U.S. Customs, Auto Mechanics' Reward laws, Coast Guard, IRS, and Military Reward laws, In addition to generous rewards for helping to bust drug dealers, Crime- Fighters can get a substantial share (25%) of the forfeiture of cars, boats, planes, houses and business empires of convicted lawbreakers via customs laws. Customs Laws Customs enforces many laws concerning goods coming into or going out of the United States. The U.S. Coast Guard enables Customs to intercept and board marine vessels. In recent years the Coast Guard has played an increasing role in law enforcement against smugglers of contraband of all kinds. Lately, the emphasis is on drug smuggling from South American countries. If you live on the coast or along the Mexican border, look for drug smugg- ling, illegal aliens, importation or exportation of illegal merchandise of all kinds, including, but not limited to, endangered species, trademark infringement of merchandise (counterfeit jeans, watches, computer hardware and software, for example), liquor and tobacco violations and the export of war materials. To encourage citizens to participate in law enforcement, one Customs law pays a generous reward of 25% of fines and forfeitures collected up to a maximum of $250,000. "19 USCS 1619 Award of compensation to informers. (a) In general. If- (1) Any person who is not an officer of the United States- (A) detects and seizes any vessel, vehicle, merchandise, or baggage subject to seizure and forfeiture under the customs laws or the navigation laws and who reports the same to a customs officer, or (B) furnishes to a United States attorney, to the Secretary of the Treasury, or any customs officer original information concerning- (i) any fraud upon the customs revenue, or (ii) any violation of the customs laws or the navigation laws which is being, or has been, perpetrated or contemplated by any other person; and (2) such detection and seizure or such information leads to a recovery of- (A) any duties withheld, or (B) any fine, penalty, or forfeiture of property incurred; the Secretary may award and pay such person an amount that does not exceed 25% of the net amount so recovered. (b) Forfeited property not sold. If- (1) Any vessel, vehicle, aircraft, merchandise or baggage is forfeited to the United States and is thereafter, in lieu of sale- (A) destroyed under customs or navigation laws, or (B) delivered to any governmental agency for official use, and (2) any person would be eligible to receive an award under subsection (a) but for the lack of sale of such forfeited property, the Secretary may award and pay such person an amount that does not exceed 25% of the appraised value of such forfeited property. (c) Dollar limitation. The amount awarded and paid to any person under this section may not exceed $250,000 for any case. (d) Source of payment. Unless otherwise provided by law, any amount paid under this section shall be paid out of appropriations available for the collection of customs revenue. (e) Recovery of bail bond. For purposes of this section, an amount recovered under a bailbond shall be deemed a recovery of a fine incurred." * * * * * * Customs' reward law has a specific dollar amount limit of up to $250,000. However, under (2) above, it pays up to 25% of the appraised value of items that can't be sold -- such as drugs and machineguns, etc. If there is no large cash amounts or vehicles forfeited, only drugs and weapons from dope runners, this may be better than RICO laws. If time permits, negotiate first with Customs, but don't provide full disclosure until you have a decent reward offer in writing. If no deal is made, try the FBI next. If the anticipated reward and fines and forfeitures might exceed Customs' $250,000 limit, contact the FBI instead. Use RICO and other laws for prosecution to get 50% of fines and forfeitures plus appropriate rewards. In the book "Cocaine Wars" there is a picture of $5.4 million that was seized by the U.S. Customs Service from a private Jet in Fort Lauderdale, Florida. The cash, all neatly bundled in "bricks", looks like bales of hay. Customs would pay the maximum reward of $250,000. However, if you assert your right to prosecute the case yourself under RICO, if it is your case, you have control. The FBI or DEA will want to take over the prosecution from you, to get official credit for it. If they did, they'd also receive half of the forfeitures. Knowing that, you should negotiate with the FBI or DEA for a larger share of the fines, forfeitures and rewards for a total of about 50% -- or $2.7 million of the confiscated money. (Remember, law enforcement agencies compete with each other like football teams. Each agency wants to get the credit for the prosecution as well as 50 percent of the fines and