United States v. Banco Cafetero Panama

JON O. NEWMAN, Circuit Judge: This appeal concerns the Government's attempt to forfeit approximately $3 million in five bank accounts as ""proceeds traceable"" to narcotics transactions. 21 U.S.C. § 881(a)(6) (1982). Pursuant to 28 U.S.C. § 1292(b) (1982), Banco Cafetero Panama (""BC Panama"") and its branch office, Banco Cafetero Colon (""BC Colon""), appeal from an interlocutory order of the District Court for the Southern District of New York (Gerard L. Goettel, Judge) denying a motion to vacate in rem warrants lodged against their bank accounts in forfeiture proceedings. The controlling questions of law framed by the District Court in certifying its ruling for appeal ask whether, under the circumstances of this case, a bank's account at a correspondent bank is forfeitable as proceeds of a drug transaction and whether due process of law requires a probable cause hearing immediately after the initiation of forfeiture proceedings. For reasons that follow, we answer the first question in the affirmative and the second in the negative, as did the District Court. We therefore affirm the District Court's order.