(a) A law enforcement agency may
(1) not return property in its custody to the owner or the agent of the owner, except as provided in AS 12.36.200, if
(A) the property is in custody in connection with a children's court proceeding, a criminal proceeding, or an official investigation of a crime; or
(B) the property in custody is subject to forfeiture under the laws of the
(i) state; or
(ii) United States, and the United States has commenced forfeiture proceedings against the property or has requested the transfer of the property for the commencement of forfeiture proceedings; and
(2) with the approval of the court, transfer the property to another state or federal law enforcement agency for forfeiture proceedings by that agency; the court having jurisdiction shall grant the approval under this paragraph if the property
(A) will be retained within the jurisdiction of the court by the agency to which the property is being transferred; or
(B) is
(i) not needed as evidence; or
(ii) needed as evidence, and the property is fungible or the property's evidentiary value can otherwise be preserved without retaining the property within the jurisdiction of the court.
(b) In a criminal proceeding or a children's court proceeding involving the wrongful taking or damaging of property where photographs of the property are used as evidence in place of the property, the prosecuting attorney may release the property to the owner upon presentation of satisfactory proof of ownership.
(c) If wrongfully taken or damaged property is not photographed and authenticated under AS 12.45.086 and the property is used as evidence in a criminal proceeding or a children's court proceeding, the law enforcement agency in possession of the property shall return it to the owner upon presentation of satisfactory proof of ownership within 60 days after the final disposition of the case.
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