Enhanced penalties for VA employee fraud and misconduct; whistleblower protections and incentives

(a) Enhanced penalties for fraud and misconduct (1) Public money, property, or records Section 641 of title 18, United States Code, is amended by adding at the end the following: If the offense under this section is committed by an employee of the Department of Veterans Affairs, acting in an official capacity or using access to veterans’ records or benefits systems, the term of imprisonment shall be not more than 15 years, and any fine imposed shall be not more than $500,000. The court shall order mandatory restitution to the Department of Veterans Affairs or the United States Treasury for any loss sustained.. (2) False statements Section 1001 of title 18, United States Code, is amended by adding at the end the following: If the offense involves the falsification or concealment of material facts related to a claim for veterans’ benefits or the performance of duties by a Department of Veterans Affairs employee, the term of imprisonment shall be not more than 10 years, and any fine imposed shall be not more than $250,000.. (3) Bribery of public officials and witnesses Section 201 of title 18, United States Code, is amended by adding at the end the following: If the public official is employed by the Department of Veterans Affairs, and the bribe or gratuity relates to the processing or awarding of veterans’ benefits or contracts, the maximum fine shall be twice the amount of the bribe or thing of value received, and the term of imprisonment shall be not more than 20 years.. (4) False statements or fraud to obtain Federal employees’ compensation Section 1920 of title 18, United States Code, is amended by adding at the end the following: If a person convicted under this section is an employee of the Department of Veterans Affairs and the fraudulent conduct relates to veterans’ disability, compensation, or employment benefits, such person shall be fined not more than $250,000, imprisoned not more than 10 years, and shall forfeit any Federal pension or annuity benefits pursuant to section 8312 of title 5.. (5) Forfeiture of Federal pension and annuity benefits Section 8312 of title 5, United States Code, is amended by adding at the end the following new subsection: (e) An individual convicted of an offense under section 641, 1001, 201, or 1920 of title 18, United States Code, as amended by the Claims Legitimacy and Evaluation Accountability Nationwide for VA Act, if such individual is an employee of the Department of Veterans Affairs and the offense relates to their duties, shall forfeit any entitlement to annuity or retired pay under this chapter or chapter 84 of this title.. (b) Whistleblower protections and incentives (1) Expedited retaliation investigations Section 2303 of title 5, United States Code, is amended by adding at the end the following new subsection: (e) In the case of a retaliation claim involving an employee of the Department of Veterans Affairs, the Office of Accountability and Whistleblower Protection shall complete investigations within 60 days of filing. The Office shall provide written justification to Congress for any delay beyond 60 days and shall ensure interim protections against reassignment or adverse personnel actions while claims are pending.. (2) Transparency and oversight of settlements The Secretary of Veterans Affairs shall report annually to the Inspector General of the Department of Veterans Affairs and the Committees on Veterans’ Affairs of the Senate and House of Representatives on the number of whistleblower retaliation claims filed, investigated, and settled; the total settlement amounts; and whether settlement obligations were fulfilled. The Secretary shall publish an anonymized summary of this report on the Department’s website. (3) Incentive awards for valid disclosures The Secretary of Veterans Affairs is authorized to provide monetary awards up to $10,000 for substantiated internal disclosures that prevent or uncover significant fraud, waste, or abuse valued over $100,000. Such awards shall be funded from recovered amounts when practicable and shall not be considered compensation for pension or benefit purposes. (4) Independent review and reporting The Comptroller General of the United States shall review the implementation of the provisions of this subsection within 2 years of the date of enactment of this Act and submit a report to Congress on the timeliness of investigations, settlement compliance, and effectiveness of incentive provisions.