Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_06-cv-00870/USCOURTS-caed-1_06-cv-00870-2/pdf.json

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

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IN THE UNITED STATES DISTRICT COURT

FOR THE EASTERN DISTRICT OF CALIFORNIA

UNITED STATES OF AMERICA,

Plaintiff, CV F 06 0870 OWW WMW 

vs. FINDINGS AND RECOMMENDATION

2004 YUKON DENALI, LICENSE

NUMBER 5YR294, VIN

1GKEK63U44J262979;

APPROXIMATELY $27,820.00 IN

U.S. CURRENCY; and

APPROXIMATELY $37,100.00 IN

U.S. CURRENCY

Defendants.

This is a civil forfeiture action against defendant 2004 Yukon Denali, License Number

5YR294, VIN: 1GKEK63U44J262979 (defendant vehicle), approximately $27, 820.00 in U.S.

Currency, and approximately $37,100.00 on U.S. Currency (defendant currency).

A Verified Complaint for Forfeiture In Rem was filed on July 10, 2006, seeking the

forfeiture of the defendant vehicle and defendant currency, alleging that the vehicle is subject to

forfeiture to the United States of America pursuant to 21 U.S.C. § 881(a)(4) because the

defendant vehicle constitutes a conveyance used or intended to be used to transport, or in any

manner to facilitate the transportation, sale, possession, or concealment of a controlled substance

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in violation of 21 U.S.C. § 841 et seq., and alleging that the currency is subject to forfeiture to

the United States of America pursuant to 21 U.S.C. § 881(a)(6) because the defendant currency

constitutes moneys or other things of value furnished or intended to be furnished in exchange for

a controlled substance, all proceeds traceable to such an exchange and/or was used or intended to

be used to facilitate one or more violations of 21 U.S.C. § 841 et seq.

On July 10, 2006, a Warrant for Arrest of defendant vehicle and defendant currency was

issued and duly executed on July 18, 2006 and July 20, 2006, respectively. The Process Receipt

and Returns were filed on August 1, 2006 and August 2, 2006. Notice of the action against

defendant vehicle and defendant currency appeared by publication on August 10, 17, 24 and 31,

2006, in the Inyo Register, a newspaper of general circulation in the county in which defendant

vehicle and defendant currency were seized (Inyo County). The Proof of Publication was filed on

October 30, 2006. Actual notice was personally served upon Nestor Amavica Obergon, Miguel

Angel Ortega-Carrasco and Esteban Bravo Jimenez. Notice was served by certified mail to

Bonilla Auto Sales. Additionally, attorney David R. Houston accepted service by certified mail

on behalf of Nestor Amavica Obergon and attorney Scott N. Freeman accepted service by

certified mail on behalf of Angel Ortega-Carrasco. Apart from claimants Nestor Amavica

Obergon and Bonilla Auto Sales, no other parties have filed claims and answers in this matter,

and the time for which any person or entity may file a claim and answer has expired. The Unites

States’ allegations are set forth in its Verified Complaint for Forfeiture In Rem filed July 10,

2006. The allegations follow.

5. On or about January 11, 2006, Esteban Bravo Jimenez

(hereinafter “Jimenez”), Nestor Amavica Obergon (hereinafter

“Obergon”), and Miguel Angel Ortega-Carrasco (hereinafter

“Ortega-Carrasco”) were traveling northbound on Highway 395, in

Bishop, California in a 2004 Yukon Denali. The defendant vehicle

was stopped by a California Highway Patrol (“CHP”) officer for

no vehicle license plates and dark tinted windows, violations of

California Vehicle Code §§ 26708 and 5200.

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6. The CHP officer approached the vehicle and contacted the

occupants through the front passenger-side window. The officer

told the driver the reason for the traffic stop. The officer asked the

driver for his driver’s license, vehicle registration, and proof of

insurance. The driver stated, “I don’t have a license,” at which

time the passenger sitting in the rear seat of the vehicle (OrtegaCarrasco) interrupted that the vehicle belonged to him. OrtegaCarrasco handed the officer a Nevada State driver’s license stating

that he had recently purchased the vehicle and was living in

Nevada. The officer noted Ortega-Carrasco’s hands were shaking.

