I
103D CONGRESS
1ST SESSION
H. R. 3347
To reform the laws relating to forfeitures.
IN THE HOUSE OF REPRESENTATIVES
OCTOBER 22, 1993
Mr. CONYERS introduced the following bill; which was referred jointly to the
Committees on Ways and Means, the Judiciary, and Energy and Commerce
A BILL
To reform the laws relating to forfeitures.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Asset Forfeiture
Justice Act’’.
SEC. 2. REQUIRE CONVICTION.
(a) TARIFF ACT OF 1930.—Section 604 of the Tariff
Act of 1930 (19 U.S.C. 1604) is amended by adding at
the end the following new sentence: ‘‘Proceedings for the
forfeiture of property, other than of merchandise upon
which the duties have not been paid or which has been
otherwise brought into the United States unlawfully, shall
be conducted only upon conviction of the owner of such
property for the crime upon which the forfeiture is
based.’’.
(b) TITLE 18, UNITED STATES CODE.—Subsection
(c) of section 1082 of title 18, United States Code, is
amended to read as follows:
‘‘(c) Whoever, being (1) the owner of an American
vessel, or (2) the owner of any vessel under or within the
jurisdiction of the United States, or (3) the owner of any
vessel and being an American citizen, uses, or knowingly
permits the use of, such vessel in violation of this section
shall upon conviction, in addition to any other penalties
provided by this chapter, forfeit such vessel, together with
her tackle, apparel, and furniture, to the United States.’’.
SEC. 3. NOTICE.
Section 607(a) of the Tariff Act of 1930 (19 U.S.C.
1607(a)) is amended by adding at the end the following
new sentence: ‘‘Such notice shall be sent not later than
60 days after the seizure to any possessor, owner, or other
interested party (including any lienholder).’’.
SEC. 4. BURDEN OF PROOF.
Section 615 of the Tariff Act of 1930 (19 U.S.C.
1615) is amended to read as follows:
‘‘SEC. 615. BURDEN OF PROOF IN FORFEITURE PROCEED-
INGS.
‘‘In—
‘‘(1) all suits or actions (other than those aris-
ing under section 592) brought for forfeiture of any
vessel, vehicle, aircraft, merchandise, or baggage
seized under the provisions of any law relating to the
collection of duties on imports or tonnage; and
‘‘(2) in all suits or actions brought for the re-
covery of the value of any vessel, vehicle, aircraft,
merchandise, or baggage, because of violation of any
such law;
the burden of proof is on the United States Government
to establish, by clear and convincing evidence, that the
property was subject to forfeiture.’’.
SEC. 5. PRELIMINARY HEARING.
(a) 
CONTROLLED
SUBSTANCES
ACT.—Section
511(b) of the Controlled Substances Act (21 U.S.C.
881(b)) is amended to read as follows:
‘‘(b)(1) Any property subject to civil forfeiture to the
United States under this section may be seized by the At-
torney General upon order of the District Court of the
United States in which the property is located or the
owner of such property is found.
‘‘(2) The court may issue an order under subsection
(a)(1) if it determines, after notice to persons appearing
to have an interest in the property and opportunity for
hearing, that—
‘‘(A) there is a substantial probability that the
United States will prevail on the issue of forfeiture
and that failure to enter the order will result in the
property being destroyed, removed from the jurisdic-
tion of the court, or otherwise made unavailable for
forfeiture; and
‘‘(B) the need to preserve the availability of the
property through the entry of the requested order
outweighs the hardship to any party of interest.
‘‘(3) A seizure without such order may be made
when—
‘‘(A) the seizure is incident to an arrest or a
search under a search warrant or an inspection
under an administrative inspection warrant;
‘‘(B) the property subject to seizure has been
the subject of a prior judgment in favor of the
United States in a criminal injunction or forfeiture
proceeding under this subchapter;
‘‘(C) there is probable cause to believe that the
property is directly or indirectly dangerous to health
or safety; or
‘‘(D) there is probable cause to believe that the
delay occasioned by the need to secure an order will
frustrate the seizure. Any officer having made a sei-
zure under the authority of this subparagraph shall,
as practicable thereafter, apply for an order under
subsection (b)(1); the property must be released to
the owner of such property immediately if the order
is denied.’’.
