Reinstatement of penalties for charging veterans unauthorized fees relating to claims under laws administered by the Secretary of Veterans Affairs

(a) In general Section 5905 of title 38, United States Code, is amended— (1) in the heading, by striking Penalty and inserting Penalties; (2) by inserting (a) Withholding of benefits.— before Whoever; and (3) by adding at the end the following new subsection: (b) Charging of unauthorized fees Except as provided in sections 5904 or 1984 of this title, whoever directly or indirectly solicits, contracts for, charges, or receives, or attempts to solicit, contract for, charge, or receive, any fee or compensation with respect to the preparation, presentation, or prosecution of any claim for benefits under the laws administered by the Secretary shall be fined as provided in title 18, or imprisoned not more than one year, or both. (c) Violations during conditional and temporary recognition If an individual recognized as an agent or attorney on a conditional and temporary basis pursuant to clause (ii) or (iii) of section 5904(a)(1)(B) of this title violates any law or regulation administered by the Secretary under this chapter on or after the date on which such individual is so recognized— (1) the Secretary shall, after notice, revoke the conditional and temporary recognition of the individual; and (2) such individual, after notice and opportunity for a hearing, shall be— (A) fined $50,000; and (B) barred from recognition under section 5904 of this title— (i) for a period of one year beginning on the date of the first violation; and (ii) for a period of 10 years beginning on the date of each subsequent violation. (d) Deposit of fines Any amount received by the Federal Government from a fine imposed under subsection (b) or (c) shall be deposited in the fund established by section 5904(a)(7)(C) of this title.. (b) Clerical amendment The table of sections at the beginning of chapter 59 of such title is amended by striking the item relating to section 5905 and inserting the following new item: 5905. Penalties for certain acts.. (c) Effective date The amendments made by this section shall take effect on the date that is 90 days after the date on which the Secretary prescribes the regulations required by subsection (b) of section 3.