Ortega-Carrasco further stated to the officer that he knew the

driver was unlicensed but he was too tired to drive. The officer

asked the right front passenger (Obergon) to give him the dealer

sticker from the windshield. Obergon nervously handed the officer

the dealer sticker which evidenced that the vehicle was purchased

on January 3, 2005, one year earlier. Obergon’s hands were

shaking.

7. While at the vehicle, the officer noted there was no visible

luggage, Obergon looked straight ahead in his seat while the

officer was questioning the other occupants, there was a strong

odor of cologne coming from within the vehicle, a blanket was on

the rear seat, a map in the center console area, there were only

vehicle keys on the key chain in the ignition, an energy drink in the

cup holder, and a cellular phone and a bottle of cologne both in the

center console.

8. The officer asked Jimenez, the driver of the vehicle, to step

from the vehicle. The officer spoke with Jimenez at the right front

of the officer’s patrol vehicle. Jimenez produced a South Carolina

Identification Card evidencing his identity. The officer ran a

driver’s license check through the CHP office and while waiting

for the results of the check, spoke with Jimenez. When the officer

asked where he and the other passengers were traveling, Jimenez

stated that they were going to the Hawaiian Gardens to visit with

relatives for the day and that they were all going to return to Reno

together. Jimenez stated that he did not know who the right front

passenger (Obergon) was because they had just met. Jimenez

further stated that Ortega-Carrasco was his neighbor of two years

and that his name was Miguel but could not remember Miguel’s

last name. Jimenez represented to the officer that he was born in

Mexico and moved to the United States in 1990 and that he had

only been living in Reno, Nevada for one year. The officer asked

Jimenez if there was any luggage in the vehicle and Jimenez

replied that he did not have any luggage because this was just a

day trip and he had to be at work the next day at 7:00 a.m. When

asked about his driver’s license, Jimenez stated that he had never

bothered to apply for one. When asked about the vehicle, Jimenez

stated that Ortega-Carrasco had just purchased the vehicle and

there were some issues with the title of the vehicle that OrtegaCase 1:06-cv-00870-OWW -GSA Document 40 Filed 10/15/07 Page 3 of 10
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Carrasco said he was going to take care of while in Hawaiian

Gardens.

9. At this time, another CHP unit stopped to assist. While

speaking with Jimenez, the questioning officer observed that

Jimenez continually looked in the direction of the vehicle, he

repeated the questions back to the officer, and his statement was

not internally consistent. When asked if there were narcotics, large

amounts of money, or anything illegal in the vehicle, Jimenez

stated, “No.” A search of Jimenez’ person revealed a small amount

of marijuana in a baggie inside Jimenez’ wallet. CHP reported that

Jimenez was unlicensed and his California driver’s license was

suspended. The officer asked Jimenez to stand by the assisting

officer’s patrol vehicle while he questioned Ortega-Carrasco.

10. The officer then asked Ortega-Carrasco, the backseat

passenger of the vehicle, to step out of the vehicle. When asked

about the driver, Ortega-Carrasco informed the officer that he

knew the driver as Esteban (Jimenez) and the two have been

neighbors for five to seven years, however, he did not know

Esteban’s last name.

11. The officer was informed by Ortega-Carrasco that he,

Esteban, and Obergon were driving to the San Bernardino area to

purchase vehicles at a car auction. The officer was further

informed by Ortega-Carrasco that Obergon was his friend’s son

and he had known him for 10 to 12 years. Ortega-Carrasco was

hesitant in giving the officer Obergon’s name but stated, “Nestor.”

Ortega-Carrasco could not remember Nestor’s or Nestor’s father’s

name but knew his nickname, “Cici.” Ortega-Carrasco stated that

he, Esteban, and Nestor were going to be down south for two

days and then they would drive back with the new cars to Reno.