forfeitures. That's why they usually don't share information with each other, which is detrimental to law enforcement generally. The flip side is, when you have control, you are in a good position to negotiate rewards. Each major law enforcement agency will want the case. If they agree to 50% of forfeitures plus federal rewards, they still get 50 percent of the forfeitures. If they are too tight-fisted, they get nothing! They know that too. Negotiate for 50 percent of forfeitures, plus maximum rewards. Give it to the highest bidder. Be businesslike.) If you live near the Mexican Border, you'll probably hear or read about large narcotics busts every week. Recently, I heard on the Yuma, Arizona TV news that Customs found a Mexican national trying to smuggle through the San Luis, Mexico, border $6 million worth of cocaine! In this case, there was no cash and fines and lawsuits wouldn't be practical against a Mexican national. Customs law would be better than RICO because the $6 million of drugs generate a reward under Customs' law but not under RICO. Customs' might pay you the maximum reward of $250,000. Sometimes, along with the contraband, agents often seize large amounts of cash and expensive vehicles. When smugglers manage to slip past the border, check points just North of the border stop and search suspected vehicles and catch a few more. But, the shocking part is, that's only the tip of the iceberg! Authorities catch only 10%; 90% get through! Drug running is a multi-billion dollar a year business on the border. It's also a multi-million dollar business potential for CrimeFighters! A conviction is required in order to levy fines and forfeitures under this law. However, 18 USCS 3059 and 21 USCS 886 pay rewards for the arrest of felons and drug-related activity. Apply for those too. Drug-Related Citizen's Arrests Always try to obtain assistance from law enforcement agents to make an arrest. Remember, rewards are paid for "information leading to the arrest" -- not for making the arrest. When there is no lawman handy and no time to find one or call and wait for them, and the arrest must be made "right then" or you'll lose the opportunity for a $25,000 to $100,000 reward, then you might seriously consider a citizen's arrest. In this case, if you stick your neck out and risk physical harm to yourself, the rewards are usually increased in direct proportion to your risk. But, you can't spend the generous rewards if you're dead! Fifty years ago smugglers were relatively harmless when compared to today's drug and alien smugglers. The new breed of smugglers would rather shoot someone trying to make an arrest than run from them. And, they also firmly believe in the old saying that "dead men don't talk." Not having a firearm with you when making an arrest is foolish. And, if you don't have a permit to carry a concealed weapon but carry one anyway, it could lead to your arrest for firearm violations. Don't carry concealed weapons unless you have a permit or are authorized by a case agent! * * * * * * The following is a cram course in how to detect narcotics smugglers, taken from a U.S. Customs' Brochure: "Y O U... CAN HELP! Report drug smuggling to U.S. Customs 1-800-BE-ALERT or 1-800-232-5378 UNITED STATES CUSTOMS SMUGGLING AWARENESS PROGRAM The smuggling of illegal and dangerous drugs into the United States is a serious criminal problem which threatens the well-being, health and safety of the citizens of the United States. The Customs Service and your local police authorities are devoting more time, energy, and resources than ever before in an effort to combat this great menace to the safety and welfare of your families and society. The purpose of the Drug Smuggling Awareness Program is to establish and implement a successful smuggling awareness effort along the southwestern border of the United Sates. It will provide you, the local citizens, an easy method and opportunity to provide information about the suspected smuggling activities to Customs and allow you to remain anonymous. Many citizens see suspicious activity which they believe to be drug smuggling but they are not sure and they don't know what to do or whom to call. This pamphlet will cite examples of suspicious activity to be on the lookout for and step by step instructions on how to anonymously report it to U.S. Customs. CASH REWARDS Customs will pay cash rewards ranging from $250 to $2,500 for anonymous information, or up to $250,000 for a documented confidential source, for information leading to the arrest and conviction of drug smugglers. The size of the reward will depend on the circumstances of the case and results. FOR MORE INFORMATION CALL 1-800-BE ALERT - 24 HOURS A DAY * * * * * * HOW TO DETECT A SMUGGLER United States Customs would like you