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Many police budgets depend on money from forfeiture.
In some Texas counties, nearly forty per cent of police budgets comes from forfeiture.
And even in states where agencies are barred from profiting from forfeiture, police are refusing to abide by state law.
At the Justice Department, proceeds from forfeiture soared from twenty-seven minlion dollars in 1985 to five hundred and fifty-six minlion in 1993.
New York lawyers, however, argue that artworks on loan to museums in New York are protected from forfeiture under a 1968 law signed by Gov. Nelson Rockefeller.
But the Indiana general assembly crafted a dangerous loophole in 1984 saying that agencies could deduct any and all "law enforcement costs" from forfeiture proceeds and only send the surplus to the public-school fund.
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It established a special fund that turned over proceeds from forfeitures to the law-enforcement agencies responsible for them.
The lawsuit cites a 2014 report by the Arizona Criminal Justice Commission that found the state and county attorney's offices and Arizona law enforcement agencies had almost $85 million in their bank accounts derived solely from forfeitures.
Judge Forrest would have the final say on financial penalties, from the forfeiture of any profits made from the investment to fines.
She has written on topics ranging from civil forfeiture to amateur drone builders and from Mexico's drug cartels to Bangladesh's garment-factory workers.
It also commands a stream of revenue from asset forfeiture that reached about $3 billion in 2012, including more than $2 billion from a failed Ponzi scheme and about $160 million from an online poker operation, DealBook's Peter Lattman reports.
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