§ 1241.60May I be subject to penalties without prior notice and an opportunity to correct?
The Federal Oil and Gas Royalty Management Act sets out several specific violations for which penalties accrue without an opportunity to first correct the violation.
(a) Under 30 U.S.C. 1719(c), you may be subject to penalties of up to $10,000 per day per violation for each day the violation continues if you:
(1) Knowingly or willfully fail to make any royalty payment by the date specified by statute, regulation, order or terms of the lease; or
(2) Fail or refuse to permit lawful entry, inspection, or audit.
(b) Under 30 U.S.C. 1719(d), you may be subject to civil penalties of up to $25,000 per day for each day each violation continues if you knowingly or willfully prepare, maintain, or submit false, inaccurate, or misleading reports, notices, affidavits, records, data, or other written information.