Veteran Fraud Reimbursement Act of 2025
Sponsored By: Senator Mazie Hirono
Introduced
Summary
Would create a clear pathway for veterans to recover benefits that a fiduciary misused. The bill would require the Department of Veterans Affairs to reissue the portion of benefits misused to the beneficiary or a successor fiduciary and to try in good faith to recoup those amounts from the offending fiduciary.
Show full summary
- Families and beneficiaries: Would let a beneficiary receive a reissued payment equal to the portion misused. If the beneficiary dies before payment, the amount would go to a surviving individual or entity under existing VA rules and could not be paid to the misusing fiduciary.
- Fiduciaries who misused funds: The VA would be required to attempt recoupment from the fiduciary and promptly remit any recovered amounts to the beneficiary, but total reissued payments could not exceed the total amount misused.
- VA operations and oversight: The Secretary would have to set methods and timing to decide if misuse resulted from VA negligence. The VA could not withhold reissuance while a negligence determination is pending and would not have to make a negligence finding for every instance of misuse.
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Bill Overview
Analyzed Economic Effects
1 provisions identified: 1 benefits, 0 costs, 0 mixed.
Restore VA benefits after fiduciary theft
If enacted, the VA would pay a beneficiary (or the beneficiary's successor fiduciary) a one-time amount equal to any VA benefits a fiduciary misused. The VA would try in good faith to recover the money from the fiduciary and would send any recovered funds to the beneficiary to the extent those funds were not already reissued. Total payments could not exceed the amount misused, and the VA could not pay a fiduciary who misused benefits. If the beneficiary dies before payment, the VA would pay heirs under current VA rules. The VA would set methods and timelines for deciding if VA was negligent, but it could not delay reissuance because a negligence decision was pending and would not have to make a negligence finding in every case.
Sponsors & CoSponsors
Sponsor
Mazie Hirono
HI • D
Cosponsors
John Boozman
AR • R
Sponsored 3/6/2025
Ruben Gallego
AZ • D
Sponsored 3/6/2025
Tommy Tuberville
AL • R
Sponsored 3/6/2025
Roll Call Votes
No roll call votes available for this bill.
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