Stopping Fraudulent Payments Act authorizes agencies to pause and segment payments flagged for fraud risk.

The Stopping Fraudulent Payments Act amends title 31, United States Code, to authorize federal agencies to pause and segment payments that present an elevated risk of fraud. This includes temporarily holding unusually large or high-risk portions of a payment while reviewing and resolving the issue. The act requires agencies to notify payees within two days of pausing a payment and allows for a corrective action review period. It also mandates annual reports on the results of paused payments and exempts certain actions if they jeopardize ongoing criminal investigations.

Stopping Fraudulent Payments Act authorizes agencies to pause and segment payments flagged for fraud risk.

The Stopping Fraudulent Payments Act amends title 31, United States Code, to authorize federal agencies to pause and segment payments that present an elevated risk of fraud. This includes temporarily holding unusually large or high-risk portions of a payment while reviewing and resolving the issue. The act requires agencies to notify payees within two days of pausing a payment and allows for a corrective action review period. It also mandates annual reports on the results of paused payments and exempts certain actions if they jeopardize ongoing criminal investigations.