(b) TITLE 18, UNITED STATES CODE.—Section
981(b) of title 18, United States Code, is amended to read
as follows:
‘‘(b)(1) Any property subject to civil forfeiture to the
United States under subsection (a)(2) may be seized by
the Attorney General upon order of the District Court of
the United States in which the property is located or the
owner of such property is found.
‘‘(2) The court may issue an order under subsection
(b)(1) if it determines, after notice to persons appearing
to have an interest in the property and opportunity for
hearing, that—
‘‘(A) there is a substantial probability that the
United States will prevail on the issue of forfeiture
and that failure to enter the order will result in the
property being destroyed, removed from the jurisdic-
tion of the court, or otherwise made unavailable for
forfeiture; and
‘‘(B) the need to preserve the availability of the
property through the entry of the requested order
outweighs the hardship to any party of interest.
‘‘(3) A seizure without such order may be made
when—
‘‘(A) the seizure is incident to an arrest or a
search under a search warrant or an inspection
under an administrative inspection warrant;
‘‘(B) the property subject to seizure has been
the subject of a prior judgment in favor of the
United States in a criminal injunction or forfeiture
proceeding under this subchapter;
‘‘(C) there is probable cause to believe that the
property is directly or indirectly dangerous to health
or safety; or
‘‘(D) there is probable cause to believe that the
delay occasioned by the need to secure an order will
frustrate the seizure. Any officer having made a sei-
zure under the authority of this subparagraph shall,
as practicable thereafter, apply for an order under
subsection (b)(1); the property must be released to
the owner of such property immediately if the order
is denied.’’.
(c) TARIFF ACT OF 1930.—(1) Section 603(a) of the
Tariff Act of 1930 (19 U.S.C. 1603(a)) is amended to
read as follows:
‘‘(a) PROCESS FOR SEIZURE.—
‘‘(1) IN GENERAL.—Any property which is sub-
ject to forfeiture to the United States for violations
of the customs law and which is not subject to
search and seizure in accordance with provisions of
section 595, may be seized by the appropriate officer
or person upon process issued under paragraph (2).
‘‘(2) PROCEDURES.—
‘‘(A) SEIZURE UNDER ORDER.—Any prop-
erty subject to forfeiture under the customs
laws of the United States may be seized by the
Attorney General upon order of the District
Court of the United States in which the prop-
erty is located or the owner of such property is
found.
‘‘(B) DETERMINATIONS.—The court may
issue an order under paragraph (1) if it deter-
mines, after notice to persons appearing to have
an interest in the property and opportunity for
hearing, that—
‘‘(i) there is a substantial probability
that the United States will prevail on the
issue of forfeiture and that failure to enter
the order will result in the property being
destroyed, removed from the jurisdiction of
the court, or otherwise made unavailable
for forfeiture; and
‘‘(ii) the need to preserve the avail-
ability of the property through the entry of
the requested order outweighs the hardship
to any party of interest.
‘‘(C) SEIZURE
WITHOUT
ORDER.—A sei-
zure without such order may be made when—
‘‘(i) the seizure is incident to an ar-
rest or a search under a search warrant or
an inspection under an administrative in-
spection warrant;
‘‘(ii) the property subject to seizure
has been the subject of a prior judgment
in favor of the United States in a criminal
injunction or forfeiture proceeding under
this subchapter;
‘‘(iii) there is probable cause to believe
that the property is directly or indirectly
dangerous to health or safety; or
‘‘(iv) there is probable cause to believe
that the delay occasioned by the need to
secure an order will frustrate the seizure.
Any officer having made a seizure under the
authority of this subparagraph shall, as prac-
ticable thereafter, apply for an order under
paragraph (1). Any property so seized must be
released to the owner of such property imme-
diately if the order is denied.’’.
