UNITED STATES ATTORNEY JOYCE WHITE VANCE NORTHERN DISTRICT OF ALABAMA
	FOR IMMEDIATE RELEASE			CONTACT: PEGGY SANFORD
	DATE			PHONE: (205) 244-2020
	www.usdoj.gov/usao/aln			FAX: (205) 244-2171

Appeals Court overturns awarding of attorneys' fees for criminal prosecution through civil action

          The United States Court of Appeals for the Eleventh Circuit on Wednesday reversed a U.S. District Court decision awarding attorney’s fees in a civil forfeiture proceeding for work done on a criminal case.

The decision was returned in a case involving Alex Latifi, of Huntsville, and his company, Axion Corporation, a defense contractor. In March 2007, the government brought charges against Latifi and Axion related to a contract they had with the U.S. Army to supply parts for Blackhawk helicopters.

In November 2007, Latifi and Axion were acquitted on all charges following a trial before U.S. District Judge Inge Johnson.  
Before the criminal trial, federal prosecutors had sought to forfeit certain property and bank accounts belonging to Latifi and Axion through a civil forfeiture action. After acquittal on the criminal charges, Judge Johnson dismissed the civil forfeiture proceeding at the government’s request.

Latifi then sought attorney’s fees from the government under the Civil Asset Forfeiture Reform Act (CAFRA). Judge Johnson awarded $363,956 in attorney’s fees, which included more than $292,000 in fees for time spent handling the criminal case.
The Eleventh Circuit ruled that CAFRA cannot be used to award attorney’s fees for work done in a criminal prosecution.
The case will now return to Judge Johnson to recalculate the civil fee award. Separate proceedings will resume before Judge Johnson to resolve the issue of fees in the criminal case.

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