Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_14-cv-00838/USCOURTS-caed-1_14-cv-00838-5/pdf.json

Nature of Suit Code: 870
Nature of Suit: Tax Suits
Cause of Action: 26:7403 Suit to Enforce Federal Tax Lien

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Order of Foreclosure and Judicial Sale 1

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CAROLINE D. CIRAOLO 

Acting Assistant Attorney General 

 

NITHYA SENRA, #291803 

Trial Attorney, Tax Division 

U.S. Department of Justice 

P.O. Box 683 

Washington, D.C. 20044 

202-307-6570 (v) 

202-307-0054 (f) 

Nithya.Senra@usdoj.gov 

Counsel for Plaintiff

BENJAMIN B. WAGNER 

United States Attorney 

Of Counsel

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA 

UNITED STATES OF AMERICA, 

Plaintiff, 

v. 

JULIAN CARRANZA; GARY HESTER 

AS EXECUTOR OF THE ESTATE OF 

RUTH HESTER; ROCKLAND PACIFIC 

FINANCIAL INC.; TULARE COUNTY 

TREASURER; LINDSAYSTRATHMORE IRRIGATION 

DISTRICT; DENNIS WRIGHT DBA 

CENTRAL BUSINESS 

BUREAU;ATANACIO RODRIGUEZ 

DBA ROAD RUNNERS TRANSPORT; 

STANLEY TULCHIN ASSC. WESTERN, 

INC.;BERTHA CARRANZA; STATE OF 

CALIFORNIA, EMPLOYMENT 

DEVELOPMENT DEPARTMENT; 

STATE OF CALIFORNIA, FRANCHISE 

TAX BOARD; and PEOPLE OF THE 

STATE OF CALIFORNIA, TULARE 

COUNTY, 

Defendants. 

Case No. 1:14-cv-00838-KJM-GSA 

ORDER OF FORECLOSURE AND 

JUDICIAL SALE 

Case 1:14-cv-00838-KJM-GSA Document 59 Filed 07/17/15 Page 1 of 8
Order of Foreclosure and Judicial Sale 2

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This Order of Foreclosure and Judicial Sale is entered pursuant to the provisions of 28 

U.S.C. §§ 2001 and 2002 and 26 U.S.C. §§ 7402 and 7403. The Court hereby orders as follows: 

 1. Julian Carranza is indebted to the United States of America (“United States”) for 

unpaid assessed balances of federal income taxes (Form 1040) for the period ending December 

31, 2003, and for unpaid balances of federal employment taxes (Form 943) for the periods 

ending December 31, 2003 and December 31, 2004, plus interest and statutory additions 

accruing after the dates of assessments pursuant to 26 U.S.C. §§ 6601, 6621 and 6622, and 28 

U.S.C. § 1961(c) until paid. On June 10, 2015, defendant Julian Carranza stipulated to the entry 

of judgment in favor of the United States and against Julian Carranza for his federal income tax 

liabilities for the period ending December 31, 2003, for federal employment tax liabilities for the 

period ending December 31, 2004, calculated through April 30, 2014, in the amount of 

$234,550.42, plus such additional statutory additions, including interest, as continue to accrue 

until paid in full. 

 2. The property sought to be foreclosed by this action consists of one parcel of real 

property located at 24305 Ave 196, Strathmore, California 93256 (the “subject property”), APN 

216-160-008 and legally described as follows: 

That portion of the East half of the Southeast quarter of Section 34, 

Township 20 South, Range 27 East, Mount Diablo Base and 

Meridian, in the County of Tulare, State of California, described as 

follows: 

Beginning at the northeast corner of the East half of the Southeast 

quarter of said Section 34; thence South along the east line of said 

Section 34, 1335.15 feet more or less, to a point which is 15.08 

feet South of the southeast corner of the Northeast quarter of the 

Southeast quarter of said Section 34; thence West parallel with the 

north line of the Southeast quarter of said Section 34; thence North 

1335.14 feet, more or less to the northwest corner of said East half 

of the Southeast quarter; thence East half of the Southeast quarter; 

thence East 1321.83 feet; more or less, to the point of beginning. 

Case 1:14-cv-00838-KJM-GSA Document 59 Filed 07/17/15 Page 2 of 8
Order of Foreclosure and Judicial Sale 3

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Excepting therefrom the North 33 feet thereof conveyed to the 

County of Tulare by deed dated July 17, 1950, and recorded in 

Book 1461, Page 593 of Official Records. 

