WASHINGTON – In a House Veterans’ Affairs Committee markup, Congressman Chris Pappas (NH-01), Ranking Member of the Economic Opportunity Subcommittee of the House Veterans’ Affairs Committee, condemned House Republicans for moving forward legislation to legalize for-profit, predatory companies charging veterans exorbitant fees for assistance with their disability claims and urged them to instead support his bipartisan GUARD VA Benefits Act, which would reinstate criminal penalties for unaccredited claim representatives who charge unauthorized fees while assisting veterans with filing a claim for Department of Veterans Affairs (VA) disability compensation benefits.

During the markup, Congressman Pappas said, “I, and others on this Committee, along with most of the VSO community, have repeatedly raised alarm about the rise of unaccredited claims consultants profiting from veterans’ disability claims. While only VA-accredited representatives are legally allowed to assist with claims, the VA lost its ability to enforce that law nearly two decades ago. As a result, predatory companies now exploit this loophole – charging veterans thousands of dollars while raking in millions.”

He continued saying, “Now, instead of restoring VA’s authority to penalize illegal behavior, H.R. 3132 would legalize it, granting accreditation without safeguards and allowing companies to charge up to $12,500 just for helping a veteran file their claim… Ironically, the bill includes my own language to reinstate criminal penalties – but this is nothing but a smokescreen for bad actors to hide behind, because the bill also rewrites the law to exempt the very conduct that should remain illegal from being penalized. Rather than rewriting the law to suit the interests of those who are already breaking it, we should focus on protecting veterans and their hard-earned benefits.”

“It’s simple: put veterans first, not profits. The solution isn’t to legalize predatory practices – it’s to enforce the law and to hold violators accountable. If these companies truly believe they’re helping veterans, they should have nothing to fear from the GUARD Act or the VA’s accreditation process,” he concluded.