In the Senate of the United States,
March 27, 2000.
Resolved, That the bill from the House of Representa-
tives (H.R. 1658) entitled ‘‘An Act to provide a more just
and uniform procedure for Federal civil forfeitures, and for
other purposes.’’, do pass with the following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Civil Asset Forfeiture Reform Act of 2000’’.
(b) TABLE OF CONTENTS.—The table of contents for
this Act is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Creation of general rules relating to civil forfeiture proceedings.
Sec. 3. Compensation for damage to seized property.
Sec. 4. Attorney fees, costs, and interest.
Sec. 5. Seizure warrant requirement.
Sec. 6. Use of forfeited funds to pay restitution to crime victims.
Sec. 7. Civil forfeiture of real property.
Sec. 8. Stay of civil forfeiture case.
Sec. 9. Civil restraining orders.
Sec. 10. Cooperation among Federal prosecutors.
Sec. 11. Statute of limitations for civil forfeiture actions.
Sec. 12. Destruction or removal of property to prevent seizure.
Sec. 13. Fungible property in bank accounts.
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Sec. 14. Fugitive disentitlement.
Sec. 15. Enforcement of foreign forfeiture judgment.
Sec. 16. Encouraging use of criminal forfeiture as an alternative to civil for-
feiture.
Sec. 17. Access to records in bank secrecy jurisdictions
Sec. 18. Application to alien smuggling offenses.
Sec. 19. Enhanced visibility of the asset forfeiture program.
Sec. 20. Proceeds.
Sec. 21. Effective date.
SEC. 2. CREATION OF GENERAL RULES RELATING TO CIVIL
FORFEITURE PROCEEDINGS.
(a) IN GENERAL.—Chapter 46 of title 18, United
States Code, is amended by inserting after section 982 the
following:
‘‘§ 983. General rules for civil forfeiture proceedings
‘‘(a) NOTICE; CLAIM; COMPLAINT.—
‘‘(1)(A)(i) Except as provided in clauses (ii)
through (v), in any nonjudicial civil forfeiture pro-
ceeding under a civil forfeiture statute, with respect
to which the Government is required to send written
notice to interested parties, such notice shall be sent
in a manner to achieve proper notice as soon as prac-
ticable, and in no case more than 60 days after the
date of the seizure.
‘‘(ii) No notice is required if, before the 60-day
period expires, the Government files a civil judicial
forfeiture action against the property and provides
notice of that action as required by law.
‘‘(iii) If, before the 60-day period expires, the
Government does not file a civil judicial forfeiture ac-
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‘‘(v) otherwise seriously jeopardizing an in-
vestigation or unduly delaying a trial.
‘‘(E) Each of the Federal seizing agencies con-
ducting nonjudicial forfeitures under this section shall
report periodically to the Committees on the Judici-
ary of the House of Representatives and the Senate
the number of occasions when an extension of time is
granted under subparagraph (B).
‘‘(F) If the Government does not send notice of
a seizure of property in accordance with subpara-
graph (A) to the person from whom the property was
seized, and no extension of time is granted, the Gov-
ernment shall return the property to that person
without prejudice to the right of the Government to
commence a forfeiture proceeding at a later time. The
Government shall not be required to return contra-
band or other property that the person from whom the
property was seized may not legally possess.
‘‘(2)(A) Any person claiming property seized in
a nonjudicial civil forfeiture proceeding under a civil
forfeiture statute may file a claim with the appro-
priate official after the seizure.
‘‘(B) A claim under subparagraph (A) may be
filed not later than the deadline set forth in a per-
sonal notice letter (which deadline may be not earlier
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than 35 days after the date the letter is mailed), ex-
cept that if that letter is not received, then a claim
may be filed not later than 30 days after the date of
final publication of notice of seizure.
‘‘(C) A claim shall—
‘‘(i) identify the specific property being
claimed;
‘‘(ii) state the claimant’s interest in such
property (and provide customary documentary
evidence of such interest if available) and state
that the claim is not frivolous; and
‘‘(iii) be made under oath, subject to pen-
alty of perjury.
‘‘(D) A claim need not be made in any par-
ticular form. Each Federal agency conducting non-
judicial forfeitures under this section shall make
claim forms generally available on request, which
forms shall be written in easily understandable lan-
guage.
‘‘(E) Any person may make a claim under sub-
paragraph (A) without posting bond with respect to
the property which is the subject of the claim.
‘‘(3)(A) Not later than 90 days after a claim has
been filed, the Government shall file a complaint for
forfeiture in the manner set forth in the Supplemental
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Rules for Certain Admiralty and Maritime Claims or
return the property pending the filing of a complaint,
except that a court in the district in which the com-
plaint will be filed may extend the period for filing
a complaint for good cause shown or upon agreement
of the parties.
‘‘(B) If the Government does not—
‘‘(i) file a complaint for forfeiture or return
the property, in accordance with subparagraph
(A); or
‘‘(ii) before the time for filing a complaint
has expired—
‘‘(I) obtain a criminal indictment con-
taining an allegation that the property is
subject to forfeiture; and
‘‘(II) take the steps necessary to pre-
serve its right to maintain custody of the
property as provided in the applicable
criminal forfeiture statute,
the Government shall promptly release the property
pursuant to regulations promulgated by the Attorney
General, and may not take any further action to ef-
fect the civil forfeiture of such property in connection
with the underlying offense.