to be on the lookout for potential drug smugglers. A number of characteristics have been found to be common among smuggling operations. Among them, and worthy of arousing suspicion, are the following examples: SUSPICIOUS ACTIVITY IN CLOSE PROXIMITY TO THE BORDER OR BORDER CHECK POINTS * Persons exhibiting a lifestyle which is inconsistent with their claimed occupation. * Passenger acting on behalf of someone who has paid cash for airfare being used for "business." * International carrier employees who never take time off or who insist on always working the same shift (which may coincide with particular flights). Includes freight forwarders, ground crews, baggage and cargo handlers. * Person who consistently purchase very small quantities of gas for a vehicle (this vehicle could have a modified gas tank used to transport contraband. * Persons depositing unusually large amounts of cash. * A person who buys insurance for a vehicle he does not own. * One requesting a specific hotel room having a view of the Customs lanes. * Paying cash for a rental vehicle. * Purchasing large quantities of masking (or similar) tape, plastic bags, etc., which could be used to cover windows of planes or other conveyances. * Suspicious vehicles visiting or frequenting a residence at all hours of the day and night. * Persons doing an excessive amount of travelling in and out of the United States when they have no visible means of support. * Persons doing business strictly on a cash basis involving no receipts. * Persons claiming to have modifications or special compartments in their vehicles. * Private aircraft owners making frequent trips out of the country for recreational purposes or for no apparent reason. * Business/body shops offering to install or service secret compartments or modifications to vehicles. * Persons receiving large amounts of mail from outside the United States (especially from narcotic source countries, such as Columbia, Thailand, India, Peru, Brazil, and Pakistan). * Persons operating currency exchange businesses from their personal residences or personal vehicles. AMONG AIRCRAFT AND AIRFIELDS: * Passenger seats missing from aircraft. * Aircraft windows covered by curtains or temporarily taped over. * Numerous boxes, duffel bags, plastic bags, or other containers inside the aircraft. * Aircraft flying or landing after dark without lights. * Trucks, campers, or vans waiting at or near area suitable to aircraft landings; often equipped with radios for use in communications with an aircraft. * Landing at provisional runways in a desolate area lit by vehicle headlights, signal fires, or lanterns. * Refueling from 55 gallon drums or from the back of pickup trucks. * Paint chipped, muddy wheels, dirty or dusty aircraft, beat-up propellers or other evidence of operating from dirt strips. * Strong or unusual odors, such as perfume, emanating from the aircraft. These are used to cover the scent of marijuana. * Aircraft with new paint, added doors, extra fuel tanks, and false or altered registration numbers. * Pilot or passengers reluctant to leave the aircraft unattended during ground servicing. * Pilot or passengers displaying large amounts of cash and/or making cash payments for fuel and services. AT A MARINA OR ON THE WATER * Boats purchased with large cash payments. * Immediate demands for electronics equipment or repairs without regard to cost. * Loading or unloading activity dockside at unusual hours. * The purchase of heavy duty trailers which have a load capacity which far exceeds the weight of the boat. * Boats specifically designed as sport fishers where there is an absence of any type of fishing gear. * The purchase of more than one trailer for the same boat. * Boats changed in internal configuration, i.e., raised deck, no access to bilges, fuel tanks added or modified, construction of concealed compartments, or modified bulkheads. * Boats with false water line. * Improper or false registration. * Boats riding very low in the water. * Boats which are encountered at night running without lights. * Observing the transfer of cargo from one boat to another at sea. * Communications between a boat and a shore vehicle by unusual means, i.e., lights, flags, etc. TO REPORT SUSPICIOUS ACTIVITY CALL 1-800-BE-ALERT - 24 HOURS A DAY You need only to follow these few steps to report suspicious activity to U.S. Customs. By reporting these activities you will not only remain anonymous, but also perform a great service to preserve and protect your community. * BE ALERT: In your observations, note the date, time and location of activity and write this information down. Take extra care to note any registration numbers of vehicles or distinctive features of the suspects. * BE ACCURATE: Call U.S. Customs toll-free at 