(2) Section 595(a)(1) of the Tariff Act of 1930 (19
U.S.C. 1595(a)(1)) is amended by adding at the end the
following: ‘‘Any seizure of property described in paragraph
(1)(B) of this section must be authorized under section
603(a).
SEC. 6. ELIMINATION OF BOND; ADEQUATE REPRESENTA-
TION.
Section 608 of the Tariff Act of 1930 (19 U.S.C.
1608) is amended to read as follows:
‘‘SEC. 608. SEIZURE; CLAIMS.
‘‘(a) Any person claiming such vessel, vehicle, air-
craft, merchandise, or baggage may at any time within
60 days from the date of the first publication of the notice
of seizure, file with the appropriate customs officer a claim
stating his interest therein. Upon the filing of such claim,
the customs officer shall transmit such claim, with a
duplicate list and description of the articles seized, to the
United States attorney for the district in which seizure
was made, who shall proceed to a condemnation of the
merchandise or other property in the manner prescribed
by law.
‘‘(b) If the person filing a claim under subsection (a),
or a claim regarding seized property under any other pro-
vision of law that incorporates by reference the seizure,
forfeiture, and condemnation procedures of the customs
laws, is financially unable to obtain representation of
counsel, the court may appoint appropriate counsel to rep-
resent that person with respect to the claim. The court
shall set the compensation for that representation, which
shall—
‘‘(1) be equivalent to that provided for court-ap-
pointed representation under section 3006A of title
18, United State Code, and
‘‘(2) be paid from the Justice Assets Forfeiture
Fund established under section 524 of title 28,
United States Code.’’.
SEC. 7. RIGHT TO JURY TRIALS.
Section 610 of the Tariff Act of 1930 (19 U.S.C.
1610) is amended to read as follows:
‘‘SEC. 610. SEIZURE; JUDICIAL FORFEITURE PROCEEDINGS;
TIMELINESS; RIGHT TO JURY TRIALS.
‘‘(a) If any vessel, vehicle, aircraft, merchandise, or
baggage is not subject to section 607, or in any case upon
the filing of a claim pursuant to section 608 of this Act,
the appropriate customs officer shall transmit a report of
the case, with the names of available witnesses, to the
United States Attorney for the district in which the sei-
zure was made, or in which the property is located or the
owner of such property is found, for the institution of the
proper proceedings for the condemnation of such property.
‘‘(b) No action to forfeit property shall be brought
more than 1 year from the date of the offense that is the
basis for the forfeiture, or when a stay has been granted
during the pendency of criminal proceedings, from the
date of the completion of such proceedings.
‘‘(c) In the proceedings in such cases, either party
may demand trial by jury of any issue of fact joined in
the case.’’.
SEC. 8. ATTORNEYS’ FEES.
(a) TITLE 18, UNITED STATES CODE.—(1) Section
981(a)(2) of title 18, United States Code, is amended to
read as follows:
‘‘(2) No property shall be forfeited under this section
to the extent of the interest of an owner or lienholder by
reason of any act or omission established by that owner
or lienholder to have been committed without the knowl-
edge of that owner or lienholder; nor shall any property
which has been paid or pledged as bona fide attorneys’
fees be forfeited under this section.’’.
(2) Section 1963(c) of title 18, United States Code,
is amended by—
(A) striking the period at the end and inserting
a comma; and
(B) adding at the end the following: ‘‘or that he
received or has been pledged the property as bona
fide attorneys’ fees.’’.
(3) Section 1963(l)(6)(B) of title 18, United States
Code, is amended by inserting before the semicolon at the
end the following: ‘‘or the petitioner received or has been
pledged the property as bona fide attorneys’ fees’’.
(b) CONTROLLED SUBSTANCES ACT.—
(1) Section 413(n)(6)(B) of the Controlled Sub-
stances Act (21 U.S.C. 853(n)(6)(B)) is amended by
adding at the end the following: ‘‘or the petitioner
received or has been pledged the property as bona
fide attorneys’ fees;’’.
