United States of America v. Odimegwu, et al, No. 1:2023cv00340 - Document 19 (N.D.N.Y 2023)
Court Description: DECISION & ORDER: It is ORDERED that the # 18 Report-Recommendation of Judge Andrew T. Baxter, is hereby ACCEPTED and ADOPTED. The objections of Defendant Anthony I. Odimegwu and Third-Party Defendant Ebelechukwu Odimegwu to the governments writ of garnishment directed at property of Defendant held by the Vanguard Group, Inc., dkt. #'s 11 and 12 , are hereby OVERRULED. Defendants and Third-Party Defendants requests for a hearing dkt. #'s 11 and 12 , are hereby DENIED. The Unite d States is hereby DIRECTED to submit a proposed Order of Garnishment. The government should be prepared to address the impact of any excess value of defendants retirement account over his outstanding restitution balance, any limitations on the defen dants ability to make withdrawals from his retirement account, and any other relevant consequences of the liquidation of the account, including the potential effect of the ten-percent early withdrawal tax. Signed by Senior Judge Thomas J. McAvoy on 8/8/2023. {Copy served upon non electronic parties by regular mail.} (jmb)
Download PDF
<![CDATA[
United States of America v. Odimegwu, et al Doc. 19 Case 1:23-cv-00340-TJM-ATB Document 19 Filed 08/08/23 Page 1 of 3 UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF NEW YORK __________________________________________ UNITED STATES OF AMERICA, Plaintiff, vs. 1:23-CV-340 (TJM/ATB) ANTHONY J. ODIMEGWU, Defendant, THE VANGUARD GROUP, INC., Garnishee, and EBELECHUKWU B. ODIMEGWU, Third-Party Defendant. ___________________________________________ Thomas J. McAvoy, Sr. U.S. District Judge DECISION & ORDER The Court referred this action to Magistrate Judge Andrew T. Baxter for a ReportRecommendation pursuant to 28 U.S.C. § 636(b) and Local Rule 72.3(c). Plaintif f United States brought this action as an application for a writ of garnishment against property held by Vanguard Group, Inc., as payment for Defendant Anthony J. Odimegwu’s restitution obligations stemming from a criminal conviction in this court. Judge Baxter granted the government’s application on March 17, 2023. Vanguard answered that it possessed a 401(k) retirement account containing more than $330,000 in Defendant’s name. When 1 Dockets.Justia.com Case 1:23-cv-00340-TJM-ATB Document 19 Filed 08/08/23 Page 2 of 3 Vanguard answered, the government served the writ, Vanguard’s answer, and other process on Defendant and potentially-interested third party, Ebelechukwu B. Odimegwu, Defendant’s estranged wife. Both Defendant and Ebelechukwu Odimegwu filed objections to the writ of garnishment and a request for a hearing on the matter. Judge Baxter’s Report-Recommendation, dkt. # 18, issued on June 8, 2023, recommends that the Court overrule Defendant’s and Third-Party Defendant’s objections to the writ of garnishment and deny their request for a hearing. Judge Baxter finds that courts in the Second Circuit and across the country routinely permit garnishment of retirement funds to meet obligations for criminal restitution. The parties objecting to the writ of garnishment cite only one ground, an exemption related to support of minor children. Judge Baxter rejects their argument that the money in the retirement account does not belong to Anthony Odimegwu and is thus not subject to garnishment. Judge Baxter finds that the documents provided by the objecting parties clearly indicate that the funds in question are Anthony Odimegwu’s property. Moreover, judgment of restitution was entered before the separation agreement that the objectors point to as the source f or their claim of separate property. Judge Baxter therefore finds that the objectors have not offered a colorable claim that they are permitted an exception to the restitution obligations for that property. No party objected to the Report-Recommendation. The time for such objections has passed. After examining the record, this Court has determined that the ReportRecommendation is not subject to attack for plain error or manifest injustice and the Court will accept and adopt the Report-Recommendation for the reasons stated therein. Accordingly: 2 Case 1:23-cv-00340-TJM-ATB Document 19 Filed 08/08/23 Page 3 of 3 The Report-Recommendation of Judge Baxter, dkt. # 18, is hereby ACCEPTED and ADOPTED. The objections of Defendant Anthony I. Odimegwu and Third-Party Defendant Ebelechukwu Odimegwu to the government’s writ of garnishment directed at property of Defendant held by the Vanguard Group, Inc., dkt. #s 11-12, are hereby OVERRULED. Defendant’s and Third-Party Defendant’s requests for a hearing are hereby DENIED. The United States is hereby DIRECTED to submit a proposed Order of Garnishment. The government should be prepared to address the impact of any excess value of defendant’s retirement account over his outstanding restitution balance, any limitations on the defendant’s ability to make withdrawals from his retirement account, and any other relevant consequences of the liquidation of the account, including the potential effect of the ten-percent early withdrawal tax. Dated: August 8, 2023 3
]]>
Some case metadata and case summaries were written with the help of AI, which can produce inaccuracies. You
should read the full case before relying on it for legal research purposes.
This site is protected by reCAPTCHA and the Google
Privacy Policy and
Terms of Service apply.
