FTC and VA sign updated agreement to stop fraud targeted at military education benefits

Federal Issues Department of Veterans Affairs FTC Act Servicemembers

On December 14, the FTC announced an updated Memorandum of Agreement with the Department of Veterans Affairs (VA) to continue efforts to stop fraudulent and deceptive practices which target servicemembers, veterans, and their dependents who use military education benefits. The agreement is required by 38 U.S.C. § 3696(c) and enables the FTC to utilize, at its discretion, the resources available to investigate deceptive or unfair advertising, sales, or enrollment practices in violation of Section 5 of the FTC Act. The agreement outlines the process for the VA to refer matters to the FTC for investigation and notes that the content of the information in the referral shall remain confidential. Additionally, the agreement requires the FTC, upon request, to provide the VA with a summary of the preliminary findings at the conclusion of the investigation. The VA or the FTC may respond to the preliminary findings by taking appropriate actions, including announcing the findings publicly.