Property Seized In Michigan? How to Fight Asset Forfeiture in Federal Criminal Cases

In this article, you can discover…

• What federal asset forfeiture is, and how it applies in Michigan criminal cases.
• The types of assets that are most commonly targeted by federal asset forfeiture.
• Whether negotiated settlements may result in the return of your property.

What Is Federal Asset Forfeiture, And How Does It Work In Federal Criminal Cases in Michigan?

Federal asset forfeiture happens when the government seizes your assets (which could include money, vehicles, personal property, or real property) in connection with a criminal arrest or investigation.

Your civil forfeiture case will begin with a notice. The federal investigators will give you a forfeiture form that alerts you to property that was seized (or forfeited), either during an arrest, the execution of a search warrant, or during the course of an investigation. They will give you notice of that forfeiture as well as a set period of time to respond.

It’s important to remember that although federal asset forfeiture is closely connected to the criminal case and arises out of the same set of facts, it is a separate matter. It is civil in nature (as opposed to criminal), and many of the protections you would have as a criminal defendant are simply not present in a civil forfeiture case.

What Types Of Property Are Most Commonly Targeted In Federal Forfeiture Actions?

Forfeiture actions are supposed to be legally limited to the proceeds from criminal activity, assets that were purchased with proceeds from criminal activity, or items that were used in the advancement of criminal activity. Assets that are used in the advancement of criminal activity can range from firearms in a violent crime case, cars in bank robberies, to laptops in a fraud case.

When it comes to the proceeds of crime or assets that were purchased with proceeds from a crime, the sky is the limit as far as what can be seized. Cash is likely to be seized by the government in connection with search warrants or arrests for criminal behavior. This is particularly true in fraud, theft, embezzlement, and drug trafficking cases.

The federal government will also frequently seize cars that were purchased in connection with a drug trafficking operation. Vehicles, real estate, bank accounts, and retirement accounts are also often seized in connection with white-collar fraud or embezzlement investigations.

Attorney Mark Satawa is an experienced, determined criminal defense attorney serving Michigan. Since 1992, he’s helped clients just like you navigate asset forfeiture, helping them hold onto more of their liquid and physical assets.

Have questions about federal asset forfeiture, or in need of representation? Reach out to Satawa Law, PLLC for an initial consultation today.

What Are The Most Common Actions Or Responses To Federal Asset Forfeiture?

The most common actions in response to forfeiture are:

1. Filing a petition to request that the forfeiture matter be handled administratively by an administrative law judge. In this petition, you must spell out why you’re making the request, and explain the factual or legal arguments you believe exist to challenge the forfeiture.
2. Requesting that the federal government consider an offer to compromise. You will have to submit this request along with a formal written offer in terms of money or property you are willing to offer the government (or allow them to keep) in exchange to get your property/assets back.

For example, if the government has seized $100,000 in cash, you could offer that the government keep half of that amount, and return $50,000 to you. If your cellphone was sized and the images on the phone are important to you and irreplaceable, you could offer a cash settlement in exchange for the return of your cellphone.

1. You can also abandon your claim or interest in the property and simply tell the government to keep it. This means you lose the asset, but sometimes there are strategic reasons in the underlying criminal case to not pursue a forfeiture claim for your property.
2.  Finally, you can file a formal claim requesting that the case be referred to the courts for judicial action. If that happens, the U.S. Attorney’s Office would then file a complaint, and the case would go to court, where the issues of forfeiture would be decided by a judge.

How Quickly Must I Act To Challenge A Federal Seizure?

The timeline to act after a federal seizure is quite limited, typically 30 days after the receipt of the notice. You therefore have a very brief window in which to decide how to respond to the notice of forfeiture and which actions you want to take.

Can Negotiated Settlements Or Remission Petitions Result In The Return Of Seized Property?

Yes, and this is the most frequent way that forfeiture actions are resolved. While you can petition the matter to be reviewed and determined in court or by an administrative law judge, most forfeiture matters do not proceed to a formal complaint, and do not receive a hearing.

Instead, most forfeiture matters are resolved through negotiated settlement. As the government is usually fairly aggressive in resolving forfeiture matters, it’s uncommon for them to agree to use anything less than a third of the money or property that was seized in a forfeiture.

For example, in a recent federal white-collar fraud case I handled, my client had over $5 million in property seized by the government. That included real property, land, his house, an SUV, cash, bank accounts, retirement accounts, and money market accounts, totaling over $5 million in value.

In that case, we got what I considered to be an extremely favorable forfeiture settlement that totaled close to $1 million dollars, which my client had to pay in total for both restitution and forfeiture. As this was just 20% of the forfeited amount, this is considered to be a very favorable resolution.

Why Is It So Important To Consult With An Attorney During An Asset Forfeiture Case?

Consulting with an attorney right away and ensuring early legal intervention in a federal asset forfeiture case is extremely important for several reasons.

First and foremost, you have a very short time frame to challenge a forfeiture; typically just 30 days. In addition to that, the government will frequently send an election form, where you check a box to tell the government what you want to do in response to a forfeiture. Basically, whether or not you want to challenge it and how you want to challenge it.

It is very, very dangerous to try to do this on your own. Forfeiture is an extremely rigid and structured process, controlled by statutes. These statutes are very complex, and it’s incredibly difficult for a non-lawyer to navigate the legal rules connected to asset forfeiture. Many lawyers, even criminal defense lawyers, are not comfortable in this area of law and will not handle forfeiture claims.

So, getting an experienced attorney involved very early in the process will frequently mean the difference between getting some of your property back or losing all of it entirely. If you do have to settle in connection with the resolution, an attorney’s early help can minimize the amount of money and property you must part with.

Still Have Questions? Ready To Get Started?

For more information on asset forfeiture in Michigan federal cases, an initial consultation is your next best step. Get the information and legal answers you are seeking by calling (248) 419-6133 today.