Proceeds of Crime, Punishment, and Libertarianism

Abstract

In his recent publication, Walter Block claims that disgorgement of indirect proceeds of crime is incompatible with libertarianism. The present paper argues that Block’s claim is incorrect. In support of this position two general arguments are offered. The first one builds on the distinction between restitution and punishment, showing that forfeiture of assets derived indirectly from crime would not – contra Block – result in unequal punishment under retributive justice. The second one refers to libertarian principles of distributive justice and demonstrates that indirect proceeds of crime are owned by the aggrieved parties. Put together, these arguments conclusively show that the idea that indirect proceeds of crime should be forfeited is compatible with libertarianism.