Tag: detroit

Notice of Seizure and Intent to Forfeit (CAFRA) at the Port of Detroit

CBP Detroit Cash Forfeitures for 7-29-16

Posted by Jason P. Wapiennik on August 3, 2016

Last Friday’s notice of seizure and intent to forfeit for U.S. Customs & Border Protection featured 3 currency seizures that occurred in 3 separate incidents on June 2 and June 9, with a total seizure value of $72,338.

The seizure on June 2 for $40,080, was for a failure to report cash to Detroit CBP and for bulk cash smuggling:

2016380700084501-001-0000, Seized on 06/02/2016; At the port of DETROIT, MI; US CURRENCY RETAINED; 403; EA; Valued at $40,080.00; For violation of 31USC5317, 31USC5316, 31CFR1010.340(A), 31USC5332

The seizures on June 9, one for $17,657, was for a failure to report; the other, for $14,601, was for failure to report cash to Detroit CBP and for an unlawful cash structuring violation.

2016380700086001-001-0000, Seized on 06/09/2016; At the port of DETROIT, MI; US CURRENCY RETAINED; 186; EA; Valued at $17,657.00; For violation of 31USC5317, 31USC5316, 31CFR1010.340(A), 31USC5324

2016380700086101-001-0000, Seized on 06/09/2016; At the port of DETROIT, MI; U.S. CURRENCY RETAINED; 175; EA; Valued at $14,601.00; For violation of 31USC5317, 31USC5316, 31CFR1010.340(A), 31USC5324

As with most cases that are posted up on forfeiture.gov, the publication of the intent to forfeit the property likely represents a total failure on the part of the person whose money was seized to successfully navigate the process for getting seized back from Detroit CBP. Administrative forfeiture is a last resort and also has the worst outcome in most cases; if any money is recovered at all, it is often far, far less than would be recovered through the administrative petition process. But, whether to file a claim or an administrative petition is a decision that should be made in consultation with your attorney.

Due to how quickly people have money seized and the representations of the seizing officers, people mistakenly believe that getting seized money back from Detroit CBP is an easy process.

Instead, it is fraught with difficulties and unforeseen challenges. Instead of risking forfeiture and the total loss of your money, do the smart thing and call us for a free currency seizure consultation and make use of the free customs money seizure legal guide we publish on this website.

Another Detroit CBP cash seizure abandoned

Posted by Jason P. Wapiennik on July 12, 2016

Earlier on July 2, CBP Detroit posted a notice of intent to forfeit $20,728 that was seized at Detroit Metropolitan Airport (port code 3807) on June 20, 2016, for a simple failure to report more than $10,000 being brought into the country or out of the country, as required by currency reporting laws.

The fact that publication has already begun for this recent seizure is probably unfortunate. It means that someone has chosen to abandon their money or has never received a personal notice of seizure letter from CBP. After the seizure notice letter is mailed, CBP can begin administrative forfeiture proceedings after 35 days have passed.

Someone with an interest in the property can file a claim based on the publication of the notice of intent to forfeit; however, if the person received a personal notice of seizure letter, legally speaking, the deadline for filing a claim will have already passed. Don’t let that fact discourage you from contacting our office, because sometimes there are ways around this bar to filing a claim.

Here’s the notice:

PUBLICATION/POSTING START: July 02, 2016
PUBLICATION/POSTING END: August 01, 2016
DEADLINE TO FILE A CLAIM: August 31, 2016

DETROIT, MI

2016380700088501-001-0000, Seized on 06/20/2016; At the port of DETROIT, MI; U.S. CURRENCY RETAINED;220; EA; Valued at $20,728.00; For violation of 31USC5317, 31USC5316, 31CFR1010.340(A)

I’ve seen some lawyers out there say never to bother filing an administrative petition cash seized by a federal agency; to always file a claim.

We have always had tremendous success in negotiating return of the money through the filing of administrative petitions for our clients who have had their money seized by CBP, especially in Detroit. So do not be fooled my lawyers who try to pressure you into filing a claim so they can charge you higher legal fees by filing a claim.

If you got currency seized by CBP you can learn more about the process from our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

A copy of the notice of seizure and intent to forfeit featuring the case of the incomplete check seized by CBP

Incomplete Checks Seized by CBP in Detroit

Posted by Jason P. Wapiennik on June 28, 2016

On May 10, someone at the land border between Detroit and Canada attempted to bring into or leave the country with a check for $50,000 that was blank – in that it did not have a payee — in other words, the payee in the “pay to the order of” section of the check was blank. That’s what you call an “incomplete instrument” in legal-speak, or we’ll call it an incomplete check for our purposes.

