[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 320 Introduced in House (IH)]







104th CONGRESS
  1st Session
                                H. R. 320

 To amend title 18, United States Code, to provide civil and criminal 
                   forfeitures for certain offenses.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 4, 1995

 Mr. McCollum introduced the following bill; which was referred to the 
                       Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
 To amend title 18, United States Code, to provide civil and criminal 
                   forfeitures for certain offenses.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Asset Forfeiture Act of 1995''.

SEC. 2. CHAPTER 63 AMENDMENTS.

    (a) In General.--Chapter 63 of title 18, United States Code, is 
amended by adding at the end the following:
``Sec. 1347. Criminal forfeiture
    ``(a) In General.--A person convicted of a violation of section 
1341 or 1343 of this title shall, notwithstanding any provision of 
State law, forfeit to the United States any property constituting or 
derived from any proceeds which the person obtained directly or 
indirectly from a scheme in violation of either of such sections.
    ``(b) Procedures of Controlled Substances Act Applicable.--With 
respect to a forfeiture under this section for a violation of this 
chapter, the provisions of subsections (b), (c), (e), (f), (g), (i), 
(k), (l), (m), (n), and (o) of section 413 of the Controlled Substances 
Act apply as they would to a forfeiture under that section for a 
violation of the Controlled Substances Act.
    ``(c) Disposition of Property.--After a seizure of property ordered 
forfeited under this section, the Attorney General shall dispose of the 
property under section 1349 of this title. The Postal Service shall 
turn any such seized property over to the Attorney General for disposal 
under such section.
    ``(d) Substitute Assets.--If any of the property subject to 
forfeiture under this section, as a result of conduct of the 
defendant--
            ``(1) cannot be located upon the exercise of due diligence;
            ``(2) has been transferred or sold to, or deposited with, a 
        third party;
            ``(3) has been placed beyond the jurisdiction of the court;
            ``(4) has been substantially diminished in value; or
            ``(5) has been commingled with other property which cannot 
        be divided without difficulty;
the court shall order the forfeiture of any other property of the 
defendant up to the value of any property described in paragraphs (1) 
through (5) of this subsection.
``Sec. 1348. Civil forfeiture
    ``(a) Property Subject to Civil Forfeiture.--Any property, as 
defined by subsection (b) of section 413 of the Controlled Substances 
Act, constituting or derived from any proceeds of a scheme in violation 
of section 1341 or 1343 of this title shall be subject to forfeiture to 
the United States.
    ``(b) Seizure.--(1) Except as provided in paragraph (2), any 
property subject to forfeiture to the United States under this section 
may be seized by the Attorney General or the Postal Service upon 
process issued pursuant to the Supplemental Rules for Certain Admiralty 
and Maritime Claims by any district court of the United States having 
jurisdiction over the property.
    ``(2) The Attorney General or the Postal Service may seize such 
property without such process when--
            ``(A) the seizure is incident to a lawful arrest or search; 
        or
            ``(B) such property has been the subject of a prior 
        judgment in favor of the United States in a criminal injunction 
        or forfeiture proceeding under section 1347 of this title.
    ``(3) The Government may seek the issuance of a warrant authorizing 
the seizure of property subject to forfeiture under this section in the 
same manner as provided for a search warrant under the Federal Rules of 
Criminal Procedure.
    ``(c) Procedural Matters.--(1) With respect to a forfeiture of 
property under this section, the provisions of subsections (c), (d), 
(h), and (j) of section 511 of the Controlled Substances Act apply as 
they would to a forfeiture of property under that section, and the 
Postal Service may also perform any of the functions the Attorney 
General may perform under such subsections.
    ``(2) The filing of an indictment or information alleging a 
violation of section 1341 or 1343 of this title which is also related 
to a civil forfeiture proceeding under either section shall, upon 
motion of the United States and for good cause shown, stay the civil 
forfeiture proceeding.
    ``(d) Disposition of Property.--After a seizure of property ordered 
forfeited under this section, the Attorney General or the Postal 
Service shall dispose of the property under section 1349 of this title.
``Sec. 1349. Disposition of forfeited property
    ``(a) In General.--After making due provision for the rights of any 
innocent persons, the Attorney General, after deducting the costs 
incurred by the United States in conducting the seizure, forfeiture, 
and identification of victims, shall deposit the property forfeited or 
the proceeds from the sale of property forfeited under section 1347 or 
1348 of this title in the Department of Justice Assets Forfeiture Fund 
established by section 524(c) of title 28. The Postal Service may 
exercise the authority of the Attorney General in conducting 
administrative forfeitures and shall deposit the property forfeited or 
the proceeds of the property forfeited in the Postal Service Fund under 
section 2003(b)(7) of title 39. Any property right or interest not 
exercisable by, or transferable for value to, the United States shall 
expire and shall not revert to the defendant. Neither the defendant nor 
any person acting in concert with the defendant or on the defendant's 
behalf is eligible to purchase forfeited property sold by the United 
States.
    ``(b) Restraint Pending Appeal.--Upon application of a person other 
than the defendant or a person acting in concert with the defendant or 
on the defendant's behalf, the court may restrain or stay the sale or 
disposition of the property pending the conclusion of any appeal in the 
case giving rise to the forfeiture, if the applicant demonstrates that 
proceeding with the sale or disposition will result in irreparable harm 
to the applicant.
    ``(c) Rules for Disposition.--The Attorney General and the Postal 
Service shall make rules providing for the disposition of such property 
and proceeds. Such rules shall provide that the Attorney General or the 
Postal Service may--
            ``(1) retain the property for official use;
            ``(2) transfer the property to Federal, State, or local law 
        enforcement agencies so as to reflect generally the 
        contribution of such agencies to the seizure or forfeiture of 
        such property;
            ``(3) sell any forfeited property which is not required to 
        be destroyed by law and which is not harmful to the public;
            ``(4) require that the General Services Administration take 
        custody of the property and dispose of it in accordance with 
        law;
            ``(5) restore forfeited property to victims of an offense 
        described in subsection (a);
            ``(6) destroy the property if it is harmful to the public 
        or the expense of sale would exceed the amount realized from 
        the sale; or
            ``(7) dispose of such funds or property as otherwise 
        provided by law.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
chapter 63 of title 18, United States Code, is amended by adding at the 
end the following new items:

``1347. Criminal forfeiture.
``1348. Civil forfeiture.
``1349. Disposition of forfeited property.''.

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