1-800-BE-ALERT. Tell the officer that you have information about narcotics smuggling activities. Ask for your special caller identification number. You will be given a code number to protect your identity. After you receive your caller number give an accurate account of your information to the Customs officer. * FOLLOW THROUGH: Call Customs again at 1-800-BE-ALERT 10 days after your initial contact. Identify yourself by your assigned code. At this time you can learn if any action resulted from your information, and if so, you can arrange for payment of your cash award. YOU CAN MAKE A DIFFERENCE! YOUR PARTICIPATION IN THIS VITAL PROGRAM CAN BE A BIG FIRST STEP IN HELPING SECURE OUR NATION'S SOUTHWEST BORDER." (End of Customs' brochure) * * * * * * Auto Mechanics Reward Laws Title 15 -- Commerce and Trade -- has a special law related to automotive vehicles -- among others. If you like cars, are a mechanic, or hang around with auto mechanics, you probably know that setting back odometers is against the law. This practice is so widespread 20/20 (the TV program), presented a full documentary and expose of an auto wholesaler in Houston, Texas. It told how he makes about $50,000 a month in purchasing cars at auctions, paying a freelance "mile buster" mechanic $50 to set back odometers in good-looking cars with abnormally high mileage. Setting back the odometer in each car cost him $50 but increases the car's value by about $2,000. The wholesaler then sells the car to an unsuspecting used car dealer. Unsuspecting purchasers, who look at mileage as an indicator of wear and remaining value, are swindled. That's fraudulent practice and specifically covered in Title 15 USCS 1982 et seq. The first section of USCS 1988 details registration requirements and procedures, which are lengthy and are not too interesting to CrimeFighters. However, registration of vehicles sold must (by law) disclose the mileage at the time of sale. A record is made at each transaction and dealers keep a mileage record of servicing when the car is under warranty. That leaves an audit trail to verify mileage -- or to find a 50,000 to 100,000 mile discrepancy! There are many people besides dealers who buy and sell used cars. These people often place classified ads buying or selling one or two vehicles at a time. They sometimes buy clunkers, fix them up, and re-sell them as "private sales", without a license or paying sales or income tax. They are also quite likely to set back odometers too, if they can. And, sometimes, they buy parts from stolen cars to fix up their wrecked cars. Look for these people too -- in classified ads. The odometer law doesn't have a reward clause, but rewards are covered under USCS 3059. They are available and negotiable up to $25,000. Since the fines are paid by the car dealer and not the government, a CrimeFighter should be able to negotiate 50% of the fine to keep it in line with other rewards. And, as the fines can reach $100,000, the reward could reach $50,000 per used-car lot. It's a safe bet that in large cities or population centers there may be one or more mile-busters at work and hundreds of car odometers set back. Each mechanic you nail might pay you $1,000. If there's one in your town, the mile buster mechanic will most likely be working a few other used-car lots too. Use your lawsuit via interrogatories, plus your prosecutor's authority, to encourage mechanics to provide information and sign sworn statements against dealers. How to Do it Go auto shopping at used car lots. Look for advertised "creampuffs" or "low mileage" cars, and if the insides of these vehicles look brand new, it could indicate complete refurbishing that means the seats and floor mats were so worn they had to be replaced. Read the mileage and license plate numbers of dozens of these cars. Use a computer to check the official records at the State Department of Motor Vehicles (DMV) for recent owners, dates of transfer and mileage. If you find a lot of mileage difference, you've spotted the work of a mileage buster. Check out the rest of the cars on that lot. If you find a few more, you could get $1,000 for each "rollback" you find. When you have sufficient evidence (actually the evidence is on the discrepancy between DMV records and service records at dealerships) contact an FBI case agent. Make a preliminary disclosure and negotiate for a reward of 50% of the fines and forfeitures of the business, plus a reward for each mile-buster under USCS 3059. Or, if negotiating a suitable reward seems difficult, prosecute the case yourself under RICO. Use plea bargaining as leverage to be paid an out-of-court settlement of your personal lawsuit -- to get paid a suitable amount for your investigation and related expenses. Tip: Often, when an odometer is rolled back, a number or two of the mileage shown on the speedometer may be out of alignment. If they are, it might indicate a rollback by an amateur mechanic. Odometer Law 15 USCS 1984. Change of mileage indicated on odometer prohibited. No person shall disconnect, reset, or alter or cause to be disconnected, reset, or altered, the odometer of any motor vehicle with intent to change the number of miles indicated thereon. 