Incomplete checks fall under the general monetary instrument reporting requirements that Customs enforces at all ports of entry through the United States. In fact, incomplete checks are specifically identified as being part of the monetary instruments that must be reported to customs, apart from cash. 31 CFR 1010.100(dd)(iv) states the monetary instruments include ….”incomplete instruments (including personal checks, business checks, official bank checks, cashier’s checks, third-party checks, promissory notes (as that term is defined in the Uniform Commercial Code), and money orders) signed but with the payee’s name omitted“.

So Last Friday, U.S. Customs & Border Protection at the Port of Detroit noticed its seizure and intention to forfeit a check (a/k/a a negotiable instrument) valued at $50,000. The notice is as follows:

PUBLICATION/POSTING START: June 24, 2016
PUBLICATION/POSTING END: July 23, 2016
DEADLINE TO FILE A CLAIM: August 23, 2016

2016380100064801-001-0000, Seized on 05/10/2016; At the port of DETROIT, MI; CHECK (SIGNED WITHOUT PAYEE); 1; EA; Valued at $50,000.00; For violation of 31USC5317, 31USC5316, 31CFR1010.340(A)

I bet this person thought they could get around the reporting requirement by not completing the payee on the check, just like the many people who think they can get around the reporting requirement by dividing the money through structuring.

They might also be under the mistaken impression that they will cancel the check, and CBP will not be able to keep the $50,000. But that is not what happens when CBP seizes a check; after seizure, CBP can “freeze” those funds in the bank account, or by otherwise getting access to the money, and by getting cooperation from the bank itself. Be warned.

Have you had a check seized by CBP?

If you have had a check seized by CBP you can learn more about the process from our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

An image of 11 counterfeit championship rings that were seized by Detroit U.S. Customs & Border Protection at Detroit Metropolitan airport.

Detroit CBP Seizes $680k in Counterfeit Championship Rings

Posted by Jason P. Wapiennik on June 21, 2016

CBP at Detroit Metro Airport seized $680,000 worth of counterfeit championship rings that were being imported into the United States from China. This counterfeit seizure by happened in April, but it is just now making the news.

That’s probably because the story finally made it from FP&F to CBP’s press department, or because the notice of seizure was finally mailed after a final determination by CBP that the rings were actually counterfeit. A valuation of $680,000 means that Customs is putting an MSRP value on each ring of $5,000.

Recall that each time you cause an importation of a counterfeit item into the United States it subject to seizure and you are subject to a penalty, as the importer, for up to the value of the goods if they were real. You can read more about that in our other articles on that topic: Importing Counterfeit Trademarks – Customs Seizures & Penalties; Part 1 and Part 2 (click to read).

The use of a fictitious name by the importer opens the importer up to additional liability beyond merely violation 19 USC 1526(e) (importing counterfeits), by charges involving fraud. Not a smart move. Here’s the story:

DETROIT— In late April, U.S. Customs and Border Protection (CBP), Office of Field Operations at the Detroit Metropolitan Airport seized $680,000 (MSRP) in counterfeit NHL, NFL and MLB championship rings in a shipment that originated on a flight from China.

While conducting operations at a DHL consignment facility, the Cargo Enforcement Team selected and examined a shipment of rings from China, resulting in the discovery of 136 counterfeit championship rings from the National Football League, National Hockey League and Major League Baseball. In all, the counterfeit rings displayed the names and logos of several teams such as the Dallas Cowboys, Pittsburgh Steelers, New York Giants, Oakland Raiders, New Orleans Saints, and New York Jets. The shipment also included rings for the Chicago Black Hawks and the Boston Red Sox.

The company identified as the receiver of the rings used a fictitious name and was found to have previous copyright/trademark violations.

Have you had allegedly counterfeit merchandise seized by CBP in Detroit?

Not only do you have rights to contest the determination that the merchandise was counterfeit (like getting a sample of seized merchandise), but if you’ve been penalized we are very successful in getting penalties reduced or eliminated entirely. Click the contact button on this page to get in touch with us today!

Back to back Detroit airport money seizures

Posted by Jason P. Wapiennik on June 7, 2016

Detroit CBP seized a total $40,249 in back-to-back money seizures at Detroit airport on March 29, 2016 for failure to report and illegal cash structuring. The excerpt from the notice of seizure and intent to forfeit gives only the most essential information that allows for someone with an interest in the property to file a claim.

