§ 552. Illegal oil, gas, or product declared contraband

(a) Illegal oil, gas, and product are declared to be contraband and are subject to seizure and sale. Seizure and sale shall be in addition to all other remedies and penalties provided in this chapter.

(b) Whenever the Board believes that any oil, gas, or product is illegal, the Board, acting by the Attorney General, may bring a civil action in the Superior Court of the county where the oil, gas, or product is found, to seize and sell the same, or the Board may include such an action in any suit brought for an injunction or penalty. Any person claiming an interest in oil, gas, or product, affected by such an action shall have the right to intervene as an interested party.

(c) Any person having an interest in oil, gas, or product alleged to be illegal and contesting the right of the State to seize and sell the same may obtain its release prior to sale upon furnishing a bond to the court. The bond shall be:

(1) in an amount equal to 150 percent of the market value of the oil, gas, or product to be released;

(2) conditioned upon either redelivery of the released commodity or payment of its market value, if and when ordered by the court; and

(3) conditioned upon full compliance with all further orders of the court.

(d) If the court finds that the oil, gas, or product is contraband, the court shall order its sale by the sheriff.

(1) Upon such sale, title to the oil, gas, or product shall vest in the purchaser free of all claims, and it shall be legal oil, gas, or product in the hands of the purchaser.

(2) All proceeds which are derived from the sale of illegal oil, gas, or product, less the costs of suit and expenses of sale, shall be paid into the General Fund. (Added 1981, No. 240 (Adj. Sess.), § 2, eff. April 28, 1982.)