Pending Bill could help Billy Walters get his seized millions

Brendan Riley

Saturday, Feb. 17, 2001 | 9:45 a.m.

CARSON CITY - A proposed Senate measure might help high-rolling gambler and golf course developer Billy Walters of Las Vegas get back the $2.8 million police seized from him in an alleged money-laundering case.

SB36, sought by Senate Judiciary Chairman Mark James, R-Las Vegas, is up for a Tuesday committee hearing.

The measure increases the standard in civil law for seizing someone's property. Now, authorities must show by "a preponderance of evidence" that forfeiture is warranted. The new, higher standard would be "clear and convincing evidence."

James said Friday he talked to Walters' lawyer, Rick Wright, who favors the proposal, but added that Wright wasn't the source of the bill. He said other lawyers have endorsed the concept of a higher standard, and he's not opposed to the idea.

The legislator also questioned whether Walters' locked-up millions would be affected because SB36, if signed into law, would apply to future cases and not be retroactive.

Walters' money was seized in December 1996, and remains in an interest-bearing bank account pending resolution of the criminal case against him.

Wright said he didn't seek the bill as a way to get Walters' money back, and has been pushing for such a law change for years - before he took Walters as a client.

Wright also said he didn't know whether the bill could apply retroactively, but as Walters' lawyer he'd argue that it does - unless there was specific wording saying the law couldn't be backdated. SB36 as introduced doesn't have a definite effective date.

"In all these civil forfeiture cases, the predicate is that (seized property) is criminally derived proceeds," Wright added. "But that's being accused and not convicted necessarily. I think they should prove you committed a crime before taking your property away."

Wright said that if he thought he could succeed, he'd go beyond the "clear and convincing evidence" standard in SB36 and argue for "proof beyond reasonable doubt" - the even higher standard in criminal cases.

In the criminal case against Walters, prosecutors have contended he participated in a conspiracy to place illegal bets with illegal bookmakers in New York and then transport the winnings back to Nevada.

But three grand jury indictments against Walters have been thrown out. The state attorney general's office has appealed to the Nevada Supreme Court to reinstate the case.