The fact that administrative forfeiture proceedings have begun (as signified by the fact it is being published in this way on forfeiture.gov) probably represents a bad decision by the people who experienced the Detroit airport money seizures, or by their attorney. Immigration attorneys and general practitioners have no business doing the work of a customs lawyer in responding to a money seizure by CBP at Detroit airport or elsewhere.

What are some reasons people choose the administrative forfeiture route?

It could be lack of evidence to prove legitimate source or intended use, failure to actually receive the personal notice of seizure letter, fear of criminal repercussions, failure to understand the difference between the different election of proceedings options… and other reasons related to ignorance of the law about money seizures.

Here’s the excerpt from CBP’s forfeiture.gov posting:

PUBLICATION/POSTING START:
PUBLICATION/POSTING END:
DEADLINE TO FILE A CLAIM:

May 27, 2016
June 25, 2016
July 26, 2016

2016380700066701-001-0000, Seized on 03/29/2016; At the port of DETROIT, MI; US CURRENCY RETAINED; 265; EA; Valued at $20,558.00; For violation of 31USC5317,31USC5316,31CFR1010.340(A),31USC5324

2016380700067101-001-0000, Seized on 03/29/2016; At the port of DETROIT, MI; U.S. CURRENCY RETAINED; 235; EA; Valued at $19,691.00; For violation of 31USC5317,31USC5316,31CFR1010.340(A),31USC5324

Have you experienced a Detroit airport money seizure?

If you experienced a Detroit airport money seizure by U.S. Customs & Border Protection you can learn more about the process from our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

Detroit CBP Returns Canadian Dollars

Posted by Jason P. Wapiennik on May 12, 2016

The requirement to report cash to Customs applies not only to U.S. currency, but also to foreign currency (among other monetary instruments). Detroit CBP returned $4,000 Canadian dollars to a man who attempted to send the money into the United States to avoid detection, in a kind of reversal of how the forfeiture and seizure process usually works. Bear with as I explain.

If I understand the story correctly, Customs intercepted a package that was shipped from an elderly person in Canada that contained a book. Inside the pages of the book was placed Canadian currency. The cash was put in the book in such a way as to avoid detection. The recipient address of the book/cash in the United States has previously been associated with fraudulent identification sales.

And that’s where the story gets interesting. Though the sender of the book is the person who violated the law (by attempting to smuggle currency into the United States in the pages of a book and by failing to declare the shipment’s true contents), CBP is apparently returning the money to the sender because he was the victim of a scam that targets elderly people.

Kudos to Detroit CBP on this one. Although I have occasion to disagree with their seizure policies and enforcement techniques on occasion, this time it seems they’ve really cut through a black-and-white/good-vs-bad interpretation of the law and are returning the money to its owner, without need for a formal seizure and forfeiture process.

Want Detroit CBP to return your Canadian dollars?

If you want Detroit CBP to return your Canadian dollars you can learn more about the process from our trusted customs money seizure legal guide and can contact us for a free currency seizure consultation by clicking the contact buttons on this page.

A legal notice of seizure and intent to forfeit (CAFRA)

CBP Chicago & Detroit Forfeiture Notices for April 15

Posted by Jason P. Wapiennik on April 19, 2016

When CBP seizes money it is subject to forfeiture. Typically, Customs sends a letter notifying all interested persons that the property has been seized, is subject to forfeiture, and some options for getting seized money back (not all options, by the way). If administrative remedies to get seized money back are not successful, publication of a notice of forfeiture is made by CBP.

Publication of a notice of intent to forfeit used to be done in newspapers, until the government wised up and made a website specifically to give notice of forfeitures. So now, notices of seizure and intent to forfeit are published at www.forfeiture.gov, and depending on the Port involved, usually occurs about once each week.

The property listed in those notice of seizure and intent to forfeit is what no one wants (abandoned), no one knows about (lack of actual service of notice of seizure by mail), or which they could not successfully get back administratively (they could not provide they had a right to it, or it was somehow illegal).

In CBP Detroit’s April 15 notice of seizure, there’s a total of $64,480 up for potential forfeiture for failure to report, money laundering, fraudulent identification documents, and fraudulent account access devices.

