WASHINGTON––U.S. Senator John Boozman (R-AR) and fellow Senate Veterans’ Affairs Committee members Senators Mazie Hirono (D-HI), Tommy Tuberville (R-AL) and Ruben Gallego (D-AZ) introduced bipartisan legislation that permits the Veterans Benefits Administration (VBA) to remove burdensome red tape that can cause bureaucratic delays when reimbursing benefits to veterans who are victims of fraud.  

The Veteran Fraud Reimbursement Act would expedite benefits access for defrauded former servicemembers by waiving the requirement that the VBA completes a full internal negligence investigation and determination before restoration can occur.

“Disabled veterans who are victims of benefit fraud should not have to endure bureaucratic delays in order to receive reimbursement,” said Boozman. “Ensuring the VA has established protocols to reinstate the hard-earned benefits of those who have served is not only commonsense, but a critical part of strengthening the services veterans deserve, expect and rely on.”

“Our veterans have made the ultimate sacrifice in service to our country and if they are defrauded of the benefits they have earned, they should not have to deal with unnecessary hurdles in order to be made financially whole again,” said Hirono. “Due to the oversight in the VBA fiduciary program, some veterans are dying before they ever receive their reimbursements—that is unacceptable. That is why I am glad to join my colleagues in this bipartisan, bicameral push to support defrauded veterans and help ensure they get the benefits they deserve in a timely fashion.”

“We’d like to believe we live in a country where no one would take advantage of our veterans, but sadly it does happen,” said Tuberville. “This bill attempts to help right that wrong by ensuring veterans with disabilities are made financially whole if they are defrauded of their benefits. It’s my priority to find ways to make the government work better for our veterans, and this bill is a small step toward doing just that.”

“It’s unacceptable that the veterans who put their lives on the line for this country could be defrauded out of the benefits they earned. To make matters worse, right now, defrauded veterans often have to wait years before they get their money back. We owe it to them to cut the red tape and make sure they’re repaid quickly without having to jump through unnecessary bureaucratic hoops,” said Gallego.

In a July 2021 report, the VA Office of the Inspector General (OIG) highlighted the significant wait times defrauded veterans in the VA fiduciary program face due to the universal negligence determination requirement. The Veteran Fraud Reimbursement Act will right this wrong by allowing the VBA to conduct a statistically valid analysis of the misuse cases to determine the rate and nature of negligence on the part of the VBA. The negligence determination would ultimately become part of a quality assurance measure without delaying reimbursement to affected veterans.

Companion legislation was introduced in the House by U.S. Representatives by Gerry Connolly (D-VA-11) and Juan Ciscomani (R-AZ-06). 

The full text of the legislation is available here.