Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-2_07-cv-00974/USCOURTS-caed-2_07-cv-00974-2/pdf.json

Nature of Suit Code: 625
Nature of Suit: Drug Related Seizure of Property
Cause of Action: 21:881 Forfeiture Property - Real Estate

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McGREGOR W. SCOTT

United States Attorney

KRISTIN S. DOOR, SBN 84307

Assistant United States Attorney

501 I Street, Suite 10-100

Sacramento, CA 95814

Telephone: (916)554-2723

Attorneys for Plaintiff

United States of America

IN THE UNITED STATES DISTRICT COURT

FOR THE EASTERN DISTRICT OF CALIFORNIA

UNITED STATES OF AMERICA, )

 ) 2:07-CV-00974 LKK/KJM

Plaintiff, ) 

 ) 

v. ) JOINT STIPULATION FOR

 ) STAY AND ORDER [PROPOSED]

REAL PROPERTY LOCATED AT 6874 )

ALMANOR LAKE ESTATES DRIVE, ) 

LAKE ALMANOR, CALIFORNIA, )

PLUMAS COUNTY, APN: )

106-114-011, INCLUDING ALL )

APPURTENANCES AND IMPROVEMENTS )

THERETO, )

 ) DATE: August 20, 2007

 Defendant. ) TIME: 11:00 a.m.

_______________________________ ) COURTROOM: #4/Chambers

Plaintiff United States of America, and claimants Peter

Buchanan, Kurt Karst, and Monica Karst, individually and as the

Trustees of the Kurt and Monica Karst ("Karst claimants") , and

Bank of America, N.A., [hereafter collectively “Claimants”], by

and through their respective counsel, hereby stipulate that a

stay is necessary in the above-entitled action, and request that

the Court enter an order staying all further proceedings pending

the outcome of a related criminal investigation against claimants

Buchanan and the Karsts. This stipulation is based on the

Case 2:07-cv-00974-LKK -KJM Document 25 Filed 08/17/07 Page 1 of 4
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following:

1. Pursuant to 18 U.S.C. §§ 981(g)(1), (g)(2) and 21

U.S.C. § 881(i) the parties suggest that a stay of further

proceedings in this case is necessary. The United States

contends that the defendant real property was used to facilitate

a violation of federal drug laws (cultivation of marijuana) and

is therefore forfeitable to the United States. The United States

intends to depose Buchanan and the Karst about the claims they

filed in this case and the facts surrounding the cultivation of

marijuana plants on this property. If discovery proceeds,

claimants would be placed in the difficult position of either

invoking their Fifth Amendment right against self-incrimination

and losing the ability to protect their alleged interest in the

defendant property, or waiving their Fifth Amendment rights and

submitting to depositions and potentially incriminating

themselves in the pending criminal matter. If claimants invoke

their Fifth Amendment rights, the United States will be deprived

of the ability to explore the factual basis for the claims they

filed in this action and the defenses raised in their Answers. 

2. The government anticipates that claimants will attempt

to depose law enforcement officers who were involved in the

execution of the state search warrant at the defendant property. 

Allowing depositions of these officers would adversely affect the

ability of the United States to conduct its related criminal

investigation. 

 3. Accordingly, the parties contend that proceeding with

this action at this time has potential adverse affects on the

investigation and possible prosecution of the related-criminal

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case and/or upon claimants' ability to prove their claim to the

property and to contest the government's allegations that the

property is forfeitable. For these reasons, the parties request

that this matter be stayed for a period of six months. At that

time the parties will advise the Court whether a further stay is

necessary.

4. Claimants Peter Buchanan, Kurt Karst, and Monica Karst

are seeking an interlocutory sale of the defendant property and

hope to reach a stipulation with the United States to permit the

interlocutory sale of the property, so that the property can be

put on the market within 60 days. Upon the sale of the property

the net proceeds will be substituted as the res in this action. 

5. While this case is stayed – or until the property is sold

– claimants Buchanan and the Karsts agree to keep current all

payments due to the Bank of America under the promissory note

dated May 21, 2003, in the original principal amount of $233,600,

and secured by the deed of trust recorded in Plumas County on

June 2, 2003, encumbering the defendant property, and all

payments due to the Bank of America under the promissory note

dated September 20, 2004, in the original principal amount of

$100,000, and secured by the deed of trust recorded in Plumas

County on October 20, 2004, encumbering the defendant property.

DATED: August 16, 2007 McGREGOR W. SCOTT 

United States Attorney

By: /s/ Kristin S. Door KRISTIN S. DOOR

Assistant U.S. Attorney

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DATED: August 16, 2007 /s/ Brenda Grantland

BRENDA GRANTLAND

Attorneys for claimants

Kurt and Monica Karst, 

individually and as the 

Trustees of the Kurt and 

Monica Karst 

Family Revocable Trust

DATED: August 16, 2007 BLACKMON & ASSOCIATES

By /s/ Melinda J. Nye

MELINDA J. NYE

Attorney for claimant

Peter Buchanan

DATED: August 16, 2007 PITE DUNCAN LLP

By /s/ Douglas Borthwick

DOUGLAS BORTHWICK

Attorney for claimant

BANK OF AMERICA, N.A.

ORDER

For the reasons set forth above, this matter is stayed

pursuant to 18 U.S.C. §§ 981(g)(1), 981(g)(2) and 21 U.S.C. §

881(i) until February 15, 2008. The parties will advise the

court at least 10 days prior to February 15, 2008, whether a

further stay is necessary. 

The scheduling conference scheduled for August 20, 2007 is

hereby vacated.

IT IS SO ORDERED.

DATED: August 17, 2007.

Case 2:07-cv-00974-LKK -KJM Document 25 Filed 08/17/07 Page 4 of 4