(2) Section 511(a) of the Controlled Substances
Act (21 U.S.C. 881(a)), as amended by section 13,
is further amended by adding at the end the follow-
ing new paragraph:
‘‘(12) No property received or pledged as bona
fide attorneys’ fees shall be forfeited under this sec-
tion.’’.
SEC. 9. IN PERSONAM.
Section 1082(c) of title 18, United States Code, is
amended to read as follows:
‘‘(c) Whoever, being (1) the owner of an American
vessel, or (2) the owner of any vessel under or within the
jurisdiction of the United States, or (3) the owner of any
vessel and being an American citizen, shall use, or know-
ingly permit the use of, such vessel in violation of any pro-
vision of this section shall upon conviction, in addition to
any other penalties provided by this chapter, forfeit such
vessel, together with her tackle, apparel, and furniture, to
the United States. The Attorney General may institute
proceedings against the owner to recover such vessel and
her tackle, apparel, and furniture in the United States
District Court for the district in which the owner is or
in which the vessel is located.’’.
SEC. 10. FILING DEADLINE.
Paragraph (6) of Rule C of the Supplemental Rules
for Certain Admiralty and Maritime Claims to the Federal
Rules of Civil Procedures (28 U.S.C. Appendix) is amend-
ed by striking out ‘‘10 days’’ and inserting ‘‘60 days’’.
SEC. 11. PROPORTIONALITY.
(a) CIVIL FORFEITURES UNDER THE CONTROLLED
SUBSTANCES ACT.—Section 511(a) of the Controlled Sub-
stances Act (21 U.S.C. 881(a)), as amended by section
13, is further amended by striking ‘‘The’’ and inserting:
‘‘Except that the value of the property forfeited under this
section may not exceed the pecuniary gain derived from
the offense or the pecuniary loss caused by the offense,
the’’.
(b) CRIMINAL FORFEITURES UNDER
THE CON-
TROLLED SUBSTANCES ACT.—Section 413(a) of the Con-
trolled Substance Act (21 U.S.C. 853(a)) is amended by
striking the last sentence and inserting the following:
‘‘The value of the property forfeited under this section
may not exceed the pecuniary gain derived from the of-
fense or the pecuniary loss caused by the offense.’’.
SEC. 12. ELIMINATION OF THE RELATION-BACK DOCTRINE.
(a) GENERAL TITLE 18, CIVIL FORFEITURE.—Sec-
tion 981(f) of title 18, United States Code, is amended
to read as follows:
‘‘(f) All right, title, and interest in property described
in subsection (a) of this section shall vest in the United
States upon administrative or judicial declaration of for-
feiture.’’.
(b) RICO FORFEITURES.—Section 1963(c) of title
18, United States Code, is amended to read as follows:
‘‘(c) All right, title, and interest in property described
in subsection (a) of this section shall vest in the United
States upon return of a special verdict of forfeiture.’’.
(c) CONTROLLED SUBSTANCES ACT.—(1) Section
413(c) of the Controlled Substances Act (21 U.S.C.
853(c)) is amended to read as follows:
‘‘(c) VESTING OF TITLE IN THE UNITED STATES.—
All right, title, and interest in property described in sub-
section (a) of this section vests in the United States upon
return of a special verdict of forfeiture.’’.
(2) Section 511(h) of the Controlled Substances Act
(21 U.S.C. 881(h)) is amended to read as follows:
‘‘(h) VESTING OF TITLE IN THE UNITED STATES.—
All right, title, and interest in property described in sub-
section (a) of this section shall vest in the United States
upon administrative or judicial declaration of forfeiture.’’.
SEC. 13. PROPERTY SUBJECT TO SEIZURE.
