Congressional report finds federal agencies recovered only $2.9 billion of $18 billion in scam losses

American victims of cyberfraud reported nearly $18 billion in losses to the FBI last year, yet federal agencies returned only a small fraction of that money. A new investigation by the Joint Economic Committee of the U.S. Congress released Tuesday details the gap between reported thefts and actual recoveries. The report highlights a lack of unified data across government departments, making it difficult to track the total amount of money seized from overseas scam compounds or returned to individuals.

The figures illustrate the scale of the recovery shortfall. The FBI stated it returned $336 million to victims in 2025. The Federal Trade Commission reported returning $1.83 billion in fiscal year 2025, though it could not determine how much of that sum originated from overseas operations. The U.S. Secret Service returned more than $770 million in seized assets during fiscal years 2024 and 2025, noting that these funds came from various fraud schemes. The State Department said foreign agencies supported by the U.S. seized proceeds in the low hundreds of millions of dollars, but referred the committee to other departments for specific details.

Sen. Maggie Hassan and Rep. Don Beyer, the ranking Democrats on the committee, released the report citing a yearlong investigation by The Associated Press and FRONTLINE. The findings indicate that the government’s response to the surge in cyberscams remains fragmented. Partnerships with the private sector are described as voluntary rather than mandatory. Hassan noted that transnational criminal organizations exploit U.S. technology, including artificial intelligence, to conduct scams with devastating consequences for Americans.

The report also addresses international operations and domestic resource allocation. State Department cutbacks eliminated at least one anti-scam program in Bangladesh, a country identified by the United Nations Office on Drugs and Crime as an emerging hub for global scam operations. The program had previously trained local law enforcement in cyberfraud investigations. The State Department told the committee it has 60 employees in the U.S. and Asia dedicated to fighting overseas scam compounds and possesses the necessary tools to combat the threat internationally.

Lawmakers and regulators are considering ways to tighten private sector obligations. Justice Department officials told Congress that companies should focus more on scam prevention, but clear incentives have not been established. Unlike the European Union, the United Kingdom, Australia, and Singapore, the United States has not held technology, telecommunications, or financial services companies liable for failing to protect consumers adequately. The report urges Congress to pass pending legislation that would mandate a unified federal strategy and create a central location for victims to report losses.

Kate Griffin, a director at the Aspen Institute’s financial security program, stated that while progress has been made, the U.S. still lacks durable and sustainable scam prevention measures. She noted that reduced victimization rates have not yet materialized. The White House has also advocated for greater federal coordination in addressing the crisis. The report serves as a call for increased collaboration among agencies, better support for victims, and deeper engagement with the private sector.

The investigation concludes that the current system leaves victims struggling to recover losses despite a quickening pace of seizure announcements by various U.S. government agencies. The lack of a centralized accounting system prevents a clear understanding of the total financial impact of the scam industry. The committee’s findings aim to provide a factual baseline for future legislative and administrative actions designed to close the gap between reported losses and victim recoveries.