One day he got arrested after they found a baggy of what he called "gummy bear sugar" and the cops called "meth".

Pace didn't get arrested, or leave in handcuffs.

The cops don't come and arrest me.  

However, it can be 'arrested' and ownership force ably transferred via marshaling IN REM. 

I remember several golden parachutes and no arrests!

Several cops came and arrested the daughter.

The owner was arrested for drug dealing How did you finance this deal?

Believe as you wish"While recidivism has long been a concern of criminal justice practitioners and policymakers, it has received renewed attention in recent years due to the record number of convicted offenders living in our communities.2 Research has demonstrated that repeat offenders account for a disproportionate amount of crime and that offenders released from prison are arrested at rates 30 to 45 times higher than the general population" (Rosenfeld, Wallman, & Formango, 2005). 

Effectively buying at 100% CLT with a 1st position portfolio or DSCR loan combined with a seller 2nd that the lender wouldn't otherwise approve....It sounds like this is a recipe for getting sued at best, and arrested if it rose to a sufficiently large scale where charges were brought against someone.

FYI, Cape Coral police today raided the offices of Beattie Development and arrested Paul Beattie.