(2) Material classified as "Top Secret," "Secret," or "Confidential” under Executive Order No. 10501, of November 5, 1953, 18 F.R. 7049, as amended. (b) Information relating solely to the internal personnel rules and practices. This includes guidelines, operational rules, and procedural manuals for the guidance of customs officers and employees which relate to such functions as investigation, inspection, auditing, and other functions of a like nature. Examples of this type of information are: Audit Manual. Audit Standards and Techniques Manual. Enforcement and Technical Investigation Inspectors' Manual. Sampling Guide. (c) Information specifically exempted from disclosure by statute. This includes information pertaining to trade secrets, business operations, and commercial or financial information of importers, exporters, and other persons who transact customs business (18 U.S.C. 1905). (d) Trade secrets and commercial or financial information obtained from any person and privileged or confidential. The information contained in invoices, entries, vessels' manifests, export declarations, official reports of investigating officers, records pertaining to the licensing of and the revocation or suspension of a license of a customhouse broker, and other papers or documents filed with customs officers for any official purpose which contain trade secrets, or commercial or financial information, is exempt from disclosure, except for the purpose for which such documents are required to be filed. However, information contained in vessels' manifests and summary statistical reports of importations and exportations are available for inspection and copying by certain representatives of the press to the extent permitted by § 26.8. Further, importers and exporters or their duly authorized brokers, attorneys, or agents, may be permitted to examine manifests with respect to any consignment of goods in which they have a proper and legal interest as principal or agent, but shall not be permitted to make any general examination of manifests or make any copies or notations from them except with reference to the particular importation or exportation in which they have a proper and legal interest. Information obtained in connec tion with investigations under the Antidumping Act, 1921 (19 U.S.C. 160 et seq.), is available for disclosure under the provisions of § 14.6a of this chapter. (e) Interagency or intraagency memoranda or letters which would not be available by law to a private party in litigation. This information includes, but is not limited to, memoranda expressing the views of subordinates, comments endorsing or dissenting from conclusions reached in official rulings, work papers, and other informal expressions of view, certain documents addressed to other Government agencies (unless such documents are released for disclosure by the recipient). (f) Personal and medical files and similar files the disclosure of which would constitute a clearly unwarranted invasion of personal privacy. These include, but are not limited to, leave records of individual employees, personnel investigative records, personnel security records, personnel financial statements submitted in connection with conflicts of interest and other records which relate to the private, personal, financial, or business affairs of an individual employee or members of his family, unless the person concerned or his duly authorized agent authorizes disclosure, or unless otherwise made available in this part. (g) Investigatory files compiled for law enforcement purposes except to the extent that they are available by law to a private party. Some examples of records included in this category are investigative reports relating to: The value and classification for tariff purposes of imported merchandise; suspected violations of section 592 of the Tariff Act of 1930 (19 U.S.C. 1592); allegations of the importation of merchandise into the United States in contravention of the countervailing duty provision (19 U.S.C. 1303); the importation of certain books, pictures, or other articles in contravention of the so-called "obscenity statute" (19 U.S.C. 1305). This listing is intended to be illustrative only, and is not intended to be, and is not, an exhaustive listing. § 26.8 Information for the press and associations. (a) Disclosure to members of the press. Although the following classes of information are exempt from the requirement of disclosure under the provisions of § 26.7, accredited representatives of the press, including newspapers, commercial magazines, trade journals, and similar publications may be permitted to examine vessels' manifests and summary statistical reports of imports and exports and to copy therefrom for publication information and data not of a confidential nature, subject to the following rules: (1) Of the information and data appearing on outward manifests, only the general character, destination, and quantity (or value) of the commodity, name of vessel, and country of destination may be copied and published. Where the manifests show both quantity and value, either may be copied and published, but not both in any instance. (2) Commercial or financial information, such as the names of the shippers and consignees, marks and numbers, and both