Case 3:00-cr-00284-CRB Document 1748 Filed 08/20/21 Page 1 of 3
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`IN THE UNITED STATES DISTRICT COURT
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`FOR THE NORTHERN DISTRICT OF CALIFORNIA
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`USA,
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`Plaintiff,
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`v.
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`LAZARENKO,
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`Case No. 00-cr-00284-CRB-1
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`ORDER GRANTING MOTION TO
`CORRECT PRELIMINARY ORDER OF
`FORFEITURE
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`Defendant.
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`In concluding that the government could forfeit up to $2,283,602.80 in funds held in
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`Defendant Pavel Lazarenko’s Bank Julius Baer (BJB) Guernsey account and
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`Liechtensteinische Landesbank AG (NRKTO) account, the Court stated that Lazarenko
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`had diminished the value of his Novato, California mansion by at least $250,000 based on
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`the cost of repairs. See Preliminary Order of Forfeiture (dkt. 1743) at 6 & n.6. As the
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`government now points out, the Court’s reading of the record understated the amount by
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`which Lazarenko diminished the mansion’s value. The appraised value of the property
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`was $4,800,000. See id. at 5 (citing Appraisal (dkt. 1738-1) at Appx. 121). The estimated
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`cost of necessary repairs (which were not performed) was $1,010,900. See Armstrong
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`Decl. (dkt. 1738-3) at 3–4. Thus, with the repairs, the property would have had a value of
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`$5,810,900. The property sold for $5,050,000. See Preliminary Order of Forfeiture at 6
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`(citing Return on Final Order of Forfeiture (dkt. 1674)). Accordingly, the Court concludes
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`that Lazarenko diminished the value of the Novato mansion by at least $760,900—the
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`difference between the mansion’s sale price and its estimated value had the repairs been
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`performed. The government is entitled to forfeit up to $2,794,502.80 in funds held in the
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`BJB Guernsey and NRKTO accounts. The preliminary order of forfeiture is hereby
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`28
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`Northern District of California
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`United States District Court
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`Case 3:00-cr-00284-CRB Document 1748 Filed 08/20/21 Page 2 of 3
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`amended consistent with that determination (the Court otherwise retains and incorporates
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`its reasoning and conclusions from that order).
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`For the foregoing reasons, the government has now established by a preponderance
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`of the evidence that all funds frozen in:
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`a. Bank Julius Baer & Company, Ltd., Guernsey Branch in Guernsey, Channel
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`Islands (identified by its number ending in -3445) held in the name of or for
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`the benefit of Pavel Lazarenko (the BJB Funds); and
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`b. Liechtensteinische Landesbank AG in Liechtenstein (identified by its number
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`ending in NRKTO 7541) held in the name of or for the benefit of
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`Pavel Lazarenko (the NRKTO Funds);
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`(the subject property) is the defendant’s property, and, as a result, the subject property (up
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`to $2,794,502.80) can be forfeited as substitute property and applied against the
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`$22,851,000 money judgment.
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`Accordingly, for the foregoing reasons and pursuant to Rule 32.2(e) of the Federal
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`Rules of Criminal Procedure,
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`IT IS HEREBY ORDERED that the Money Judgment and Supplemental
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`Preliminary Order of Forfeiture entered on September 29, 2006 (dkt. 1080), is amended to
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`include the subject property;
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`IT IS FURTHER ORDERED that the government may conduct discovery in order
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`to identify, locate, or dispose of property subject to forfeiture in accordance with Rule
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`32.2(b)(3) of the Federal Rules of Criminal Procedure;
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`IT IS FURTHER ORDERED that the defendant, Pavel Lazarenko, shall execute
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`such documents and take such steps as may be necessary to facilitate the transfer of the
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`BJB Funds and the NRKTO Funds to the United States, or the seizure or restraint of these
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`assets, including through the withdrawal of any objections in foreign proceedings and the
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`execution of any documents as the United States may direct that may facilitate the
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`continued restraint, seizure, or transfer of these assets to the United States;
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`IT IS FURTHER ORDERED that the United States, through its appropriate agency,
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`Northern District of California
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`United States District Court
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`Case 3:00-cr-00284-CRB Document 1748 Filed 08/20/21 Page 3 of 3
`Case 3:00-cr-00284-CRB Document 1748 Filed 08/20/21 Page 3 of 3
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`shall publish on www.forfeiture.gov, a government website, forat least thirty days, notice
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`of this Order and notice of the government’sintent to dispose of the property in such
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`manneras the Attorney General may direct, and shall provide notice that any person, other
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`than the defendant, having orclaiminga legalinterest in the property, mustfile a petition
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`with the Court and serve a copy on government counsel within (30) days of the final
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`publication of notice or of receipt of actual notice, whicheveris earlier. This notice shall
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`state that the petition shall be for a hearing to adjudicate the validity of the petitioner’s
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`alleged interest in the property, shall be signed by the petitioner under penalty of perjury
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`and shall set forth the nature and extent of the petitioner’s right, title or interest in the
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`forfeited property and any additional facts supporting the petitioner’s claim andtherelief
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`sought. The United States may also, to the extent practicable, provide direct written notice
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`to any person known to have alleged an interest in the Subject Property, as a substitute for
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`published notice as to those personsso notified;
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`IT IS FURTHER ORDEREDthat the court maintain jurisdiction to enforce the
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`Preliminary Order of Forfeiture, and to amendit as necessary, pursuant to Rule 32.2(e) of
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`the Federal Rules of Criminal Procedure; and
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`IT IS FURTHER ORDEREDthat, pursuant to Rule 32.2(b)(4) of the Federal
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`Criminal Rules of Procedure, this Preliminary Order of Forfeiture is final as to the
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`NorthernDistrictofCalifornia
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`defendant upon entry.
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`IT IS SO ORDERED.
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`Dated: August 20, 2021
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`LE
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`CHARLES R. BREYER
`United States District Judge
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`UnitedStatesDistrictCourt
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