Hearings to examine made in China and paid by seniors, focusing on stopping the surge of international scams.
2026-01-14
Source: Congress.gov
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The U.S. Senate Special Committee on Aging will now come to order. Today, we're here to discuss a growing threat to American seniors and our families, the surge of international scams rooted in communist China and its regional criminal networks. Scams targeting seniors are stealing billions of dollars from hardworking Americans, and we here in Congress have a responsibility to confront them head on. The scope of this problem is staggering. In 2024, older Americans lost more than $4.8 billion to fraud, according to the FBI. These are retirees who spend decades working, saving, and planning for their futures, only to have their lives upended by monsters operating criminal networks overseas. As our committee's report, Age of Fraud, makes clear, these are not small-time criminals. These are highly organized, transnational enterprises, many of them directed or enabled by the Chinese Communist Party. We know how these groups work. They rely on Chinese platforms, Chinese payment channels, and scam compounds in Miramar, Cambodia, Laos, and elsewhere, compounds built and staffed by trafficked workers forced to carry out scams targeting our friends Americans. Not only is this a disgusting display of our national failures to protect human rights, dignity, and security, it's also another way communist China is undermining our country and targeting the American people. Beijing has allowed this criminal infrastructure to grow and thrive. No matter what you believe, indifference, lack of enforcement, or strategic tolerance, Communist China is the epicenter of the global scam industry that drains American savings and destabilizes families. I decided to make this the first hearing of the year to send a clear message that we will not tolerate any further inaction as the CCP seeks to hurt our seniors in what should be their golden years. Communist China and its criminal enterprise network must be stopped. We have common sense legislation ready to go that would make a real difference in combating scams and holding those responsible accountable. At the end of last year, Ranking Member Gillibrand and I, along with our fellow committee members, Senators Ashley Moody and Mark Kelly, introduced the National Strategy for Combating Scams Act.
This bill would finally require a coordinated, whole-of-government response to fight fraud. Recognizing that after billions upon billions of dollars are being lost every year, it's time we finally get federal, state, and private sector partners together under a unified strategy. I'm also proud that my Scam Compound Accountability and Mobilization Act was passed by the Senate last month. This bill would give the Treasury Department the authority to sanction scam compounds and the criminal networks behind them. Criminals shouldn't be free to hide behind foreign compounds, use Chinese infrastructure, and still access the U.S. financial system. Additionally, Ranking Member Gillibrand and I are also pushing for the GUARD Act. This bill strengthens penalties against criminals who target older Americans and gives law enforcement more tools to prevent these crimes. These three bills are bipartisan, they are common sense, and they are designed to protect the American people. It's time we all come together and get this legislation passed so we can stop the bleeding of American dollars to international criminals. Here's the reality. There isn't a person alive who isn't susceptible to communist China scams. They won't stop unless we do something. We cannot continue to sit idly by as these criminals harm Americans. Now is the time to take action to protect our seniors and every American. I look forward to a productive discussion today with our witnesses, and now I'd like to recognize ranking member Gillaram for opening statement.
Thank you, Chairman Scott, and thanks for calling today's hearing. Welcome, witnesses. I appreciate you all being here today. In recent years, scams targeting older adults have grown more sophisticated and widespread because of the rise of scam centers. Those centers are fueled by the labor of human trafficking victims and new developments in technology and the use of cryptocurrency. Older Americans everywhere are vulnerable to the rise of these scams, including my own constituents. For example, a senior in Jefferson County, New York, was convinced through a romance scam to withdraw most of his 401 funds and transfer the money into cryptocurrency. That is a loss that stings. It can derail retirement plans, pull apart families, and subject seniors to emotional and material harm. Unfortunately, victims can struggle to report scams due to the stigma and shame. Some communities may face additional barriers related to language or fear. This hearing focuses on transnational scams that are facilitated by Chinese criminal organizations. It is worth remembering that Asian immigrants, including many Chinese Americans, can be preferred targets for transnational scammers because of a common language and culture, as well as their familial ties to China. We must remember that international scams are worldwide, and this phenomenon requires robust and coordinated prevention, enforcement, and protection efforts. One positive development has taken place in New York. The state's Department of Aging and the Association on Aging in New York and the Silver Shield Partnership empower older New Yorkers with tools that allow them to instantly perform scam checks via email, text, and online to report to the FBI and the FTC in one click.
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