15 USCS 1986. Conspiracy to violate odometer requirements. No person shall conspire with any other person to violate section 1983, 1984, 1985, 1987, or 1988 of this title. 15 USCS 1990b. Civil Penalty (a) Maximum amounts, Any person who commits any act or causes to be done any act that violates any provision of this subchapter or omits to do any act or causes to be omitted any act that is required by any such provision shall be subject to a civil penalty not to exceed $2,000 for each violation. A violation of any such provision shall, for purposes of this section, constitute a separate violation with respect to each motor vehicle or device involved, except that the maximum civil penalty shall not exceed $100,000 for any related series of violations. 15 USCS 1990c Criminal Penalties (a) maximum amounts Any person who knowingly and willfully commits any act or causes to be done any act that violates any provision of this subchapter or knowingly and willfully omits to do any act or causes to be omitted any act that is required by any such provision shall be fined not more than $50,000 or imprisoned not more than three years or both. * * * * * * Comment: "any person", mentioned above, also means any company, used car lot, or automobile dealership. While the mechanic is nailed for rolling back odometers, the last paragraph nails the people or firm that pays him. The same TV show (20/20) highlighted another automotive-related law, about counterfeit automotive parts, which are usually substandard in quality and are falsely labeled as a well-known brand. That's misleading, or a fraud (and cheats the honest manufacturer as well). In some cases, it's also a violation of copyright or patent laws. If you're a mechanic, maybe you know about such parts and know where to locate the distributor or manufacturer. If so, get the information you need, and evidence (parts falsely marked) with receipts of purchase from the store, and blow the whistle on them. Contact an FBI agent to negotiate a reward. Incidentally, there are many business-related law violations to be on the lookout for: counterfeit money, art, auto parts, jeans, watches, cosmetics, etc. Copyright and trademark violations are illegal, and rewards available. (Software pirates are the latest.) Look for bait-and-switch advertising (false advertising) and fraud, cons, scams, chain letters, pyramid schemes, etc. Anything that seems to be to good to be true, probably isn't. Investigate -- but don't get stung on a con. By the way, the "CrimeFighter Catalog" has a few good books that tell you all about cons, frauds, swindles, and scam operators. When you know all about it, try conning a con, (the ultimate con) and make a bust. If it's a felony violation, Title 18, Section 3059 qualifies you for a reward. If it's operated as a regular business (like a "chop shop" selling used parts from stolen automobiles), it also comes under RICO. (There are many garage mechanics who swindle car owners in various ways. Cons, frauds and false advertising are mentioned in the next chapter.) * * * * * * IRS - Internal Revenue Laws 26 USCS 7623 Reward for information concerning violations of internal revenue laws. "The Secretary, under regulations prescribed by the Secretary, is authorized to pay such sums, not exceeding in the aggregate the sum appropriated therefore, as he may deem necessary for detecting and bringing to trial and punishment persons guilty of violating the internal revenue laws, or conniving at the same, in cases where such expenses are not otherwise provided for by law." * * * * * * Comments: The wording in this law doesn't seem impressive but it carries a strong potential for CrimeFighters. The unspecified reward is at the sole discretion of the Secretary, but it's usually 10% of the amount recovered in back taxes but could also include fines, interest due, and forfeitures. Remember, it's negotiable! (Always try for 50%) Ten percent seems skimpy when compared to the majority of laws that offer 50%, but 10% of a large tax bill owed can be substantial. One case (Faul vs Commissioner, 1959, CA9, 263 F2D645) paid the informer $68,837.96. Note: Internal Revenue laws aren't just for income tax. They also include unpaid liquor tax (on moonshine made in illegal distilleries) and tobacco tax (cigarettes sold without tax stamps). Lawbreakers also