United States v. $14,590 in United States Currency

• Court: District Court, D. Arizona
• Decided: April 28, 2025
• Docket: 4:24-cv-00529
• Status: Unknown

Opinion

1 WO 2 3 4 5 6 IN THE UNITED STATES DISTRICT COURT 7 FOR THE DISTRICT OF ARIZONA

9 United States of America, No. CV-24-00529-TUC-JCH

10 Plaintiff, ORDER

11 v.

12 $14,590 in United States Currency,

13 Defendant. 14 15 Before the Court is the Government’s “Motion for Default Judgment for Forfeiture” 16 as to $14,590 in United States currency, brought under Rule 55(b) of the Federal Rules of 17 Civil Procedure. Doc. 13. 18 On July 26, 2023, the Drug Enforcement Administration seized $14,590 in United 19 States currency (“Defendant Currency”) from putative claimant Fernando Castro-Salgado 20 during a traffic stop. Doc. 1-2 at 1–2. Law enforcement officers had been surveilling Daniel 21 Diaz, “a known drug courier,” when Castro-Salgado appeared to meet with Diaz at a 22 Motel 6 parking lot. Id. at 3–4. Castro-Salgado entered a parked vehicle with Diaz inside, 23 stayed for approximately five minutes, and then left. Id. at 4. Law enforcement began 24 following Castro-Salgado and initiated a traffic stop shortly thereafter, when Castro- 25 Salgado made an illegal left turn and ran a red light. Id. Castro-Salgado was the driver and 26 sole occupant of the vehicle. Id. at 1–2. At first Castro-Salgado denied possessing any large 27 amounts of U.S. currency, but once the officer pointed to a bundle of cash in plain view, 28 Castro-Salgado admitted to having $600, which he was planning to use in Mexico. Id. at 4. 1 Castro-Salgado consented to a search of the vehicle, where officers recovered three 2 additional bundles of currency. Id. Based on an “aggregate of the facts”—(1) the unusually 3 large amount of cash, (2) Castro-Salgado’s inconsistent and evasive responses on the 4 existence and amount of cash, and (3) Castro-Salgado’s recent parking lot meeting with a 5 known drug courier—there was probable cause that Defendant Currency is subject to 6 forfeiture under 21 U.S.C. § 881(a)(6). See United States v. Padilla, 888 F.2d 642, 643–44 7 (9th Cir. 1989). 8 Once the government shows probable cause for the forfeiture, the burden shifts to 9 any putative claimant to prove by a preponderance of the evidence that the money has a 10 legitimate origin. Id. at 645. On October 29, 2024, the government filed a Complaint for 11 Forfeiture In Rem against Defendant Currency. Doc. 1. On October 31, 2024, the 12 government provided notice to putative claimants, Fernando Castro-Salgado and Howard 13 Miller, et al., care of Michael Elsner, Esq., by mailing copies of the Complaint for 14 Forfeiture In Rem, Warrant of Arrest In Rem, and Notice of Forfeiture Action via first class 15 prepaid postage, certified mail, return receipt requested. Docs. 6 and 7. The government 16 also fulfilled the notice and publication requirements of Rule G(4) Supplemental Rules for 17 Admiralty or Maritime Claims and Asset Forfeiture Actions. Doc. 8. 18 No appearance, claim, answer, or motion under Rule 12 of the Federal Rules of Civil 19 Procedure has been filed for the Defendant Currency as required by Rule G(5) of the 20 Supplemental Rules for Admiralty or Maritime Claims and Asset Forfeiture Actions and 21 Title 18, United States Code, Section 983(a)(4) by putative claimants Fernando Castro- 22 Salgado or Howard Miller, et al., or any other person. 23 On January 14, 2025, the Government applied for default judgment against putative 24 claimants Castro-Salgado (Doc. 9) and Howard Miller, et al. (Doc. 10). On January 15, 25 2025, the Clerk of the court entered default against Castro-Salgado (Doc. 11) and Miller, 26 et al. (Doc. 12). 27 The Court finds probable cause that Defendant Currency constitutes proceeds of 28 controlled substance trafficking or proceeds traceable to an exchange of things of value for 1 || acontrolled substance in violation of 21 U.S.C. §§ 841 and 846. Therefore, the Defendant 2|| Currency is forfeitable under 21 U.S.C. § 881(a)(6). The Court further finds no claimant || offered proof that Defendant Currency has legitimate origins. 4 Therefore, under Rule 55(b)(2) of the Federal Rules of Civil Procedure, 5 IT IS HEREBY ORDERED, ADJUDGED AND DECREED that a default 6 || judgment be, and hereby is, entered for the United States of America against the Defendant $14,590 in United States Currency; 8 IT IS FURTHER ORDERED all right, title and interest in the Defendant $14,590 9|| in United States Currency is hereby condemned, forfeited to and vested in the United States 10|| of America; and 11 IT IS FURTHER ORDERED that the Defendant $14,590 in United States || Currency forfeited to the United States of America herein shall be disposed of according 13 || to law. 14 Dated this 25th day of April, 2025. 15 16 /) 4 . | HK Aa— 18 / / John C. Hinderaker 19 _/United States District Judge 20 21 22 23 24 25 26 27 28

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