Southern District of Texas
Press releases recorded for this federal judicial district.
Three indicted for providing firearms to Cartel del NoresteRead the Press Release
LAREDO, Texas – Three Laredo residents are charged with purchasing firearms for the cartel and transporting them to Mexico, announced U.S. Attorney Alamdar S. Hamdani.
A federal grand jury has returned a four-count indictment against Angela Ruby Ponce, 18, Oscar Axel Flores, 22, and Mario Alberto Tovar, 28. They are expected to appear for their arraignment before U.S. Magistrate Judge Diana Song Quiroga May 2.
The indictment alleges from Jan. 1 through on or about April 2, Ponce, Flores and Tovar conspired with each other in trafficking firearms for the Cartel del Noreste (CDN).
Each are charged with conspiracy, smuggling goods from the United States, trafficking firearms and straw purchasing firearms for the CDN.
On April 2, the trio allegedly went to a federal firearms licensee in Laredo to purchase a semi-automatic rifle. After the purchase, U.S. authorities stopped them, recovering the just purchased rifle intended for the CDN, according to the charges.
The criminal complaint originally filed in the case alleges the group was working on behalf of the CDN. The three are believed to have purchased and transported at least 12 firearms to the CDN over the course of several months. The weapons included a variety of handguns and rifles, according to the charges.
The indictment alleges the CDN is a Mexican criminal organization that engages in transnational crime including kidnapping, extortion, vehicle theft, human trafficking, drug trafficking, and money laundering. It is headquartered in Nuevo Laredo, Tamaulipas, Mexico, and allegedly has influence over other Mexican cities. The CDN uses firearms of various calibers and capabilities to carry out and protect its operations, according to the charges.
For the conspiracy, each faces up to five years in federal prison, while smuggling goods from the United States carries a possible 10-year prison sentence. If convicted of trafficking firearms, they all also face additional sentences of up to 15 years as well as another 25 years for straw purchasing. The latter two are new charges under the Bipartisan Safer Communities Act, which Congress enacted and the President signed in June 2022. The Act is the first federal statute specifically designed to target the unlawful trafficking and straw purchasing of firearms. All charges also carry potential fines of up to $250,000.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and Laredo Police Department conducted the investigation.
Assistant U.S. Attorney Bryan L. Oliver is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Sentences handed to “Cobra” human smuggling members responsible for fatality and sexual assaultRead the Press Release
McALLEN, Texas – The leader of a smuggling organization and five others have been sentenced for conspiring to smuggle undocumented individuals, announced U.S. Attorney Alamdar S. Hamdani.
Saul Torres-Martinez aka Cobra, 42, Houston; Ernesto Mata Pioquinto, 32, Mexico; Marcelino Navarro Sanchez, 31, Mexico; Robert Hernandez, 26, Fresno; Noemi Silva, 39, Wimauma, Florida; and Luis Esteban Martinez, 41, Alamo, pleaded guilty July 6, 2021.
Chief U.S. District Judge Randy Crane found Torres-Martinez to be a leader or organizer of the smuggling operation and imposed a 110-month sentence. Pioquinto and Sanchez received 52 months, while Hernandez, Silva and Martinez received 39, 87 and 87 months in federal prison, respectively. Hernandez, Silva, and Martinez will serve three years of supervised release following their terms of imprisonment. Not U.S. citizens, Torres-Martinez, Pioquinto and Sanchez are expected to face removal proceedings following the completion of their respective sentences. In handing down the sentence, Judge Crane noted the seriousness of the offense and expressed concern regarding the harm Torres-Martinez caused to the community.
“Human smuggling organizations simply don’t care,” said Hamdani. “They do not see the migrants they transport as human beings but rather as currency. As a result, when you put yourselves in these criminals’ hands you risk exposing yourself to extreme danger or even death.”
As a part of an approximately two-year investigation into human smuggling in the Rio Grande Valley, law enforcement identified and apprehended six members of the “Cobra” human smuggling organization.
According to law enforcement, the smuggling network was responsible for more 100 undocumented individuals from the Mexican border to Houston from 2018 to 2019.
During the investigation, further evidence revealed that members of the human smuggling organization were responsible for a smuggling fatality as well as an alleged sexual assault of another smuggled individual.
