The civil fraud statute has been applied by the Customs Service in cases involving individuals and companies in the United States and abroad that have negligently or intentionally provided false information concerning importations into the United States. A criminal fraud statute also provides for sanctions to those presenting false information to Customs officers. Title 18, United States Code, Section 542, provides a maximum of two years' imprisonment, a fine, or both, for each violation involving an importation or attempted importation. Both the civil and criminal fraud statutes were enacted by Congress to discourage persons from evading the payment of lawful duties owed to the United States, although these laws apply today whether or not the United States is deprived of lawful duties. Importation fraud violations are included as specified unlawful activities or predicate offenses within the Money Laundering Control Act.
Rewards are applicable in many instances associated with the reporting of fraud.