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103D CONGRESS

1ST SESSION H. R. 2417

To reform certain statutes regarding civil asset forfeiture.

IN THE HOUSE OF REPRESENTATIVES

JUNE 15, 1993

Mr. HYDE introduced the following bill; which was referred jointly to the

Committees on the Judiciary and Ways and Means

A BILL

To reform certain statutes regarding civil asset forfeiture.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Civil Asset Forfeiture

5 Reform Act’’.

6 SEC. 2. LIMITATION OF CUSTOMS AND TAX EXEMPTION

7 UNDER THE TORT CLAIMS PROCEDURES.

8 Section 2680(c) of title 28, United States Code, is

9 amended—

10 (1) by striking ‘‘law-enforcement’’ and inserting

11 ‘‘law enforcement’’; and
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1 (2) by inserting before the period the following:

2 ‘‘, except that the provisions of this chapter and sec3 tion 1346(b) of this title shall apply to any claim

4 based on the negligent destruction, injury, or loss of

5 goods or merchandise (including real property) while

6 in the possession of any officer of customs or excise

7 or any other law enforcement officer’’.

8 SEC. 3. LONGER PERIOD FOR FILING CLAIMS IN CERTAIN

9 IN REM PROCEEDINGS.

10 Paragraph (6) of Rule C of the Supplemental Rules

11 for Certain Admiralty and Maritime Claims to the Federal

12 Rules of Civil Procedures (28 U.S.C. Appendix) is amend13 ed by striking out ‘‘10 days’’ and inserting ‘‘60 days’’.

14 SEC. 4. BURDEN OF PROOF IN FORFEITURE PROCEEDINGS.

15 Section 615 of the Tariff Act of 1930 (19 U.S.C.

16 1615) is amended to read as follows:

17 ‘‘SEC. 615. BURDEN OF PROOF IN FORFEITURE PROCEED18 INGS.

19 ‘‘In—

20 ‘‘(1) all suits or actions (other than those aris21 ing under section 592) brought for the forfeiture of

22 any vessel, vehicle, aircraft, merchandise, or baggage

23 seized under the provisions of any law relating to the

24 collection of duties on imports or tonnage; and
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1 ‘‘(2) in all suits or actions brought for the re2 covery of the value of any vessel, vehicle, aircraft,

3 merchandise, or baggage, because of violation of any

4 such law;

5 the burden of proof is on the United States Government

6 to establish, by clear and convincing evidence, that the

7 property was subject to forfeiture.’’.

8 SEC. 5. CLAIM AFTER SEIZURE.

9 Section 608 of the Tariff Act of 1930 (19 U.S.C.

10 1608) is amended to read as follows:

11 ‘‘SEC. 608. SEIZURE; CLAIMS; REPRESENTATION.

12 ‘‘(a) IN GENERAL.—Any person claiming such vessel,

13 vehicle, aircraft, merchandise, or baggage may at any time

14 within 60 days from the date of the first publication of

15 the notice of seizure file with the appropriate customs offi16 cer a claim stating his interest therein. Upon the filing

17 of such claim, the customs officer shall transmit such

18 claim, with a duplicate list and description of the articles

19 seized, to the United States attorney for the district in

20 which seizure was made, who shall proceed to a condemna21 tion of the merchandise or other property in the manner

22 prescribed by law.

23 ‘‘(b) COURT-APPOINTED REPRESENTATION.—If the

24 person filing a claim under subsection (a), or a claim re25 garding seized property under any other provision of law
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1 that incorporates by reference the seizure, forfeiture, and

2 condemnation procedures of the customs laws, is finan3 cially unable to obtain representation of counsel, the court

4 may appoint appropriate counsel to represent that person

5 with respect to the claim. The court shall set the com6 pensation for that representation, which shall—

7 ‘‘(1) be equivalent to that provided for court-ap8 pointed representation under section 3006A of title

