AI Fraud Deterrence Act

• Authority: United States Congress
• Parent authority: Federal government
• Jurisdiction: United States
• Collections: U.S. federal laws
• Most recent activity: Defunct
• Most recent activity date: 2025-01-03

Risk subdomain coverage

Good coverage — Comprehensive governance measures or mitigations with clear procedures relating to the risk subdomain are explicitly described.

• Fraud, scams, and targeted manipulation

Minimal coverage — Brief mention but no specific mitigations, recommendations or governance measures relating to the risk subdomain are described.

• AI system security vulnerabilities
• Competitive dynamics

All other risk subdomains had no coverage in this document.

Risk Coverage Summary

The document has minimal coverage of approximately 2-3 subdomains, with primary focus on malicious actors using AI for fraud and financial crimes (4.3). There is implicit coverage of AI system security vulnerabilities (2.2) and competitive dynamics (6.4). The document does not address AI safety, discrimination, misinformation, or most other risk domains - it is narrowly focused on criminal misuse of AI for financial fraud.

Sector coverage

Good coverage — Comprehensive governance measures or mitigations with clear procedures relating to the sector are explicitly described.

• Finance & Insurance

Minimal coverage — Brief mention but no specific mitigations, recommendations or governance measures relating to the sector are described.

• Agriculture, Mining, Construction & Manufacturing
• Trade, Transportation & Utilities
• Information
• Real Estate, Rental & Leasing
• Professional & Technical Services
• Scientific Research & Development Services
• Management, Administrative & Support Services
• Educational Services
• Health Care & Social Assistance
• Arts, Entertainment & Recreation
• Accommodation, Food & Other Services
• Public Administration (excl. National Security)
• National Security

All other sectors had no coverage in this document.

Sectors Summary

The document primarily governs the Finance and Insurance sector through enhanced penalties for AI-assisted bank fraud and money laundering. It also has broad applicability across multiple sectors through mail fraud and wire fraud provisions, which can affect any organization or individual using postal or electronic communications for fraudulent purposes.

Legislative Status

Hard Law

Legislative Status Summary

This is a binding federal statute (bill) that amends the United States Code to establish mandatory criminal penalties with specific fines and imprisonment terms for AI-assisted financial crimes, with clear enforcement through the federal criminal justice system.

Actors

Proposer

• Entity Types: AI_Governance_Actor
• Entities: United States Congress
• Summary: The document is explicitly identified as a bill enacted by the Senate and House of Representatives of the United States of America in Congress assembled, making Congress the proposer of this legislation.

Target

• Entity Types: AI_Developer, AI_Deployer, AI_User
• Summary: The document targets any person who commits financial crimes (mail fraud, wire fraud, bank fraud, money laundering) with the assistance of artificial intelligence. This could include AI developers, deployers, or users who utilize AI systems to facilitate these crimes.

Enforcer

• Entity Types: AI_Governance_Actor
• Summary: While not explicitly named in this document, the enforcement of federal criminal statutes in Title 18 is conducted by the Department of Justice through federal prosecutors and the federal court system, as is standard for U.S. criminal law.

Monitor

• Entity Types: AI_Governance_Actor
• Summary: The document does not explicitly identify monitoring bodies. However, federal law enforcement agencies (FBI, Secret Service, etc.) would typically investigate these crimes, and the Department of Justice would monitor compliance through prosecution of violations.

AI Lifecycle Stages

Lifecycle stages covered by the documents, as defined in the OECD Framework for the Classification of AI Systems

• Deploy
• Operate and Monitor

AI Lifecycle Summary

The document does not focus on specific AI lifecycle stages but rather on the criminal use of AI systems after they have been deployed. It implicitly covers the 'Deploy' and 'Operate and Monitor' stages by addressing the use of AI in committing crimes, but does not provide governance measures for development, testing, or validation of AI systems.

Technical Scope

Terms relating to technical scope that are mentioned or implicitly referenced in the document

No technical scope terms identified.

Technical Scope Summary

The document references 'artificial intelligence' broadly by incorporating the definition from the National Artificial Intelligence Initiative Act of 2020, but does not explicitly mention AI models, AI systems, or any specific categories of AI such as frontier AI, general purpose AI, foundation models, or generative AI. No compute thresholds or open-weight models are discussed.