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HR 8951

Zero Tolerance for Fraudsters Act of 2026

119th Congress Introduced by Ken Calvert and 3 co-sponsors

Imposes mandatory minimum prison terms for federal fraud offenses based on loss amounts, creating tiered penalties for offenses like mail, wire, health care, and government fraud.

Introduced in House
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WeVote Research Nonpartisan
Bill Summary · HR 8951

Overview

  • Bill: HR 8951 – Zero Tolerance for Fraudsters Act of 2026
  • Session: 119th Congress
  • Purpose: Establish mandatory minimum prison terms for certain federal fraud offenses and related acts
  • Sponsor/Support: Introduced by Rep. Calvert (with Reps. Owens and Hunt) and co-sponsored by Rep. Hunt and Rep. Owens
  • Status: Referred to the House Committee on the Judiciary (as of May 21, 2026)

Main purpose and intent

  • Create mandatory minimum sentences for specified fraud and false statements offenses.
  • Impose harsher penalties based on the monetary value of the fraud.
  • Signal a federal “zero tolerance” approach to large-scale or serious fraud and related false statements.

Key provisions and changes

1) Creation of mandatory minimums for certain fraud offenses (Chapter 47 – 18 U.S.C.)

  • New section added: 18 U.S.C. § 1041 (Mandatory minimum sentences for certain offenses)
  • Targeted offenses (for purposes of this section):
    • Section 1001 (false statements or representations)
    • Section 1002 (false statements in relation to government benefits, records, etc.)
    • Section 1003 (fraud and false statements related to immigration or other designated areas)
    • Section 1010 (false statements)
    • Section 1012 (false statements to financial institutions, etc.)
    • Section 1031 (fraud in federal programs)
    • Section 1035 (false statements involving health care or insurance fraud in some contexts)
    • Section 1040 (general fraud offenses)
  • Mandatory minimum penalties based on amount involved:
    • If fraud amount is $1,000,000 or more but less than $5,000,000:
    • Imprisonment: not less than 1 year and not more than 10 years
    • Fine: as permitted under title 18
    • If fraud amount is $5,000,000 or more:
    • Imprisonment: not less than 5 years and not more than 20 years
    • Fine: as permitted under title 18
  • Note: The statute preserves a greater penalty if a different provision provides a greater term of imprisonment.

2) Clerical amendments

  • Adds “1041. Mandatory minimum sentences for certain offenses.” to the table of sections for Chapter 47 of Title 18.

3) Creation of mandatory minimums for certain mail fraud and other fraud offenses (Chapter 63 – 18 U.S.C.)

  • New section added: 18 U.S.C. § 1353 (Mandatory minimum sentences for certain offenses)
  • Targeted offenses (for purposes of this section):
    • Section 1341 (mail fraud)
    • Section 1343 (wire fraud)
    • Section 1345 (theft or fraud related to fraudulent tax or other matters; in context, generally fraud enforcement actions)
    • Section 1347 (health care fraud)
  • Mandatory minimum penalties based on amount involved:
    • If fraud amount is $1,000,000 or more but less than $5,000,000:
    • Imprisonment: not less than 1 year and not more than 10 years
    • Fine: as permitted under title 18
    • If fraud amount is $5,000,000 or more:
    • Imprisonment: not less than 5 years and not more than 20 years
    • Fine: as permitted under title 18
  • Same caveat as above: penalties cannot be less than any higher term provided by other sections.

4) Clerical amendments

  • Adds “1353. Mandatory minimum sentences for certain offenses.” to the table of sections for Chapter 47.

Who/what would be affected

  • Federal prosecutors and courts would apply mandatory minimums to individuals convicted of listed fraud offenses.
  • Individuals or entities accused of:
    • False statements to the government or in federal records
    • Federal program fraud
    • Mail and wire fraud
    • Health care fraud and related offenses
  • The penalties hinge on the amount of loss or fraud involved, potentially increasing sentences for large-scale schemes.

Procedural and timeline aspects

  • Introduction date: May 21, 2026
  • Referral: House Committee on the Judiciary
  • The bill is currently in the introductory and referral stage; no enacted provisions or effective dates are specified beyond the sentencing mandates.

Summary of potential impact

  • Increases certainty and uniformity in sentencing for major fraud offenses by imposing mandatory minimums.
  • Introduces tiered penalties based on the dollar value of the fraud (>$1M–< $5M vs. $5M+).
  • Potentially expands the use of mandatory minimums to a broader set of fraud-related offenses, including mail and wire fraud, health care fraud, and other listed sections.
  • Could affect defendants’ sentencing outcomes, deterrence considerations, and prosecutorial charging decisions.

If you’d like, I can provide a comparison with current sentencing guidelines for these offenses or outline potential questions and concerns often raised in debates about mandatory minimums.

Compiled from official sources — confirm details with the bill’s official record.

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