IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF COLORADO

Civil Action No. 11-CV-02106-PAB-CBS

UNITED STATES OF AMERICA,

 Plaintiff,

 

v.

DEFENDANT 1: ONE PARCEL OF PROPERTY

LOCATED AT 927 COLE STREET, GOLDEN,

COLORADO, with all appurtenances,

improvements and attachments thereon,

DEFENDANT 2: ONE 2008 TOYOTA 

HIGHLANDER, VIN #JTEES42A182076495,

 Defendants.

______________________________________________________________________________

UNOPPOSED MOTION TO STAY PROCEEDINGS

______________________________________________________________________________

The United States of America, by and through Attorney General of the United States Eric

Holder, Barry R. Grissom, United States Attorney for the District of Kansas, through Special

Attorneys, Richard L. Hathaway and Christine E. Kenney, respectfully moves this Court to enter

an Order staying proceedings in the above captioned matter, and in support of this motion asserts

as follows:

1. Pursuant to D.C.COLO.LCivR 7.1.A, undersigned counsel represents that they

conferred with Thomas E. Goodreid counsel for Claimant Marie Dalton and Nicole M. Quintana

counsel for Claimant George Magnani regarding the instant motion.

2. Counsel for the Claimants indicate neither Claimant objects to the stay of these

proceedings. 

Case No. 1:11-cv-02106-PAB-CBS Document 53 filed 05/16/12 USDC Colorado pg 1 of 4
3. The government is seeking forfeiture of one parcel of property located at 927 Cole

Street, Golden, Colorado and one 2008 Toyota Highlander, VIN #JTEES42A182076495.

Claimant Marie Dalton filed a claim as to the real property only. (Doc. 16). Claimant George

Magnani filed a claim as to the real property only. (Doc. 17).

4. Claimant Marie Dalton currently faces charges in United States District Court

under Case No. 11-CR-430-CMA.

5. The United States seeks a stay of this case pursuant to 18 U.S.C. § 981(g)(1). This

provision provides that, “[u]pon the motion of the United States, the court shall stay the civil

forfeiture proceedings if the court determines that civil discovery will adversely affect the ability

of the Government to conduct a related criminal investigation or the prosecution of a related

criminal case.” (emphasis added).

6. Under Case No. 11-CR-430-CMA a status conference is scheduled for July 27,

2012, at which time the government anticipates that a trial will be scheduled approximately six

months from that date.

7. Civil discovery in this case would compromise the criminal case because civil

discovery would likely commence prior to the criminal trial. See United States v. Real

Property...10 Table Bluff Road, 2007 WL 911849, at *2 (N.D. Cal. 2007) (stay must be granted

if civil discovery will subject the Government to broader and earlier discovery than would occur

in a criminal case; if the required showing is made, the court is obligated by the plain language of

the statute to grant the Government’s request for a stay).

8. The subject matter of the civil case is directly related to the facts in dispute in

Claimant Marie Dalton’s pending criminal case. Marie Dalton is charged with numerous criminal

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Case No. 1:11-cv-02106-PAB-CBS Document 53 filed 05/16/12 USDC Colorado pg 2 of 4
violations, including conspiracy to commit wire fraud, mail fraud and money laundering, and the

substantive violations of wire fraud, mail fraud and money laundering. The controverted issue in

the civil case is whether the subject property is proceeds of and/or involved in money laundering,

wire fraud and mail fraud. Civil discovery in this case would be thwarted because Marie Dalton

would be unlikely to answer interrogatories or depositions without jeopardizing her right to selfincrimination, undermining the integrity of discovery for both sides.

9. Even in general civil context where there is not specific statutory language

commanding the stay of the civil proceeding it is recognized that the Fifth Amendment can and

should be invoked when it can be implicated. The privilege against self-incrimination, one of our

most cherished fundamental rights, is zealously guarded by the courts. It protects an individual

not only from involuntarily becoming a witness against himself in a criminal proceeding, but also

from answering specific allegations in a complaint or filing responses to interrogatories in a civil

action where the answers might incriminate him in future criminal actions. North River Ins. Co.

V. Stefanou, 831 F.2d 484, 486-487 (4 Cir. 1987). th

10. Further, a stay of these proceedings does not violate the parties’ due process or

ability to litigate their claims once the stay is lifted. See United States v. Contents of Nationwide

Life Ins. Annuity...in the Name of Warshak, 2008 WL 1733130, at *4 (S.D. Ohio 2008) (18-

month delay in bringing civil case to trial did not violate due process where civil case was stayed

pending outcome of criminal case).

WHEREFORE, United States respectfully requests that this Court stay the proceedings in

this matter for a period of one hundred eighty days pending the outcome of the related criminal

case.

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Case No. 1:11-cv-02106-PAB-CBS Document 53 filed 05/16/12 USDC Colorado pg 3 of 4
Respectfully submitted,

ERIC H. HOLDER, JR.

ATTORNEY GENERAL OF THE UNITED STATES

&

BARRY R. GRISSOM, # 10866

UNITED STATES ATTORNEY

DISTRICT OF KANSAS

barry.grissom@usdoj.gov

by:

s/Richard L. Hathaway

rich.hathaway@usdoj.gov

&

s/Christine E. Kenney

christine.kenney@usdoj.gov

Special Attorneys 

444 SE QUINCY, SUITE 290

TOPEKA, KS 66683

Phone: (785) 295-2850

Fax: (785) 295-2853

CERTIFICATE OF SERVICE

I hereby certify that on May 16 , 2012, I electronically filed the foregoing with the Clerk th

of the Court by using the CM/ECF system which will send a notice of electronic filing to any

counsel of record. 

s/Christine E. Kenney

christine.kenney@usdoj.gov

Special Attorneys 

444 SE QUINCY, SUITE 290

TOPEKA, KS 66683

Phone: (785) 295-2850

Fax: (785) 295-2853

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