Ortega-Carrasco stated that he had recently purchased the Yukon

Denali and that the Bill of Sale was located on the driver’s side of

the vehicle. The officer asked why they were not carrying any

luggage and Ortega-Carrasco replied that they were all going to

wear the same clothes for two days. The officer asked if there was

anything illegal in the vehicle and Ortega-Carrasco answered, “Not

that I know of.” The officer then asked if there were narcotics or

large amounts of money in the vehicle and Ortega-Carrasco

informed the officer that there was $20,000.00 in a black case

behind the driver’s seat and that the money was for purchasing cars

at the auction. Ortega-Carrasco stated that he worked as an AV

Tech at the Legacy and the Sienna Casino for $15.00 per hour. The

officer asked if he had earned the $20,000.00 through working and

he stated that he did. Ortega-Carrasco stated that he deposited his

checks into a banking institution but did not withdraw the money

he had with him from the bank. Ortega Carrasco stated that he

withdrew only a small amount of the money from the bank and the

rest he simply “had.” Ortega-Carrasco could not explain to the

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officer where he kept the money or why it was not deposited in a

bank. Ortega-Carrasco did not know if there were any other large

amounts of money in the vehicle. The officer asked OrtegaCarrasco where he kept the cash if he did not keep it in a bank.

Ortega-Carrasco did not give a specific location as to where he

kept the money, he stated that he simply “had” the money. OrtegaCarrasco stated the he had about $1,000.00 in his bank account.

When asked if there were any other large amounts of money in the

vehicle, Ortega-Carrasco said not that he knew of. When asked if

he had been arrested before, Ortega-Carrasco stated that he had

been arrested for possession of cocaine for sale 13 years ago.

Ortega-Carrasco related that he paid $10,000.00 for the Yukon

Denali. Ortega-Carrasco’s driver’s license check returned a valid

Nevada driver’s license.

12. During questioning, the officer observed that Ortega-Carrasco

repeatedly looked over to the vehicle, his statement did not make

sense and it conflicted with the driver’s statement, he appeared

extremely nervous, and he could not explain where the cash came

from. The officer searched Ortega-Carrasco and found no

weapons. The officer asked Ortega-Carrasco to sit in his patrol

vehicle while he spoke with Obergon and Ortega-Carrasco

complied.

13. The right-front passenger, Obergon, appeared very jumpy

upon the officer’s approach. A California driver’s license

identified the right-front passenger as Nestor Obergon. When

asked about the identity of the driver, Obergon stuttered and could

not speak. When asked a second time about the identity of the

driver, Obergon repeated the question to the officer. Obergon then

stated that he did not know the driver as he had only met him a few

times. Obergon said that he has known the rear passenger all his

life because he was Obergon’s father’s friend. Obergon knew the

rear passenger as Miguel but could not remember Miguel’s last

name. When asked about where he was going, Obergon stated the

purpose of their trip was to purchase a car in San Bernardino and

that he, Esteban, and Miguel would be there for a few days. The

officer asked if they would be staying for a week and Obergon

replied, “No, only four days.” When asked why they did not carry

any luggage for such a trip, Obergon stated that he had a sister in

Riverside and he could change clothes there. Obergon stated that

all three of them would be traveling back to Reno together. When

asked if there were narcotics, large amounts of money, or anything

illegal in the vehicle, Obergon looked at the dashboard, began to

breathe rapidly, and replied nervously, “Well, yeah, I got, ah, like

$36,000.00 in the back, to buy a car.” At this time, the officer

requested a CHP supervisor’s assistance so the officer could check

the VIN and registration of the vehicle and further question the

subjects.

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14. When asked about the possession of such a large amount of

cash, Obergon explained that he operated excavating equipment

but that he was currently working in a mill earning $19.00 per

hour. When asked what kind of mill Obergon answered, “You

know the kind that makes 2x4's and stuff.” Obergon explained that

he borrowed $20,000.00 from his mother because she had come

into some money. The officer asked where the rest of the money

came from and Obergon stated he got it from his mother. The

officer stated, “I thought you borrowed $20,000.00 from your

mom.” Obergon hesitated. The officer asked again where the rest

of the money came from. Obergon stated he received it from his

mother that morning. When asked whether he received $36,000.00

or $20,000.00 from his mother, Obergon stated the borrowed

$20,000.00 from his mother and the other $16,000.00 was money

that he “left” at his mother’s house. Obergon stated he normally

puts his money in a bank account but that none of the $36,000.00

had been in the bank. Obergon stated that he had about $10,000.00

in the bank at present. Obergon explained that his parents recently

sold some property and the sale proceeds was where the money

came from. Obergon stated that he had been arrested for

possession of narcotics in the past. During questioning, the officer

observed that Obergon appeared very nervous. Obergon was

searched for weapons. No weapons were found.

