Title 18, Crimes and Criminal ProcedureRelease 119-102

§1034 Civil Penalties and Injunctions for Violations of Section 1033

Title 18 › PART I — CRIMES › CHAPTER 47 — FRAUD AND FALSE STATEMENTS › § 1034

Last updated Aug 21, 2026|Official source

Summary

The Attorney General can file a civil lawsuit in federal court against anyone who breaks the rules in section 1033. If the court finds it more likely than not that the person did it, the person must pay a civil fine of up to $50,000 for each violation or the amount they got or offered for the bad act, whichever is larger. If the wrongdoing helped cause a court to order conservation, rehabilitation, or liquidation of an insurer, the fine goes to the regulator to help the insurer’s policyholders, claimants, and creditors. The fine does not stop other criminal or civil actions. The Attorney General can also ask a court to order a person to stop the illegal conduct. The court may issue that order if it finds the conduct is an offense. Asking for that order does not prevent other legal remedies.

Full Legal Text

Title 18, §1034

Crimes and Criminal Procedure, Source: USLM XML via OLRC

(a)The Attorney General may bring a civil action in the appropriate United States district court against any person who engages in conduct constituting an offense under section 1033 and, upon proof of such conduct by a preponderance of the evidence, such person shall be subject to a civil penalty of not more than $50,000 for each violation or the amount of compensation which the person received or offered for the prohibited conduct, whichever amount is greater. If the offense has contributed to the decision of a court of appropriate jurisdiction to issue an order directing the conservation, rehabilitation, or liquidation of an insurer, such penalty shall be remitted to the appropriate regulatory official for the benefit of the policyholders, claimants, and creditors of such insurer. The imposition of a civil penalty under this subsection does not preclude any other criminal or civil statutory, common law, or administrative remedy, which is available by law to the United States or any other person.

(b)If the Attorney General has reason to believe that a person is engaged in conduct constituting an offense under section 1033, the Attorney General may petition an appropriate United States district court for an order prohibiting that person from engaging in such conduct. The court may issue an order prohibiting that person from engaging in such conduct if the court finds that the conduct constitutes such an offense. The filing of a petition under this section does not preclude any other remedy which is available by law to the United States or any other person.

Reference

Citations & Metadata

Citation

18 U.S.C. § 1034

Title 18, Crimes and Criminal Procedure

Last Updated

Aug 21, 2026

Release point: 119-102