include almost all criminals, prostitutes, and gamblers, who neglect to report their illegal income and pay taxes on it! All business, whether legal or illegal (dope dealing for example) are subject to income taxes too! That may seem ridiculous, but the IRS thereby sets a catch-22 trap for criminals who may not be convicted of any crime, but can be convicted for income tax evasion. (That's how they nailed Al Capone!) If you declare any income from illegal sources, you can expect to be arrested for it. But if you don't declare it, the IRS can nab you! Keep that in mind when you see any criminal activity. Chances are, the crook hasn't paid any taxes on his illegal income and is guilty of tax evasion by failing to file and report income - no matter how it's obtained. Look for a successful drug dealer with an expensive car and valuable jewelry. He probably hasn't paid any taxes for many years. To qualify for a (negotiated) reward, the IRS will want something tangible to go on, not just your hunch. (The crook may also have a legitimate business and is actually paying taxes on sufficient income to support his lavish lifestyle.) But if he pays no taxes at all, that may be enough for the IRS to ask embarrassing questions. When they do an audit, they may discover large sums of money has been invested, but the source of the money might be traced to prior or continuing criminal enterprises or racketeering -- that opens the door to RICO and maximum fines and forfeitures. As always, use RICO whenever possible. Lay charges and initiate a civil suit. When you have control of the case, you are the prosecutor and can choose which laws you want to use. You can use more than one law if more than one is applicable. Negotiate with the FBI for 50% of resultant fines and forfeitures plus appropriate rewards. * * * * * * 26 USCS 7214 Reward for information concerning offenses of government officers and employees in connection with revenue law. "(a) Unlawful acts of revenue officers or agents. Any officer or employee of the United States acting in connection with any revenue law of the United States - (1) who is guilty of any extortion or willful oppression under color of law; or (2) who knowingly demands other or greater sums than are authorized by law, or receives any fee, compensation or reward, except as by law prescribed, for the performance of any duty; or (3) who with intent to defeat the application of any provision of this title fails to perform any of the duties of his office or employment; or (4)who conspires or colludes with any other person to defraud the United States; or (5) who knowingly makes opportunity for any person to defraud the United States; or (6) who does or omits to do any act with intent to enable any other person to defraud the United States; or (7) who makes or signs any fraudulent entry in any book, or makes or signs any fraudulent certificate, return, or statement; or (8) who, having knowledge or information of the violation of any revenue law by any person, or of fraud committed by any person against the United States under any revenue law, fails to report, in writing, such knowledge or information to the Secretary; or (9) who demands, or accepts, or attempts to collect, directly or indirectly as payment or gift, or otherwise, any sum of money or other thing of value for the compromise, adjustment, or settlement of any charge or complaint for any violation or alleged violation of law, except as expressly authorized by law to do so; shall be dismissed from office or discharged from employment and, upon conviction thereof, shall be fined not more than $10,000, or imprisoned not more than 5 years, or both. The court may in its discretion award out of the fine so imposed an amount, not in excess of one-half thereof, for the use of the informer, if any, who shall be ascertained by the judgment of the court. The court also shall render judgment against the said officer or employee for the amount of damages sustained in favor of the party injured, to be collected by execution." (The key phrase is "one-half" or 50% of the fines and forfeitures.) * * * * * * Miscellaneous Customs/Coast Guard (reward) laws There a few miscellaneous (small) rewards paid by the Coast Guard and the various branches of the Armed Forces. Most of these reward laws were made during WWII, and the rewards (up to $500) are piddly by today's standards. Instead of wasting disk space on them, I suggest you look for alternative rewards from the FBI when it involves a felony. Title 18: 3059 makes you eligible to be the prosecutor. Initiate both criminal and civil suits. Negotiate a plea bargain to settle your $1,000+ civil suit out of court. Get paid by the lawbreaker when you can, instead of using piddly rewards. F9 for next Chapter