Page:United States Statutes at Large Volume 49 Part 1.djvu/923

878 Vol.40,p.82; U.S. C.,p.294. Forfeiture of vehicles or aircraft seized for violation of internal- revenue laws. Claims for remission or mitigation ; proof to be submitted by claim- ant . Return of vehicle or airc raft . Payment of expenses incurred by Un ited States. Disposition of ve- hicles, etc ., not re- turned . Delivery to claim- ant. 7 4TH CONGRESS . SESS . I. CH. 740 . AU GUST 27, 1935 . is intended, by any person interested therein, to be received, pos- ses sed, s old, or in any m anner used , eit her in the origi nal pa ckage or otherwise, in violation of any law of such State, Territory, or District of the United States, or place noncontiguous to but subject to the jurisd ictio n the reof, is he reby prohib ited . SEC. 203. Section 12 of the Act of May 18, 1917 (40 Stat . 76), entitled "An Act to authorize the President to increase temporarily the Military Establishment of the United States", as amended, is he reby rep ealed . SEC . 204. (a) Whenever, in any proceeding in court for the for- feiture, under the internal-revenue laws, of any vehicle or aircraft seized for a violatio n of the internal-revenue laws relating to liquors, such forfeiture is decreed, the court shall have exclusive jurisdiction to remit or mitigate the forfeiture. (b) In any such proceeding the court shall not allow the claim of any claimant for remission or mitigation unless and until he proves (1) that he has an interest in such vehicle or aircraft, as owner or otherwise, which he acquired in good faith, (2) that he had at no time a ny knowledge or reason to believe that it was bein g or would be used in the violation of laws of the United States or of any State relating to liquor, and (3) if it appears that the interest asserted by the claimant arises out of or is in any way subject to any contract or agreement under which any person having a record or reputation for violating laws of the United States or of any State relating to liquor has a right wit h respect to such vehicle or aircr aft, that, before such claimant acquired his interest, or such other person acquired his right under such contract or agreement, whichever occurred later, the claimant, his officer or agent, was informed in answer to his inquiry, at the headquarters of the sheriff, chief of police, principal Federal internal-revenue officer engaged in the enforcement of the liquor laws, or other principal local or Federal la w-enforcement off icer of the loca lity in which suc h other person acquired his right under such contract or agreement, of the locality in which such other person then resided, and of each locality in which the claimant has made any other inquiry as to the character or fin ancial standing of such other per son, that such ot her person had no such record or reputation . (c) Upon the request of any claimant whose claim for remission or mitigation is allowed and whose interest is first in the order of priority among such claims allowed in such proceeding and is of an amount in excess of, or equal to, the appraised value of such vehicle or aircraft, the court shall order its return to him ; and, upon the joint request of any two or more claimants whose claims are allowe d and whose inte rests are not sub ject to any prior or inter- vening interests claimed and allowed in such proceedings, and are of a total amount in excess of, or equal to, the appraised value of such vehicle or aircraft, the court shall order its return to such of the joint requesting claimants as is designated in such request . Such return shall be made o nly upon payment of all expenses i ncident to the seizure and forfeiture incurred by the . United States . In all other cases the court shall order disposition of such vehicle or aircraft as provided in title 3 of this Act, and if such disposition be by public sale, payment from the proceeds thereof , after satisfact ion of all such expenses, of any such claim in its order of priority among the claims allowed in such proceedings . (d) In any procee ding in c ourt for t he forfei ture under the internal-revenue laws of any vehicle or aircraft seized for a violation of the internal-revenue laws relating to liquor, the court shall order