(a) CRIMINAL FORFEITURE UNDER CONTROLLED
SUBSTANCES ACT.—Section 413(a)(2) of the Controlled
Substances Act (21 U.S.C. 853(a)(2)) is amended to read
as follows:
‘‘(2) any of the person’s property primarily
used to commit such violation; and’’.
(b) CIVIL FORFEITURE UNDER CONTROLLED SUB-
STANCES ACT.—Section 511(a) of the Controlled Sub-
stance Act (21 U.S.C. 881(a)) is amended to read as fol-
lows:
‘‘(a) PROPERTY SUBJECT TO SEIZURE.—The follow-
ing shall be subject to forfeiture to the United States upon
conviction of the owner of such property of a violation of
this title and no property right shall exist in them:
‘‘(1) All controlled substances which have been
manufactured, distributed, dispensed, or acquired in
violation of this title.
‘‘(2) All raw materials, products, and equip-
ment of any kind which are used, or intended for
use, in manufacturing, compounding, processing, de-
livering, importing, or exporting any controlled sub-
stance in violation of this title.
‘‘(3) All property which is used, or intended for
use, as a container for property described in para-
graph (1).
‘‘(4) All conveyances, including aircraft, vehi-
cles, or vessels, which are used primarily to trans-
port or concealment of property described in para-
graph (1), except that—
‘‘(A) no conveyance used by any person as
a common carrier in the transaction of business
as a common carrier shall be forfeited under
the provisions of this section unless it shall ap-
proceeds traceable to such exchange, except that no
property shall be forfeited under this paragraph, to
the extent of the interest of an owner, by reason of
any act or omission established by that owner to
have been committed or omitted without the knowl-
edge or consent of that owner.
‘‘(7) All parts of real property used primarily to
commit a violation of this title punishable by more
than 1 year’s imprisonment, except that no property
shall be forfeited under this paragraph, to the extent
of an interest of an owner, by reason of any act or
omission established by that owner to have been
committed or omitted without the knowledge or con-
sent of that owner.
‘‘(8) All controlled substances which have been
possessed in violation of this title.
‘‘(9) All listed chemicals, all drug manufactur-
ing equipment, all tableting machines, all encap-
sulating machines, and all gelatin capsules, which
have been imported, exported, manufactured, pos-
sessed, distributed, or intended to be distributed, im-
ported, or exported, in violation of a felony provision
of this title or title II.
‘‘(10) Any drug paraphernalia (as defined in
section 1822 of the Anti-Drug Abuse Act of 1986
(21 U.S.C. 863)).
‘‘(11) Any firearm (as defined in section 921 of
title 18) used or intended to be used to facilitate the
transportation, sale, receipt, possession, or conceal-
ment of property described in paragraph (1) or (2)
and any proceeds traceable to such property.’’.
SEC. 14. FORFEITURE PROCEEDS TO STATE TREASURIES.
(a) TARIFF ACT OF 1930.—Section 616(c)(1)(B)(ii)
of the Tariff Act of 1930 (19 U.S.C. 1616a(c)(1)(B)(ii)
is amended to read as follows:
‘‘(ii) any State or local law enforce-
ment agency that participated directly or
indirectly in the seizure or forfeiture of the
property for disposition according to State
law.’’.
(b) TITLE 18, UNITED STATES CODE.—Section
981(e)(2) of title 18, United States Code, is amended to
read as follows:
‘‘(2) to any State or local enforcement agency,
which participated directly in any of the acts which
lead to the seizure or forfeiture of the property, for
disposition according to State law.’’.
(c) 
CONTROLLED
SUBSTANCES
ACT.—Section
511(e)(1)(A) of the Controlled Substances Act (21 U.S.C.
881(e)(1)(A)) is amended to read as follows:
‘‘(A) retain the property for official use or,
in the manner provided with respect to trans-
fers under section 616 of the Tariff Act of
1930 (19 U.S.C. 1616a), transfer the property
to any Federal agency, or to any State or local
law enforcement agency which participated di-
rectly in the seizure or forfeiture of the prop-
erty for disposition according to State law;’’.
