[Congressional Record Volume 141, Number 176 (Wednesday, November 8, 1995)]
[Senate]
[Pages S16826-S16827]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. GRASSLEY (for himself and Mr. Kyl):
  S. 1404. A bill to enhance restitution to victims of crime, and for 
other purposes; to the Committee on the Judiciary.


             The victim Restitution Enhancement Act of 1995

 Mr. GRASSLEY. Mr. President, I introduce the Victim 
Restitution Enhancement Act of 1995, an important piece of 
legislation--called for in the Contract With America--which will help 
victims of crime. I have long thought that swift and decisive 
congressional action is needed in order to change some of the basic 
injustice associated with our criminal justice system. I believe that 
the way to do this is to change the focus of our energy and time to 
assisting and protecting victims of crime. And some of the bills that 
have been introduced by Senator Nickels and Senator Hatch do an 
admirable job of changing the focus.
  Mr. President, this morning the Judiciary Committee, under the able 
leadership of Senator Hatch, conducted a very thorough hearing on 
mandatory victim restitution. At that hearing, we heard testimony from 
a number of excellent witnesses, and one theme was particularly 
evident: We in Congress 

[[Page S 16827]]
need to make sure that victims can actually receive the restitution 
they are due.
  First and foremost, I am a practical man--somebody who looks at the 
way good ideas and good legislation actually functions in reality. My 
concern with victim restitution is making sure that crime victims 
actually receive the restitution they are entitled to.
  That is why I am introducing the Victim Restitution Enhancement Act 
to make sure that crime victims receive full restitution from 
criminals.
  In drafting this bill, I consulted with former U.S. attorneys and 
others who have actually participated in the current system for victim 
restitution. And I have incorporated practical, real world suggestions 
from these seasoned professionals.
  Let me briefly summarize the key provisions of my bill:
  First, my bill forces criminals to submit sworn affidavits listing 
their assets after being convicted. If criminals try to hide their 
assets, or lie about them, they can be prosecuted for perjury, since 
their asset listing is under oath.
  Second, my bill requires that criminals pay off their restitution 
debts immediately, or at least within 5 years; currently, some 
criminals have been able to stretch payments over an extended period of 
time, making victims wait longer for their due.
  Third, my bill provides that bankruptcy proceedings will not 
discharge a criminal's duty to pay restitution.
  Fourth, my bill establishes an automatic lien on all of a criminal's 
assets immediately upon conviction for an offense which gives rise to 
restitution liability.
  Fifth, importantly, my bill provides that prisoners who file prisoner 
lawsuits must notify their victims in writing of the lawsuit and turn 
any monetary award over to the victims if the prisoner has not fully 
satisfied his duty to pay restitution. I think this will help deter 
many prisoner lawsuits, because criminals will realize that even if 
they hit the jackpot they can't keep the money.
  That is what the bill does. It makes sure that good pieces of 
legislation, like the draft bill circulated by Senator Hatch, will 
really work in the real world.
  Mr. President, ask unanimous consent that the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1404

       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 ``Victim Restitution 
     Enhancement Act of 1995''.

     SEC. 2. RESTITUTION.

