Page:United States Statutes at Large Volume 93.djvu/308

 93 STAT. 276

PUBLIC LAW 96-39—JULY 26, 1979 "(2) PRODUCTION OPERATIONS.—

"(A) Any person establishing a distilled spirits plant may, as described in his application for registration, produce distilled spirits from any source or substance. "(B) The distilling system shall be continuous and shall be so designed and constructed and so connected as to prevent the unauthorized removal of distilled spirits before their production gauge. "(C) The Secretary is authorized to order and require— "(i) such identification of, changes of, and additions to, distilling apparatus, connecting pipes, pumps, tanks, and any machinery connected with or used in or on the premises, and "(ii) such fastenings, locks, and seals to be part of any of the stills, tubs, pipes, tanks, and other equipment, as he may deem necessary to facilitate inspection and afford adequate security to the revenue. "(3) WAREHOUSING OPERATIONS.—

26 USC 5212.

26 USC 5173.

"(A) Any person establishing a distilled spirits plant for the production of distilled spirits may, as described in the application for registration, warehouse bulk distilled spirits on the bonded premises of such plant. "(B) Distilled spirits plants for the bonded warehousing of bulk distilled spirits elsewhere than as described in subparagraph (A) may be established at the discretion of the Secretary by proprietors referred to in subparagraph (A) or by other persons under such regulations as the Secretary shall prescribe. "(4) PROCESSING OPERATIONS.—Any person establishing a distilled spirits plant may, as described in the application for registration, process distilled spirits on the bonded premises of such plant." (2) Section 5212 (relating to transfer of distilled spirits between bonded premises) is amended— (A) by striking out "Distilled spirits" and inserting in lieu thereof "Bulk distilled spirits", and (B) by striking out "distilled spirits" and inserting in lieu thereof "bulk distilled spirits". (c) BoNDS.—Section 5173 (relating to qualification bonds) is amended to read as follows: "SEC. 5173. BONDS. "(a) OPERATIONS AT, AND WITHDRAWALS FROM, DISTILLED SPIRITS PLANT MUST B E COVERED BY BOND.—

"(1) OPERATIONS.—No person intending to establish a distilled spirits plant may commence operations at such plant unless such person has furnished bond covering operations at such plant. "(2) WITHDRAWALS.—No distilled spirits (other than distilled spirits withdrawn under section 5214 or 7510) may be withdrawn from bonded premises except on payment of tax unless the proprietor of the bonded premises has furnished bond covering such withdrawal. "(b) OPERATIONS BONDS.—The bond required by paragraph (1) of subsection (a) shall meet the requirements of paragraph (1), (2), or (3) of this subsection: "(1) ONE PLANT BOND.—The bond covers operations at a single distilled spirits plant.

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