A bill to protect the public, especially seniors, against telemarketing fraud and telemarketing fraud over the Internet and to authorize an educational campaign to improve senior citizens' ability to protect themselves against telemarketing fraud over the Internet.

TITLE I--TELEMARKETING FRAUD OVER THE INTERNET

SECTION 101. EXTENSION OF CRIMINAL FRAUD STATUTE TO INTERNET.

    Section 1343 of title 18, United States Code, is amended by--
            (1) striking ``or television communication'' and inserting 
        ``television communication or the Internet''; and
            (2) adding at the end thereof the following: ``For purposes 
        of this section, the term `Internet' means collectively the 
        myriad of computer and telecommunications facilities, including 
        equipment and operating software, which comprise the 
        interconnected world-wide network of networks that employ the 
        Transmission Control Protocol/Internet Protocol, or any 
        predecessor or successor protocols to such protocol, to 
        communicate information of all kinds by wire or radio.''.

SEC. 102. FEDERAL TRADE COMMISSION SANCTIONS.

    The Federal Trade Commission shall initiate a rulemaking proceeding 
to set forth the application of section 5 of the Federal Trade 
Commission Act (15 U.S.C. 45) and other statutory provisions within its 
jurisdiction to deceptive acts or practices in or affecting the 
commerce of the United States in connection with the promotion, 
advertisement, offering for sale, or sale of goods or services through 
use of the Internet, including the initiation, transmission, and 
receipt of unsolicited commercial electronic mail. For purposes of this 
section, the term `Internet' means collectively the myriad of computer 
and telecommunications facilities, including equipment and operating 
software, which comprise the interconnected world-wide network of 
networks that employ the Transmission Control Protocol/Internet 
Protocol, or any predecessor or successor protocols to such protocol, 
to communicate information of all kinds by wire or radio.

            TITLE II--SPECIAL PROTECTION FOR SENIOR CITIZENS

SEC. 201. FINDINGS.

    The Congress finds that--
            (1) telemarketing fraud costs consumers nearly 
        $40,000,000,000 each year;
            (2) senior citizens are often the target of telemarketing 
        fraud;
            (3) fraudulent telemarketers compile into ``mooch lists'' 
        the names of potentially vulnerable consumers;
            (4) according to the American Association of Retired 
        Persons, 56 percent of the names on ``mooch lists'' are 
        individuals age 50 or older;
            (5) the Department of Justice has undertaken successful 
        investigations and prosecutions of telemarketing fraud through 
        various operations, including ``Operation Disconnect'', 
        ``Operation Senior Sentinel'', and ``Operation Upload'';
            (6) the Federal Bureau of Investigation has helped provide 
        resources to assist organizations such as the American 
        Association of Retired Persons to operate outreach programs 
        designed to warn senior citizens whose names appear on 
        confiscated ``mooch lists'';
            (7) the Administration on Aging was formed, in part, to 
        provide senior citizens with the resources, information, and 
        assistance their special circumstances require;
            (8) the Administration on Aging has a system in place to 
        effectively inform senior citizens of the dangers of 
        telemarketing fraud; and
            (9) senior citizens need to be warned of the dangers of 
        telemarketing fraud and fraud over the Internet before they 
        become victims.

SEC. 202. PURPOSE.

    It is the purpose of this title through education and outreach to 
protect senior citizens from the dangers of telemarketing fraud and 
fraud over the Internet and to facilitate the investigation and 
prosecution of fraudulent telemarketers.

SEC. 203. DISSEMINATION OF INFORMATION.

    (a) In General.--The Secretary of Health and Human Services, acting 
through the Assistant Secretary for Aging, shall publicly disseminate 
in each State information designed to educate senior citizens and raise 
awareness about the dangers of telemarketing fraud and fraud over the 
Internet .
    (b) Information.--In carrying out subsection (a), the Secretary 
shall--
            (1) inform senior citizens of the prevalence of 
        telemarketing fraud and fraud over the Internet targeted 
        against them;
            (2) inform senior citizens of how telemarketing fraud and 
        fraud over the Internet works;
            (3) inform senior citizens of how to identify telemarketing 
        fraud and fraud over the Internet ;
            (4) inform senior citizens of how to protect themselves 
        against telemarketing fraud and fraud over the Internet, 
        including an explanation of the dangers of providing bank 
        account, credit card, or other financial or personal 
        information over the telephone to unsolicited callers;
            (5) inform senior citizens of how to report suspected 
        attempts at telemarketing Fraud and over the Internet fraud;
            (6) inform senior citizens of their consumer protection 
        rights under Federal law; and
            (7) provide such other information as the Secretary 
        considers necessary to protect senior citizens against 
        fraudulent telemarketing over the Internet.
    (c) Means of Dissemination.--The Secretary shall determine the 
means to disseminate information under this section. In making such 
determination, the Secretary shall consider--
            (1) public service announcements;
            (2) a printed manual or pamphlet;
            (3) an Internet website; and
            (4) telephone outreach to individuals whose names appear on 
        ``mooch lists'' confiscated from fraudulent telemarketers.
    (d) Priority.--In disseminating information under this section, the 
Secretary shall give priority to areas with high concentrations of 
senior citizens.

SEC. 204. AUTHORITY TO ACCEPT GIFTS.

    The Secretary may accept, use, and dispose of unconditional gifts, 
bequests, or devises of services or property, both real and personal, 
in order to carry out this title.

SEC. 205. DEFINITION.

    For purposes of this title, the term ``State'' includes the 
District of Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin 
Islands, American Samoa, and the Commonwealth of the Northern Mariana 
Islands.

                                D23/

Summary: TABLE OF CONTENTS: Title I: Telemarketing Fraud Over the Internet Title II: Special Protection for Senior Citizens Title I: Telemarketing Fraud Over the Internet - Amends the Federal criminal code to include within its criminal fraud protections transmissions made over the Internet. Directs the Federal Trade Commission to initiate a rulemaking proceeding to set forth the application of the Federal Trade Commission Act to deceptive acts or practices in US commerce in connection with the promotion, advertisement, sale offer, or sale of goods or services through the use of the Internet, including the initiation, transmission, and receipt of unsolicited commercial electronic mail. Title II: Special Protection for Senior Citizens - Directs the Secretary of Health and Human Services, acting through the Assistant Secretary for Aging, to publicly disseminate by specified means in each State certain information designed to educate senior citizens and raise awareness about the dangers of telemarketing fraud and fraud over the Internet.