                        TITLE 19--CUSTOMS DUTIES
 
                      CHAPTER 4--TARIFF ACT OF 1930
 
                 SUBTITLE III--ADMINISTRATIVE PROVISIONS
 
                     Part V--Enforcement Provisions
 
Sec. 1613b. Customs Forfeiture Fund


(a) In general

    (1) There is established in the Treasury of the United States a fund 
to be known as the ``Customs Forfeiture Fund'' (hereafter in this 
section referred to as the ``Fund''), which shall be available to the 
United States Customs Service, subject to appropriation, with respect to 
seizures and forfeitures by the United States Customs Service and the 
United States Coast Guard under any law enforced or administered by 
those agencies for payment, or for reimbursement to the appropriation 
from which payment was made, for--
        (A) all proper expenses of the seizure (including investigative 
    costs incurred by the United States Customs Service leading to 
    seizures) or the proceedings of forfeiture and sale, including, but 
    not limited to, the expenses of inventory, security, and maintenance 
    of custody of the property, advertisement and sale of the property, 
    and if condemned by the court and a bond for such costs was not 
    given, the costs as taxed by the court;
        (B) awards of compensation to informers under section 1619 of 
    this title;
        (C) satisfaction of--
            (i) liens for freight, charges, and contributions in general 
        average, notice of which has been filed with the appropriate 
        customs officer according to law, and
            (ii) other liens against forfeited property;

        (D) amounts authorized by law with respect to remission and 
    mitigation;
        (E) claims of parties in interest to property disposed of under 
    section 1612(b) of this title, in the amounts applicable to such 
    claims at the time of seizure; and
        (F) equitable sharing payments made to other Federal agencies, 
    State and local law enforcement agencies, and foreign countries 
    under the authority of section 1616a(c) of this title or section 981 
    of title 18.

    (2)(A) Any payment made under subparagraph (C) or (D) of paragraph 
(1) with respect to a seizure or a forfeiture of property shall not 
exceed the value of the property at the time of the seizure.
    (B) Any payment made under subparagraph (F) of paragraph (1) with 
respect to a seizure or forfeiture of property shall not exceed the 
value of the property at the time of disposition.
    (3) In addition to the purposes described in paragraph (1), the Fund 
shall be available for--
        (A) purchases by the United States Customs Service of evidence 
    of--
            (i) smuggling of controlled substances, and
            (ii) violations of the currency and foreign transaction 
        reporting requirements of chapter 51 of title 31, if there is a 
        substantial probability that the violations of these 
        requirements are related to the smuggling of controlled 
        substances;

        (B) equipment for any vessel, vehicle, or aircraft available for 
    official use by the United States Customs Service to enable the 
    vessel, vehicle, or aircraft to assist in law enforcement functions;
        (C) the reimbursement, at the discretion of the Secretary, of 
    private persons for expenses incurred by such persons in cooperating 
    with the United States Customs Service in investigations and 
    undercover law enforcement operations;
        (D) publication of the availability of awards under section 1619 
    of this title;
        (E) equipment for any vessel, vehicle, or aircraft available for 
    official use by a State or local law enforcement agency to enable 
    the vessel, vehicle, or aircraft to assist in law enforcement 
    functions if the conveyance will be used in joint law enforcement 
    operations with the United States Customs Service; and
        (F) payment of overtime salaries, travel, fuel, training, 
    equipment, and other similar costs of State and local law 
    enforcement officers that are incurred in joint law enforcement 
    operations with the United States Customs Service.

