Fraud Prevention Act of 2025 (H.R. 6916)

Summary

Adds people found guilty of certain federal money-related crimes to a list that stops them from getting government contracts, grants, or loans.

What problem does this solve?

People who have cheated the government out of money could still receive federal contracts or loans, which puts taxpayer dollars at risk. This bill automatically puts those individuals on a block list for three years to protect federal funds from future fraud.

What does this bill do?

Mandatory exclusion for fraud convicts

Requires individuals convicted of specific federal felonies related to government funds to be added to a list that bans them from receiving federal contracts, grants, or loans for three years.

Allows for agency head waivers

Grants agency heads the authority to exempt a convicted individual from the ban if they decide it is necessary. They must send a written notice to Congress about the exemption.

Establishes a notification system

Directs the Attorney General to tell the Administrator of General Services about convictions for covered felonies. The Administrator must then add the person to the exclusion list.

Defines 'covered felony'

Lists specific federal crimes that will result in an individual being banned from receiving federal funds. These include conspiracy, theft of public money, and various types of fraud.

Who does this affect?

Individuals convicted of federal financial felonies
Federal government agencies

What is the real world impact?

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Strengthens safeguards for taxpayer money

Creates an automatic process to block individuals convicted of fraud from receiving federal funds. This aims to reduce waste and abuse in government programs.

When does this start?

The rules for putting this law into practice must be created within one year of it being signed.

Guidance for implementation

The Attorney General must issue guidance on how to follow this law no later than one year after it is enacted.