BILL NUMBER: SB 1133	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 27, 2012
	AMENDED IN SENATE  MAY 24, 2012
	AMENDED IN SENATE  MAY 1, 2012
	AMENDED IN SENATE  APRIL 18, 2012
	AMENDED IN SENATE  MARCH 29, 2012

INTRODUCED BY   Senator Leno
   (Coauthors: Senators Alquist, Cannella, and Lieu)

                        FEBRUARY 21, 2012

   An act to amend Section 186.8 of, and to add Sections 236.6,
236.7, 236.8, 236.9, 236.10, and 236.11 to, the Penal Code, relating
to human trafficking.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1133, as amended, Leno. Human trafficking.
   Existing law makes it a felony, generally known as human
trafficking, to deprive or violate the personal liberty of another
with the intent to effect or maintain a felony violation of, among
other crimes, pimping, pandering, and abducting a minor for the
purpose of prostitution.
   Existing law, the California Control of Profits of Organized Crime
Act, defines criminal profiteering as any act committed or
attempted, or any threat made for financial gain or advantage, that
may be charged as a crime under specified provisions, including
murder, money laundering, human trafficking, and crimes in which the
perpetrator induces, encourages, persuades, threatens, or forces a
person under 18 years of age to engage in a commercial sex act. Under
existing law, property and assets acquired or received in exchange
for the proceeds immediately derived from the pattern of criminal
profiteering activity are subject to forfeit. The money proceeds from
that forfeiture  is   are  distributed as
prescribed  , including, in any case   . In
cases  involving human trafficking of minors for purposes of
prostitution or lewd conduct or in any case involving taking a person
for prostitution in which the victim is a minor,  depositing
  the  funds  are deposited  in the
Victim-Witness Assistance Fund to be available for appropriation to
fund child sexual exploitation and child sexual abuse victim
counseling centers and prevention programs and for grants to
community-based organizations that serve minor victims of human
trafficking.
   This  bill would remove the provision distributing funds
from forfeiture to the Victim-Witness Assistance Fund as provided
above. The  bill would  also  authorize the
forfeiture of vehicles, boats, airplanes, money, negotiable
instruments, securities, real property, or other things of value used
for the purpose of facilitating the human trafficking involving a
commercial sex act where the victim is an individual under 18 years
of age at the time of the commission of the crime and property
acquired through human trafficking or which was received in exchange
for the proceeds of human trafficking of a person under 18 years of
age when the crime involved a commercial sex act. The bill would
prescribe the distribution of those funds, including to the General
Fund of the state or local governmental entity, whichever prosecutes,
and to the Victim-Witness Assistance Fund to be used upon
appropriation for grants to community-based organizations that serve
victims of human trafficking.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 186.8 of the Penal Code is amended to read:
   186.8.  Notwithstanding that no response or claim has been filed
pursuant to Section 186.5, in all cases where property is forfeited
pursuant to this chapter and, if necessary, sold by the Department of
General Services or local governmental entity, the money forfeited
or the proceeds of sale shall be distributed by the state or local
governmental entity as follows:
   (a) To the bona fide or innocent purchaser, conditional sales
vendor, or holder of a valid lien, mortgage, or security interest, if
any, up to the amount of his or her interest in the property or
proceeds, when the court declaring the forfeiture orders a
distribution to that person. The court shall endeavor to discover all
those lienholders and protect their interests and may, at its
discretion, order the proceeds placed in escrow for up to an
additional 60 days to ensure that all valid claims are received and
processed.
   (b) To the Department of General Services or local governmental
entity for all expenditures made or incurred by it in connection with
the sale of the property, including expenditures for any necessary
repairs, storage, or transportation of any property seized under this
chapter.
   (c) To the General Fund of the state or a general fund of a local
governmental entity, whichever prosecutes.
   (d) In any case involving a violation of subdivision (b) of
Section 311.2, or Section 311.3 or 311.4, in lieu of the distribution
of the proceeds provided for by subdivisions (b) and (c), the
proceeds shall be deposited in the county children's trust fund,
established pursuant to Section 18966 of the Welfare and Institutions
Code, of the county that filed the petition of forfeiture. If the
county does not have a children's trust fund, the funds shall be
deposited in the State Children's Trust Fund, established pursuant to
Section 18969 of the Welfare and Institutions Code.
