Laws: Cases and Codes : U.S. Code : Title 47 : Section 503


   
U.S. Code as of: 01/19/04
Section 503. Forfeitures

    (a) Rebates and offsets
      Any person who shall deliver messages for interstate or foreign
    transmission to any carrier, or for whom as sender or receiver, any
    such carrier shall transmit any interstate or foreign wire or radio
    communication, who shall knowingly by employee, agent, officer, or
    otherwise, directly or indirectly, by or through any means or
    device whatsoever, receive or accept from such common carrier any
    sum of money or any other valuable consideration as a rebate or
    offset against the regular charges for transmission of such
    messages as fixed by the schedules of charges provided for in this
    chapter, shall in addition to any other penalty provided by this
    chapter forfeit to the United States a sum of money three times the
    amount of money so received or accepted and three times the value
    of any other consideration so received or accepted, to be
    ascertained by the trial court; and in the trial of said action all
    such rebates or other considerations so received or accepted for a
    period of six years prior to the commencement of the action, may be
    included therein, and the amount recovered shall be three times the
    total amount of money, or three times the total value of such
    consideration, so received or accepted, or both, as the case may
    be.
    (b) Activities constituting violations authorizing imposition of
      forfeiture penalty; amount of penalty; procedures applicable;
      persons subject to penalty; liability exemption period
      (1) Any person who is determined by the Commission, in accordance
    with paragraph (3) or (4) of this subsection, to have - 
        (A) willfully or repeatedly failed to comply substantially with
      the terms and conditions of any license, permit, certificate, or
      other instrument or authorization issued by the Commission;
        (B) willfully or repeatedly failed to comply with any of the
      provisions of this chapter or of any rule, regulation, or order
      issued by the Commission under this chapter or under any treaty,
      convention, or other agreement to which the United States is a
      party and which is binding upon the United States;
        (C) violated any provision of section 317(c) or 509(a) of this
      title; or
        (D) violated any provision of section 1304, 1343, or 1464 of
      title 18;

    shall be liable to the United States for a forfeiture penalty. A
    forfeiture penalty under this subsection shall be in addition to
    any other penalty provided for by this chapter; except that this
    subsection shall not apply to any conduct which is subject to
    forfeiture under subchapter II of this chapter, part II or III of
    subchapter III of this chapter, or section 507 of this title.
      (2)(A) If the violator is (i) a broadcast station licensee or
    permittee, (ii) a cable television operator, or (iii) an applicant
    for any broadcast or cable television operator license, permit,
    certificate, or other instrument or authorization issued by the
    Commission, the amount of any forfeiture penalty determined under
    this section shall not exceed $25,000 for each violation or each
    day of a continuing violation, except that the amount assessed for
    any continuing violation shall not exceed a total of $250,000 for
    any single act or failure to act described in paragraph (1) of this
    subsection.
      (B) If the violator is a common carrier subject to the provisions
    of this chapter or an applicant for any common carrier license,
    permit, certificate, or other instrument of authorization issued by
    the Commission, the amount of any forfeiture penalty determined
    under this subsection shall not exceed $100,000 for each violation
    or each day of a continuing violation, except that the amount
    assessed for any continuing violation shall not exceed a total of
    $1,000,000 for any single act or failure to act described in
    paragraph (1) of this subsection.
      (C) In any case not covered in subparagraph (A) or (B), the
    amount of any forfeiture penalty determined under this subsection
    shall not exceed $10,000 for each violation or each day of a
    continuing violation, except that the amount assessed for any
    continuing violation shall not exceed a total of $75,000 for any
    single act or failure to act described in paragraph (1) of this
    subsection.
      (D) The amount of such forfeiture penalty shall be assessed by
    the Commission, or its designee, by written notice. In determining
    the amount of such a forfeiture penalty, the Commission or its
    designee shall take into account the nature, circumstances, extent,
    and gravity of the violation and, with respect to the violator, the
    degree of culpability, any history of prior offenses, ability to
    pay, and such other matters as justice may require.
      (3)(A) At the discretion of the Commission, a forfeiture penalty
    may be determined against a person under this subsection after
    notice and an opportunity for a hearing before the Commission or an
    administrative law judge thereof in accordance with section 554 of
    title 5. Any person against whom a forfeiture penalty is determined
    under this paragraph may obtain review thereof pursuant to section
    402(a) of this title.
      (B) If any person fails to pay an assessment of a forfeiture
    penalty determined under subparagraph (A) of this paragraph, after
    it has become a final and unappealable order or after the
    appropriate court has entered final judgment in favor of the
    Commission, the Commission shall refer the matter to the Attorney
    General of the United States, who shall recover the amount assessed
    in any appropriate district court of the United States. In such
    action, the validity and appropriateness of the final order
    imposing the forfeiture penalty shall not be subject to review.
      (4) Except as provided in paragraph (3) of this subsection, no
    forfeiture penalty shall be imposed under this subsection against
    any person unless and until - 
        (A) the Commission issues a notice of apparent liability, in
      writing, with respect to such person;
        (B) such notice has been received by such person, or until the
      Commission has sent such notice to the last known address of such
      person, by registered or certified mail; and
        (C) such person is granted an opportunity to show, in writing,
      within such reasonable period of time as the Commission
      prescribes by rule or regulation, why no such forfeiture penalty
      should be imposed.

