AI Fraud Deterrence Act

Amends federal mail fraud, wire fraud, bank fraud, and money laundering statutes to impose significantly higher maximum penalties when AI tools are used to commit those offenses. Proposed fines range from $1–2 million and maximum prison terms of 20–30 years for AI-assisted fraud. Rep. Lieu's press release specifically cited scammers using AI voice cloning to target seniors as the primary motivation. Seniors are not individually named in the bill text but are the explicit focus of the sponsors' public advocacy.

Technical detail

Amends federal fraud and money laundering statutes to add enhanced maximum penalties — up to $1–2 million fines and 20–30 year imprisonment — for offenses committed using AI-assisted tools.

Who is protected: All fraud victims; Lieu press materials explicitly identify seniors targeted by AI voice-cloning as intended beneficiaries

Who must comply: Any person using AI tools to commit covered federal fraud offenses

Key facts

More AI rules in United States

• Trump AI Innovation & Security EO (June 2026) · In effect
• FERC order directing PJM and other grid operators to reform · Enacted (not yet in effect)
• Chatrie v. United States (Fourth Amendment protection for lo · Blocked / in litigation
• Kids Internet and Digital Safety Act (KIDS Act) (H.R. 7757) · Proposed / pending
• NAIC AI Evaluation Tool Pilot (12 states, 2026) · Proposed / pending
• FTC Proposed Policy Statement — AI Accuracy (July 2026) · Proposed / pending

Related consumer protection rules elsewhere

• Missouri AI Therapy Chatbot Ban (SB 1019) · Enacted (not yet in effect)
• Vermont Data Broker Law (H.211) · Enacted (not yet in effect)
• Arkansas Frank Broyles Act AI amendment — voice and likeness protection (2025) · In effect
• PA v. Character.AI (Fake Psychiatrist Chatbot) · Blocked / in litigation
• NAACP v. xAI (Colossus 2 Air Pollution) · Blocked / in litigation
• RI Therapy Chatbot Ban (2026) · In effect