   (e) In any case involving crimes against the state beverage
container recycling program, in lieu of the distribution of proceeds
provided in subdivision (c), the proceeds shall be deposited in the
penalty account established pursuant to subdivision (d) of Section
14580 of the Public Resources Code, except that a portion of the
proceeds equivalent to the cost of prosecution in the case shall be
distributed to the local prosecuting entity that filed the petition
of forfeiture.
   (f) (1) In any case described in paragraph (29) or (30) of
subdivision (a) of Section 186.2  , or   paragraph (33)
of subdivision (a) of Section 186.2 where the victim is a minor 
, in lieu of the distribution provided for in subdivision (c), the
proceeds shall be deposited in the Victim-Witness Assistance Fund to
be available for appropriation to fund child sexual exploitation and
child sexual abuse victim counseling centers and prevention programs
under Section 13837. Fifty percent of the funds deposited in the
Victim-Witness Assistance Fund pursuant to this subdivision shall be
granted to community-based organizations that serve minor victims of
human trafficking.
   (2) Notwithstanding paragraph (1), any proceeds specified in
paragraph (1) that would otherwise be distributed to the General Fund
of the state under subdivision (c) pursuant to a paragraph in
subdivision (a) of Section 186.2 other than paragraph (29) or (30) of
subdivision (a) of Section 186.2  , or paragraph (33) of
subdivision (a) of Section 186.2 where the victim is a minor  ,
shall, except as otherwise required by law, continue to be
distributed to the General Fund of the state as specified in
subdivision (c).
  SEC. 2.  Section 236.6 is added to the Penal Code, to read:
   236.6.  (a) Any interest in a vehicle, boat, airplane, money,
negotiable instruments, securities, real property, or other thing of
value that was put to substantial use for the purpose of facilitating
the crime of human trafficking that involves a commercial sex act,
as defined in paragraph (2) of subdivision (g) of Section 236.1,
where the victim was less than 18 years of age at the time of the
commission of the crime, may be seized and ordered forfeited by the
court upon the conviction of a person guilty of human trafficking
that involves a commercial sex act where the victim is an individual
under 18 years of age, pursuant to Section 236.1.
   (b) In any case in which a defendant is convicted of human
trafficking pursuant to Section 236.1 and an allegation is found to
be true that the victim was a person under 18 years of age and the
crime involved a commercial sex act, as defined in paragraph (2) of
subdivision (g) of Section 236.1, the following assets shall be
subject to forfeiture upon proof of the provisions of subdivision (d)
of Section 236.8:
   (1) Any property interest, whether tangible or intangible,
acquired through human trafficking that involves a commercial sex act
where the victim was less than 18 years of age at the time of the
commission of the crime.
   (2) All proceeds from human trafficking that involves a commercial
sex act where the victim was less than 18 years of age at the time
of the commission of the crime, which property shall include all
things of value that may have been received in exchange for the
proceeds immediately derived from the act.
   (c) If a prosecuting agency petitions for forfeiture of an
interest under subdivision (a) or (b), the process prescribed in
Sections 236.7 to 236.11, inclusive, shall apply, but no local or
state prosecuting agency shall be required to petition for forfeiture
in any case.
   (d) Real property that is used as a family residence or for other
lawful purposes, or that is owned by two or more persons, one of whom
had no knowledge of its unlawful use, shall not be subject to
forfeiture.
   (e) An interest in a vehicle that may  not  be
lawfully driven with a class C, class M1, or class M2 license, as
prescribed in Section 12804.9 of the Vehicle Code, may not be
forfeited under this section if there is a community property
interest in the vehicle by a person other than the defendant and the
vehicle is the sole vehicle of this type available to the defendant's
immediate family.
   (f) Real property subject to forfeiture may not be seized, absent
exigent circumstances, without notice to the interested parties and a
hearing to determine that seizure is necessary to preserve the
property pending the outcome of the proceedings. At the hearing, the
prosecution shall bear the burden of establishing that probable cause
exists for the forfeiture of the property and that seizure is
necessary to preserve the property pending the outcome of the
forfeiture proceedings. The court may issue a seizure order pursuant
to this section if it finds that seizure is warranted or a pendente
lite order pursuant to Section 236.9 if it finds that the status quo
or value of the property can be preserved without seizure.
   (g) For purposes of this section, no allegation or proof of a
pattern of criminal profiteering activity is required.
