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It's been my experience with government employees that they don't know their own codes and laws and will pretend to quote non-existent statutes.
They might simply _tell_ you that there is something wrong with what you're doing when there actually isn't.
One is prone to underestimate the criminality of certain government agencies. I know of many instances of the above. It's one of the ways they operate.
So, any government allegations should be looked over very carefully as they are very suspect.