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‘‘(C) In lieu of, or in addition to, filing a civil
forfeiture complaint, the Government may include a
forfeiture allegation in a criminal indictment. If
criminal forfeiture is the only forfeiture proceeding
commenced by the Government, the Government’s
right to continued possession of the property shall be
governed by the applicable criminal forfeiture statute.
‘‘(D) No complaint may be dismissed on the
ground that the Government did not have adequate
evidence at the time the complaint was filed to estab-
lish the forfeitability of the property.
‘‘(4)(A) In any case in which the Government
files in the appropriate United States district court
a complaint for forfeiture of property, any person
claiming an interest in the seized property may file
a claim asserting such person’s interest in the prop-
erty in the manner set forth in the Supplemental
Rules for Certain Admiralty and Maritime Claims,
except that such claim may be filed not later than 30
days after the date of service of the Government’s
complaint or, as applicable, not later than 30 days
after the date of final publication of notice of the fil-
ing of the complaint.
‘‘(B) A person asserting an interest in seized
property, in accordance with subparagraph (A), shall
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file an answer to the Government’s complaint for for-
feiture not later than 20 days after the date of the fil-
ing of the claim.
‘‘(b) REPRESENTATION.—
‘‘(1)(A) If a person with standing to contest the
forfeiture of property in a judicial civil forfeiture pro-
ceeding under a civil forfeiture statute is financially
unable to obtain representation by counsel, and the
person is represented by counsel appointed under sec-
tion 3006A of this title in connection with a related
criminal case, the court may authorize counsel to rep-
resent that person with respect to the claim.
‘‘(B) In determining whether to authorize coun-
sel to represent a person under subparagraph (A), the
court shall take into account such factors as—
‘‘(i) the person’s standing to contest the for-
feiture; and
‘‘(ii) whether the claim appears to be made
in good faith.
‘‘(2)(A) If a person with standing to contest the
forfeiture of property in a judicial civil forfeiture pro-
ceeding under a civil forfeiture statute is financially
unable to obtain representation by counsel, and the
property subject to forfeiture is real property that is
being used by the person as a primary residence, the
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court, at the request of the person, shall insure that
the person is represented by an attorney for the Legal
Services Corporation with respect to the claim.
‘‘(B)(i) At appropriate times during a represen-
tation under subparagraph (A), the Legal Services
Corporation shall submit a statement of reasonable
attorney fees and costs to the court.
‘‘(ii) The court shall enter a judgment in favor
of the Legal Services Corporation for reasonable attor-
ney fees and costs submitted pursuant to clause (i)
and treat such judgment as payable under section
2465 of title 28, United States Code, regardless of the
outcome of the case.
‘‘(3) The court shall set the compensation for
representation under this subsection, which shall be
equivalent to that provided for court-appointed rep-
resentation under section 3006A of this title.
‘‘(c) BURDEN OF PROOF.—In a suit or action brought
under any civil forfeiture statute for the civil forfeiture of
any property—
‘‘(1) the burden of proof is on the Government to
establish, by a preponderance of the evidence, that the
property is subject to forfeiture;
‘‘(2) the Government may use evidence gathered
after the filing of a complaint for forfeiture to estab-
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lish, by a preponderance of the evidence, that prop-
erty is subject to forfeiture; and
‘‘(3) if the Government’s theory of forfeiture is
that the property was used to commit or facilitate the
commission of a criminal offense, or was involved in
the commission of a criminal offense, the Government
shall establish that there was a substantial connection
between the property and the offense.
‘‘(d) INNOCENT OWNER DEFENSE.—
‘‘(1) An innocent owner’s interest in property
shall not be forfeited under any civil forfeiture stat-
ute. The claimant shall have the burden of proving
that the claimant is an innocent owner by a prepon-
derance of the evidence.
‘‘(2)(A) With respect to a property interest in ex-
istence at the time the illegal conduct giving rise to
forfeiture took place, the term ‘innocent owner’ means
an owner who—
‘‘(i) did not know of the conduct giving rise
to forfeiture; or
‘‘(ii) upon learning of the conduct giving
rise to the forfeiture, did all that reasonably
could be expected under the circumstances to ter-
minate such use of the property.
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‘‘(B)(i) For the purposes of this paragraph, ways
in which a person may show that such person did all
that reasonably could be expected may include dem-
onstrating that such person, to the extent permitted
by law—
‘‘(I) gave timely notice to an appropriate
law enforcement agency of information that led
the person to know the conduct giving rise to a
forfeiture would occur or has occurred; and
‘‘(II) in a timely fashion revoked or made
a good faith attempt to revoke permission for
those engaging in such conduct to use the prop-
erty or took reasonable actions in consultation
with a law enforcement agency to discourage or
prevent the illegal use of the property.
‘‘(ii) A person is not required by this subpara-
graph to take steps that the person reasonably believes
would be likely to subject any person (other than the
person whose conduct gave rise to the forfeiture) to
physical danger.
‘‘(3)(A) With respect to a property interest ac-
quired after the conduct giving rise to the forfeiture
has taken place, the term ‘innocent owner’ means a
person who, at the time that person acquired the in-
terest in the property—
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‘‘(i) was a bona fide purchaser or seller for
value (including a purchaser or seller of goods or
services for value); and
‘‘(ii) did not know and was reasonably
without cause to believe that the property was
subject to forfeiture.