quantities and values of commodities shall not be copied from outward manifests or any other papers. (3) Of the information shown on inward manifests, only the name of the consignee, the general character of the commodity, the quantity (or value), name of vessel, and the country of dispatch shall be copied and published. When an inward manifest shows both quantity and value of the commodity, either may be copied and published, but not both in any instance. (b) Review of data. All copies and notations from inward or outward manifests shall be submitted for examination by a customs officer designated for that purpose. (c) Disclosure to members of associations. Accredited representatives of regularly established associations, whether incorporated or not, shall be permitted to obtain information from, but not examine, vessels' manifests for the purpose of securing data relative to merchandise of the kind or class in the importation of which the association is interested, subject to the foregoing rules, but this authority does not extend to attorneys, agents, or customhouse brokers acting on behalf of individual importers. (d) Suspension of disclosure. (1) Except as provided in § 26.11, upon written application of a consignee or importer access to the name of such consignee or importer on a manifest will thereafter be refused. (2) If any individual shall abuse the privilege granted him of examining inward and outward manifests or shall make any improper use of any information or data obtained from such manifests or other papers filed in the customhouse, both he and the party or publication which he represents shall thereafter be denied access to such papers. § 26.9 Sanction for improper disclosure by customs officer or employee. The disclosure of the confidential information contained in customs documents or the disclosure to one importer or exporter of information relative to the business of another importer or exporter acquired by any customs officer or employee by reason of his official employment shall constitute grounds for dismissal from the Service, suspension, or other disciplinary action, and if done for a valuable consideration will subject such person to criminal prosecution. § 26.10 Statements for publication. District directors of customs and other customs officers shall refrain from disclosing facts concerning seizures, investigations, and other pending cases until customs action is completed. The district director of customs or other authorized customs officer, may make public information concerning any case involving an offense against the customs and navigation laws after completion of the investigation and the case has been closed by final customs action, such as settlement of a civil liability or reference of a case to the U.S. attorney for handling. Field officers shall exercise proper restraint and judgment in disclosing local transactions. § 26.11 Testimony or the production of documents in court. (a) General. In answer to a legal process or demand from a court issued in behalf of the United States or an officer thereof, customs officers or employees shall produce in court in customs custody, and may testify with respect to, any official customs papers or documents demanded. When any such process or demand is issued in behalf of a party other than the United States, it shall be complied with only to the extent that the party in whose behalf the papers or documents are demanded is permitted under these regulations to inspect or copy such papers or documents. Exceptions to this rule shall be made only on the written order of the Commissioner of Customs. When requested, copies may be authenticated pursuant to the provisions of section 1733, title 28, United States Code. (b) Request of Customs Court. Except as stated in § 26.7, nothing in this part shall preclude customs officers or employees from producing in the U.S. Customs Court in customs custody any customs papers or documents or from testifying or otherwise rendering all proper assistance to the court in proceedings before it when request therefor is made by the court; nor from furnishing to counsel for the U.S. information in, and permitting him to inspect, customs papers, or documents requested by him, nor from testifying on behalf of the United States or otherwise assisting him in the performance of his official duties. (c) Subpoena or Subpoena duces tecum. Upon being served with a subpoena or subpoena duces tecum from a court or officer therof calling for testimony or the production of papers or documents in cases not covered by paragraphs (a) or (b) of this section, or in cases where the testimony or documents desired would disclose matters the disclosure of which would be contrary to these regulations, the matter shall be referred to the Bureau for instructions, with a report which shall specifically describe the testimony or documents desired; shall set forth the view of the submitting officer whether the giving of the testimony or the furnishing of the documents would disclose information not permitted to be disclosed under these regulations; and shall state in what particulars, if any, the disclosure of the information and work incidental thereto would interfere with the orderly conduct of customs business. If instructions are not received prior to the date set for appearance or production of documents, or if the Bureau declines to permit their production or the disclosure of the information contained therein or otherwise within the knowledge of the customs officer or employee whose testimony is requested, the customs officer or employee shall appear in court or before the officer concerned in answer to the subpoena and respectfully decline to produce the documents called for or to testify, except to the extent specifically authorized elsewhere in this section, citing this regulation as authority for his refusal. If the matter has not already been referred to the Bureau for instructions, the customs officer or employee shall advise the court or officer that it will be so referred. 