In the first report, the FTC described the US SAFE Web Act (SAFE WEB), passed in 2006, as an “indispensable” tool to combat cross-border fraud and protect consumers in an increasingly global and digital economy.  For example, the report noted that since SAFE WEB was passed, the FTC has used the law in myriad ways: issuing more than 140 civil investigative demands on behalf of 21 foreign agencies from eight countries; engaging in 148 staff exchanges to build cooperation with foreign counterparts; and sharing confidential information from FTC files with 43 law enforcement agencies in twenty different countries.  The report also indicated that SAFE WEB has allowed the FTC to pursue and stop harmful conduct in the US and defend against challenges to its jurisdictional authority over foreign companies targeting American consumers.  Notably, SAFE WEB helped the FTC (i) shut down a real estate investment scam that took in more than $100 million (the largest such scheme the FTC has ever targeted); (ii) cooperate with privacy authorities in Canada and the United Kingdom to pursue actions against an online dating site that deceived consumers and failed to protect the account and profile information of more than 36 million individuals; (iii) and work with foreign law enforcement agencies to stop fraudulent money transfers to certain money transfer companies located in Spain in connection with a Nigerian email scam.  The FTC recommends that Congress permanently reauthorize SAFE WEB to preserve the agency’s ability to fight cross-border fraud.

In the second report, the FTC discussed its work to target ransomware and other cyber-attacks.  The FTC highlighted its longstanding data security enforcement program, which seeks to ensure that businesses engage in reasonable practices to protect the data of their customers.  Moreover, the RANSOMWARE Act refers specifically to China, Russia, North Korea, and Iran.  The report stated that although the FTC has taken data security-related enforcement actions involving connections to China and Russia, the FTC has had limited interactions with government agencies in China, Russia, North Korea, and Iran.  The report included several recommendations for Congress, including making SAFE WEB permanent, amending a provision in the FTC act which would restore the FTC’s ability to provide refunds to harmed consumers, and enacting privacy and data security legislation which would be enforceable by the FTC.  The FTC also urged businesses to take steps to safeguard customer data, including retaining information only so long as there is a legitimate business need, restricting access to sensitive data, and storing personal information securely and protecting it during transmission.