SEC. 15. EXPANDED USES OF FORFEITURE PROCEEDS.
Section 524(c) of title 28, United States Code, is
amended by adding at the end the following new para-
graph:
‘‘(13)(A) In addition to the purposes under para-
graph (1), the fund shall be available to the Attorney Gen-
eral for community-based crime control programs (includ-
ing private, nonprofit programs) for drug education, pre-
vention, and treatment, with amounts for such programs
to be distributed, in accordance with criteria determined
by the State, with priority given to the communities in
which the assets involved are seized.
‘‘(B) Not less than 50 percent of the total of the
amounts disbursed for all purposes under this section in
a fiscal year shall be for programs referred to in subpara-
graph (A). Not more than 10 percent of the total dis-
bursed for such programs may be used for administrative
costs.’’.
SEC. 16. PAYMENT OF INFORMANTS.
(a) TARIFF ACT OF 1930.—(1) Section 619(c) of the
Tariff Act of 1930 (19 U.S.C. 1619(c)) is amended to
read as follows:
‘‘(c) DOLLAR
LIMITATION.—No person may be
awarded or paid more than $250,000 in any year under
this section.’’.
(2) Section 413(i)(3) of the Controlled Substances
Act (21 U.S.C. 853(i)(3)), is amended by inserting before
the semicolon at the end the following: ‘‘, except that, no
person may be awarded or paid more than $250,000 in
any year under this section’’.
(b) TITLE 18, UNITED STATES CODE.—Section
1963(g)(3) of title 18, United States Code, is amended
by inserting after ‘‘section’’ the following: ‘‘, except that
no person may be awarded or paid more than $250,000
in any year under this section, or any other law of the
United States providing for moieties or awards of com-
pensation to informers in cases involving forfeiture’’.
(c) TITLE 28, UNITED STATES CODE.—Section
524(c)(2) of title 28, United States Code, is amended to
read as follows:
‘‘(2) Any award paid from the Fund for infor-
mation, as provided in paragraph (1)(B) or (C),
shall be paid at the discretion of the Attorney Gen-
eral or his delegate, under existing departmental del-
egation policies for the payment of awards, except
that no person may be awarded or paid more than
$250,000 in any year under this section. The Attor-
ney General shall publish data annually regarding
amounts of awards paid by the United States.’’.
(d) TITLE 31, UNITED STATES CODE.—Section
9703(b) of title 31, United States Code, is amended by
adding following new subsection:
‘‘(6) No person may be awarded or paid more
than $250,000 in any year under subsection
(a)(1)(C) or (a)(2)(A), or any law of the United
States providing for moieties or awards of com-
pensation to informers in criminal cases.’’.
SEC. 17. ADOPTIVE SEIZURE.
(a) 
CONTROLLED
SUBSTANCES
ACT.—Section
511(e)(3) of the Controlled Substances Act (21 U.S.C
881(e)(3)) is amended—
(1) by striking ‘‘and’’ at the end of subpara-
graph (A);
(2) by striking the period and inserting ‘‘; and’’
at the end of subparagraph (B); and
(3) by inserting after subparagraph (B) the fol-
lowing:
‘‘(C) is not so transferred to circumvent
any requirement of State law that prohibits for-
feiture or limits use or disposal of property for-
feited to State or local agencies.’’.
(b) TITLE 31, UNITED STATES CODE.—Section
9703(b)(4) of title 31, United States Code, is amended—
(1) by striking ‘‘and’’ at the end of subpara-
graph (A);
(2) by striking the period and inserting ‘‘; and’’
at the end of subparagraph (B); and
(3) by inserting after subparagraph (B) the fol-
lowing:
‘‘(C) is not so transferred to circumvent
any requirement of State law that prohibits for-
feiture or limits use or disposal or property for-
feited to State or local agencies.’’.
SEC. 18. REPORTING REQUIREMENTS.
Section 616(c) of the Tariff Act of 1930 (19 U.S.C.
1616a(c)) is amended by adding at the end the following: