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SEC. 249. FORFEITURES FOR FEDERAL HEALTH CARE OFFENSES.

                                                                                                                                                                                                                                                                                                                        

 Title[ Title II\Subtitle E                                                           Contents

                                                                                                                                                                                                                                                                                                                       

    (a) In General.--Section 982(a) of title 18, United States Code, is

amended by adding after paragraph (5) the following new paragraph:

    ``(6) The court, in imposing sentence on a person convicted of a

Federal health care offense, shall order the person to forfeit property,

real or personal, that constitutes or is derived, directly or

indirectly, from gross proceeds traceable to the commission of the

offense.''.

    (b) Conforming Amendment.--Section 982(b)(1)(A) of title 18, United

States Code, is amended by inserting ``or (a)(6)'' after ``(a)(1)''.

    (c) Property Forfeited <<NOTE: 42 USC 1395i note.>>  Deposited in

Federal Hospital Insurance Trust Fund.--

            (1) In general.--After the payment of the costs of asset

        forfeiture has been made and after all restoration payments (if

        any) have been made, and notwithstanding any other provision of

        law, the Secretary of the Treasury shall deposit into the

        Federal Hospital Insurance Trust Fund pursuant to section

        1817(k)(2)(C) of the Social Security Act, as added by section

        301(b), an amount equal to the net amount realized from the

        forfeiture of property by reason of a Federal health care

        offense pursuant to section 982(a)(6) of title 18, United States

        Code.

            (2) Costs of asset forfeiture.--For purposes of paragraph

        (1), the term ``payment of the costs of asset forfeiture''

        means--

                    (A) the payment, at the discretion of the Attorney

                General, of any expenses necessary to seize, detain,

                inventory, safeguard, maintain, advertise, sell, or

                dispose of property under seizure, detention, or

                forfeited, or of any other necessary expenses incident

                to the seizure, detention, forfeiture, or disposal of

                such property, including payment for--

                          (i) contract services;

                          (ii) the employment of outside contractors to

                      operate and manage properties or provide other

                      specialized services necessary to dispose of such

                      properties in an effort to maximize the return

                      from such properties; and

                          (iii) reimbursement of any Federal, State, or

                      local agency for any expenditures made to perform

                      the functions described in this subparagraph;

                    (B) at the discretion of the Attorney General, the

                payment of awards for information or assistance leading

                to a civil or criminal forfeiture involving any Federal

                agency participating in the Health Care Fraud and Abuse

                Control Account;

                    (C) the compromise and payment of valid liens and

                mortgages against property that has been forfeited,

                subject to the discretion of the Attorney General to

                determine the validity of any such lien or mortgage and

                the amount of payment to be made, and the employment of

                attorneys and other personnel skilled in State real

                estate law as necessary;

                    (D) payment authorized in connection with remission

                or mitigation procedures relating to property forfeited;

                and

                    (E) the payment of State and local property taxes on

                forfeited real property that accrued between the date of

                the violation giving rise to the forfeiture and the date

                of the forfeiture order.

            (3) Restoration payment.--Notwithstanding any other

        provision of law, if the Federal health care offense referred to

        in paragraph (1) resulted in a loss to an employee welfare

        benefit plan within the meaning of section 3(1) of the Employee

        Retirement Income Security Act of 1974, the Secretary of the

        Treasury shall transfer to such employee welfare benefit plan,

        from the amount realized from the forfeiture of property

        referred to in paragraph (1), an amount equal to such loss. For

        purposes of paragraph (1), the term ``restoration payment''

        means the amount transferred to an employee welfare benefit plan

        pursuant to this paragraph.

 

                                                                                                                                                                                                                                                                                                                                                                        

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