that sucks.
they should leave the snakes with him (at least the ones that he is allowed to own) and just put a moratorium on snake sales until the legal details are resolved.
its the same in Germany. People start hobbies, the hobbies grow, and if the hobbies start generating revenue its fine as long as the costs are still bigger than the revenue. But there comes a point when you need to turn it into a proper company and pay taxes and get the financial stuff and bookkeeping and bureaucracy right.
i guess he missed the right moment to turn it into a company, and now instead of a pretty standard tax audit, he got a sting operation + bust.
if they ceise the snakes, we could see some terrible price undercutting for some morphs if they eventually hit the market. (euthanizing high-end morphs and healthy snakes would be a terrible destructive sin, i consider it unlikely.)
i hope for the best, which would be that he can keep his snakes and can soon sell some on his own terms, and pay the back taxes and fines and somehow turn it into a legitimate company.
if it gets too big, better be CEO and make it a company, even if you still see it as a hobby. even if it will be a tiny company with most profits flowing back into the collection.