       Section 3663 of title 18, United States Code, is amended--
       (1) in subsection (f)--
       (A) by striking paragraphs (1) through (3);
       (B) by inserting the following new paragraph:
       ``(1)(A) The order of restitution shall require the 
     defendant to--
       ``(i) submit a sworn statement listing all assets owned or 
     controlled by the defendant; and
       ``(ii) make payment immediately, unless, in the interest of 
     justice, the court provides for payment on a date certain or 
     in installments.
       ``(B) If the court provides for payment in installments, 
     the installments shall be in equal monthly payments over a 
     payment period prescribed by the court unless the court 
     establishes another schedule.
       ``(C) If the order of restitution permits other than 
     immediate payment, the payment period shall not exceed 5 
     years, excluding any term of imprisonment served by the 
     defendant for the offense.'';
       (C) by redesignating paragraph (4) as paragraph (2); and
       (D) by amending paragraph (2), as so redesignated, by 
     striking ``under this section,'' and all that follows through 
     the end of the paragraph and inserting ``under this 
     section.'';
       (2) in subsection (h)--
       (A) by striking ``(h) An order'' and inserting ``(h)(1) 
     Subject to paragraph (2), an order'';
       (B) by redesignating paragraphs (1)(A), (1)(B), and (2) as 
     subparagraphs (A)(i), (A)(ii), and (B), respectively; and
       (C) by adding at the end the following new paragraph:
       ``(2) Notwithstanding any other law that applies a shorter 
     time limitation, a victim may bring an action to enforce an 
     order of restitution on or until the date that is 20 years 
     after the date of the order.''; and
       (3) by adding at the end the following new subsections:
       ``(j) No discharge of debt pursuant to a bankruptcy 
     proceeding shall render an order of restitution under this 
     section unenforceable or discharge liability to pay 
     restitution.
       ``(k)(1) An order of restitution imposed pursuant to this 
     section or by any State court is a lien in favor of the 
     designated agent for a victim of crime entitled to 
     restitution by reason of any Federal or State law, or if such 
     victim cannot be identified, in favor the United States or 
     any State agency charged with providing restitution to 
     victims of crime, upon all property belonging to the person 
     against whom restitution is ordered. The lien arises at the 
     time of the entry of the order and continues until the 
     liability is satisfied, remitted, or set aside. The court 
     ordering restitution shall notify all potential claimants 
     entitled to restitution. On application of the person against 
     whom restitution is ordered, the Attorney General or any 
     other person or entity holding a lien pursuant to this 
     section, shall--
       ``(A) issue a certificate of release, as described in 
     section 6325 of the Internal Revenue Code, of any lien 
     imposed pursuant to this section, upon his acceptance of a 
     bond described in section 6325(a)(2) of the Internal Revenue 
     Code; or
       ``(B) issue a certificate of discharge, as described in 
     section 6325 of the Internal Revenue Code, of any part of the 
     person's property subject to a lien imposed pursuant to this 
     subsection, upon his determination that the fair market value 
     of that part of such property remaining subject to and 
     available to satisfy the lien is at least three times the 
     amount of the restitution ordered.
       ``(2) The provisions of sections 6323, 6331, 6332, 6334 
     through 6336, 6337(a), 6338 through 6343, 6901, 7402, 7403, 
     7424 through 7426, 7505(a), 7506, 7701, and 7805 of the 
     Internal Revenue Code of 1986 and of section 513 of the Act 
     of October 17, 1940 (54 Stat. 1190), apply to an order of 
     restitution and to the lien imposed by paragraph (1) as if 
     the liability of the person against whom restitution is 
     ordered were for an internal revenue tax assessment where the 
     Attorney General is the lienholder, except to the extent that 
     the application of such statutes is modified by regulations 
     issued by the Attorney General to accord with differences in 
     the nature of the liabilities. For the purposes of this 
     paragraph references in the preceding sections of the 
     Internal Revenue Code of 1986 to `the Secretary' shall be 
     construed to mean `the Attorney General' and references in 
     those sections to `tax' shall be construed to mean `order of 
     restitution'.
       ``(3) A notice of the lien imposed by paragraph (1) shall 
     be considered a notice of lien for taxes payable to the 
     United States for the purposes of any State or local law 
     providing for the filing of a notice of a tax lien. The 
     registration, recording, docketing, or indexing, in 
     accordance with section 1962 of title 28, United States Code, 
     of the judgment under which an order of restitution is 
     imposed shall be considered for all purposes as the filing 
     prescribed by section 6323(f)(1)(A) of the Internal Revenue 
     Code of 1986.
       ``(4) Notwithstanding any other provision of this 
     subsection, an order of restitution may be enforced by 
     execution against the property of the person against whom it 
     is ordered in like manner as judgments in civil cases.
       ``(5) No discharge of debts pursuant to a bankruptcy 
     proceeding shall render a lien under this section 
     unenforceable.
       ``(6)(A) If a person against whom restitution is ordered 
     and whose assets are subject to a lien under this subsection 
     files any civil action seeking money damages, including an 
     action filed during a period of incarceration, such person 
     shall serve notice, at the expense of that person, of the 
     filing of the action upon each person entitled to receive 
     restitution, or the designated agent of such person, and the 
     Attorney General.
       ``(B) Failure to timely provide actual notice shall be 
     grounds for dismissal of the underlying civil action.
       ``(C) A person entitled to receive restitution under this 
     section, the Office of Victims of Crime of the Department of 
     Justice, or any agency or instrumentality of any State 
     charged with providing restitution to victims of crime, may 
     intervene in the civil action described in subparagraph (A) 
     if the court determines that such intervention would be in 
     the interests of justice.''.

     SEC. 3. COSTS RECOVERABLE.

       Section 1918(b) of title 28, United States Code, is amended 
     by inserting before the period the following: ``, including 
     any amount advanced to purchase contraband in a sting 
     operation during the investigation resulting in the 
     conviction''.
                                 ______