Criminal Asset Forfeiture Reform Act - Amends the Controlled Substances Act to require a liberal construction of the forfeiture provisions.

Allows for a civil forfeiture action in the judicial district where the defendant owning the property subject to forfeiture is found or in the judicial district in which the criminal prosecution is brought.

Makes it unlawful to reinvest the proceeds of any prohibited drug transaction punishable by imprisonment for more than one year. Provides for a fine of up to $50,000 or imprisonment for up to ten years or both for violation of this Act.

Exempts from such prohibition certain investments in securities where the investor does not obtain power to elect directors of the issuer.