Yes, but they have already sold them (tens of thousands) in previous auctions. This auction is from another bunch of coins seized from other law breakers.
> These bitcoins were forfeited in various federal criminal, civil and administrative cases, including:
>United States v. Carl Mark Force IV, Northern District of California (Case No. 15-0319)
>United States v. Sean Roberson, District of New Jersey (Case No. 14-565);
>United States v. Ross William Ulbricht, Southern District of New York (Case No. 13-06919)
>Department of Justice, Bureau of Alcohol, Tobacco, Firearms and Explosives, Case No. 776075-14-0028
>United States v. 178.95842915 Bitcoins stored in MultiBit wallet XXXX4XDAd, Eastern District of Washington (Case No. 16-07009)
>Department of Treasury, Internal Revenue Service, Case No. 2015 9400 500008 01 001
>United States v. Approximately $200,979.15 Seized from Tradehill, Inc., held in the name of Megan Thompson, et. al. Eastern District of California, Case No. 14-02950
>United States v. $309,305.24 in U.S. Currency, etc., District of Maryland, Case No. 15-03474
>Department of Homeland Security, United States Customs and Border Protection, Case Nos. 2015330700002501, 2015330700002701, 2014330700023701, and 2014330700027201
So some are from him along with a mix of several other cases.