
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 28USC3304]

 
               TITLE 28--JUDICIARY AND JUDICIAL PROCEDURE
 
                     PART VI--PARTICULAR PROCEEDINGS
 
             CHAPTER 176--FEDERAL DEBT COLLECTION PROCEDURE
 
           SUBCHAPTER D--FRAUDULENT TRANSFERS INVOLVING DEBTS
 
Sec. 3304. Transfer fraudulent as to a debt to the United States

    (a) Debt Arising Before Transfer.--Except as provided in section 
3307, a transfer made or obligation incurred by a debtor is fraudulent 
as to a debt to the United States which arises before the transfer is 
made or the obligation is incurred if--
        (1)(A) the debtor makes the transfer or incurs the obligation 
    without receiving a reasonably equivalent value in exchange for the 
    transfer or obligation; and
        (B) the debtor is insolvent at that time or the debtor becomes 
    insolvent as a result of the transfer or obligation; or
        (2)(A) the transfer was made to an insider for an antecedent 
    debt, the debtor was insolvent at the time; and
        (B) the insider had reasonable cause to believe that the debtor 
    was insolvent.

    (b) Transfers Without Regard to Date of Judgment.--(1) Except as 
provided in section 3307, a transfer made or obligation incurred by a 
debtor is fraudulent as to a debt to the United States, whether such 
debt arises before or after the transfer is made or the obligation is 
incurred, if the debtor makes the transfer or incurs the obligation--
        (A) with actual intent to hinder, delay, or defraud a creditor; 
    or
        (B) without receiving a reasonably equivalent value in exchange 
    for the transfer or obligation if the debtor--
            (i) was engaged or was about to engage in a business or a 
        transaction for which the remaining assets of the debtor were 
        unreasonably small in relation to the business or transaction; 
        or
            (ii) intended to incur, or believed or reasonably should 
        have believed that he would incur, debts beyond his ability to 
        pay as they became due.

    (2) In determining actual intent under paragraph (1), consideration 
may be given, among other factors, to whether--
        (A) the transfer or obligation was to an insider;
        (B) the debtor retained possession or control of the property 
    transferred after the transfer;
        (C) the transfer or obligation was disclosed or concealed;
        (D) before the transfer was made or obligation was incurred, the 
    debtor had been sued or threatened with suit;
        (E) the transfer was of substantially all the debtor's assets;
        (F) the debtor absconded;
        (G) the debtor removed or concealed assets;
        (H) the value of the consideration received by the debtor was 
    reasonably equivalent to the value of the asset transferred or the 
    amount of the obligation incurred;
        (I) the debtor was insolvent or became insolvent shortly after 
    the transfer was made or the obligation was incurred;
        (J) the transfer occurred shortly before or shortly after a 
    substantial debt was incurred; and
        (K) the debtor transferred the essential assets of the business 
    to a lienor who transferred the assets to an insider of the debtor.

(Added Pub. L. 101-647, title XXXVI, Sec. 3611, Nov. 29, 1990, 104 Stat. 
4961.)

                  Section Referred to in Other Sections

    This section is referred to in sections 3303, 3306, 3307 of this 
title.