 Accordingly, it is ORDERED as follows: 

 1. The United States’ federal tax liens against the subject property are hereby 

foreclosed. The United States Marshal for the Eastern District of California, his/her 

representative, or an Internal Revenue Service Property Appraisal and Liquidation Specialist 

(“PALS”) representative is authorized and directed under 28 U.S.C. §§ 2001 and 2002 to offer 

for public sale and to sell the subject property, free and clear of the right, title and interest of all 

parties to this action and any successors in interest or transferees of those parties. The United 

States may choose either the United States Marshal or a PALS representative to carry out the 

sales under this Order of Foreclosure and Judicial Sale and shall make the arrangements for any 

sales as set forth in this Order. 

 2. The United States Marshal for the Eastern District of California, his/her 

representative, or a PALS representative is authorized to have free access to the subject property 

and to take all actions necessary to preserve that property including, without limitation, retaining 

a locksmith or other person to change or install locks or other security devices on any part 

thereof, until a deed thereto is delivered to the ultimate purchaser(s). 

 3. The terms and conditions of the sale are as follows: 

 a. Except as otherwise stated herein, the sale of the subject property shall be 

by public auction to the highest bidder, free and clear of all liens and interests. 

 b. The sale shall be subject to all laws, ordinances, and governmental 

regulations (including building and zoning ordinances), affecting the premises, and easements 

and restrictions of record, if any. 

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 c. The sale shall be held at the United States District Court for the Eastern 

District of California, at the Fresno courthouse, on the subject property’s premises, or at any 

other place in accordance with the provisions of 28 U.S.C. §§ 2001 and 2002, at a date and time 

announced by the United States Marshal, his/her representative, or a PALS representative. 

 d. Notice of the sale shall be published once a week for at least four 

consecutive weeks before the date fixed for the sale in at least one newspaper regularly issued 

and of general circulation in Tulare County, and, at the discretion of the Marshal, his/her 

representative, or a PALS representative, by any other notice that it or its representative may 

deem appropriate. State or local law notice requirements for foreclosures or execution sales do 

not apply to these sales under federal law and State or local law regarding redemption rights do 

not apply to these sales. The notice of sale shall describe the subject property and shall contain 

the material terms and conditions of sale in this Order of Foreclosure and Judicial Sale. 

 e. The minimum bid will be set by the Internal Revenue Service. If the 

minimum bid is not met or exceeded, the Marshal, his or her representative, or a PALS 

representative may, without further permission of this Court, and under the terms and conditions 

in this Order of Foreclosure and Judicial Sale, hold new public sales, if necessary, and reduce the 

minimum bid or sell to the highest bidder. 

 f. Bidders shall be required to deposit at the time of sale with the Marshal, 

his/her representative, or a PALS representative, a minimum of ten percent of the bid with the 

deposit to be made by a certified or cashier’s check payable to the United States District Court 

for the Eastern District of California. Before being permitted to bid at the sale, bidders shall 

display to the Marshal, his/her representative, or a PALS representative satisfactory proof of 

compliance with this requirement. 

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 g. The balance of the purchase price of the subject property in excess of the 

deposit tendered shall be paid to the Marshal or a PALS representative (whichever person is 

conducting the sale) within thirty (30) days after the date the bid is accepted by a certified or 

cashier’s check payable to the United States District Court for the Eastern District of California. 

If the successful bidder or bidders fails to fulfill this requirement, the deposit shall be forfeited 

and shall be applied to cover the expenses of the sale, including commissions due under 28 

U.S.C. § 1921(c), with any amount remaining to be applied to the federal tax liabilities of Julian 

Carranza at issue herein. The subject property shall be again offered for sale under the terms and 

conditions of this Order of Foreclosure and Judicial Sale or, in the alternative, sold to the second 

highest bidder or bidders. The United States may bid as a credit against its judgment without 

tender of cash. 

 h. The sale of the subject property shall not be final until confirmed by this 

Court. The Marshal or a PALS representative shall file a report of sale with the Court within 30 

days from the date of receipt of the balance of the purchase price. 

 i. Upon confirmation of the sale, the Marshal or PALS representative shall 

promptly execute and deliver a deed of judicial sale conveying the subject property to the 

purchaser or purchasers. It is the purchaser’s responsibility to record the deed of judicial sale in 

the appropriate location. 

 j. Upon confirmation of the sale, the interests in, liens against, or claims to 

the subject property held or asserted by the United States in the Complaint and any other parties 

to this action or any successors in interest or transferees of those parties shall be discharged and 

extinguished. The sale is ordered pursuant to 28 U.S.C. § 2001. Redemption rights under state 

or local law shall not apply to this sale under federal law. 

