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Home Court filings United States v. Martinez Stipulation and Order — FRB-SF Substitute Asset Claim — U.S. v. Martinez (S.D.N.Y. No. 1:22-cr-00251)

Court filing

Stipulation and Order — FRB-SF Substitute Asset Claim — U.S. v. Martinez (S.D.N.Y. No. 1:22-cr-00251)

Filed September 25, 2023 in U.S. v. Martinez; one of 32 filings from this case.

Record facts

CourtU.S. District Court for the Southern District of New York
Filed2023-09-25

U.S. District Court for the Southern District of New York · No. 1:22-cr-00251-LJL · Doc. 87-1 · 2023-09-25 · Docket on CourtListener

Full text

UNITED STATES DISTRICT COURT 
SOUTHERN DISTRICT OF NEW YORK 
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UNITED STATES OF AMERICA 
 
- v. - 
 
RAPHAEL MARTINEZ, 
 
                        Defendant. 
: 
 
: 
 
: 
 
: 
 
 
 
STIPULATION AND ORDER 
 
S2 22 Cr. 251 (LJL) 
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -  x 
 
 
WHEREAS, on or about June 9, 2023, the Court entered a Consent Preliminary 
Order of Forfeiture as to Substitute Assets (the “Order of Forfeiture”), forfeiting all of Defendant 
Rafael Martinez’s right, title and interest in any and all funds on deposit in Citibank Account No.: 
9346614051, held in the name of MBE Capital Partners LLC (the “Subject Account”), as a 
substitute asset;  
WHEREAS, on or about August 24, 2023, the Government seized $4,027,156.37 
on deposit in the Subject Account (the “Seized Funds”);   
WHEREAS, the Federal Reserve Bank of San Francisco (the “FRB-SF”) has 
advised the Government of its ownership interest in $2,197,050.48 of the Seized Funds (the “FRB-
SF Funds”); 
WHEREAS, the FRB-SF has provided the Government with documentation 
concerning its claim to the FRB-SF Funds; and 
WHEREAS, the Government and the FRB-SF have agreed to resolve their 
respective interest in the FRB-SF Funds without further litigation;  
IT IS HEREBY STIPULATED AND AGREED, by and between the United States 
of America, by its attorney Damian Williams, United States Attorney, Assistant United States 
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Case 1:22-cr-00251-LJL     Document 88     Filed 09/25/23     Page 1 of 4

 
 
Attorneys, Katherine Reilly, Micah Fergenson, and Steven Kochevar of counsel, and FRB-SF and 
its counsel, Avery Belka, Esq., Deputy General Counsel, that: 
1. 
Upon entry of this Stipulation and Order, the Government shall return the 
FRB-SF Funds to FRB-SF in a manner consistent with the United States Treasury Automated 
Clearing House (“ACH”) Form to be completed by FRB-SF through its attorney. 
2. 
FRB-SF withdraws any claim to the remaining $1,830,105.89 of the Seized 
Funds (the “Forfeitable Funds”), and FRB-SF will not contest the administrative, civil or criminal 
forfeiture of the Forfeitable Funds, and agrees that it will not file a claim or a petition for remission 
or mitigation or otherwise contest the forfeiture of the Forfeitable Funds, and will not assist anyone 
else in doing so.  
3. 
FRB-SF represents that it is the sole owner of the FRB-SF Funds and agrees 
to hold harmless the United States (including but not limited to the DOJ, UST, and the SDNY-
USAO), and any agents and employees of the United States, from any and all claims in connection 
with or arising out of the transfer of the FRB-SF Funds to FRB-SF that are based on the alleged 
inaccuracy of such representation, including but not limited to any third-party claims of ownership 
of the FRB-SF Funds. 
4. 
The Government’s agreement to this Stipulation and Order is expressly 
premised upon the truthfulness, accuracy and completeness in every material part of the 
representations made by FRB-SF and its counsel. 
5. 
FRB-SF further waives all rights to service or notice of any administrative, 
civil, or criminal forfeiture proceeding with respect to the Forfeitable Funds. 
6. 
FRB-SF is hereby barred from asserting, or assisting others in asserting, any 
claim, including third party claims and any claim for attorney’s fees and costs, against the United 
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Case 1:22-cr-00251-LJL     Document 88     Filed 09/25/23     Page 2 of 4

 
 
States or any of its agents and employees, including the United States Department of Treasury 
(“UST”), and the United States Attorney’s Office: Southern District of New York (the “USAO-
SDNY”), as well as any and all employees, officers, and agents of the UST, and the USAO-SDNY 
in connection with, or arising out of, the United States’ seizure, restraint, custody or control over 
the Seized Funds.1  
7. 
The parties hereby waive all rights to challenge or contest the validity of 
this Stipulation and Order. 
8. 
Each party shall bear its own costs and attorney’s fees. 
9. 
This Stipulation and Order constitutes the complete agreement of the parties 
and may not be amended without express written authorization from all parties. 
10. 
This Court shall have exclusive jurisdiction over the interpretation and 
enforcement of this Stipulation and Order. 
 
 
 
 
[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK] 
 
 
 
 
 
1  Nothing in this agreement limits FRB-SF’s ability to seek compensation from the Small 
Business Administration (the “SBA”), including compensation that may be derived from any 
portion of the Seized Funds that may be sought by the SBA. 
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Case 1:22-cr-00251-LJL     Document 88     Filed 09/25/23     Page 3 of 4

11.
The signature page of this Stipulation may be executed in one or more
counterparts, each of which will be deemed an original but all of which together will constitute 
one and the same instrument. 
AGREED AND CONSENTED TO: 
DAMIAN WILLIAMS 
United States Attorney for the  
Southern District of New York 
By: 
 _______________________________
   
 
KATHERINE REILLY 
DATE 
MICAH FERGENSON 
STEVEN KOCHEVAR 
Assistant United States Attorneys 
1 St. Andrew’s Plaza 
New York, New York 10007 
(212) 637-6521/2190/2262
FEDERAL RESERVE BANK OF SAN FRANCISCO 
By: 
_______________________________ 
     
 
AVERY BELKA, ESQ.  
DATE 
Deputy General Counsel,  
Federal Reserve Bank of San Francisco 
SO ORDERED: 
_________________________________ 
_______________ 
HON. LEWIS J. LIMAN 
 
DATE 
UNITED STATES DISTRICT JUDGE 
9/21/2023
9-23-23
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9/25/2023
Case 1:22-cr-00251-LJL     Document 88     Filed 09/25/23     Page 4 of 4

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