15. The CHP officer then requested a criminal history check on

all three subjects. The criminal history confirmed that Obergon and

Ortega-Carrasco had been arrested for possession of controlled

substances and for prior weapons violations.

16. The CHP officer obtained the VIN number and conducted a

registration check on the vehicle. The vehicle was purchased from

Southern California Auto Auction Company with a VIN number

from the State of Nevada. While running the VIN and registration

check on the vehicle, the officer found a Transfer of Ownership

document on the vehicle. The document evidenced that the vehicle

had been purchased on January 3, 2006, just eight (8) days before,

for $26,000.00 and not $10,000.00 as Ortega-Carrasco previously

stated.

17. The officer walked over to his patrol vehicle where OrtegaCarrasco was seated inside and asked him again about the cash.

Ortega-Carrasco could not give a specific location as to where the

cash came from and stated that he “had” the money.

18. Two CHP officers then conducted a probable cause search of

the vehicle and found a large amount in U.S. Currency wrapped in

multiple small bundles in a grocery bag wrapped in a black bag

totaling approximately $37,100.00 located under the left middle

rear seat; several more bundles in U.S. Currency wrapped in

plastic wrap (except for one bundle which was not wrapped in

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plastic wrap) totaling approximately $27,820.00 located in a black

case found underneath the center rear seat; and, a loaded .380

caliber 9mm AMT handgun with a .380 caliber Magazine found

between both packages of money. The firearm was located within

the reach of either Ortega-Carrasco or Obergon. Five .380 caliber

rounds, three cellular phones, and a lap-top computer were also

found in the vehicle. The approximately $27,820.00 in U.S.

Currency was found in denominations of 191 x $20.00 and 240 x

$100.00. The approximately $37,100.00 in U.S. Currency was

found in denominations of 2 x $5.00; 2 x $10.00; 720 x $20.00; 3 x

$50.00; 225 x $100.00.

19. On January 11, 2006, Jimenez was arrested for violation of

Vehicle Code § 12500(a) - Unlicensed Driver and was

subsequently released after being booked at the Inyo County Jail.

Ortega-Carrasco and Obergon were both arrested for violations of

Penal Code §§§ 12021(a)(1), 12025(a)(1), and 12031(a)(1) - Felon

in Possession of a Firearm, Carrying a Concealed Weapon, and

Possession of Loaded Firearm in Public.

20. At the Bishop California Highway Patrol Office, a K-9 alerted

to the dashboard of the vehicle and alerted to the driver’s side

middle seat. A small amount of marijuana was found in an amber

prescription bottle found within the dashboard. The K-9 also

separately alerted to both quantities of money found in the vehicle.

21. A clandestine recording of Ortega-Carrasco and Obergon’s

cell phone conversations while seated in the officer’s patrol

vehicle confirmed the presence of a firearm in the vehicle and the

location of narcotics at a storage facility in Reno, Nevada. The

Drug Enforcement Administration executed a search warrant and

seized five (5) grams of methamphetamine from the storage

facility. Law enforcement believes that the bulk of the contraband

was removed before the search warrant could be executed.

22. On March 31, 2006, Ortega-Carrasco pled guilty to one count

of felony violation of California Penal Code § 12025(a)(1) -

Carrying Concealed Weapon Within a Vehicle. Ortega-Carrasco

was sentenced on May 4, 2006 to serve 16 months in custody.

23. On March 31, 2006, Obergon pled guilty to one count of

felony violation of California Penal Code § 12025(a)(1) - Carrying

Concealed Weapon Within a Vehicle. Obergon was sentenced on

May 4, 2006 to serve 16 months in custody.

(Compl., ¶¶ 5-23).

