ORDER AND FINDINGS & RECOMMENDATIONS
Before the court is plaintiff United States of America's May 23, 2012 motion for default judgment, requesting nullification and enjoinment of defendant's lien filings.*fn1 The court has determined that the matter shall be submitted upon the record and briefs on file and accordingly, the date for hearing of this matter shall be vacated. Local Rule 230. On review of the motion and good cause appearing therefor, THE COURT FINDS AS FOLLOWS:
A. False Liens Filed in 2006
On May 29, 2006, defendant Ronald Brekke ("Brekke") filed with the Secretary of State for the State of California a Uniform Commercial Code ("UCC") Financing Statement, Filing Number 06-7071802849, falsely describing Internal Revenue Service ("IRS") employees Susan Meredith, L. Alvarado, P. Rogers, B. Adams and M. Brown*fn2 as debtors. Compl. ¶ 5; Ex.
1. Each of these individuals had positions in Collections with the IRS such that their names appeared on certain collection notices. Compl. ¶ 12. This UCC Financing Statement also listed Tom Daly, Orange County Clerk Recorder, as a debtor. Id. ¶ 7.
On June 22, 2006, Brekke filed a second UCC Financing Statement, Filing Number 06-70748875, falsely describing IRS employee P. Rogers as a debtor. Compl. ¶ 8; Ex. 2.
On June 22, 2006, Brekke filed his third, fourth and fifth UCC Financing Statements, Filing Numbers 06-70748915, 06-70748919 and 06-70748921, respectively. Compl. ¶ 9-11; Exs. 3-5. In these UCC Financing Statements, Brekke against falsely described M. Brown, L. Alvarado and B. Adams as debtors. Id.
B. False Lien Against Jeffrey Holm
On May 17, 2011, Brekke filed with the Secretary of State for the State of California a UCC Financing Statement, Filing Number 11-7270039686, falsely describing IRS employee Jeffrey Holm as a debtor. Compl. ¶ 14; Ex. 6. At all times relevant to this action, Holm was an Asset Forfeiture Coordinator for the IRS. Id. ¶ 15.
C. Conspiracy to Defraud the IRS
On April 15, 2011, the United States District Court for the Western District of Washington issued a civil forfeiture warrant to seize $291,064.60 in U.S. Currency from a Paypal Account in the name of Ronald Brekke. United States v. $291,064.60 in US Currency, No. 11-cv-0642 (W.D. Wash.), Doc. No. 3. Compl. ¶ 16.
On May 3, 2011, the IRS seized $291,064.60 from a Paypal account maintained by Brekke pursuant to the civil forfeiture warrant issued on April 15, 2011. Holm assisted in the execution of that warrant. Compl. ¶ 17.
On March 15, 2012, Brekke was found guilty of conspiring to defraud the IRS by recruiting individuals and assisting them in preparing and filing false and fraudulent federal income tax returns. United States v. Brekke, No. 2:10-cr-0328 (W.D. Wash.). Compl. ¶ 18.
On March 15, 2012, a jury found that the $291,064.60 in funds seized from the Paypal account in Brekke's name were funds derived from proceeds traceable to the conspiracy of which Brekke was found guilty. United States v. Brekke, ...