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 k. Upon confirmation of the sale, the purchaser or purchasers shall have the 

recorder of deeds, in the County of Tulare’s Recorder’s Office, to cause transfer of the subject 

property to be reflected upon that Recorder Office’s register of title. 

 4. Until the subject property is sold, Julian Carranza and Bertha Carranza shall take 

all reasonable steps necessary to preserve the subject property (including all buildings, 

improvements, fixtures and appurtenances thereon) including, without limitation, maintaining 

fire and casualty insurance policies on the subject property. They shall not commit waste against 

the subject property, nor shall they cause or permit anyone else to do so. They shall not do 

anything that tends to reduce the value or marketability of the subject property, nor shall they 

cause or permit anyone else to do so. They shall not record any instruments, publish any notice, 

or take any other action that may directly or indirectly tend to adversely affect the value of the 

subject property or that may tend to deter or discourage potential bidders from participating in 

the public sale, nor shall they cause or permit anyone else to do so. Violation of this paragraph 

shall be deemed a contempt of court and punishable as such. 

 5. All persons occupying the subject property shall leave and vacate permanently 

such property no later than 14 days after the sale is confirmed, each taking with them his or her 

personal property (but leaving all improvements, buildings, fixtures, and appurtenances) when 

leaving and vacating. If any person fails or refuses to leave and vacate the subject property by 

the time specified in this Order, the United States Marshal’s Office is authorized to take 

whatever action it deems appropriate to remove such person or persons from the premises, 

whether or not the sale of such property is being conducted by a PALS representative. If any 

person fails or refuses to remove his or her personal property from the subject property by the 

time specified herein, the personal property remaining at the subject property thereafter is 

deemed forfeited and abandoned, and the United States Marshal’s Office or the PALS 

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representative is authorized and directed to remove and dispose of it in any manner they see fit, 

including sale, in which case the proceeds of sale are to be applied first to the expenses of sale, 

and then to the tax liabilities at issue herein. 

 6. The Marshal, his or her representative, or a PALS representative, shall deposit the 

amount paid by the purchaser or purchasers into the registry of the court, and it shall be applied 

as far as it shall be sufficient to the following items, in the order specified: 

a. To the United States Marshal or PALS representative (whichever person 

conducted the sale as arranged by the United States) for the costs of the sale; 

b. To any real property tax and/or special assessment lien holders to satisfy any 

existing liens that are entitled to priority over prior security interests under California 

state law pursuant to 26 U.S.C. § 6323(b)(6); 

c. The remaining proceeds shall be split in half (1/2). 

d. The first half of the remaining proceeds shall be distributed as follows: 

i. To the United States to satisfy the federal tax liens relating to the 2003 and 

2004 Form 943 liabilities described in paragraph fourteen (14) of the First 

Amended Complaint, including accrued but unassessed interest; 

ii. To Stanley Tulchin Associates Western Inc. to satisfy its judgment lien, 

including interest in an amount according to proof at that time; 

iii. To the United States to satisfy the federal tax liens relating to the 2003 

Form 1040 liabilities described in paragraph fifteen (15) of the First Amended 

Complaint, plus all interest and penalties due and owing thereon; 

iv. To Lindsay Strathmore Irrigation District to satisfy its liens, including 

interest in an amount according to proof at that time, and 

v. Any balance remaining of this half of the proceeds to defendant Julian 

Carranza. 

e. After the first half of the remaining proceeds are distributed in accordance with 

paragraph 4(d), the second half of the remaining proceeds shall be distributed as follows: 

i. To the United States to satisfy any remaining balance owed relating to the 

outstanding 2003 and 2004 Form 943 tax liabilities described in paragraph fifteen 

(15) of the First Amended Complaint, including accrued but unassessed interest; 

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ii. To the United States to satisfy any remaining balance owed relating to the 

outstanding 2003 Form 1040 tax liabilities described in paragraph sixteen (16) of 

the First Amended Complaint, including accrued but unassessed interest; and 

iii. Any balance remaining of this half of the proceeds to defendant Bertha 

Carranza. 

7. This order of sale shall act as a special writ of execution and no further orders or 

process from the Court shall be required. 

 DATED this 17th day of July, 2015. 

 

Case 1:14-cv-00838-KJM-GSA Document 59 Filed 07/17/15 Page 8 of 8