§6761 Penalties

Summary

If someone breaks section 6726, they can be ordered to pay up to $25,000 for each violation, and each day the break continues counts as a separate violation. If someone breaks section 6745, they can be ordered to pay up to $5,000 for each violation. Before a penalty is imposed, the Secretary of State must give notice. The person has 15 days from that notice to ask for a hearing. If they ask, the hearing is before an administrative law judge and follows the rules in title 5, section 554. If no hearing is requested, the order becomes final and cannot be appealed. The judge decides the case by weighing the evidence and will issue written findings and an order. When setting the penalty, the judge must consider the nature and seriousness of the violation, ability to pay, effect on the business, past violations, blameworthiness, any internal compliance program, and other fair factors. The judge’s decision becomes final unless the head of the United States National Authority changes it within 30 days. The penalty can be taken from money the United States owes the person. A person can ask a federal appeals court to review a final order within 30 days. Knowingly breaking section 6726 or 6745 can also lead to criminal fines under title 18, up to one year in prison, or both, in addition to or instead of civil penalties.