‘‘(B) An otherwise valid claim under subpara-
graph (A) shall not be denied on the ground that the
claimant gave nothing of value in exchange for the
property if—
‘‘(i) the property is the primary residence of
the claimant;
‘‘(ii) depriving the claimant of the property
would deprive the claimant of the means to
maintain reasonable shelter in the community
for the claimant and all dependents residing
with the claimant;
‘‘(iii) the property is not, and is not trace-
able to, the proceeds of any criminal offense; and
‘‘(iv) the claimant acquired his or her inter-
est in the property through marriage, divorce, or
legal separation, or the claimant was the spouse
or legal dependent of a person whose death re-
sulted in the transfer of the property to the
claimant through inheritance or probate;
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except that the court shall limit the value of any real
property interest for which innocent ownership is rec-
ognized under this subparagraph to the value nec-
essary to maintain reasonable shelter in the commu-
nity for such claimant and all dependents residing
with the claimant.
‘‘(4) Notwithstanding any provision of this sub-
section, no person may assert an ownership interest
under this subsection in contraband or other property
that it is illegal to possess.
‘‘(5) If the court determines, in accordance with
this section, that an innocent owner has a partial in-
terest in property otherwise subject to forfeiture, or a
joint tenancy or tenancy by the entirety in such prop-
erty, the court may enter an appropriate order—
‘‘(A) severing the property;
‘‘(B) transferring the property to the Gov-
ernment with a provision that the Government
compensate the innocent owner to the extent of
his or her ownership interest once a final order
of forfeiture has been entered and the property
has been reduced to liquid assets; or
‘‘(C) permitting the innocent owner to re-
tain the property subject to a lien in favor of the
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Government to the extent of the forfeitable inter-
est in the property.
‘‘(6) In this subsection, the term ‘owner’—
‘‘(A) means a person with an ownership in-
terest in the specific property sought to be for-
feited, including a leasehold, lien, mortgage, re-
corded security interest, or valid assignment of
an ownership interest; and
‘‘(B) does not include—
‘‘(i) a person with only a general unse-
cured interest in, or claim against, the
property or estate of another;
‘‘(ii) a bailee unless the bailor is iden-
tified and the bailee shows a colorable legiti-
mate interest in the property seized; or
‘‘(iii) a nominee who exercises no do-
minion or control over the property.
‘‘(e) MOTION TO SET ASIDE FORFEITURE.—
‘‘(1) Any person entitled to written notice in any
nonjudicial civil forfeiture proceeding under a civil
forfeiture statute who does not receive such notice may
file a motion to set aside a declaration of forfeiture
with respect to that person’s interest in the property,
which motion shall be granted if—
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‘‘(A) the Government knew, or reasonably
should have known, of the moving party’s inter-
est and failed to take reasonable steps to provide
such party with notice; and
‘‘(B) the moving party did not know or
have reason to know of the seizure within suffi-
cient time to file a timely claim.
‘‘(2)(A) Notwithstanding the expiration of any
applicable statute of limitations, if the court grants a
motion under paragraph (1), the court shall set aside
the declaration of forfeiture as to the interest of the
moving party without prejudice to the right of the
Government to commence a subsequent forfeiture pro-
ceeding as to the interest of the moving party.
‘‘(B) Any proceeding described in subparagraph
(A) shall be commenced—
‘‘(i) if nonjudicial, within 60 days of the
entry of the order granting the motion; or
‘‘(ii) if judicial, within 6 months of the
entry of the order granting the motion.
‘‘(3) A motion under paragraph (1) may be filed
not later than 5 years after the date of final publica-
tion of notice of seizure of the property.
‘‘(4) If, at the time a motion made under para-
graph (1) is granted, the forfeited property has been
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disposed of by the Government in accordance with
law, the Government may institute proceedings
against a substitute sum of money equal to the value
of the moving party’s interest in the property at the
time the property was disposed of.
‘‘(5) A motion filed under this subsection shall be
the exclusive remedy for seeking to set aside a declara-
tion of forfeiture under a civil forfeiture statute.
‘‘(f) RELEASE OF SEIZED PROPERTY.—
‘‘(1) A claimant under subsection (a) is entitled
to immediate release of seized property if—
‘‘(A) the claimant has a possessory interest
in the property;
‘‘(B) the claimant has sufficient ties to the
community to provide assurance that the prop-
erty will be available at the time of the trial;
‘‘(C) the continued possession by the Gov-
ernment pending the final disposition of for-
feiture proceedings will cause substantial hard-
ship to the claimant, such as preventing the
functioning of a business, preventing an indi-
vidual from working, or leaving an individual
homeless;
‘‘(D) the claimant’s likely hardship from the
continued possession by the Government of the
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seized property outweighs the risk that the prop-
erty will be destroyed, damaged, lost, concealed,
or transferred if it is returned to the claimant
during the pendency of the proceeding; and
‘‘(E) none of the conditions set forth in
paragraph (8) applies.
‘‘(2) A claimant seeking release of property
under this subsection must request possession of the
property from the appropriate official, and the re-
quest must set forth the basis on which the require-
ments of paragraph (1) are met.
‘‘(3)(A) If not later than 15 days after the date
of a request under paragraph (2) the property has not
been released, the claimant may file a petition in the
district court in which the complaint has been filed
or, if no complaint has been filed, in the district court
in which the seizure warrant was issued or in the dis-
trict court for the district in which the property was
seized.
‘‘(B) The petition described in subparagraph (A)
shall set forth—
‘‘(i) the basis on which the requirements of
paragraph (1) are met; and
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‘‘(ii) the steps the claimant has taken to se-
cure release of the property from the appropriate
official.
‘‘(4) If the Government establishes that the
claimant’s claim is frivolous, the court shall deny the
petition. In responding to a petition under this sub-
section on other grounds, the Government may in ap-
propriate cases submit evidence ex parte in order to
avoid disclosing any matter that may adversely affect
an ongoing criminal investigation or pending crimi-
nal trial.
