud involving federal child care programs, scams targeting older adults and health care fraud penalties.

Other legislation associated with Moody would address federal financial-aid applications filed under stolen identities, permit citizenship revocation for people naturalized through fraud and seek federal savings through fraud recovery. The National Fraud Enforcement Division Act is the measure affected by this week’s Senate floor action.