
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC7325]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                Subtitle F--Procedure and Administration
 
           CHAPTER 75--CRIMES, OTHER OFFENSES, AND FORFEITURES
 
                        Subchapter C--Forfeitures
 
                PART II--PROVISIONS COMMON TO FORFEITURES
 
Sec. 7325. Personal property valued at $100,000 or less

    In all cases of seizure of any goods, wares, or merchandise as being 
subject to forfeiture under any provision of this title which, in the 
opinion of the Secretary, are of the appraised value of $100,000 or 
less, the Secretary shall, except in cases otherwise provided, proceed 
as follows:

                      (1) List and appraisement

        The Secretary shall cause a list containing a particular 
    description of the goods, wares, or merchandise seized to be 
    prepared in duplicate, and an appraisement thereof to be made by 
    three sworn appraisers, to be selected by the Secretary who shall be 
    respectable and disinterested citizens of the United States residing 
    within the internal revenue district wherein the seizure was made. 
    Such list and appraisement shall be properly attested by the 
    Secretary and such appraisers. Each appraiser shall be allowed for 
    his services such compensation as the Secretary shall by regulations 
    prescribe, to be paid in the manner similar to that provided for 
    other necessary charges incurred in collecting internal revenue.

                        (2) Notice of seizure

        If such goods are found by such appraisers to be of the value of 
    $100,000 or less, the Secretary shall publish a notice for 3 weeks, 
    in some newspaper of the district where the seizure was made, 
    describing the articles and stating the time, place, and cause of 
    their seizure, and requiring any person claiming them to appear and 
    make such claim within 30 days from the date of the first 
    publication of such notice.

                  (3) Execution of bond by claimant

        Any person claiming the goods, wares, or merchandise so seized, 
    within the time specified in the notice, may file with the Secretary 
    a claim, stating his interest in the articles seized, and may 
    execute a bond to the United States in the penal sum of $2,500, 
    conditioned that, in case of condemnation of the articles so seized, 
    the obligors shall pay all the costs and expenses of the proceedings 
    to obtain such condemnation; and upon the delivery of such bond to 
    the Secretary, he shall transmit the same, with the duplicate list 
    or description of the goods seized, to the United States attorney 
    for the district, and such attorney shall proceed thereon in the 
    ordinary manner prescribed by law.

                     (4) Sale in absence of bond

        If no claim is interposed and no bond is given within the time 
    above specified, the Secretary shall give reasonable notice of the 
    sale of the goods, wares, or merchandise by publication, and, at the 
    time and place specified in the notice, shall, unless otherwise 
    provided by law, sell the articles so seized at public auction, or 
    upon competitive bids, in accordance with such regulations as may be 
    prescribed by the Secretary.

(Aug. 16, 1954, ch. 736, 68A Stat. 870; Pub. L. 85-859, title II, 
Sec. 204(10), (12), Sept. 2, 1958, 72 Stat. 1429; Pub. L. 85-866, title 
I, Sec. 78, Sept. 2, 1958, 72 Stat. 1662; Pub. L. 94-455, title XIX, 
Sec. 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834; Pub. L. 99-514, title 
XV, Sec. 1566(a), (b), Oct. 22, 1986, 100 Stat. 2763.)


                               Amendments

    1986--Pub. L. 99-514 substituted ``$100,000'' for ``$2,500'' in 
section catchline, introductory provisions, and par. (2), and 
substituted ``$2,500'' for ``$250'' in par. (3).
    1976--Pub. L. 94-455 struck out ``or his delegate'' after 
``Secretary'' wherever appearing.
    1958--Pub. L. 85-866 struck out ``district'' before ``attorney'' in 
par. (3).
    Pub. L. 85-859 substituted ``$2,500'' for ``$1,000'' in section 
catchline, opening par., and par. (2), and inserted ``, unless otherwise 
provided by law,'' before ``sell the articles'' in par. (4).


                    Effective Date of 1986 Amendment

    Section 1566(e) of Pub. L. 99-514 provided that: ``The amendments 
made by this section [amending this section and section 7103 of this 
title] shall take effect on the date of the enactment of this Act [Oct. 
22, 1986].''


                    Effective Date of 1958 Amendments

    Amendment by Pub. L. 85-866 effective Aug. 17, 1954, see section 
1(c)(2) of Pub. L. 85-866, set out as a note under section 165 of this 
title.
    Amendment by Pub. L. 85-859 effective Sept. 3, 1958, see section 
210(a)(1) of Pub. L. 85-859, set out as an Effective Date note under 
section 5001 of this title.

                  Section Referred to in Other Sections

    This section is referred to in section 7103 of this title.