‘‘(5) The court shall render a decision on a peti-
tion filed under paragraph (3) not later than 30 days
after the date of the filing, unless such 30-day limita-
tion is extended by consent of the parties or by the
court for good cause shown.
‘‘(6) If—
‘‘(A) a petition is filed under paragraph
(3); and
‘‘(B) the claimant demonstrates that the re-
quirements of paragraph (1) have been met;
the district court shall order that the property be re-
turned to the claimant, pending completion of pro-
ceedings by the Government to obtain forfeiture of the
property.
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‘‘(7) If the court grants a petition under para-
graph (3)—
‘‘(A) the court may enter any order nec-
essary to ensure that the value of the property is
maintained while the forfeiture action is pend-
ing, including—
‘‘(i) 
permitting 
the 
inspection,
photographing, and inventory of the prop-
erty;
‘‘(ii) fixing a bond in accordance with
rule E(5) of the Supplemental Rules for
Certain Admiralty and Maritime Claims;
and
‘‘(iii) requiring the claimant to obtain
or maintain insurance on the subject prop-
erty; and
‘‘(B) the Government may place a lien
against the property or file a lis pendens to en-
sure that the property is not transferred to an-
other person.
‘‘(8) This subsection shall not apply if the seized
property—
‘‘(A) is contraband, currency, or other mon-
etary instrument, or electronic funds unless such
currency or other monetary instrument or elec-
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tronic funds constitutes the assets of a legitimate
business which has been seized;
‘‘(B) is to be used as evidence of a violation
of the law;
‘‘(C) by reason of design or other char-
acteristic, is particularly suited for use in illegal
activities; or
‘‘(D) is likely to be used to commit addi-
tional criminal acts if returned to the claimant.
‘‘(g) PROPORTIONALITY.—
‘‘(1) The claimant under subsection (a)(4) may
petition the court to determine whether the forfeiture
was constitutionally excessive.
‘‘(2) In making this determination, the court
shall compare the forfeiture to the gravity of the of-
fense giving rise to the forfeiture.
‘‘(3) The claimant shall have the burden of estab-
lishing that the forfeiture is grossly disproportional
by a preponderance of the evidence at a hearing con-
ducted by the court without a jury.
‘‘(4) If the court finds that the forfeiture is gross-
ly disproportional to the offense it shall reduce or
eliminate the forfeiture as necessary to avoid a viola-
tion of the Excessive Fines Clause of the Eighth
Amendment of the Constitution.
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‘‘(h) CIVIL FINE.—
‘‘(1) In any civil forfeiture proceeding under a
civil forfeiture statute in which the Government pre-
vails, if the court finds that the claimant’s assertion
of an interest in the property was frivolous, the court
may impose a civil fine on the claimant of an
amount equal to 10 percent of the value of the for-
feited property, but in no event shall the fine be less
than $250 or greater than $5,000.
‘‘(2) Any civil fine imposed under this subsection
shall not preclude the court from imposing sanctions
under rule 11 of the Federal Rules of Civil Procedure.
‘‘(3) In addition to the limitations of section
1915 of title 28, United States Code, in no event shall
a prisoner file a claim under a civil forfeiture statute
or appeal a judgment in a civil action or proceeding
based on a civil forfeiture statute if the prisoner has,
on 3 or more prior occasions, while incarcerated or
detained in any facility, brought an action or appeal
in a court of the United States that was dismissed on
the grounds that it is frivolous or malicious, unless
the prisoner shows extraordinary and exceptional cir-
cumstances.
‘‘(i) CIVIL FORFEITURE STATUTE DEFINED.—In this
section, the term ‘civil forfeiture statute’—
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‘‘(1) means any provision of Federal law pro-
viding for the forfeiture of property other than as a
sentence imposed upon conviction of a criminal of-
fense; and
‘‘(2) does not include—
‘‘(A) the Tariff Act of 1930 or any other
provision of law codified in title 19;
‘‘(B) the Internal Revenue Code of 1986;
‘‘(C) the Federal Food, Drug, and Cosmetic
Act (21 U.S.C. 301 et seq.);
‘‘(D) the Trading with the Enemy Act (50
U.S.C. App. 1 et seq.); or
‘‘(E) section 1 of title VI of the Act of June
15, 1917 (40 Stat. 233; 22 U.S.C. 401).’’.
(b) TECHNICAL AND CONFORMING AMENDMENT.—The
analysis for chapter 46 of title 18, United States Code, is
amended by inserting after the item relating to section 982
the following:
‘‘983. General rules for civil forfeiture proceedings.’’.
(c) STRIKING SUPERSEDED PROVISIONS.—
(1) CIVIL FORFEITURE.—Section 981(a) of title
18, United States Code, is amended—
(A) in paragraph (1), by striking ‘‘Except
as provided in paragraph (2), the’’ and inserting
‘‘The’’; and
(B) by striking paragraph (2).
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‘‘(4) the claimant was not convicted of a crime
for which the interest of the claimant in the property
was subject to forfeiture under a Federal criminal for-
feiture law.’’.
(b) DEPARTMENT OF JUSTICE.—
(1) IN GENERAL.—With respect to a claim that
cannot be settled under chapter 171 of title 28, United
States Code, the Attorney General may settle, for not
more than $50,000 in any case, a claim for damage
to, or loss of, privately owned property caused by an
investigative or law enforcement officer (as defined in
section 2680(h) of title 28, United States Code) who
is employed by the Department of Justice acting
within the scope of his or her employment.
