Prosecutor Robert Veneman-Hughes argued Salazar is dangerous and a flight risk. He also alleged Salazar has funds he is not disclosing.
Accused arsonist Bobby Salazar can be released from custody later Friday if he posts a $1 million bond, a federal judge ruled.
He appeared in Fresno federal court in front of U.S. Magistrate Judge Barbara A. McAuliffe. The bond can be posted after his release.
Salazar, 63, the operator of his eponymous Mexican restaurants and salsa brand, stands accused of two counts of arson, and an illegal gun charge.
Federal prosecutors accuse Salazar of hiring a motorcycle gang leader to torch his Blackstone Avenue restaurant in 2024. The Hartford insurance group paid Salazar on a $980,000 claim. He was arrested Tuesday.
Conditions of Release
McAuliffe set several conditions on the release, including home detention (except for work and other essential activities), removal of all firearms, and no contact with any potential witnesses.
Salazar must also wear a GPS device and not have contact with gang members. The GPS monitoring is expected to begin after the Labor Day holiday on Monday.
McAuliffe cited Salazar's longevity in the community and lack of a criminal history as reasons for his release eligibility.
Salazar spoke, clarifying his conditions allow him to go to work. He will be released to his wife, Lucy Ruiz, who will act as the court-mandated third-party custodian.
Ruiz said hundreds of employees depend on Salazar. She left the courtroom without comment.
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Detention Arguments
Federal prosecutor Robert Veneman-Hughes argued Salazar is dangerous and a flight risk. He also said Salazar has finances he is not disclosing.
Veneman-Hughes said Salazar claimed nothing in his bank account. On the contrary, the prosecutor accused Salazar of writing $240,000 in checks to himself, sent to an address not familiar with the government, and keeping the money in an unknown location.
McAuliffe said the lack of money in the bank account "sounds off."
He also had cryptocurrency he failed to declare.
Salazar claimed $5.4 million in property assets, the prosecution said. The actual financial disclosure documents are sealed from the public.
"His assets and exposure give him incentive to flee," Veneman-Hughes said.
The prosecutor also told the court that Salazar's property holdings could be inflated by ill-gotten gains from the insurance payout on his burned-down restaurant.
Judge Seeks More Evidence for Denying Release
Veneman-Hughes also accused Salazar of intimidating witnesses, both in the past and in the current case. McAuliffe wanted more evidence.
The prosecutor said others in the case, not Salazar, had contacted potential witnesses since Salazar's arrest.
Burner phones were also found at his Tower District restaurant, the prosecution alleged. His defense said he just hoarded old phones.
Federal public defender Kara Ottervanger rebutted the prosecution, saying that Salazar's assets were incentive to stay in Fresno.
"He has nowhere else to go," Salazar's defense counsel said.
Ottervanger added that Salazar's lack of disclosure was an oversight because he did not have access to his records while in jail. She said the $240,000 in checks represented the normal transfer of funds to operate his businesses.
This was the third straight day that Salazar appeared in court. His Wednesday arraignment was delayed because he was not yet represented by an attorney. Thursday, Salazar formally denied all charges through his attorney.
Salazar returns to federal court Sept. 11 in front of U.S. Magistrate Judge Erica Grosjean for a preliminary examination, and financial ability hearing.