2225

Seizure of Stocks and Bonds

Immediately following seizure of stocks or bonds, the seizing agency should contact a certified stock broker (state and national) to establish the fair market value (FMV) of the asset and determine how the instrument is traded. The Marshals Service will not accept custody of any financial instrument with a FMV equal to $0, or any stocks or bonds that are privately or closely held, or were issued by a "shell corporation," and are not traded on the open market. Stocks and bonds of privately or closely held corporations should be "quick released" unless the seizing agency can document that they have a significant value. The Marshals Service will accept custody of all stocks and bonds for which the seizing agency can document a significant worth. As a general rule, the Marshals Service will try to liquidate stocks and bonds through interlocutory sale whenever possible. [cited in USAM 9-111.600]