United States of America v. Approximately $189,040.00 in U.S. Currency

Filing 25

ORDER signed by Judge John A. Mendez on 6/17/2013 ORDERING 24 The deadline to submit a joint status report is POSTPONED until the resolution of theclaimant's motion to stay and the United States' motion to strike the claim based on a lack of standing. 24 (Reader, L)

1 BENJAMIN B. WAGNER
United States Attorney
2 KEVIN C. KHASIGIAN
Assistant U. S. Attorney
3 501 I Street, Suite 10-100
Sacramento, CA 95814
4 Telephone: [phone]
5 Attorneys for the United States
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IN THE UNITED STATES DISTRICT COURT

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EASTERN DISTRICT OF CALIFORNIA

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UNITED STATES OF AMERICA,

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Plaintiff,

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2:13-CV-00643-JAM-KJN
UNITED STATES’ REQUEST TO
POSTPONE THE FILING OF A
JOINT STATUS REPORT; ORDER

v.
APPROXIMATELY $189,040.00 IN U.S.
CURRENCY,

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Defendant.

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The United States submits the following request to postpone the filing of a Joint

20 Status Report until the Court rules on the claimant’s motion to stay and the United
21 States’ motion to strike the claim based on a lack of standing.
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I. Introduction

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This is an in rem forfeiture action against Approximately $189,040.00 in U.S.

25 Currency seized on June 14, 2013 from two hidden compartments inside a 2008 Lincoln
26 Navigator driven by the claimant. ECF No. 1. The Verified Complaint, filed on April 3,
27 2013, alleges that the cash is forfeitable pursuant to 21 U.S.C. § 881(a)(6) because it was
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United States’ Request to Postpone
the Filing of a JSR; Order

1 furnished or intended to be furnished by any person in exchange for a controlled
2 substance or listed chemical or represented proceeds “traceable to such an exchange” or
3 moneys "used or intended to be used to facilitate [a] violation of" the Controlled
4 Substances Act. Id.
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On May 20, 2013, the claimant filed a claim to the cash and moved to stay this civil

6 forfeiture case. ECF Nos. 8 and 11.
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On June 14, the United States moved to strike the claim based on a lack of Article

8 III and statutory standing. ECF No. 20.
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II. Good Cause
There is good cause to postpone the deadline to file a joint status report in this case

12 given the dispute over the claimant’s standing and whether he has established the
13 statutory prerequisites for a stay. Standing is “the threshold question in every federal
14 case, determining the power of the court to entertain the suit.” Warth v. Seldin, 422 U.S.
15 490, 498 (1975). In a forfeiture case, a claimant must demonstrate that he has Article III
16 and statutory standing to assert a claim to the defendant property. United States v.
17 $100,348 in U.S. Currency, 354 F.3d 1110 (9th Cir. 2004). Here, there exists a threshold
18 dispute over whether the claimant has standing to assert a claim in this case. The
19 claimant has filed a claim and a motion to stay, but standing is a foundational
20 prerequisite for a successful stay motion. See 18 U.S.C. § 981(g)(2). The claimant’s
21 alleged interest in the property – i.e., standing – has been challenged by an affirmative
22 motion to strike. Accordingly, the filing of a litigation scheduling document should be
23 held in abeyance until the Court resolves the disagreement over the claimant’s standing.
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Morover, the claimant will not be disadvantaged by postponing the filing of a joint

25 status report. It is his stated intention to stay the entire case pending an alleged
26 criminal matter against him in New York’s Suffolk County.
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United States’ Request to Postpone
the Filing of a JSR; Order

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For these reasons, the United States seeks to postpone the filing of the joint status

2 report until after the resolution of the pending motion to strike and to stay the case.
3 Dated:

6/17/13

BENJAMIN B. WAGNER
United States Attorney

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By:

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/s/ Kevin C. Khasigian
KEVIN C. KHASIGIAN
Assistant U.S. Attorney

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ORDER

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Pursuant to United States’ request and good cause appearing, the Court makes the

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following order:
The deadline to submit a joint status report is postponed until the resolution of the

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claimant’s motion to stay and the United States’ motion to strike the claim based on a

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lack of standing.

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Dated: June 17, 2013

/s/ John A. Mendez_______________
JOHN A. MENDEZ
United States District Court Judge

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United States’ Request to Postpone
the Filing of a JSR; Order