2015380200017901-001-0000, Seized on 07/11/2015; At the port of PORT HURON, MI; U.S. CURRENCY RETAINED; 846; EA; Valued at $64,480.00; For violation of
31USC5317,31USC5316,31CFR1010.340(A),18USC981,18USC1956,18USC1028,18USC,
1029,18USC1341,18USC1344

We recently opened an office location in Chicago better serve those who’ve had money seized at O’Hare airport. The notices for Chicago do not appear to be for failure to report, bulk cash smuggling, or structuring though. But Chicago’s April 15th notice of seizure and intent to forfeit has a total of $1,525,176 up for forfeiture.

2016390100014001-005-0000, Seized on 11/10/2015; At the port of CHICAGO, IL; US CURRENCY; 2,150; EA; Valued at $34,445.00; For violation of 21USC881,19USC1595A(A)21USC841,21USC846
2016390100028101-002-0000, Seized on 12/16/2015; At the port of CHICAGO, IL; U.S. CURRENCY; 1,183; EA; Valued at $32,390.00; For violation of 18USC981,18USC1956
2016390100042101-001-0000, Seized on 01/27/2016; At the port of CHICAGO, IL; BULK USC; 12,476; EA; Valued at $259,935.00; For violation of 18USC981,18USC1956
2016390100049101-001-0000, Seized on 02/09/2016; At the port of CHICAGO, IL; BULK USC; 28,092; EA; Valued at $625,080.00; For violation of 18USC981,18USC1956
2016390100067201-001-0000, Seized on 04/09/2016; At the port of CHICAGO, IL; U.S. CURRENCY; 5,926; EA; Valued at $99,969.00; For violation of 18USC981,21USC881,19USC1956
2016390100067301-002-0000, Seized on 04/09/2016; At the port of CHICAGO, IL; U.S. CURRENCY; 22,853; EA; Valued at $473,357.00; For violation of 18USC981,21USC881,18USC1956

$1.5 million is, to most folks, a lot of money. To the government, it might be a drop in the bucket or a digit to the right of a decimal point in the budget. But whether government, rich, or poor every can agree — any little bit of cash helps. If no one files a claim and wins a portion of the seized money back, it will go to the government to support its operations.

CBP checkpoint at the Detroit-Windsor Tunnel border crossing, with vehicles in the foreground.

Over $350k per day in cash seized by CBP in 2015

Posted by Jason P. Wapiennik on April 12, 2016

CBP tweeted the other day about cash seized by CBP in 2015, and drug seizures. On “a typical day,” CPP seized $356,396 in cash nationwide; based on the number for the Detroit field office, $27,581 was seized “on a typical day” in Detroit.

Because CBP Detroit was #2 in the nation for currency seizures based on total amount of seizures (totaling $10M), a large part of that national average is due to the efforts of CBP Officers at the ports in the Detroit Field Office, most especially the officers at Detroit Metropolitan Wayne County Airport.

The cash seizures are from you run-of-the-mill everyday traveler who are bringing money to the United States for tuition, medical treatment, and to establish a new life; other times, the cash seizures are part of a cash smuggling operation bringing the money into or out of the United States to further the illicit narcotics trade across the borders.

On a typical day in FY15, #CBP seized 9,435lbs of drugs and $356,396 in undeclared or illicit currency. pic.twitter.com/NwRXBwoRZD

— CBP (@CustomsBorder) April 5, 2016

In Detroit, our experience is most of these cases are run-of-the-mill travelers coming into the United States with legitimate money that’s intended to be used for legitimate sources. With our experience and good documentation, we are help to get cash back from Customs after seizure.

The lesson? Prevent seizure of cash by reporting all currency, fully, accurately, and completely to U.S. Customs & Border Protection before they have a chance to stop and question you about it. Don’t be like the poor folks who had their cash seized by CBP in 2015, be sure to report your money. Remember, the duty it yours to report the transportation of more than $10,000 into or out of the country before you are ever asked to make a report!

Two red envelopes with Chinese characters on them and stuffed with U.S. dollars.

Why some Chinese travel with cash leading to airport seizures

Posted by Jason P. Wapiennik on December 2, 2015

One question I face from most Americans when I tell them that our customs law firm helps people recover from money after customs money seizure is, “Why would anyone travel with all that money?”

Two red envelopes (hongbao) with Chinese characters on them and stuffed with U.S. dollars. — Some Chinese bring money in red envelopes (hongbao) for the Chinese new year celebration to give to family

It’s a good question.The answer? Many foreign governments, China in particular, restrict the amount and method that its citizens can take from the country via capital-controls; when the economy tanks or the currency is devalued, it increases the desire to move the money into another country before the market gets worse.