  SEC. 3.  Section 236.7 is added to the Penal Code, to read:
   236.7.  (a) If the prosecuting agency, in conjunction with the
criminal proceeding, files a petition of forfeiture with the superior
court of the county in which the defendant has been charged with
human trafficking that involves a commercial sex act, as defined in
paragraph (2) of subdivision (g) of Section 236.1, where the victim
was less than 18 years of age at the time of the commission of the
crime, the prosecuting agency shall make service of process of a
notice regarding that petition upon every individual who may have a
property interest in the alleged proceeds or instruments. The notice
shall state that any interested party may file a verified claim with
the superior court stating the amount of their claimed interest and
an affirmation or denial of the prosecuting agency's allegation. If
the notice cannot be given by registered mail or personal delivery,
the notice shall be published for at least three successive weeks in
a newspaper of general circulation in the county where the property
is located. If the property alleged to be subject to forfeiture is
real property, the prosecuting agency shall, at the time of filing
the petition of forfeiture, record a lis pendens with the county
recorder in each county in which the real property is situated that
specifically identifies the real property alleged to be subject to
forfeiture. The judgment of forfeiture shall not affect the interest
in real property of a third party that was acquired prior to the
recording of the lis pendens.
   (b) All notices shall set forth the time within which a claim of
interest in the property seized is required to be filed pursuant to
Section 236.8.
  SEC. 4.  Section 236.8 is added to the Penal Code, to read:
   236.8.  (a) A person claiming an interest in the property,
proceeds, or instruments may, at any time within 30 days from the
date of the first publication of the notice of seizure or within 30
days after receipt of actual notice, file with the superior court of
the county in which the action is pending a verified claim stating
his or her interest in the property, proceeds, or instruments. A
verified copy of the claim shall be given by the claimant to the
Attorney General or district attorney, as appropriate.
   (b) (1) If, at the end of the time set forth in subdivision (a),
an interested person, other than the defendant, has not filed a
claim, the court, upon motion, shall declare that the person has
defaulted upon his or her alleged interest and the interest shall be
subject to forfeiture upon proof of the provisions of subdivision
(d).
   (2) The defendant may admit or deny that the property is subject
to forfeiture pursuant to the provisions of this chapter. If the
defendant fails to admit or deny or to file a claim of interest in
the property, proceeds, or instruments, the court shall enter a
response of denial on behalf of the defendant.
   (c) (1) The forfeiture proceeding shall be set for hearing in the
superior court in which the underlying criminal offense will be
tried.
   (2) If the defendant is found guilty of the underlying offense,
the issue of forfeiture shall be promptly tried, either before the
same jury or before a new jury in the discretion of the court, unless
waived by the consent of all parties.
   (d) At the forfeiture hearing, the prosecuting agency shall have
the burden of establishing beyond a reasonable doubt that the
property alleged in the petition comes within the provisions of
Section 236.6.
   (e) Unless the trier of fact finds that the seized property was
used for a purpose for which forfeiture is permitted, the court shall
order the seized property released to the person that the court
determines is entitled to possession of that property. If the trier
of fact finds that the seized property was used for a purpose for
which forfeiture is permitted, but does not find that a person who
has a valid interest in the property had actual knowledge that the
property would be or was used for a purpose for which forfeiture is
permitted and consented to that use, the court shall order the
property released to the claimant.
  SEC. 5.  Section 236.9 is added to the Penal Code, to read:
   236.9.  (a) Concurrent with or subsequent to the filing of the
petition, the prosecuting agency may move the superior court for, and
the superior court may issue, the following pendente lite orders to
preserve the status quo of the property alleged in the petition:
   (1) An injunction to restrain anyone from transferring,
encumbering, hypothecating, or otherwise disposing of the property.
   (2) Appointment of a receiver to take possession of, care for,
manage, and operate the assets and properties so that the property
may be maintained and preserved. The court may order that a receiver
appointed pursuant to this section be compensated for all reasonable
expenditures made or incurred by him or her in connection with the
possession, care, management, and operation of property or assets
that are subject to the provisions of this section.
   (b) No preliminary injunction may be granted or receiver appointed
without notice to the interested parties and a hearing to determine
that an order is necessary to preserve the property, pending the
outcome of the criminal proceedings, and that there is probable cause
to believe that the property alleged in the forfeiture proceedings
are proceeds, instruments, or property interests forfeitable under
the provisions of Section 236.6. However, a temporary restraining
order may issue pending that hearing pursuant to the provisions of
Section 527 of the Code of Civil Procedure.
   (c) Notwithstanding any other provision of law, the court in
granting these motions may order a surety bond or undertaking to
preserve the property interests of the interested parties.
   (d) The court shall, in making its orders, seek to protect the
interests of those who may be involved in the same enterprise as the
defendant, but who were not involved in human trafficking that
involves a commercial sex act, as defined in paragraph (2) of
subdivision (g) of Section 236.1, where the victim was less than 18
years of age at the time of the commission of the crime.
  SEC. 6.  Section 236.10 is added to the Penal Code, to read:
   236.10.  (a) If the trier of fact at the forfeiture hearing finds
that the alleged property, instruments, or proceeds are forfeitable
pursuant to Section 236.6 and the defendant was engaged inhuman
trafficking that involves a commercial sex act, as defined in
paragraph (2) of subdivision (g) of Section 236.1, where the victim
was less than 18 years of age at the time of the commission of the
crime, the court shall declare that property or proceeds forfeited to
the state or local governmental entity, subject to distribution as
provided in Section 236.11. No property solely owned by a bona fide
purchaser for value shall be subject to forfeiture.
   (b) If the trier of fact at the forfeiture hearing finds that the
alleged property is forfeitable pursuant to Section 236.6 but does
not find that a person holding a valid lien, mortgage, security
interest, or interest under a conditional sales contract acquired
that interest with actual knowledge that the property was to be used
for a purpose for which forfeiture is permitted, and the amount due
to that person is less than the appraised value of the property, that
person may pay to the state or the local governmental entity that
initiated the forfeiture proceeding the amount of the registered
owner's equity, which shall be deemed to be the difference between
the appraised value and the amount of the lien, mortgage, security
interest, or interest under a conditional sales contract. Upon
payment, the state or local governmental entity shall relinquish all
claims to the property. If the holder of the interest elects not to
pay the state or local governmental entity, the property shall be
deemed forfeited to the state or local governmental entity and the
ownership certificate shall be forwarded. The appraised value shall
be determined as of the date judgment is entered either by agreement
between the legal owner and the governmental entity involved, or, if
they cannot agree, by a court-appointed appraiser for the county in
which the action is brought. A person holding a valid lien, mortgage,
security interest, or interest under a conditional sales contract
shall be paid the appraised value of his or her interest.
   (c) If the amount due to a person holding a valid lien, mortgage,
security interest, or interest under a conditional sales contract is
less than the value of the property and the person elects not to make
payment to the governmental entity, the property shall be sold at
public auction by the Department of General Services or by the local
governmental entity. The seller shall provide notice of the sale by
one publication in a newspaper published and circulated in the city,
community, or locality where the sale is to take place.
   (d) Notwithstanding subdivision (c), a county may dispose of real
property forfeited to the county pursuant to this chapter by the
process prescribed in Section 25538.5 of the Government Code.
  SEC. 7.  Section 236.11 is added to the Penal Code, to read:
   236.11.  Notwithstanding that no response or claim has been filed
pursuant to Section 236.8, in all cases where property is forfeited
pursuant to this chapter and, if necessary, sold by the Department of
General Services or local governmental entity, the money forfeited
or the proceeds of sale shall be distributed by the state or local
governmental entity as follows:
   (a) To the bona fide or innocent purchaser, conditional sales
vendor, or holder of a valid lien, mortgage, or security interest, if
any, up to the amount of his or her interest in the property or
proceeds, when the court declaring the forfeiture orders a
distribution to that person. The court shall endeavor to discover all
those lienholders and protect their interests and may, at its
discretion, order the proceeds placed in escrow for up to an
additional 60 days to ensure that all valid claims are received and
processed.
   (b) To the Department of General Services or local governmental
entity for all expenditures made or incurred by it in connection with
the sale of the property, including expenditures for necessary
repairs, storage, or transportation of property seized under this
chapter.
   (c) (1) Fifty percent to the General Fund of the state or local
governmental entity, whichever prosecutes  or handles the
forfeiture hearing  .
   (2) Fifty percent to the Victim-Witness Assistance Fund to be used
upon appropriation for grants to community-based organizations that
serve victims of human trafficking.