(b) United States Coast Guard

    The Commissioner of Customs shall make available to the United 
States Coast Guard, from funds appropriated under subsection (f)(2) of 
this section in excess of $10,000,000 for a fiscal year, proceeds in the 
Fund derived from seizures by the Coast Guard. Funds made available 
under this subsection may be used for--
        (1) equipment for any vessel, vehicle, or aircraft available for 
    official use by the United States Coast Guard to enable the vessel, 
    vehicle, or aircraft to assist in law enforcement functions;
        (2) equipment for any vessel, vehicle, equipment, or aircraft 
    available for official use by a State or local law enforcement 
    agency to enable the vessel, vehicle, or aircraft to assist in law 
    enforcement functions if the conveyance will be used in joint law 
    enforcement operations with the United States Coast Guard;
        (3) payment of overtime salaries, travel, fuel, training, 
    equipment, and other similar costs of State and local law 
    enforcement officers that are incurred in joint law enforcement 
    operations with the United States Coast Guard; and
        (4) expenses incurred in bringing vessels into compliance with 
    applicable environmental laws prior to disposal by sinking.

(c) Deposits

    There shall be deposited into the Fund all forfeited currency and 
proceeds from forfeiture under any law enforced or administered by the 
United States Customs Service or the United States Coast Guard and all 
income from investments made under subsection (d) of this section.

(d) Investment

    Amounts in the Fund which are not currently needed for the purposes 
of this section shall be invested in obligations of, or guaranteed by, 
the United States.

(e) Annual reports; audits

    (1) The Commissioner of Customs shall transmit to the Congress, by 
no later than February 1 of each fiscal year the following detailed 
reports:
        (A) a report on--
            (i) the estimated total value of property forfeited under 
        any law enforced or administered by the United States Customs 
        Service or the United States Coast Guard with respect to which 
        funds were not deposited in the Fund during the previous fiscal 
        year, and
            (ii) the estimated total value of all such property 
        transferred to any State or local law enforcement agency;

        (B) a report on--
            (i) the balance of the Fund at the beginning of the 
        preceding fiscal year;
            (ii) liens and mortgages paid and amount of money shared 
        with State and local law enforcement agencies during the 
        previous fiscal year;
            (iii) the net amount realized from the operations of the 
        Fund during the previous fiscal year, the amount of seized cash 
        being held as evidence, and the amount of money that has been 
        carried over to the current fiscal year;
            (iv) any defendant's equity in property valued at $1,000,000 
        or more;
            (v) the balance of the Fund at the end of the previous 
        fiscal year; and

        (C) a report containing, for the previous fiscal year--
            (i) a complete set of audited financial statements 
        (including a balance sheet, income statement, and cash flow 
        analysis) prepared in a manner consistent with the requirements 
        of the Comptroller General, and
            (ii) an analysis of income and expenses showing the revenue 
        received or lost--
                (I) by property category (general property, vehicles, 
            vessels, aircraft, cash, and real property) and
                (II) by type of disposition (sales, remissions, 
            cancellations, placed into official use, sharing with State 
            and local agencies, and destructions).

    (2) The Fund shall be subject to audits conducted by the Comptroller 
General of the United States, under such conditions as the Comptroller 
General determines appropriate.

(f) Authorization of appropriations

    (1) There are hereby appropriated from the Fund such sums as may be 
necessary to carry out the purposes set forth in subsection (a)(1) of 
this section.
    (2)(A) Subject to subparagraph (B), there are authorized to be 
appropriated from the Fund not to exceed $20,000,000 for each fiscal 
year to carry out the purposes set forth in subsections (a)(3) and (b) 
of this section for such fiscal year.
    (B) Of the amount authorized to be appropriated under subparagraph 
(A), not to exceed the following, shall be available to carry out the 
purposes set forth in subsection (a)(3) of this section:
        (i) $14,855,000 for fiscal year 1991.
        (ii) $15,598,000 for fiscal year 1992.

    (3) At the end of each fiscal year, any unobligated amount in excess 
of $15,000,000 remaining in the Fund shall be deposited into the general 
fund of the Treasury of the United States.

