[Code of Federal Regulations]
[Title 19, Volume 2]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 19CFR162.51]

[Page 252-253]
 
                        TITLE 19--CUSTOMS DUTIES
 
  CHAPTER I--UNITED STATES CUSTOMS SERVICE, DEPARTMENT OF THE TREASURY
 
PART 162--INSPECTION, SEARCH, AND SEIZURE--Table of Contents
 
               Subpart E--Treatment of Seized Merchandise
 
Sec. 162.51  Disposition of proceeds of sale of property seized and forfeited other than under 19 U.S.C. 1592.

    (a) Order of payment of expenses incurred--(1) When application for 
remission and restoration is filed and approved. Section 613 of the 
Tariff Act of 1930, as amended (19 U.S.C. 1613), and Sec. 171.41 of this 
chapter authorize the filing of an application for remission of the 
forfeiture and restoration of the proceeds from the sale of seized and 
forfeited property. If the application is filed within 3 months after 
the date of sale and is approved, the proceeds of the sale, or any part 
thereof, shall be restored to the applicant after deducting the 
following charges in the order named:
    (i) Internal revenue taxes.
    (ii) Marshal's fees and court costs.
    (iii) Expenses of advertising and sale.
    (iv) Expenses of cartage, storage, and labor. When the proceeds are 
insufficient to pay these expenses fully, they shall be paid pro rata.
    (v) Duties.
    (vi) Any sum due to satisfy a lien for freight, charges, or 
contributions in general average, provided notice of the lien has been 
given in the manner prescribed by law.
    (2) When no application for remission and restoration is filed or 
the application is denied. If no application for remission and 
restoration is filed within 3 months after the date of sale of seized

[[Page 253]]

and forfeited property, or if the application is denied, the proceeds of 
the sale shall be disbursed in the following order:
    (i) Internal revenue taxes.
    (ii) Marshal's fees and court costs.
    (iii) Expenses of advertising and sale.
    (iv) Expenses of cartage, storage, and labor. When the proceeds are 
insufficient to pay these expenses fully, they shall be paid pro rata.
    (v) Any sum due to satisfy a lien for freight, charges, or 
contributions in general average, provided notice of the lien has been 
given in the manner prescribed by law.
    (vi) The residue, if any, shall be deposited with the Treasurer of 
the United States as a customs or navigation fine.
    (b) Transfer of seized and forfeited property to another Federal 
agency. In the event that the seized and forfeited property has been 
authorized for transfer to another Federal agency for official use, the 
receiving agency shall reimburse Customs for the costs incurred in 
moving and storing the property from the date of seizure to the date of 
delivery.

[T.D. 79-160, 44 FR 31957, June 4, 1979; 44 FR 36376, June 22, 1979, as 
amended by T.D. 84-78, 49 FR 13492, Apr. 5, 1984]