A few years ago the Wall Street Journal did a story about rich Chinese trying to get their money out of China, in the form of cash, that illustrates this point. The story is Chinese Fly Cash West, by the Suitcase and it provides some insight into why people travel with Cash from China, and why Customs seizes this money from them at airports:

China restricts private citizens from taking out more than $50,000 per individual per year. While it is hard to enforce these restrictions, Chinese authorities are scrutinizing outgoing private cash amid a broad anticorruption drive and as worry grows over the risks of capital flight.

The money seized at airports represents just a sliver of private Chinese money pouring out, but highlights that Chinese citizens are turning to one of the oldest and simplest methods to evade those controls: taking cash out in a suitcase.

The articles goes on to say:

From 2009 to 2011, U.S. airport customs officers seized over $5 million in undeclared cash from Chinese citizens, according to U.S. Customs and Border Protection. That is 8.4% of the total seized and more than double the nearest amount for another nationality.

Transporting large amounts of cash isn’t necessarily illegal. Travelers must declare cash over $10,000 when they land in Canada or the U.S. Most undeclared cash is temporarily seized and subject to fines. If customs agents believe the cash comes from illegal activities, the onus is on the traveler to prove otherwise before it is returned.

I would correct this final paragraph with a few legal subtleties. If any amount of money is undeclared to customs, all of the money transported may be seized and, if legitimate source and use are not proven to Customs, will be forfeited forever (i.e., lost). This burden is on the traveler whether or not Customs believe the cash comes from illegal activities. It must always be proven.

Moving cash from China subjects a person to fines in China:

In China, violators of Beijing’s rules on moving out cash are also subject to fines. From 2007 to 2011, China’s State Administration of Foreign Exchange levied such fines totaling 1.27 billion yuan ($202 million), according to the most recent data available.

The story goes on to state that seizures from 2009 to 2011 dramatically increased at airports in Los Angeles, Chicago, Detroit, Houston and San Francisco for money seized by Customs from Chinese nationals. But the numbers seized by U.S. Customs were smaller than that seized by Canadian customs. Apparently because property rules rules and investor visas are easier to obtain.

The New York Times also published a story we tweeted about:

Chinese #Cash Floods U.S. Housing Market https://t.co/wW2sF8fE9G

— GreatLakesCustomsLaw (@customsattorney) November 28, 2015

I’m sure the cash is flooding the U.S. market now for the same reasons. Customs will seize unreported money from any Chinese traveler or immigrant at any U.S. airport if they catch them.

2015 Hajj pilgrims: Declare your money!

Posted by Jason P. Wapiennik on September 25, 2015

Customs at the port of Dertroit is offering a pointed reminder to Hajj pilgrims returning to the United States; declare everything you acquired overseas, especially food and agricultural items, but most importantly declare your cash over $10,000! The Hajj ends on September 26, and pilgrims returning through Detroit Metropolitan Airport with more than $10,000 could have all their currency seized if it totals more than $10,000.

If you travel with $10,000, be sure to declare money. — If you travel with $10,000, be sure to declare money to customs.

Be extra careful and if it’s cash and it belongs to other people you are traveling with, declare it anyway and explain the situation to Customs before you get caught up in intensive questioning. Talk to those you are traveling with to see how much cash they are carrying so that you don’t failure to make a report out of ignorance, and so customs cannot accuse you of structuring. Husbands and wives… this a great time to communicate about money.

Here’s the instructions on how you can file a currency report:

All travelers are also reminded of the currency and reporting requirement found on your customs declaration (CBP Form 6059b). You may bring into or take out of the country, including by mail, as much money as you wish. However, if it is more than $10,000, you will need to report it to CBP. Ask the CBP officer for the Currency Reporting Form (FinCen 105). The penalties for non-compliance can be severe. “Money” means monetary instruments and includes U.S. or foreign coins currently in circulation, currency, travelers’ checks in any form, money orders, and negotiable instruments or investment securities in bearer form.

If it’s too late for you and you’ve had your money seized by Customs for failure to file a currency report, bulk cash smuggling, or a structuring violation, do not lose hope. It is possible for you to get your money back. You can find out more about how to get back seized currency by reading our article RESPONDING TO A CUSTOMS CURRENCY SEIZURE.

If you have had cash seized by customs and are contemplating what to do next, please make use of the other information available on this website or call our office at (734) 855-4999 to speak to a customs lawyer, or e-mail us through our contact page. We are able to assist with cash seized by customs around the country, including Chicago, Philadelphia, Atlanta, New York, Los Angeles, Miami, and many other places, and not just locally in Detroit.

Please read these other articles: