[Code of Federal Regulations]
[Title 19, Volume 1]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 19CFR19.48]

[Page 323-324]
 
                        TITLE 19--CUSTOMS DUTIES
 
  CHAPTER I--UNITED STATES CUSTOMS SERVICE, DEPARTMENT OF THE TREASURY
 
PART 19--CUSTOMS WAREHOUSES, CONTAINER STATIONS AND CONTROL OF MERCHANDISE THEREIN--Table of Contents
 
Sec. 19.48  Suspension or revocation of the privilege of operating a container station; hearings.

    (a) Grounds for suspension or revocation. The port director may 
revoke or suspend the privilege of operating a container station if:
    (1) The privilege was obtained through fraud or the misstatement of 
a material fact;
    (2) The container station operator refuses or neglects to obey any 
proper order of a Customs officer or any Customs order, rule, or 
regulation relative to the operation of a container station;
    (3) The container station operator or an officer of a corporation 
which has been granted the privilege of operating a container station is 
convicted of or has committed acts which would constitute a felony, or a 
misdemeanor involving theft, smuggling, or a theft-connected crime. Any 
change in the employment status of the corporate officer (e.g., 
discharge, resignation, demotion, or promotion) prior to conviction of a 
felony or prior to conviction of a misdemeanor involving theft, 
smuggling, or a theft-connected crime, resulting from acts committed 
while a corporate officer, will not preclude application of this 
provision;
    (4) The container station operator fails to retain merchandise which 
has been designated for examination;
    (5) The container station operator does not provide secure 
facilities or properly safeguard merchandise within the container 
station;
    (6) The container station operator fails to furnish a current list 
of names, addresses, and other information required by Sec. 19.46; or
    (7) The bond required by Sec. 19.40 is determined to be insufficient 
in amount or lacking sufficient sureties, and a satisfactory new bond 
with good and sufficient sureties is not furnished within a reasonable 
time.
    (b) Notice and appeal. The port director shall suspend or revoke the 
privilege of operating a container station by serving notice of the 
proposed action in writing upon the container station operator. The 
notice shall be in the form of a statement specifically setting forth 
the grounds for revocation or suspension of the privilege and shall be 
final and conclusive upon the container

[[Page 324]]

station operator unless he shall file with the port director a written 
notice of appeal. The container station operator may file a written 
notice of appeal from the revocation or suspension within 10 days 
following receipt of the notice of revocation or suspension. The notice 
of appeal shall be filed in duplicate and shall set forth the response 
of the container station operator to the statement of the port director. 
The container station operator, in his notice of appeal, may request a 
hearing.
    (c) Hearing on appeal. If a hearing is requested, it shall be held 
before a hearing officer designated by the Secretary of the Treasury or 
his designee within 30 days following application therefor. The 
container station operator shall be notified of the time and place of 
the hearing at least 5 days prior thereto. The container station 
operator may be represented by counsel at the revocation or suspension 
hearing. All testimony in the proceeding shall be subject to cross-
examination. A stenographic record of any such proceeding shall be made 
and a copy thereof shall be delivered to the container station operator. 
At the conclusion of such proceeding or review of a written appeal, the 
hearing officer or the port director, as the case may be, shall 
forthwith transmit all papers and the stenographic record of any 
hearing, to the Commissioner of Customs, together with his 
recommendation for final action. Following a hearing and within 10 
calendar days after delivery of a copy of the stenographic record, the 
container station operator may submit to the Commissioner of Customs, in 
writing, additional views and arguments on the basis of such record. If 
neither the container station operator nor his attorney appear for a 
scheduled hearing, the hearing officer shall conclude the hearing and 
transmit all papers with his recommendation to the Commissioner of 
Customs. The Commissioner shall thereafter render his decision, in 
writing, stating his reasons therefor, with respect to the action 
proposed by the hearing officer or the port director. Such decision 
shall be transmitted to the port director and served by him on the 
container station operator.

[T.D. 73-286, 38 FR 28289, Oct. 12, 1973, as amended by T.D. 88-63, 53 
FR 40219, Oct. 14, 1988]