30.15 30.16 Direct exportation from a zone. one Supplies, equipment, and repair material for vessels or aircraft. 30.17 Transfer of merchandise from zone to another. 30.18 Reimbursement of customs expenses. AUTHORITY: The provisions of this Part 30issued under R.S. 251, secs. 1-21, 48 Stat. 998, 999, as amended, 1000-1003, sec. 624, 46 Stat. 759, sec. 101, 76 Stat. 72; 5 U.S.C. 301, 19 U.S.C. 66, 81a-81u, 1624, Gen. Hdnote. 11, Tariff Schedules of the United States. SOURCE: The provisions of this Part 30 appear at 28 F.R. 14824, Dec. 31, 1963, unless otherwise noted. § 30.1 Merchandise permitted in a zone. Foreign and domestic merchandise of every description, except such as is prohibited by law, may be brought into a foreign-trade zone (hereinafter in this part referred to as a "zone") established pursuant to the act of June 18, 1934, as amended by section 1 of the act of June17, 1950 (19 U. S. C. 81a-81u, sec. 1, 64 Stat. 246), hereinafter in this part referred to as "the act"). Merchandise which is specifically and absolutely prohibited by law shall not be admitted into a zone.1 Any merchandise so prohibited by law which is found within a zone shall be disposed of in the manner provided for in the laws and regulations applicable to such merchandise. A distinction is made between (a) merchandise which is specifically and absolutely prohibited by law on the grounds of policy or morals, such as immoral or subversive literature, obscene articles or lottery matter, and (b) merchandise which is subject to conditional prohibition only, for example, articles which are subject to permits or licenses for the protection of economic or national security or which may be reconditioned to bring them into compliance with the laws administered by various Federal Agencies. Collectors of customs are required to exclude the first class of articles and may not permit them to be transferred to a zone if they are aware of their prohibited status, except that the collector may permit the temporary deposit of any such merchandise in the zone pending final determination of its status. The transfer of articles of the second class to a zone is subject to any requirements of the Federal agency concerned. There is no prohibition against placing over-quota merchandise in a zone pending its right to transfer to customs territory pursuant to the applicable quota provisions. The application for the admission of merchandise into a zone shall be approved or disapproved by the collector, as the representative of the Foreign-Trade Zones Board (hereinafter in this part referred to as "the Board"), where the merchandise is not excluded by any other Federal agency having jurisdiction over it. § 30.2 Use of zone by carriers. (a) The water area, docking facilities, or any loading or unloading stations of a zone are intended primarily for the use of vessels, vehicles, or aircraft unlading merchandise into the zone or lading merchandise from the zone, and their use for other purposes may be terminated by the Secretary of the Treasury if found to endanger the revenue, or by the Board if found to impede the primary uses of the zone. (b) Nothing in the act or the regulations in this part shall be construed as excepting any carrier entering, remaining in, or leaving a zone from the application of any other pertinent law or regulation. 'As used in this part the term "merchandise" means goods, wares and chattels of every description, except prohibited articles, and except the usual wearing apparel and accouterments of persons entitled to enter a zone. (b) Domestic merchandise 5 may be brought to a zone from customs territory by any means of transportation which will not interfere with the orderly conduct of business in the zone. (c) Foreign merchandise destined to a zone and moving through customs territory outside a port shall be subject to the laws and regulations pertaining to the movement of like merchandise between two ports in customs territory. (d) Foreign merchandise being transferred within a port to a zone shall be subject to the laws and regulations pertaining to the movement of like merchandise within the customs territory of the port before delivery to the importer. § 30.4 Who may file a zone application. (a) This section tells who is authorized to apply for permission to transfer merchandise into a zone, to do anything with respect to the merchandise within the zone, or remove the merchandise from the zone. In general, the zone grantee shall have the sole responsibility for determining the legal right of the applicant to make the application. Accordingly, such applications shall show a written concurrence of the zone grantee, except where the regulations in this part provide for the filing of applications by the zone grantee itself, or permit the filing of blanket concurrences by the zone grantee. Government officers acting in their official capacities may ques For transfer of merchandise from one zone to another zone, see § 30.17. 