People v. One 1959 Chevrolet 2-Door Sedan

This action was brought by the State of California under Health and Safety Code, sections 11610-11629, for the forfeiture of a 1959 Chevrolet automobile used in transporting narcotics. The registered owners were Mr. and Mrs. Robert C. Prado. The Prados defaulted and the legal owner the American Trust Company (hereafter called the bank) appeared and defended. The question is whether the bank’s interest was created “after a reasonable investigation of the moral responsibility, character, and reputation of the purchaser. . . .” as required by section 11620 of the Health and Safety Code as it read at the time of Prado’s arrest. The trial court found in favor of the bank, and the State of California appeals from the judgment.

The evidence concerning the investigation of the Prados was as follows: Howard R. Cuyler, an automobile dealer, made a sale of a 1956 Chevrolet automobile to the Prados about January 1959. Prado turned in the 1956 Chevrolet on the 1959 Chevrolet on July 27, 1959, and this contract was assigned to the bank on August 4, 1959. Cuyler first met Prado about September 1958. During the 11 months from their first meeting to the time of the sale of the 1959 Chevrolet,…