(2) LIMITATIONS.—The Attorney General may
not pay a claim under paragraph (1) that—
(A) is presented to the Attorney General
more than 1 year after it accrues; or
(B) is presented by an officer or employee
of the Federal Government and arose within the
scope of employment.
SEC. 4. ATTORNEY FEES, COSTS, AND INTEREST.
(a) IN GENERAL.—Section 2465 of title 28, United
States Code, is amended to read as follows:
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‘‘§ 2465. Return of property to claimant; liability for
wrongful seizure; attorney fees, costs, and
interest
‘‘(a) Upon the entry of a judgment for the claimant
in any proceeding to condemn or forfeit property seized or
arrested under any provision of Federal law—
‘‘(1) such property shall be returned forthwith to
the claimant or his agent; and
‘‘(2) if it appears that there was reasonable
cause for the seizure or arrest, the court shall cause
a proper certificate thereof to be entered and, in such
case, neither the person who made the seizure or ar-
rest nor the prosecutor shall be liable to suit or judg-
ment on account of such suit or prosecution, nor shall
the claimant be entitled to costs, except as provided
in subsection (b).
‘‘(b)(1) Except as provided in paragraph (2), in any
civil proceeding to forfeit property under any provision of
Federal law in which the claimant substantially prevails,
the United States shall be liable for—
‘‘(A) reasonable attorney fees and other litigation
costs reasonably incurred by the claimant;
‘‘(B) post-judgment interest, as set forth in sec-
tion 1961 of this title; and
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‘‘(C) in cases involving currency, other nego-
tiable instruments, or the proceeds of an interlocutory
sale—
‘‘(i) interest actually paid to the United
States from the date of seizure or arrest of the
property that resulted from the investment of the
property in an interest-bearing account or in-
strument; and
‘‘(ii) an imputed amount of interest that
such currency, instruments, or proceeds would
have earned at the rate applicable to the 30-day
Treasury Bill, for any period during which no
interest was paid (not including any period
when the property reasonably was in use as evi-
dence in an official proceeding or in conducting
scientific tests for the purpose of collecting evi-
dence), commencing 15 days after the property
was seized by a Federal law enforcement agency,
or was turned over to a Federal law enforcement
agency by a State or local law enforcement agen-
cy.
‘‘(2)(A) The United States shall not be required
to disgorge the value of any intangible benefits nor
make any other payments to the claimant not specifi-
cally authorized by this subsection.
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‘‘(B) The provisions of paragraph (1) shall not
apply if the claimant is convicted of a crime for
which the interest of the claimant in the property was
subject to forfeiture under a Federal criminal for-
feiture law.
‘‘(C) If there are multiple claims to the same
property, the United States shall not be liable for
costs and attorneys fees associated with any such
claim if the United States—
‘‘(i) promptly recognizes such claim;
‘‘(ii) promptly returns the interest of the
claimant in the property to the claimant, if the
property can be divided without difficulty and
there are no competing claims to that portion of
the property;
‘‘(iii) does not cause the claimant to incur
additional, reasonable costs or fees; and
‘‘(iv) prevails in obtaining forfeiture with
respect to one or more of the other claims.
‘‘(D) If the court enters judgment in part for the
claimant and in part for the Government, the court
shall reduce the award of costs and attorney fees ac-
cordingly.’’.
(b) TECHNICAL AND CONFORMING AMENDMENT.—The
analysis for chapter 163 of title 28, United States Code,
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is amended by striking the item relating to section 2465
and inserting following:
‘‘2465. Return of property to claimant; liability for wrongful seizure; attorney
fees, costs, and interest.’’.
SEC. 5. SEIZURE WARRANT REQUIREMENT.
(a) IN GENERAL.—Section 981(b) of title 18, United
States Code, is amended to read as follows:
‘‘(b)(1) Except as provided in section 985, any prop-
erty subject to forfeiture to the United States under sub-
section (a) may be seized by the Attorney General and, in
the case of property involved in a violation investigated by
the Secretary of the Treasury or the United States Postal
Service, the property may also be seized by the Secretary
of the Treasury or the Postal Service, respectively.
‘‘(2) Seizures pursuant to this section shall be made
pursuant to a warrant obtained in the same manner as
provided for a search warrant under the Federal Rules of
Criminal Procedure, except that a seizure may be made
without a warrant if—
‘‘(A) a complaint for forfeiture has been filed in
the United States district court and the court issued
an arrest warrant in rem pursuant to the Supple-
mental Rules for Certain Admiralty and Maritime
Claims;
‘‘(B) there is probable cause to believe that the
property is subject to forfeiture and—
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‘‘(i) the seizure is made pursuant to a law-
ful arrest or search; or
‘‘(ii) another exception to the Fourth
Amendment warrant requirement would apply;
or
‘‘(C) the property was lawfully seized by a State
or local law enforcement agency and transferred to a
Federal agency.
‘‘(3) Notwithstanding the provisions of rule 41(a) of
the Federal Rules of Criminal Procedure, a seizure warrant
may be issued pursuant to this subsection by a judicial offi-
cer in any district in which a forfeiture action against the
property may be filed under section 1355(b) of title 28, and
may be executed in any district in which the property is
found, or transmitted to the central authority of any foreign
state for service in accordance with any treaty or other
international agreement. Any motion for the return of prop-
erty seized under this section shall be filed in the district
court in which the seizure warrant was issued or in the
district court for the district in which the property was
seized.
