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CIVIC HERALD
HR 5490 · 119th Congress · HouseOther

Dismantle Foreign Scam Syndicates Act

In plain language: This bill directs federal agencies to coordinate efforts to shut down overseas online scam centers, recover stolen money for American victims, and rescue people trafficked into forced labor at these compounds. It requires the president to review and impose targeted sanctions, such as asset freezes, on dozens of named foreign individuals, corrupt officials, and corporate entities tied to scam networks in Southeast Asia. The legislation also authorizes $30 million annually for fiscal years 2026 and 2027 to fund anti-scam enforcement operations and provide shelter and trauma care for rescued trafficking victims.

Provisional: our plain-language summary, pending review.

Provisionalunreviewed: impact, provisions, stakeholders, summary
People affectedNot determinable from the operative text; while findings mention hundreds of thousands of trafficking victims and Sec. 7(d)(1) names 43 specific foreign individuals and entities for sanctions review, the overall population directly affected cannot be reliably quantified from the text alone.
Fiscal magnitude$60.0Mprovisional · pending reviewSec. 9 authorizes $30,000,000 for the Department of State for each of fiscal years 2026 and 2027, totaling $60,000,000.
Reach46provisional · pending reviewrigor: heuristic llm
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Who it affects

Who it helps · who it burdens.

Who it helps

  • Human trafficking victims in scam compoundsAuthorizes the Department of State to fund shelter, trauma-informed medical and psychological care, and reintegration services for individuals rescued from forced labor in scam compounds, and explicitly exempts them from financial sanctions.provisional
  • Defrauded U.S. scam victimsDirects the federal task force to develop and implement strategies aimed at recovering and returning assets stolen through fraudulent online schemes.provisional
  • Partner foreign law enforcement agenciesAuthorizes U.S. agencies to provide training, technical assistance, and capacity-building support in digital forensics, anti-money laundering, border patrol, and victim identification.provisional

Who it burdens

  • Department of StateDirects the department to chair an interagency task force, develop and carry out an anti-scam strategy, submit annual reports to Congress, and manage victim support programs.provisional

Who opposes it

  • Sanctioned foreign individuals and business entities tied to scam compoundsRequires the President to review and impose sanctions—including asset freezes and transaction blocks under human rights, trafficking, and transnational crime authorities—on 43 specified foreign individuals, companies, and linked entities.provisional

Dollar-level funding (FEC sector totals) is coming in a later phase.

What it does

The provisions, in plain language.

  1. Establishes a 7-year federal task force led by the Department of State—alongside the Justice, Homeland Security, and Treasury Departments—to lead government efforts to shut down foreign online scam rings and forced-labor compounds.

    Sec. 4(a)–(e), (h)provisional
  2. Directs the task force to create and carry out a federal strategy to shut down scam centers, recover stolen money for defrauded Americans, use cyber operations against scam networks, and train foreign police forces.

    Sec. 4(b), Sec. 5provisional
  3. Requires the President to review 43 specified foreign individuals, companies, and organizations tied to scam compounds and impose sanctions against them unless granted a national security waiver.

    Sec. 7(a)–(d)(1)provisional
  4. Authorizes the Department of State to fund shelter, medical and psychological care, and reintegration support for human trafficking victims rescued from scam compounds.

    Sec. 8provisional
  5. Authorizes $30 million per year for fiscal years 2026 and 2027 for the Department of State to implement the anti-scam strategy.

    Sec. 9provisional

How your members of Congress line up

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Timeline

How it moved.

  1. Dec 3, 2025Ordered to be Reported in the Nature of a Substitute (Amended) by the Yeas and Nays: 48 - 0.
  2. Sep 18, 2025Introduced in House
  3. Sep 18, 2025Introduced in House

The original text

Read it for yourself.

Sources & provenance

Congress.govrefreshed 17 days ago

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