Date registered: Feb 2008
Vehicle: 2004 W220 (S430) ; 2001 R129 (SL500) Sport
Location: Alabama Gulf Coast--formerly Charlottesville, VA
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If you bought the car off lease, it may be a tracking device installed by the leasing company. I think it's unlikely Mercedes has installed a tracking device in the car you own. As has been suggested, it may be the transponder for your remote locks or keyless go or some other radio frequency device that is normal equipment for the car.
It's probably not the government.
"Don't pick a fight with an old man. If he is too old to fight, he'll just kill you."--John Steinbeck