(June 17, 1930, ch. 497, title IV, Sec. 613A, as added Pub. L. 98-573, 
title II, Sec. 213(a)(11), Oct. 30, 1984, 98 Stat. 2986; amended Pub. L. 
99-570, title I, Sec. 1152(b)(2), title III, Sec. 3142(a), Oct. 27, 
1986, 100 Stat. 3207-12, 3207-93; Pub. L. 100-71, title I, Sec. 101, 
July 11, 1987, 101 Stat. 438; Pub. L. 100-202, Sec. 101(m) [title I, 
Sec. 106], Dec. 22, 1987, 101 Stat. 1329-390, 1329-397; Pub. L. 100-418, 
title I, Sec. 1912, Aug. 23, 1988, 102 Stat. 1320; Pub. L. 100-690, 
title VII, Sec. 7364, Nov. 18, 1988, 102 Stat. 4475; Pub. L. 101-382, 
title I, Sec. 121, Aug. 20, 1990, 104 Stat. 640; Pub. L. 101-508, title 
X, Sec. 10012(a), Nov. 5, 1990, 104 Stat. 1388-390; Pub. L. 104-316, 
title I, Sec. 110(a), Oct. 19, 1996, 110 Stat. 3832.)


                            Prior Provisions

    Prior similar provisions were contained in section 613a of act June 
17, 1930, as added by Pub. L. 98-473, title II, Sec. 317, Oct. 12, 1984, 
98 Stat. 2054, which was classified to section 1613a of this title and 
subsequently repealed.


                               Amendments

    1996--Subsec. (e)(2). Pub. L. 104-316 struck out ``annual 
financial'' before ``audits conducted'' and inserted before period at 
end ``, under such conditions as the Comptroller General determines 
appropriate''.
    1990--Subsec. (a)(1)(F). Pub. L. 101-382, Sec. 121(1), added subpar. 
(F).
    Subsec. (a)(2). Pub. L. 101-382, Sec. 121(2), designated existing 
provisions as subpar. (A) and added subpar. (B).
    Subsec. (c). Pub. L. 101-382, Sec. 121(3), inserted ``forfeited 
currency and'' before ``proceeds''.
    Subsec. (e)(1)(B). Pub. L. 101-382, Sec. 121(4)(B)(i), (ii), 
redesignated cls. (iii) through (vi) as (ii) through (v), respectively, 
and struck out former cl. (ii), which read as follows: ``sources of 
receipts (seized cash, conveyances, and others) of the Fund during the 
previous fiscal year;''.
    Subsec. (e)(1)(C). Pub. L. 101-382, Sec. 121(4)(A), (B)(iii), (iv), 
(C), added subpar. (C).
    Subsec. (f). Pub. L. 101-382, Sec. 121(5), which amended subsec. (f) 
generally to read as follows:
        ``(1) Subject to paragraph (2), there are authorized to be 
    appropriated from the Fund not to exceed $20,000,000 for each fiscal 
    year to carry out the purposes set forth in subsections (a)(3) and 
    (b) of this section for such fiscal year.
        ``(2) Of the amount authorized to be appropriated under 
    paragraph (1), not to exceed the following shall be available to 
    carry out the purposes set forth in subsection (a)(3) of this 
    section:
            ``(A) $14,855,000 for fiscal year 1991.
            ``(B) $15,598,000 for fiscal year 1992.''
was repealed by Pub. L. 101-508, Sec. 10012(a)(1). See Construction of 
1990 Amendment note below.
    Subsec. (f)(2). Pub. L. 101-508, Sec. 10012(a)(2), amended par. (2) 
generally. Prior to amendment, par. (2) read as follows: ``There are 
authorized to be appropriated from the Fund not to exceed $20,000,000 
for each fiscal year to carry out the purposes set forth in subsections 
(a)(3) and (b) of this section for such fiscal year.''
    1988--Pub. L. 100-690 amended section generally.
    Subsec. (a)(iii). Pub. L. 100-418, Sec. 1912(2), substituted 
``private persons'' for ``private citizens''.
    Subsec. (c). Pub. L. 100-418, Sec. 1912(1), substituted ``described 
in subsection (a) of this section for which the fund is available to the 
United States Customs Service,'' for ``beginning on October 30, 1984, 
and ending on September 30, 1987,''.
    1987--Pub. L. 100-71 repealed Pub. L. 99-570, Sec. 1152(b)(2). See 
1986 Amendment note below.
    Subsec. (a)(5)(v), (vi). Pub. L. 100-202 added cls. (v) and (vi).
    1986--Pub. L. 99-570, Sec. 1152(b)(2), which directed the repeal of 
this section, was itself repealed by Pub. L. 100-71. See Repeal and 
Revival of Section note below.
    Subsec. (a). Pub. L. 99-570, Sec. 3142(a)(1)(A), (F), substituted 
``1991'' for ``1987'' in introductory provisions and amended generally 
concluding provisions which had read as follows: ``In addition to the 
purposes described in paragraphs (1) through (6), the fund shall be 
available for purchases by the United States Customs Service of evidence 
of (A) smuggling of controlled substances, and (B) violations of the 
currency and foreign transaction reporting requirements of chapter 53 of 
title 31 if there is a substantial probability that the violations of 
these requirements are related to the smuggling of controlled 
substances.''
    Subsec. (a)(1). Pub. L. 99-570, Sec. 3142(a)(1)(B), inserted 
``(including investigative costs leading to seizures)'' after ``of the 
seizure''.
    Subsec. (a)(5), (6). Pub. L. 99-570, Sec. 3142(a)(1)(C)-(E), 
redesignated par. (6) as (5) and struck out former par. (5) which 
provided that the fund would be available with respect to seizures and 
forfeitures by the United States Customs Service for equipping for law 
enforcement functions of forfeited vessels, vehicles and aircraft 
retained as provided by law for official use by the Customs Service.
    Subsec. (f). Pub. L. 99-570, Sec. 3142(a)(2), amended subsec. (f) 
generally. Prior to amendment, subsec. (f) read as follows:
    ``(1) There are authorized to be appropriated from the fund for each 
of the four fiscal years beginning with fiscal year 1984, not more than 
$10,000,000.
    ``(2) At the end of each of the first three of such four fiscal 
years, any amount in the fund in excess of $10,000,000 shall be 
deposited in the general fund of the Treasury. At the end of the last of 
such four fiscal years, any amount in the fund shall be deposited in the 
general fund of the Treasury, and the fund shall cease to exist.''