‘‘(4)(A) If any person is arrested or charged in a for-
eign country in connection with an offense that would give
rise to the forfeiture of property in the United States under
this section or under the Controlled Substances Act, the At-
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torney General may apply to any Federal judge or mag-
istrate judge in the district in which the property is located
for an ex parte order restraining the property subject to
forfeiture for not more than 30 days, except that the time
may be extended for good cause shown at a hearing con-
ducted in the manner provided in rule 43(e) of the Federal
Rules of Civil Procedure.
‘‘(B) The application for the restraining order shall
set forth the nature and circumstances of the foreign charges
and the basis for belief that the person arrested or charged
has property in the United States that would be subject to
forfeiture, and shall contain a statement that the restrain-
ing order is needed to preserve the availability of property
for such time as is necessary to receive evidence from the
foreign country or elsewhere in support of probable cause
for the seizure of the property under this subsection.’’.
(b) DRUG FORFEITURES.—Section 511(b) of the Con-
trolled Substances Act (21 U.S.C. 881(b)) is amended to
read as follows:
‘‘(b) SEIZURE PROCEDURES.—Any property subject to
forfeiture to the United States under this section may be
seized by the Attorney General in the manner set forth in
section 981(b) of title 18, United States Code.’’.
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SEC. 6. USE OF FORFEITED FUNDS TO PAY RESTITUTION
TO CRIME VICTIMS.
Section 981(e) of title 18, United States Code, is
amended by striking paragraph (6) and inserting the fol-
lowing:
‘‘(6) as restoration to any victim of the offense
giving rise to the forfeiture, including, in the case of
a money laundering offense, any offense constituting
the underlying specified unlawful activity; or’’.
SEC. 7. CIVIL FORFEITURE OF REAL PROPERTY.
(a) IN GENERAL.—Chapter 46 of title 18, United
States Code, is amended by inserting after section 984 the
following:
‘‘§ 985. Civil forfeiture of real property
‘‘(a) Notwithstanding any other provision of law, all
civil forfeitures of real property and interests in real prop-
erty shall proceed as judicial forfeitures.
‘‘(b)(1) Except as provided in this section—
‘‘(A) real property that is the subject of a
civil forfeiture action shall not be seized before
entry of an order of forfeiture; and
‘‘(B) the owners or occupants of the real
property shall not be evicted from, or otherwise
deprived of the use and enjoyment of, real prop-
erty that is the subject of a pending forfeiture ac-
tion.
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‘‘(2) The filing of a lis pendens and the execution
of a writ of entry for the purpose of conducting an
inspection and inventory of the property shall not be
considered a seizure under this subsection.
‘‘(c)(1) The Government shall initiate a civil forfeiture
action against real property by—
‘‘(A) filing a complaint for forfeiture;
‘‘(B) posting a notice of the complaint on the
property; and
‘‘(C) serving notice on the property owner, along
with a copy of the complaint.
‘‘(2) If the property owner cannot be served with the
notice under paragraph (1) because the owner—
‘‘(A) is a fugitive;
‘‘(B) resides outside the United States and efforts
at service pursuant to rule 4 of the Federal Rules of
Civil Procedure are unavailing; or
‘‘(C) cannot be located despite the exercise of due
diligence,
constructive service may be made in accordance with the
laws of the State in which the property is located.
‘‘(3) If real property has been posted in accordance
with this subsection, it shall not be necessary for the court
to issue an arrest warrant in rem, or to take any other
action to establish in rem jurisdiction over the property.
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‘‘(d)(1) Real property may be seized prior to the entry
of an order of forfeiture if—
‘‘(A) the Government notifies the court that it
intends to seize the property before trial; and
‘‘(B) the court—
‘‘(i) issues a notice of application for war-
rant, causes the notice to be served on the prop-
erty owner and posted on the property, and con-
ducts a hearing in which the property owner has
a meaningful opportunity to be heard; or
‘‘(ii) makes an ex parte determination that
there is probable cause for the forfeiture and that
there are exigent circumstances that permit the
Government to seize the property without prior
notice and an opportunity for the property
owner to be heard.
‘‘(2) For purposes of paragraph (1)(B)(ii), to establish
exigent circumstances, the Government shall show that less
restrictive measures such as a lis pendens, restraining
order, or bond would not suffice to protect the Government’s
interests in preventing the sale, destruction, or continued
unlawful use of the real property.
‘‘(e) If the court authorizes a seizure of real property
under subsection (d)(1)(B)(ii), it shall conduct a prompt
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post-seizure hearing during which the property owner shall
have an opportunity to contest the basis for the seizure.
‘‘(f) This section—
‘‘(1) applies only to civil forfeitures of real prop-
erty and interests in real property;
‘‘(2) does not apply to forfeitures of the proceeds
of the sale of such property or interests, or of money
or other assets intended to be used to acquire such
property or interests; and
‘‘(3) shall not affect the authority of the court to
enter a restraining order relating to real property.’’.
(b) TECHNICAL AND CONFORMING AMENDMENT.—The
analysis for chapter 46 of title 18, United States Code, is
amended by inserting after the item relating to section 984
the following:
‘‘985. Civil forfeiture of real property.’’.
SEC. 8. STAY OF CIVIL FORFEITURE CASE.
(a) IN GENERAL.—Section 981(g) of title 18, United
States Code, is amended to read as follows:
‘‘(g)(1) Upon the motion of the United States, the court
shall stay the civil forfeiture proceeding if the court deter-
mines that civil discovery will adversely affect the ability
of the Government to conduct a related criminal investiga-
tion or the prosecution of a related criminal case.
