United States Code Title 46 — Shipping

§ 31330. Penalties

§ 31330.

Penalties

(a)
(1)

A mortgagor shall be fined under title 18, imprisoned for not more than 2 years, or both, if the mortgagor—

(A)

with intent to defraud, does not disclose an obligation on a vessel as required by section 31323(a) of this title;

(B)

with intent to defraud, incurs a contractual obligation in violation of section 31323(b) of this title; or

(C)

with intent to hinder or defraud an existing or future creditor of the mortgagor or a lienor of the vessel, files a mortgage with the Secretary.

(2)

A mortgagor is liable to the United States Government for a civil penalty of not more than $10,000 if the mortgagor—

(A)

does not disclose an obligation on a vessel as required by section 31323(a) of this title;

(B)

incurs a contractual obligation in violation of section 31323(b) of this title; or

(C)

files with the Secretary a mortgage made not in good faith.

(b)
(1)

A person that knowingly violates section 31329 of this title shall be fined under title 18, imprisoned for not more than 3 years, or both.

(2)

A person violating section 31329 of this title is liable to the Government for a civil penalty of not more than $25,000.

(3)

A vessel involved in a violation under section 31329 of this title and its equipment may be seized by, and forfeited to, the Government.

(c)

If a person not an individual violates this section, the president or chief executive of the person also is subject to any penalty provided under this section.