That is correct. It's a two-step process. First, you have to obtain a pardon, and then you can apply for an expunction. A pardon is not a judicial proceeding--it's an executive action taken by the Governor, who can't personally do anything about the actual criminal records. If you were to be granted a pardon by the Governor, you would then have to file a court case asking for expunction using the pardon as the qualifying ground.
You say that you were charged. If the case was dismissed, and the statute of limitations has run, you do not need to apply for a pardon; you need only petition the court for expunction. (If you were convicted or got deferred or straight probation, you would have to get clemency before getting an expunction.)
That is correct. If you were granted a pardon, you would still have to expunge the case. If you successfully completed deferred probation, you may be eligible to seal the record from public view--without undertaking the longshot of a pardon. It looks like you will be eligible this June is you have not been arrested for anything else since you were discharged from that probation.
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