    Such a notice shall (i) identify each specific provision, term, and
    condition of any Act, rule, regulation, order, treaty, convention,
    or other agreement, license, permit, certificate, instrument, or
    authorization which such person apparently violated or with which
    such person apparently failed to comply; (ii) set forth the nature
    of the act or omission charged against such person and the facts
    upon which such charge is based; and (iii) state the date on which
    such conduct occurred. Any forfeiture penalty determined under this
    paragraph shall be recoverable pursuant to section 504(a) of this
    title.
      (5) No forfeiture liability shall be determined under this
    subsection against any person, if such person does not hold a
    license, permit, certificate, or other authorization issued by the
    Commission, and if such person is not an applicant for a license,
    permit, certificate, or other authorization issued by the
    Commission, unless, prior to the notice required by paragraph (3)
    of this subsection or the notice of apparent liability required by
    paragraph (4) of this subsection, such person (A) is sent a
    citation of the violation charged; (B) is given a reasonable
    opportunity for a personal interview with an official of the
    Commission, at the field office of the Commission which is nearest
    to such person's place of residence; and (C) subsequently engages
    in conduct of the type described in such citation. The provisions
    of this paragraph shall not apply, however, if the person involved
    is engaging in activities for which a license, permit, certificate,
    or other authorization is required, or is a cable television system
    operator, if the person involved is transmitting on frequencies
    assigned for use in a service in which individual station operation
    is authorized by rule pursuant to section 307(e) of this title, or
    in the case of violations of section 303(q) of this title, if the
    person involved is a nonlicensee tower owner who has previously
    received notice of the obligations imposed by section 303(q) of
    this title from the Commission or the permittee or licensee who
    uses that tower. Whenever the requirements of this paragraph are
    satisfied with respect to a particular person, such person shall
    not be entitled to receive any additional citation of the violation
    charged, with respect to any conduct of the type described in the
    citation sent under this paragraph.
      (6) No forfeiture penalty shall be determined or imposed against
    any person under this subsection if - 
        (A) such person holds a broadcast station license issued under
      subchapter III of this chapter and if the violation charged
      occurred - 
          (i) more than 1 year prior to the date of issuance of the
        required notice or notice of apparent liability; or
          (ii) prior to the date of commencement of the current term of
        such license,

      whichever is earlier; or
        (B) such person does not hold a broadcast station license
      issued under subchapter III of this chapter and if the violation
      charged occurred more than 1 year prior to the date of issuance
      of the required notice or notice of apparent liability.

    For purposes of this paragraph, "date of commencement of the
    current term of such license" means the date of commencement of the
    last term of license for which the licensee has been granted a
    license by the Commission. A separate license term shall not be
    deemed to have commenced as a result of continuing a license in
    effect under section 307(c) of this title pending decision on an
    application for renewal of the license.



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