'As used in this part the term "customs territory" means territory of the United States in which the general tariff law of the United States applies but which is not included in any zone. As used in the act and in this part, the term "domestic merchandise" means merchandise of every description (not including prohibited articles) which has been (1) produced in the United States and not exported therefrom or (2) previously imported into customs territory and properly released from customs custody. As used in the act and in this part the term "foreign merchandise" means imported merchandise of every description (not including prohibited articles) which has not been properly released from customs custody in customs territory. (a) This section tells how to obtain the right to unlade or bring merchandise into a foreign-trade zone. (b) If the merchandise is to be unladen from any carrier in the zone for immediate transfer to customs territory, or if it is to be transferred from customs territory through the zone for immediate lading on any carrier therein, an application for permission to unlade or lade shall be filed on customs Form 3171 and the collector shall permit the unlading or lading unless he has reason to believe that the merchandise will not be moved promptly from the zone or made the subject of an application for zone status in accordance with paragraph (d) of this section. Any such merchandise shall not be considered within the purview of the act, but shall be treated in all respects as though the unlading or lading were in customs territory. Merchandise brought into a zone for lading on a carrier which is not laden without delay which will endanger the revenue must be made the subject of an application for zone status in accordance with paragraph (d) of this section or be removed from the zone. (c) Imported merchandise which has been entered and which has remained in continuous customs custody may be temporarily transferred to a zone for manipulation under customs supervision pursuant to section 562, Tariff Act of 1930, as amended, and for return to customs territory. Any such merchandise shall not be considered within the purview of the Foreign-Trade Zones Act, but shall be treated in all respects as though remaining in customs territory. Therefore, no zone form or procedure shall be considered applicable, but the merchandise shall remain subject in the zone to such requirements as are necessary for the enforcement of section 562 and other pertinent customs laws. (d) If the merchandise is to be unladen or brought into the zone for pur poses other than as provided for in paragraph (b) of this section an application to transfer into the zone shall be filed on zone Form D. The approval of the grantee shall be noted on this application unless the grantee furnishes a specific or blanket approval separately in writing. In the case of merchandise to be unladen within a zone directly from an importing vessel or aircraft and intended to have zone status, an application for permission to unlade shall also be filed on customs Form 3171. Before foreign merchandise being transported through customs territory may be brought into a foreign trade zone, a release order authorizing the transfer of the merchandise to the zone must be obtained from the carrier bringing the merchandise to the port at which the zone is located. The release order shall be noted on the application Form D unless the carrier has given the release order as a separate document. Whether the release order is noted on application Form D or is given as a separate document, application Form D shall be supported by evidence of the right of the applicant to transfer the merchandise to the zone. This evidence shall be the same as would be required to establish the right of the applicant to apply for release of the merchandise from customs custody at the end of its transit through customs territory. Such evidence usually consists of an original bill of lading in the name of the applicant, an original bill of lading endorsed to him, or a carrier's certificate. Every application made under this paragraph shall indicate the zone status desired as follows: (1) Privileged foreign merchandise, (2) Privileged domestic merchandise, (3) Non-privileged foreign merchandise, (4) Non-privileged chandise, or domestic mer (5) Zone-restricted merchandise. (e) No merchandise shall be transferred into a zone until an application has been filed and a permit issued for the transfer, as set forth in paragraph (b) or (d) of this section. (f) The collector may cause any merchandise in a zone to be examined at the time of admission, or at any time thereafter, if the examination is deemed necessary to facilitate the proper administration of any law, regulation, or 7 See § 8.6 of this chapter. |