50 U.S.C. § 4843: Enforcement

Summary

Anyone who intentionally breaks the export-control rules can face criminal punishments and civil sanctions. For criminal acts, a person can be fined up to $1,000,000. A natural person may also be jailed for up to 20 years, or face both a fine and prison. The President may impose civil penalties after notice and a chance for an agency hearing under sections 554–557 of title 5, with court review under chapter 7. Civil sanctions can include a fine up to $300,000 or twice the value of the transaction (whichever is greater), revoking a license under subchapter I, or banning exports, reexports, or in‑country transfers of items controlled under subchapter I. The President may set rules for penalty levels using factors like how serious the violation was, the violator’s culpability, and cooperation with the government.

Title 50, §4843

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(a)Criminal penalty

A person who willfully commits, willfully attempts to commit, or willfully conspires to commit, or aids or abets in the commission of, an unlawful act under section 4842 of this title—

(1)shall, upon conviction, be fined not more than $1,000,000; or

(2)if a natural person, may be imprisoned for not more than 20 years, or both.

(b)Civil penalties

The President may impose the following civil penalties on a person who violates section 4842 of this title or any regulation issued under this subchapter:

(1)A fine of not more than $300,000 or an amount that is twice the value of the transaction that is the basis of the violation with respect to which the penalty is imposed, whichever is greater.

(2)Revocation of a license issued under subchapter I to the person.

(3)A prohibition on the person’s ability to export, reexport, or in-country transfer any items controlled under subchapter I.

(c)Procedures

Any civil penalty or administrative sanction (including any suspension or revocation of authority to export) under this section may be imposed only after notice and opportunity for an agency hearing on the record in accordance with sections 554 through 557 of title 5 and shall be subject to judicial review in accordance with chapter 7 of such title.

(d)Standards for levels of civil penalty

The President may by regulation provide standards for establishing levels of civil penalty under this section based upon factors such as the seriousness of the violation, the culpability of the violator, and the violator’s record of cooperation with the Government in disclosing the violation.

Notes & Related Subsidiaries

Editorial Notes

References in Text

Subchapter I, referred to in subsec. (b)(2), (3), was in the original “part I”, meaning part I (§§ 1751–1768) of subtitle B of title XVII of div. A of Pub. L. 115–232, known as the Export Controls Act of 2018, which is classified principally to subchapter I of this chapter. For complete classification of part I to the Code, see section 1751 of Pub. L. 115–232, set out as a

Short Title

note under section 4801 of this title and Tables.

Amendments

2021—Subsec. (a). Pub. L. 116–283 inserted “under” before “section 4842 of this title”.

Statutory Notes and Related Subsidiaries

Effective Date

of 2021 Amendment Pub. L. 116–283, div. A, title X, § 1081(d), Jan. 1, 2021, 134 Stat. 3873, provided that the amendment made by section 1081(d)(11) is effective as of Aug. 13, 2018, and as if included in Pub. L. 115–232.

§4843 Enforcement