An amendment to the BUILD America 250 Act would require the Federal Motor Carrier Safety Administration (FMCSA) to implement automated systems to flag suspicious commercial vehicle registrations and crack down on identity theft.
Proposed by Rep. Brad Knott (R-NC), the rule targets a sophisticated network of criminals using stolen corporate identities to intercept high-value freight.
"Motor carriers, which are often family-owned and generational businesses, spend years building their reputations," said Rep. Knott, noting that cargo fraud has surged 1,500% since 2021. "These sophisticated criminals are using gaps in the U.S. DOT’s registration process to steal their identities, pose as legitimate businesses, and move freight under false pretenses."
While overall theft fell, deceptive pickup — fraud, identity theft and impersonation of carriers — climbed 31% year-over-year, accounting for 10% of all incidents in the first three months of this year, according to Overhaul’s U.S. Q1 2026 Cargo Theft Report.
Rep. Knott added that small-business fleet owners often lack the resources to combat what he characterized as state-sponsored, high-tech fraud networks, and blamed a "sluggish and sticky bureaucracy" for failing to protect the industry.
"Far too often, regulatory agencies are burdened with systems and technology that are, simply put, too old and too slow," he said. "Utilizing an automated system to flag suspicious registration activity will free up valuable time and manpower at FMCSA to pursue fraudulent activity."
The measure drew unanimous bipartisan support during the House Transportation and Infrastructure Committee's markup of the highway bill.
Proponents said the system will help ensure law-abiding trucking companies are no longer forced to compete against fraudulent Chameleon Carriers that rapidly open and close shell operations to escape federal safety oversight.
