United States v. $472,871.95 in Funds Seized

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The Fifth Circuit affirmed the district court's denial of claimants' motion to release property under civil forfeiture law. The property at issue stemmed from the sale of synthetic cannabinoids that were a controlled substance or controlled substance analogues intended for human consumption. Determining that the court had jurisdiction over the appeal, the court held that, assuming arguendo, Supplemental Rule G(2)(f) applied in reviewing pretrial property restraints outside the motion-to-dismiss context, the district court used the right standard. In this case, the district asked whether the government's complaint "demonstrated with sufficient particularity for the current stage of the proceedings that defendants intentionally commingled tainted funds with untainted funds for the purpose of facilitating the alleged money laundering.” The court held that the facts here were sufficient to support this standard. The court also held that probable cause for forfeiture existed based on the charge for conspiracy to commit mail and wire fraud. View "United States v. $472,871.95 in Funds Seized" on Justia Law