18 U.S.C. § 431 — Contracts by Member of Congress

Page 112 TITLE 18—CRIMES AND CRIMINAL PROCEDURE § 431 eral employees contracting or trading with Indians.’’ for ‘‘Indian contracts for goods and supplies’’ in item 437. 1951—Act Oct. 31, 1951, ch. 655, § 18, 65 Stat. 717, struck out ‘‘; exceptions’’ from item 431. § 431. Contracts by Member of Congress Whoever, being a Member of or Delegate to Congress, or a Resident Commissioner, either before or after he has qualified, directly or indi- rectly, himself, or by any other person in trust for him, or for his use or benefit, or on his ac- count, undertakes, executes, holds, or enjoys, in whole or in part, any contract or agreement, made or entered into in behalf of the United States or any agency thereof, by any officer or person authorized to make contracts on its be- half, shall be fined under this title. All contracts or agreements made in violation of this section shall be void; and whenever any sum of money is advanced by the United States or any agency thereof, in consideration of any such contract or agreement, it shall forthwith be repaid; and in case of failure or refusal to repay the same when demanded by the proper of- ficer of the department or agency under whose authority such contract or agreement shall have been made or entered into, suit shall at once be brought against the person so failing or refusing and his sureties for the recovery of the money so advanced. (June 25, 1948, ch. 645, 62 Stat. 702; Oct. 31, 1951, ch. 655, § 19, 65 Stat. 717; Pub. L. 103–322, title XXXIII, § 330016(1)(J), Sept. 13, 1994, 108 Stat. 2147.) HISTORICAL AND REVISION NOTES Based on title 18, U.S.C., 1940 ed., § 204 (Mar. 4, 1909, ch. 321, § 114, 35 Stat. 1109). Word ‘‘agency’’ was inserted in three places to elimi- nate any ambiguity as to scope of section. (See defini- tion of department or agency under section 6 of this title.) Minor changes were made in phraseology. Editorial Notes AMENDMENTS 1994—Pub. L. 103–322 substituted ‘‘fined under this title’’ for ‘‘fined not more than $3,000’’ in first par. 1951—Act Oct. 31, 1951, struck out ‘‘; exceptions’’, after ‘‘Congress’’ in section catchline. § 432. Officer or employee contracting with Mem- ber of Congress Whoever, being an officer or employee of the United States, on behalf of the United States or any agency thereof, directly or indirectly makes or enters into any contract, bargain, or agree- ment, with any Member of or Delegate to Con- gress, or any Resident Commissioner, either be- fore or after he has qualified, shall be fined under this title. (June 25, 1948, ch. 645, 62 Stat. 702; Pub. L. 103–322, title XXXIII, § 330016(1)(J), Sept. 13, 1994, 108 Stat. 2147.) HISTORICAL AND REVISION NOTES Based on title 18, U.S.C., 1940 ed., § 205 (Mar. 4, 1909, ch. 321, § 115, 35 Stat. 1109). Words ‘‘agency’’ and ‘‘employee’’ were inserted to eliminate any ambiguity as to scope of section. (See definition of agency under section 6 of this title.) Changes were made in phraseology. Editorial Notes AMENDMENTS 1994—Pub. L. 103–322 substituted ‘‘fined under this title’’ for ‘‘fined not more than $3,000’’. § 433. Exemptions with respect to certain con- tracts Sections 431 and 432 of this title shall not ex- tend to any contract or agreement made or en- tered into, or accepted by any incorporated com- pany for the general benefit of such corporation; nor to the purchase or sale of bills of exchange or other property where the same are ready for delivery and payment therefor is made at the time of making or entering into the contract or agreement. Nor shall the provisions of such sec- tions apply to advances, loans, discounts, pur- chase or repurchase agreements, extensions, or renewals thereof, or acceptances, releases or substitutions of security therefor or other con- tracts or agreements made or entered into under the Reconstruction Finance Corporation Act, the Agricultural Adjustment Act, the Federal Farm Loan Act, the Emergency Farm Mortgage Act of 1933, the Farm Credit Act of 1933, or the Home Owners Loan Act of 1933, the Farmers’ Home Administration Act of 1946, the Bankhead- Jones Farm Tenant Act, or to crop insurance agreements or contracts or agreements of a kind which the Secretary of Agriculture may enter into with farmers. Any exemption permitted by this section shall be made a matter of public record. (June 25, 1948, ch. 645, 62 Stat. 703; Pub. L. 87–353, § 3(o), Oct. 4, 1961, 75 Stat. 774.) HISTORICAL AND REVISION NOTES Based on section 1514(f) of title 7, U.S.C., 1940 ed., Ag- riculture; sections 264w, 598, 1138d(e), 1441(e), 1467(d) of title 12, U.S.C., 1940 ed., Banks and Banking; section 616(e) of title 15, U.S.C., 1940 ed., Commerce and Trade; title 18, U.S.C., 1940 ed., § 206 (Mar. 4, 1909, ch. 321, § 116, 35 Stat. 1109; Dec. 23, 1913, ch. 6, § 22(j), as added June 19, 1934, ch. 653, § 3, 48 Stat. 1107; Jan. 22, 1932, ch. 8, § 16(e), 47 Stat. 12; July 22, 1932, ch. 522, § 21, 47 Stat. 738; June 13, 1933, ch. 64, § 8, 48 Stat. 135; June 16, 1933, ch. 98, § 64, 48 Stat. 268, 269; Jan. 25, 1934, ch. 5, 48 Stat. 337; Jan. 31, 1934, ch. 7, § 13, 48 Stat. 347; June 27, 1934, ch. 847, title V, § 510, 58 Stat. 1264; May 28, 1935, ch. 150, §§ 20, 21, 49 Stat. 298; Aug. 23, 1935, ch. 614, § 101, 49 Stat. 703; Aug. 26, 1937, ch. 821, 50 Stat. 838; Feb. 16, 1938, ch. 30, title V, § 514, 52 Stat. 77). These sections were consolidated with such changes of phraseology as were necessary to effect consolida- tion. Said section 206 of title 18, U.S.C., 1940 ed., was the principal source of this section, but the enumera- tion of the kinds of commitments exempted was drawn from the various sections of said title 12 set forth above. The reference to crop insurance agreements is drawn from section 1514(f) of Title 7, Agriculture. The applicability provisions of the sections here con- solidated were unclear and of doubtful value. As revised the section preserves everything of value without change of substance. References to the Bankhead-Jones Farm Tenant Act and the Farmers’ Home Administrative Act of 1946 were included in this revised section notwithstanding the omission (and consequent repeal) of former subsection (d) of section 52 of the said Bankhead-Jones Act (1937) (Title 7, U.S.C., 1940 ed., § 1026) in the amendment of said section 52 of such Act by section 3 of the said