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‘‘(2) Upon the motion of a claimant, the court shall
stay the civil forfeiture proceeding with respect to that
claimant if the court determines that—
‘‘(A) the claimant is the subject of a related
criminal investigation or case;
‘‘(B) the claimant has standing to assert a claim
in the civil forfeiture proceeding; and
‘‘(C) continuation of the forfeiture proceeding
will burden the right of the claimant against self-in-
crimination in the related investigation or case.
‘‘(3) With respect to the impact of civil discovery de-
scribed in paragraphs (1) and (2), the court may determine
that a stay is unnecessary if a protective order limiting
discovery would protect the interest of 1 party without un-
fairly limiting the ability of the opposing party to pursue
the civil case. In no case, however, shall the court impose
a protective order as an alternative to a stay if the effect
of such protective order would be to allow 1 party to pursue
discovery while the other party is substantially unable to
do so.
‘‘(4) In this subsection, the terms ‘related criminal
case’ and ‘related criminal investigation’ mean an actual
prosecution or investigation in progress at the time at
which the request for the stay, or any subsequent motion
to lift the stay is made. In determining whether a criminal
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case or investigation is ‘related’ to a civil forfeiture pro-
ceeding, the court shall consider the degree of similarity be-
tween the parties, witnesses, facts, and circumstances in-
volved in the 2 proceedings, without requiring an identity
with respect to any 1 or more factors.
‘‘(5) In requesting a stay under paragraph (1), the
Government may, in appropriate cases, submit evidence ex
parte in order to avoid disclosing any matter that may ad-
versely affect an ongoing criminal investigation or pending
criminal trial.
‘‘(6) Whenever a civil forfeiture proceeding is stayed
pursuant to this subsection, the court shall enter any order
necessary to preserve the value of the property or to protect
the rights of lienholders or other persons with an interest
in the property while the stay is in effect.
‘‘(7) A determination by the court that the claimant
has standing to request a stay pursuant to paragraph (2)
shall apply only to this subsection and shall not preclude
the Government from objecting to the standing of the claim-
ant by dispositive motion or at the time of trial.’’.
(b) DRUG FORFEITURES.—Section 511(i) of the Con-
trolled Substances Act (21 U.S.C. 881(i)) is amended to
read as follows:
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‘‘(i) The provisions of section 981(g) of title 18, United
States Code, regarding the stay of a civil forfeiture pro-
ceeding shall apply to forfeitures under this section.’’.
SEC. 9. CIVIL RESTRAINING ORDERS.
Section 983 of title 18, United States Code, as added
by this Act, is amended by adding at the end the following:
‘‘(j) RESTRAINING ORDERS; PROTECTIVE ORDERS.—
‘‘(1) Upon application of the United States, the
court may enter a restraining order or injunction, re-
quire the execution of satisfactory performance bonds,
create receiverships, appoint conservators, custodians,
appraisers, accountants, or trustees, or take any other
action to seize, secure, maintain, or preserve the
availability of property subject to civil forfeiture—
‘‘(A) upon the filing of a civil forfeiture
complaint alleging that the property with respect
to which the order is sought is subject to civil
forfeiture; or
‘‘(B) prior to the filing of such a complaint,
if, after notice to persons appearing to have an
interest in the property and opportunity for a
hearing, the court determines that—
‘‘(i) there is a substantial probability
that the United States will prevail on the
issue of forfeiture and that failure to enter
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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
on any party against whom the order is to
be entered.
‘‘(2) An order entered pursuant to paragraph
(1)(B) shall be effective for not more than 90 days,
unless extended by the court for good cause shown, or
unless a complaint described in paragraph (1)(A) has
been filed.
‘‘(3) A temporary restraining order under this
subsection may be entered upon application of the
United States without notice or opportunity for a
hearing when a complaint has not yet been filed with
respect to the property, if the United States dem-
onstrates that there is probable cause to believe that
the property with respect to which the order is sought
is subject to civil forfeiture and that provision of no-
tice will jeopardize the availability of the property for
forfeiture. Such a temporary order shall expire not
more than 10 days after the date on which it is en-
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tered, unless extended for good cause shown or unless
the party against whom it is entered consents to an
extension for a longer period. A hearing requested
concerning an order entered under this paragraph
shall be held at the earliest possible time and prior
to the expiration of the temporary order.
‘‘(4) The court may receive and consider, at a
hearing held pursuant to this subsection, evidence and
information that would be inadmissible under the
Federal Rules of Evidence.’’.
SEC. 10. COOPERATION AMONG FEDERAL PROSECUTORS.
Section 3322(a) of title 18, United States Code, is
amended—
(1) by striking ‘‘civil forfeiture under section 981
of title 18, United States Code, of property described
in section 981(a)(1)(C) of such title’’ and inserting
‘‘any civil forfeiture provision of Federal law’’; and
(2) by striking ‘‘concerning a banking law viola-
tion’’.
SEC. 11. STATUTE OF LIMITATIONS FOR CIVIL FORFEITURE
ACTIONS.
Section 621 of the Tariff Act of 1930 (19 U.S.C. 1621)
is amended by inserting ‘‘, or in the case of forfeiture, with-
in 2 years after the time when the involvement of the prop-
erty in the alleged offense was discovered, whichever was
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later’’ after ‘‘within five years after the time when the al-
leged offense was discovered’’.
SEC. 12. DESTRUCTION OR REMOVAL OF PROPERTY TO
PREVENT SEIZURE.
