§ 1719. — Civil penalties.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 30USC1719]
TITLE 30--MINERAL LANDS AND MINING
CHAPTER 29--OIL AND GAS ROYALTY MANAGEMENT
SUBCHAPTER I--FEDERAL ROYALTY MANAGEMENT AND ENFORCEMENT
Sec. 1719. Civil penalties
(a) Failure to comply with applicable law, to permit inspection, or to
notify Secretary of assignment; exceptions to application of
penalty
Any person who--
(1) after due notice of violation or after such violation has
been reported under subparagraph (A), fails or refuses to comply
with any requirements of this chapter or any mineral leasing law,
any rule or regulation thereunder, or the terms of any lease or
permit issued thereunder; or
(2) fails to permit inspection authorized in section 1718 of
this title or fails to notify the Secretary of any assignment under
section 1712(a)(2) \1\ of this title
---------------------------------------------------------------------------
\1\ See References in Text note below.
shall be liable for a penalty of up to $500 per violation for each day
such violation continues, dating from the date of such notice or report.
A penalty under this subsection may not be applied to any person who is
otherwise liable for a violation of paragraph (1) if:
(A) the violation was discovered and reported to the Secretary
or his authorized representative by the liable person and corrected
within 20 days after such report or such longer time as the
Secretary may agree to; or
(B) after the due notice of violation required in paragraph (1)
has been given to such person by the Secretary or his authorized
representative, such person has corrected the violation within 20
days of such notification or such longer time as the Secretary may
agree to.
(b) Failure to take corrective action
If corrective action in not taken within 40 days or a longer period
as the Secretary may agree to, after due notice or the report referred
to in subsection (a)(1) of this section, such person shall be liable for
a civil penalty of not more than $5,000 per violation for each day such
violation continues, dating from the date of such notice or report.
(c) Failure to make royalty payment; failure to permit lawful entry,
inspection, or audit; failure to notify Secretary of well
production
Any person who--
(1) knowingly or willfully fails to make any royalty payment by
the date as specified by statute, regulation, order or terms of the
lease;
(2) fails or refuses to permit lawful entry, inspection, or
audit; or
(3) knowingly or willfully fails or refuses to comply with
section 1712(b)(3) of this title,
shall be liable for a penalty of up to $10,000 per violation for each
day such violation continues.
(d) False information; unauthorized removal, etc., of oil or gas;
purchase, sale, etc., of stolen oil or gas
Any person who--
(1) knowingly or willfully prepares, maintains, or submits
false, inaccurate, or misleading reports, notices, affidavits,
records, data, or other written information;
(2) knowingly or willfully takes or removes, transports, uses or
diverts any oil or gas from any lease site without having valid
legal authority to do so; or
(3) purchases, accepts, sells, transports, or conveys to
another, any oil or gas knowing or having reason to know that such
oil or gas was stolen or unlawfully removed or diverted,
shall be liable for a penalty of up to $25,000 per violation for each
day such violation continues.
(e) Hearing
No penalty under this section shall be assessed until the person
charged with a violation has been given the opportunity for a hearing on
the record.
(f) Deduction of penalty from sums owed by United States
The amount of any penalty under this section, as finally determined
\2\ may be deducted from any sums owing by the United States to the
person charged.
---------------------------------------------------------------------------
\2\ So in original. Probably should be followed by a comma.
---------------------------------------------------------------------------
(g) Compromise or reduction of penalties
On a case-by-case basis the Secretary may compromise or reduce civil
penalties under this section.
(h) Notice
Notice under subsection (a) of this section shall be by personal
service by an authorized representative of the Secretary or by
registered mail. Any person may, in the manner prescribed by the
Secretary, designate a representative to receive any notice under this
subsection.
(i) Reasons on record for amount of penalty
In determining the amount of such penalty, or whether it should be
remitted or reduced, and in what amount, the Secretary shall state on
the record the reasons for his determinations.
(j) Review
Any person who has requested a hearing in accordance with subsection
(e) of this section within the time the Secretary has prescribed for
such a hearing and who is aggrieved by a final order of the Secretary
under this section may seek review of such order in the United States
district court for the judicial district in which the violation
allegedly took place. Review by the district court shall be only on the
administrative record and not de novo. Such an action shall be barred
unless filed within 90 days after the Secretary's final order.
(k) Failure to pay penalty
If any person fails to pay an assessment of a civil penalty under
this chapter--
(1) after the order making the assessment has become a final
order and if such person does not file a petition for judicial
review of the order in accordance with subsection (j) of this
section, or
(2) after a court in an action brought under subsection (j) of
this section has entered a final judgment in favor of the Secretary,
the court shall have jurisdiction to award the amount assessed plus
interest from the date of the expiration of the 90-day period referred
to in subsection (j) of this section. Judgment by the court shall
include an order to pay.
(l) Nonliability for leases automatically terminated
No person shall be liable for a civil penalty under subsection (a)
or (b) of this section for failure to pay any rental for any lease
automatically terminated pursuant to section 188 of this title.
(Pub. L. 97-451, title I, Sec. 109, Jan. 12, 1983, 96 Stat. 2454.)
References in Text
Section 1712(a) of this title, referred to in subsec. (a)(2), was
amended generally by Pub. L. 104-185, Sec. 6(g), Aug. 13, 1996, 110
Stat. 1715, and, as so amended, no longer contains a par. (2). See
section 1712(a) of this title.
Section Referred to in Other Sections
This section is referred to in section 1720 of this title.
