259.190. Contraband, seizure and sale--proceeds and bond forfeitures paid into oil and gas remedial fund, purpose.
Contraband, seizure and sale--proceeds and bond forfeitures paid intooil and gas remedial fund, purpose.
259.190. 1. Illegal oil, illegal gas, and illegal productare declared to be contraband and are subject to seizure and saleas herein provided; seizure and sale to be in addition to any andall other remedies and penalties provided in this chapter forviolations relating to illegal oil, illegal gas, or illegalproduct. Whenever the council believes that any oil, gas orproduct is illegal, the council, acting by the attorney general,shall bring a civil action in rem in the circuit court of thecounty where such oil, gas, or product is found, to seize andsell the same, or the council may include such an action in remfor the seizure and sale of illegal oil, illegal gas, or illegalproduct in any suit brought for an injunction or penaltyinvolving illegal oil, illegal gas, or illegal product. Anyperson claiming an interest in oil, gas, or product affected byany such action shall have the right to intervene as aninterested party in such action.
2. Actions for the seizure and sale of illegal oil, illegalgas, or illegal product shall be strictly in rem, and shallproceed in the name of the state as plaintiff against the illegaloil, illegal gas, or illegal products as defendant. No bond orsimilar undertaking shall be required of the plaintiff. Upon thefiling of the petition for seizure and sale, the attorney generalshall issue a notice, with a copy of the complaint attachedthereto, which shall be served in the manner provided for serviceof original notices in civil actions, upon any and all personshaving or claiming any interest in the illegal oil, illegal gas,or illegal products described in the petition. Service shall becompleted by the filing of an affidavit by the person making theservice, stating the time and manner of making such service. Anyperson who fails to appear and answer within the period of thirtydays shall be forever barred by the judgment based on suchservice. If the court, on a properly verified petition, oraffidavits, or oral testimony, finds that grounds for seizure andfor sale exist, the court shall issue an immediate order ofseizure, describing the oil, gas, or product to be seized anddirecting the sheriff of the county to take such oil, gas, orproduct into his custody, actual or constructive, and to hold thesame subject to the further order of the court. The court, insuch order of seizure, may direct the sheriff to deliver the oil,gas, or product seized by him under the order to an agentappointed by the court as the agent of the court; such agent togive bond in an amount and with such surety as the court maydirect, conditioned upon his compliance with the orders of thecourt concerning the custody and disposition of such oil, gas, orproduct.
3. Any person having an interest in oil, gas, or productdescribed in an order of seizure and contesting the right of thestate to the seizure and sale thereof may, prior to the salethereof as herein provided, obtain the release thereof, uponfurnishing bond to the sheriff, approved by the court, in anamount equal to one hundred fifty percent of the market value ofthe oil, gas, or product to be released, and conditioned as thecourt may direct upon redelivery to the sheriff of such productreleased or upon payment to the sheriff of the market valuethereof as the court may direct, if and when ordered by thecourt, and upon full compliance with the further orders of thecourt.
4. If the court, after a hearing upon a petition for theseizure and sale of oil, gas, or product, finds that such oil,gas, or product is contraband, the court shall order the salethereof by the sheriff in the same manner and upon the samenotice of sale as provided by law for the sale of personalproperty on execution of judgment entered in a civil actionexcept that the court may order that the illegal oil, illegalgas, or illegal product be sold in specified lots or portions andat specified intervals. Upon such sale, title to the oil, gas,or product sold shall vest in the purchaser free of the claims ofany and all persons having any title thereto or interest thereinat or prior to the seizure thereof, and the same shall be legaloil, legal gas, or legal product, as the case may be, in thehands of the purchaser.
5. All proceeds derived from the sale of illegal oil,illegal gas, or illegal product, as above provided, after paymentof costs of suit and expenses incident to the sale, all amountsobtained by the council from the forfeiture of surety or personalbonds required under paragraph (d) of subdivision (1) of section259.070, and any money recovered under subsection 1 of section259.200 shall be paid to the state treasurer and credited to the"Oil and Gas Remedial Fund", which is hereby created. The moneyin the oil and gas remedial fund may be used by the council topay for the plugging of, or other remedial measures on, wells andto pay the expenses incurred by the council in performing theduties imposed on it by this chapter. Any unexpended balance inthe fund at the end of the fiscal year not exceeding fiftythousand dollars is exempt from the provisions of section 33.080,RSMo, relating to transfer of unexpended balances to the ordinaryrevenue funds.
(L. 1965 2d Ex. Sess. p. 917 § 19, A.L. 1983 H.B. 37)