Well, legislatures make statutes in the State Capitol. I can't speak for that State, but in all likelihood the mechanism is similar in each state.
How can the be "due process" on a deceased person? Easy, before taking property following the procedure to ensure 4th amendment concerns were addressed that's due process.
There is a lot of that case not mentioned in the article, but making an assumption that to get to the point that property is being sold at a forfeiture auction was done without all those issues taking place is jumping to a lot of conclusions with nothing to support the position.
Not liking something doesn't make that "something" immoral or illegal. It's a good thing to have the fruits of a crime taken from a criminal, and the taxpayers getting a little less burden. Too many times these white collar crimes are never resolved well. I came to despise construction fraud people as much as child molesters.