9 18, United States Code, and

10 ‘‘(2) be paid from the Justice Assets Forfeiture

11 Fund established under section 524 of title 28, Unit12 ed States Code.’’.

13 SEC. 6. RELEASE OF SEIZED PROPERTY FOR SUBSTANTIAL

14 HARDSHIP.

15 Section 614 of the Tariff Act of 1930 (19 U.S.C.

16 1614) is amended—

17 (1) by inserting before the first word in the sec18 tion the following: ‘‘(a) RELEASE UPON PAY19 MENT.—’’; and

20 (2) by adding at the end the following new sub21 section:

22 ‘‘(b) RELEASE OF SEIZED PROPERTY FOR SUBSTAN23 TIAL HARDSHIP.—

24 ‘‘(1) REQUEST FOR RELEASE.—A claimant is

25 entitled to immediate release of seized property if
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1 continued possession by the United States Govern2 ment would cause the claimant substantial hardship.

3 A claimant seeking release of property under this

4 subsection must request possession of the property

5 from the appropriate customs officer, and the re6 quest must set forth the basis therefor. If within 10

7 days after the date of the request the property has

8 not been released, the claimant may file a complaint

9 in any district court that would have jurisdiction of

10 forfeiture proceedings relating to the property set11 ting forth—

12 ‘‘(A) the nature of the claim to the seized

13 property;

14 ‘‘(B) the reason why the continued posses15 sion by the United States Government pending

16 the final disposition of forfeiture proceedings

17 will cause substantial hardship to the claimant;

18 and

19 ‘‘(C) the steps the claimant has taken to

20 secure release of the property from the appro21 priate customs officer.

22 ‘‘(2) RETURN OF PROPERTY.—If a complaint is

23 filed under paragraph (1), the district court shall

24 order that the property be returned to the claimant,

25 pending completion of proceedings by the United
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1 States Government to obtain forfeiture of the prop2 erty, if the claimant shows that—

3 ‘‘(A) the claimant is likely to demonstrate

4 a possessory interest in the seized property; and

5 ‘‘(B) continued possession by the United

6 States Government of the seized property is

7 likely to cause substantial hardship to the

8 claimant.

9 The court may place such conditions on release of

10 the property as it finds are appropriate to preserve

11 the availability of the property or its equivalent for

12 forfeiture.

13 ‘‘(3) TIME FOR DECISION.—The district court

14 shall render a decision on a complaint filed under

15 paragraph (2) no later than 30 days after the date

16 of the filing, unless such 30-day limitation is ex17 tended by consent of the parties or by the court for

18 good cause shown.’’.

19 SEC. 7. JUSTICE ASSETS FORFEITURE FUND.

20 Section 524(c) of title 28, United States Code, is

21 amended—

22 (1) by striking out ‘‘law enforcement pur23 poses—’’ in the matter preceding subparagraph (A)

24 in paragraph (1) and inserting ‘‘purposes—’’;
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1 (2) by redesignating subparagraphs (H) and (I)

2 in paragraph (1) as subparagraphs (I) and (J), re3 spectively;

4 (3) by inserting after subparagraph (G) of

5 paragraph (1) the following new subparagraph:

6 ‘‘(H) payment of court-awarded compensation

7 for representation of claimants pursuant to section

8 608(b) of the Tariff Act of 1930;’’; and

9 (4) by striking out ‘‘(H)’’ in subparagraph (A)

10 of paragraph (9) and inserting ‘‘(I)’’.

11 SEC. 8. CLARIFICATION REGARDING FORFEITURES UNDER

12 THE CONTROLLED SUBSTANCES ACT.

13 Section 511(a)(7) of the Controlled Substances Act

14 (21 U.S.C. 881(a)(7)) is amended by striking out ‘‘with15 out the knowledge or consent of that owner.’’ and insert16 ing ‘‘either without the knowledge of that owner or with17 out the consent of that owner.’’.

18 SEC. 9. APPLICABILITY.

19 The amendments made by this Act apply with respect

20 to claims, suits, and actions filed on or after the date of

21 the enactment of this Act.

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