United States v. $284,950.00 in U.S. Currency
Opinion
Nikkolas Thompson appeals the district court's 1 judgment in favor of the United States in this civil forfeiture action. We affirm.
In 2015, Transportation Security Administration agents at the Little Rock, Arkansas airport discovered nearly $285,000 in cash in a false bottom of Thompson's suitcase, and a drug-sniffing dog indicated the odor of narcotics on the suitcase. The Government filed a complaint seeking to forfeit the money under
To maintain a claim for property subject to forfeiture, a claimant must establish standing.
See generally
United States v. $31,000.00 in U.S. Currency
,
The Government served Thompson with special interrogatories pursuant to Supplemental Rule G(6). The Government identified several deficiencies in Thompson's answers. After he did not supplement his answers, the Government filed a motion to strike Thompson's claim because he failed to comply with Supplemental Rules G(5) and G(6). See Fed. R. Civ. P. Supp. R. G(8)(c)(i)(A). The Government asked that Thompson at least be compelled to provide adequate responses to the special interrogatories if the court chose not to strike Thompson's claim.
On July 27, 2017, the district court concluded that Thompson's claim had satisfied Supplementary Rule G(5)'s initial threshold for standing, denied the Government's motion to strike, and ordered Thompson to "supplement his responses to the special interrogatories as requested by the United States within 21 days." Despite multiple extensions of time acceded to by the Government, Thompson continued to provide incomplete responses to the interrogatories, and the Government filed another motion to strike his claim. Thompson countered that the interrogatories were overly burdensome and sought a protective order. He also filed a motion to dismiss the forfeiture proceedings, arguing that the Government's complaint failed to state a claim against the seized currency. The district court denied Thompson's motion for a protective order, struck his claim as a Rule 37 discovery sanction for failing to comply with the July 27, 2017 order, and denied his motion to dismiss as moot. The district court then granted the Government's motion for default judgment and a decree of forfeiture and denied Thompson's motion to alter the judgment and for reconsideration.
First, we review Thompson's appeal of the district court's decision to strike his claim for abuse of discretion.
See
United States v. One Parcel of Prop. Located at RR 2, Indep., Buchanan Cty.
,
Here, the district court ordered Thompson to provide supplemental responses to the special interrogatories. Thompson's responses showed a willful violation of this discovery order. He failed to verify his supplemental answers as required by Fed. R. Civ. P. 33(b)(5). He failed to supplement his response to Special Interrogatory 1 entirely. He also failed to identify relevant documents as requested and gave confusing accounts of who owned the money, asserting in his responses that he had a personal ownership interest in all of it and that part of it was property of a separate business, of which he and his girlfriend were both partners. He had already asserted in his claim that he and his girlfriend owned part of the money jointly as savings. His responses failed to clarify which portions belonged to which parties. Finally, the Government made several requests for documents or records that supported his claim that he obtained the currency through gifts, investments, and employment, to which Thompson replied that he could not provide responsive documents because the Government had seized relevant documents. In reality, the Government had offered Thompson access to all of his information in its possession, but Thompson never accepted this offer.
These opaque, confusing, and evasive responses prejudiced the Government by hindering its ability to "gather information that bears on the claimant's standing" as provided for in the Supplemental Rules.
See
Fed. R. Civ. P. Supp. R. G advisory committee's note to 2006 adoption. We have previously held that where the Government concedes that a claimant has established standing, no special interrogatories are necessary to test that issue, and it would be an abuse of discretion to strike a
claim for failure to respond to them.
United States v. $154,853.00 in U.S. Currency
,
Finally, Thompson argues that his motion to dismiss was improperly denied because the Government failed to state a claim against the currency. But the Government's motion to strike "must be decided before any motion by the claimant to dismiss the action." Fed. R. Civ. P. Supp. R. G(8)(c)(ii)(A). And when Thompson's claim is "stricken, he is out of the case."
United States v. Beechcraft Queen Airplane Serial No. LD-24
,
For the foregoing reasons, we affirm. 4
The Honorable Brian S. Miller, United States District Judge for the Eastern District of Arkansas.
In addition, the district court properly denied Thompson's motion to dismiss as premature because "[t]he government need not respond to a claimant's motion to dismiss the action under Rule G(8)(b) until 21 days after the claimant has answered these interrogatories," which he never did. Fed. R. Civ. P. Supp. R. G(6)(c).
Thompson claimed for the first time in a letter pursuant to Rule 28(j) of the Federal Rules of Appellate Procedure that the striking of his claim violated the Eighth Amendment's prohibition on excessive fines. "Because an appellant is not permitted to raise arguments for the first time in a Rule 28(j) letter, we decline to consider [the] argument."
United States v. Thompson
,
We deny the Government's motion to supplement the record in light of our decision.
Reference
- Full Case Name
- UNITED STATES of America Plaintiff-Appellee v. $284,950.00 IN U.S. CURRENCY Defendant Nikkolas Thompson Claimant-Appellant
- Cited By
- 8 cases
- Status
- Published