Grocery store owner sues over $35K seizure

FRASER (AP) -- The owner of a Macomb County grocery on Wednesday filed a lawsuit to protest the seizure of $35,000 and to ask a judge to protect the rights of people targeted by the government. Tarik "Terry" Dehko, owner of Schott's Supermarket in Fraser, said the money was seized from a bank account in January, less than a year after Internal Revenue Service officers found no banking violations during a visit. In a court filing, the government said it took the money because it appeared Dehko was making deposits of less than $10,000 to avoid having the transactions reported to the IRS, a requirement under law. Dehko denies any so-called structuring. He said he doesn't keep piles of cash in the suburban Detroit store because he's only insured up to $10,000 in case of theft. The lawsuit, filed by the Virginia-based Institute for Justice, asks a Detroit federal judge to find that the Constitution requires a prompt hearing when money is seized. Separately, Dehko is fighting to get his money back in related litigation in Flint federal court. The government can seize assets if it believes they're related to a crime, although a criminal charge doesn't have to be filed. The burden of proof also is lower. "The government should not be allowed to just show up at your doorstep like a playground bully and take away your milk money. But that's exactly what the government did," said Dehko's attorney, Clark Neily. Published: Fri, Sep 27, 2013