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H.R. 2357 (112th): Fighting Fraud in Transportation Act of 2011

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The summary below was written by the Congressional Research Service, which is a nonpartisan division of the Library of Congress.

6/24/2011--Introduced. Fighting Fraud in Transportation Act of 2011 - Directs the Administrator of the Federal Motor Carrier Safety Administration (FMCSA) to establish procedures to screen annually its list of registered motor carriers, brokers, and freight forwarders to: (1) ensure the list accurately reflects only those entities with currently active operating authority; and (2) show as inactive any motor carriers, brokers, or freight forwarders that are no longer active or in compliance with federal registration and security requirements.

Requires the FMCSA Administrator to issue a distinctive registration number for each activity or service of a person (including motor carrier, freight forwarder, or broker) registered to provide one or more such activities or services. Requires a registrant to specify, in writing, the authority under which it is providing required services for each shipment for which it seeks compensation.

Revises federal motor carrier registration requirements to prohibit a motor carrier from brokering transportation services unless registered as a broker.

Revises and consolidates federal registration and security requirements for freight forwarders and brokers. Prohibits a person from acting as a freight forwarder or broker unless that person: (1) holds a freight forwarder's permit or broker's license issued by the FMCSA; and (2) furnishes a bond, insurance policy, or other type of security from a provider determined by the FMCSA Administrator to be adequate to insure financial responsibility of $100,000.

Prohibits a person acting as a broker (other than a non-vessel-operating common carrier), or an ocean freight forwarder providing brokerage as part of an international through movement involving ocean transportation between the United States and a foreign port, from providing interstate brokerage services unless that person: (1) is registered under and in compliance with this Act, and (2) has satisfied financial security requirements. Prescribes civil penalties for violators of such requirements.