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To avoid the uncertainty and expense of further litigation, the United States and Claimant

Nestor Amavica Obergon desire to settle this forfeiture action as to Nestor Amavica Obergon’s

interest in the defendant assets. To that end, the United States and Claimant Nestor Amavica

Obergon have stipulated and agreed to settle this forfeiture action as to Nestor Amavica

Obergon. In accordance with the agreement, IT IS HEREBY RECOMMENDED that:

1. Upon entry of a Final Judgment of Forfeiture, the 2004 Yukon Denali, License

Number 5YR294, VIN 1GKEK63U44J262979, approximately $27, 820.00 in U.S. Currency,

and $35,000.00 of the defendant approximately $37,100.00 in U.S. Currency, together with any

interest that may have accrued on that amount, seized on or about January 11, 2006, shall be

forfeited to the United States pursuant to 21 U.S.C. § 881(a)(4) and 881(a)(6), to be disposed of

according to law.

2. Upon entry of a Final Judgment of Forfeiture herein, but no later than 45 days

thereafter, $2,100.00 of the approximately $37,100.00 in U.S. Currency, together with any

interest that may have accrued on that amount, shall be returned to Claimant Nestor Amavica

Obergon through his attorney David R. Houston at 432 Court Street, Reno, NV 89501.

3. Claimant Nestor Amavica Obergon hereby is acknowledged as the sole owner of the

defendant approximately $37,100.00 in U.S. Currency and that no other person or entity has any

legitimate claim of interest therein. Should any person or entity institute any kind of claim or

action against the government with regard to its forfeiture of the $35,000.00 of the defendant

approximately $37,000.00 in U.S. Currency, Nestor Amavica Obergon shall hold harmless and

indemnify the United States, as set forth below.

4. Plaintiff United States of America and its servants, agents, and employees, and all

other public entities, their servants, agents, and employees are released by Claimant Nestor

Amavica Obergon from any and all liability arising out of or in any way connected with the

arrest, seizure, or forfeiture of the 2004 Yukon Denali, License Number 5YR294, VIN

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1GKEK63U44J262979, approximately $27, 820.00 in U.S. Currency, and approximately

$37,100.00 in U.S. Currency seized on or about January 11, 2006. This is a full and final release

applying to all unknown and anticipated injuries, and/or damages arising out of said arrest,

seizure or forfeiture, as well as to those now known or disclosed. The provisions of California

Civil Code § 1542, are waived. This provision provides: “A general release does not extend to

claims which the creditor does not know or suspect to exist in his favor at the time of executing

the release, which if known by him must have materially affected his settlement with the debtor.”

5. All claim or right to interest that may have accrued on the $35,000.00 of the defendant

approximately $37,100.00 in U.S. Currency, or any portion thereof, seized on or about January

11, 2006 is waived by Nestor Amavica Obergon.

6. Without an admission that the defendant currency constitutes moneys or other things

of value furnished or intended to be furnished in exchange for a controlled substance, or that the

defendant vehicle was used or intended to be furnished in exchange for a controlled substance, or

that the defendant vehicle was used or intended to be used to transport, or in any manner to

facilitate the transportation, sale, possession, or concealment or a controlled substance, Claimant

Nestor Amavica Obergon stipulates that there was reasonable cause for the seizure and arrest of

the 2004 Yukon Denali, License Number 5YR294, VIN 1GKEK63U44J262979, approximately

$27, 8720.00 in U.S. Currency, and approximately $37,100.00 in U.S. Currency and that the

Court may enter a Certificate of Reasonable Cause pursuant to 28 U.S.C. § 2465.

These findings and recommendations are submitted to the United States District Judge

assigned to the case, pursuant to the provisions of Title 28 U.S.C. § 636(b)(1). Within fifteen

days after being served with these findings and recommendations, any party may file written

objections with the court and serve a copy on all parties. Such a document should be captioned

“Objections to Magistrate Judge’s Findings and Recommendations.” Any reply to the objections

shall be served and filed within ten days after service of the objections. Failure to file

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objections within the specified time may waive the right to appeal the District Court’s order.

Martinez v. Ylst, 951 F.2d 1153 (9 Cir. 991).

IT IS SO ORDERED.

Dated: October 15, 2007 /s/ William M. Wunderlich 

j14hj0 UNITED STATES MAGISTRATE JUDGE

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