Gamblers win court round over confiscated money

By Steve Kanigher

Monday, Sept. 12, 2011 | 6:58 p.m.

Two professional gamblers who sued a Drug Enforcement Administration agent for wrongfully confiscating $97,000 that they said included proceeds from gambling rather than illegal drugs won a victory Monday in the 9th U.S. Circuit Court of Appeals.

In a 2-1 ruling, the appellate court reversed a decision by Senior U.S. District Judge Edward Reed in Las Vegas to dismiss a lawsuit gamblers Gina Fiore and Keith Gipson filed against DEA agent Anthony Walden for a confiscation that occurred in 2006 at an airport in Atlanta.

Although Fiore and Gipson are part-time Las Vegas residents, Walden sought to dismiss the lawsuit on grounds that the Las Vegas court lacked jurisdiction and wasn’t the proper venue because the seizure of the money occurred in Georgia. The district court agreed with Walden. But the appellate majority ruled that the court in Las Vegas is the proper venue for the lawsuit and remanded the lawsuit to that court.

After offering proof to federal authorities that the seized money indeed included proceeds from gambling at a casino in San Juan, Puerto Rico, the money was returned seven months later to Fiore and Gipson. The money was returned after an assistant U.S. attorney determined that Walden had submitted a probable cause affidavit that omitted information and was therefore misleading.

Writing for the court majority, Appellate Judge Marsha Berzon stated:

“Although Fiore and Gipson sent Walden, from Nevada, documentation establishing the legitimate sources of their funds, he persisted in seeking forfeiture of their money. Walden’s intentional acts with regard to the false probable cause affidavit and the consequent delay in returning their money were expressly aimed at Nevada and so satisfy the requirements for personal jurisdiction.”