                    Effective Date of 1990 Amendment

    Section 10012(c) of Pub. L. 101-508 provided that: ``The provisions 
of this section [amending this section] take effect August 21, 1990.''


                    Effective Date of 1986 Amendment

    Section 3142(b) of Pub. L. 99-570 provided that: ``The amendments 
made by subsection (a) [amending this section] shall take effect October 
1, 1986.''


                             Effective Date

    Section effective Oct. 15, 1984, see section 214(e) of Pub. L. 98-
573, set out as an Effective Date of 1984 Amendment note under section 
1304 of this title.


                     Construction of 1990 Amendment

    Section 10012(a)(1) of Pub. L. 101-508 provided that: ``Paragraph 
(5) of section 121 of the Customs and Trade Act of 1990 [Pub. L. 101-
382] is repealed and subsection (f) of section 613A of the Tariff Act of 
1930 [subsec. (f) of this section] shall be applied as if the amendment 
made by such paragraph (5) had not been enacted.''


                      Repeal and Revival of Section

    Section 1152(b)(2) of Pub. L. 99-570, which had directed the repeal 
of this section, was repealed by section 101 of Pub. L. 100-71, which 
also provided in part that section 1152(b) of Pub. L. 99-570 be treated 
as though it had never been enacted.

                  Section Referred to in Other Sections

    This section is referred to in sections 1600, 1607, 1613 of this 
title; title 31 section 9703.