Section 2232 of title 18, United States Code, is
amended—
(1) by striking subsections (a) and (b);
(2) by inserting ‘‘(e) FOREIGN INTELLIGENCE
SURVEILLANCE.—’’ before ‘‘Whoever, having knowl-
edge that a Federal officer’’;
(3) by redesignating subsection (c) as subsection
(d); and
(4) by inserting before subsection (d), as redesig-
nated, the following:
‘‘(a) DESTRUCTION OR REMOVAL OF PROPERTY TO
PREVENT SEIZURE.—Whoever, before, during, or after any
search for or seizure of property by any person authorized
to make such search or seizure, knowingly destroys, dam-
ages, wastes, disposes of, transfers, or otherwise takes any
action, or knowingly attempts to destroy, damage, waste,
dispose of, transfer, or otherwise take any action, for the
purpose of preventing or impairing the Government’s law-
ful authority to take such property into its custody or con-
trol or to continue holding such property under its lawful
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custody and control, shall be fined under this title or im-
prisoned not more than 5 years, or both.
‘‘(b) IMPAIRMENT OF IN REM JURISDICTION.—Who-
ever, knowing that property is subject to the in rem jurisdic-
tion of a United States court for purposes of civil forfeiture
under Federal law, knowingly and without authority from
that court, destroys, damages, wastes, disposes of, transfers,
or otherwise takes any action, or knowingly attempts to de-
stroy, damage, waste, dispose of, transfer, or otherwise take
any action, for the purpose of impairing or defeating the
court’s continuing in rem jurisdiction over the property,
shall be fined under this title or imprisoned not more than
5 years, or both.
‘‘(c) NOTICE OF SEARCH OR EXECUTION OF SEIZURE
WARRANT OR WARRANT OF ARREST IN REM.—Whoever,
having knowledge that any person authorized to make
searches and seizures, or to execute a seizure warrant or
warrant of arrest in rem, in order to prevent the authorized
seizing or securing of any person or property, gives notice
or attempts to give notice in advance of the search, seizure,
or execution of a seizure warrant or warrant of arrest in
rem, to any person shall be fined under this title or impris-
oned not more than 5 years, or both.’’.
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SEC. 13. FUNGIBLE PROPERTY IN BANK ACCOUNTS.
(a) IN GENERAL.—Section 984 of title 18, United
States Code, is amended—
(1) by striking subsection (a) and redesignating
subsections (b), (c), and (d) as subsections (a), (b),
and (c), respectively;
(2) in subsection (a), as redesignated—
(A) by striking ‘‘or other fungible property’’
and inserting ‘‘or precious metals’’; and
(B) in paragraph (2), by striking ‘‘sub-
section (c)’’ and inserting ‘‘subsection (b)’’;
(3) in subsection (c), as redesignated—
(A) by striking paragraph (1) and inserting
the following: ‘‘(1) Subsection (a) does not apply
to an action against funds held by a financial
institution in an interbank account unless the
account holder knowingly engaged in the offense
that is the basis for the forfeiture.’’; and
(B) in paragraph (2), by striking ‘‘(2) As
used in this section, the term’’ and inserting the
following:
‘‘(2) In this subsection—
‘‘(A) the term ‘financial institution’ includes a
foreign bank (as defined in section 1(b)(7) of the
International Banking Act of 1978 (12 U.S.C.
3101(b)(7))); and
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‘‘(B) the term’’; and
(4) by adding at the end the following:
‘‘(d) Nothing in this section may be construed to limit
the ability of the Government to forfeit property under any
provision of law if the property involved in the offense giv-
ing rise to the forfeiture or property traceable thereto is
available for forfeiture.’’.
SEC. 14. FUGITIVE DISENTITLEMENT.
(a) IN GENERAL.—Chapter 163 of title 28, United
States Code, is amended by adding at the end the following:
‘‘§ 2466. Fugitive disentitlement
‘‘A judicial officer may disallow a person from using
the resources of the courts of the United States in further-
ance of a claim in any related civil forfeiture action or a
claim in third party proceedings in any related criminal
forfeiture action upon a finding that such person—
‘‘(1) after notice or knowledge of the fact that a
warrant or process has been issued for his apprehen-
sion, in order to avoid criminal prosecution—
‘‘(A) purposely leaves the jurisdiction of the
United States;
‘‘(B) declines to enter or reenter the United
States to submit to its jurisdiction; or
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‘‘(C) otherwise evades the jurisdiction of the
court in which a criminal case is pending
against the person; and
‘‘(2) is not confined or held in custody in any
other jurisdiction for commission of criminal conduct
in that jurisdiction.’’.
(b) CONFORMING
AMENDMENT.—The analysis for
chapter 163 of title 28, United States Code, is amended by
adding at the end the following:
‘‘2466. Fugitive disentitlement.’’.
(c) EFFECTIVE DATE.—The amendments made by this
section shall apply to any case pending on or after the date
of enactment of this Act.
SEC. 15. ENFORCEMENT OF FOREIGN FORFEITURE JUDG-
MENT.
(a) IN GENERAL.—Chapter 163 of title 28, United
States Code, is amended by adding at the end the following:
‘‘§ 2467. Enforcement of foreign judgment
‘‘(a) DEFINITIONS.—In this section—
‘‘(1) the term ‘foreign nation’ means a country
that has become a party to the United Nations Con-
vention Against Illicit Traffic in Narcotic Drugs and
Psychotropic Substances (referred to in this section as
the ‘United Nations Convention’) or a foreign juris-
diction with which the United States has a treaty or