truck broker fraud

Insurance costs, fraud and cargo theft hit Landstar’s Q1

Freight broker Landstar System’s first quarter was marred by several previously disclosed factors. Unfavorable claims development, increased accident severity, stolen cargo and fraud at a satellite office were the primary culprits.

Landstar (NASDAQ: LSTR) reported first-quarter earnings per share of 85 cents, 47 cents lower year over year. The period included a 31-cent hit from higher insurance and claims expenses and a 10-cent hit, $4.8 million, tied to “a supply chain fraud” at an affiliate.

The...

https://www.freightwaves.com/news/insurance-costs-fraud-and-cargo-theft-hit-landstars-q1

FMCSA to extend broker financial compliance deadline

WASHINGTON — Three major provisions of a rule aimed at protecting trucking companies against unpaid claims from brokers will have to be pushed back a year due to a delay getting a new online registration system up and running.

The rule, “Broker and Freight Forwarder Financial Responsibility,” which took effect in January, contained five provisions: Two had a compliance deadline set for Jan. 16, 2026, and three had a compliance deadline of Jan. 16, 2025.

But because the new registration system is...

https://www.freightwaves.com/news/fmcsa-to-extend-broker-financial-compliance-deadline

FMCSA says it has too little data to assess double-brokering fraud

WASHINGTON — Federal regulators have told Congress that the administration is struggling to get a handle on broker fraud due to a lack of data as well as jurisdictional issues.

In a “Unlawful Brokerage Activities” report sent to Congress last week, the Federal Motor Carrier Safety Administration confirmed that it continues to assess the relationship between motor carrier safety and unlawful brokerage incidents.

However, “While the agency has received multiple expressions of concern from...

https://www.freightwaves.com/news/fmcsa-says-it-has-too-little-data-to-assess-double-brokering-fraud

House lawmakers introduce bill to combat freight fraud

WASHINGTON — A bipartisan bill to crack down on scam freight brokers and trucking companies is receiving rare, near-unanimous support from all sectors of the industry.

The Household Goods Shipping Consumer Protection Act, introduced by Democratic Congresswoman Eleanor Holmes Norton, Washington’s nonvoting delegate in the House, and Rep. Mike Ezell, R-Miss., targets fraudulent actors in the household goods sector.

However, new, stricter registration requirements and enforcement provisions in the...

https://www.freightwaves.com/news/house-lawmakers-introduce-bill-to-combat-freight-fraud

FMCSA standing up registration fraud team

WASHINGTON — After years of complaints from truckers, brokers and insurance companies, federal regulators are standing up a team specifically to deal with rampant fraud in the trucking industry.

The Federal Motor Carrier Safety Administration’s Registration Fraud Team will work in the agency’s registration office to focus solely on assisting those who have been victims of registration fraud at the agency as well as identifying measures to help prevent it.

“It’s a small team that doesn’t exist...

https://www.freightwaves.com/news/fmcsa-standing-up-registration-fraud-team

Transfix launches tools to tackle fraud across freight industry

Digital freight marketplace operator Transfix Inc. announced Thursday it has launched Transfix Shield, which aims to help shippers, carriers and brokers root out identity fraud across the commercial transportation industry.

Transfix Shield includes RateCon Shield and Facility Shield, tools available to all freight brokerages and shippers. The tools are designed to help users protect their business, as well as those of their carrier partners, and consumers from the impact of freight fraud,...

https://www.freightwaves.com/news/transfix-launches-tools-to-tackle-fraud-across-freight-industry

TIA warns Congress of rampant fraud in trucking

googletag.cmd.push(function() { var gptSlot = googletag.defineSlot(‘/21776187881/FW-Responsive-Main_Content-Slot1’, [[728, 90], [468, 60], [300, 100], [320, 50]], ‘div-gpt-ad-b1-i-fw-ad-1’).defineSizeMapping(gptSizeMaps.banner1).setCollapseEmptyDiv(true).addService(googletag.pubads());
gptAdSlots.push(gptSlot);
});

googletag.cmd.push(function() { googletag.display(‘div-gpt-ad-b1-i-fw-ad-1’); });

WASHINGTON — Rampant fraud in trucking has become an $800 million problem and the Federal Motor...

https://www.freightwaves.com/news/tia-warns-congress-of-rampant-fraud-in-trucking

Capitol Hill panel debates truck speed limiters, broker fraud

WASHINGTON — At a Capitol Hill hearing on regulations that keep the trucking industry from efficiently moving the nation’s freight, owner-operator representatives testified that the biggest impediment may be a speed limiter regulation yet to be rolled out.

“All kinds of studies show that when all traffic flows at the same speed, it’s much safer for everyone,” Lewie Pugh, executive vice president of the Owner-Operator Independent Drivers Association, told the highway subcommittee of the House...

https://www.freightwaves.com/news/capitol-hill-panel-debates-truck-speed-limiters-broker-fraud