Homeland Security Investigations and Border Patrol conducted the investigation. Assistant U.S. Attorney Matthew Phelps prosecuted the case.
Former Mexican judicial officer convicted for hiring drivers to transport drug loadsRead the Press Release
BROWNSVILLE, Texas – A federal jury has returned a guilty verdict against a Mexican citizen residing in the Brownsville area for conspiracy with intent to deliver cocaine, heroin and fentanyl, announced U.S. Attorney Alamdar S. Hamdani.
The jury deliberated for approximately three hours before finding Gilberto Almaraz-Muniz, 55, guilty on one count of conspiracy and three counts of possession with intent to distribute various controlled substances following a five-day trial.
Law enforcement conducted a narcotics seizure in Klegberg County on March 10, 2022. At that time, authorities arrested co-conspirator Pedro Venegas Jr., 24, Brownsville. Once law enforcement noticed tampering within the engine, they took his truck to a secure location to remove the engine’s manifold and other components. The exposed internal workings of the engine revealed 23 bundles of heroin, cocaine and fentanyl. The truck’s 6-cylinder engine had modifications to appear as an 8-cylinder to keep the drugs hidden within those areas.
Further evidence showed co-conspirator Jetzrael Saldana, 25, Brownsville, recruited Venegas as driver on behalf of Almaraz-Muniz who was a law enforcement official in Mexico and operated as the drug supplier. At trial, witnesses testified that Almaraz-Muniz would ask Saldana to recruit drivers to take drug loads past the immigration checkpoint for distribution in Houston and other areas. Almaraz would then arrange for the vehicles to be titled in the drivers’ names and have them do “dry runs” crossing the port of entry several times before hiding drugs within the vehicle.
The jury also heard evidence on two other drug seizures where Almaraz-Muniz hired drivers to deliver narcotics. The seizures included 83 kilograms of liquid meth at the Gateway International bridge in Brownsville on July 17, 2022, and a 24-kilogram seizure of black tar heroin in Robstown Sept. 26, 2022.
“This case removed over 100 kilograms off our streets,” said Hamdani. “My office will continue to prosecute not only those individuals caught transporting dangerous drugs but also those that provide and involve others in the illicit drug trade.”
Venegas and Saldana pleaded guilty June 1, 2022, and July 26, 2023, respectively, and their sentencing hearings are set for May 1 and May 8.
U.S. District Judge Rolando Olvera presided over the trial and has set sentencing for July 17 for Almaraz-Muniz. At that time, he faces up to life imprisonment and a possible fine of up to $10 million.
Almaraz-Muniz has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration conducted the investigation with the assistance of the South Texas Narcotics Task Force in Kingsville and Homeland Security Investigations. Assistants U.S. Attorneys Oscar Ponce and Victoria Aranda are prosecuting the case.
Texas woman heads to prison for trying to smuggle over 3,500 rounds of ammunition into MexicoRead the Press Release
McALLEN, Texas – A 52-year-old resident of Channelview has been sentenced for attempting to smuggle thousands of rounds of ammunition in spare tire, announced U.S. Attorney Alamdar S. Hamdani.
Maria Tapia-Aguilar pleaded guilty Feb. 28, 2022.
Chief U.S. District Judge Randy Crane has now ordered Tapia-Aguilar to serve 51 months in federal prison to be immediately followed by three years of supervised release.
“3,500 rounds and seven different calibers – not child’s play,” said Hamdani. “We have laws in place for a reason, and we can never know in whose hands these items may be at any given time if people try to circumvent those rules. Exporting ammunition can be just as dangerous as the weapons themselves as it not only endangers U.S. citizens, but also puts the lives of those on both sides of our border at risk, especially if in the arms of criminals.”
On Nov. 6, 2019, law enforcement observed Tapia-Aguilar purchasing large amounts of ammunition at a local Edinburg store. Afterwards, she engaged in strange driving behavior and committed a traffic violation. Authorities then conducted a traffic stop which resulted the discovery of ammunition hidden in the vehicle’s spare tire.
Tapia-Aguilar admitted to possessing 3,580 rounds of ammunition, including seven different calibers, for transport to Mexico. She also informed law enforcement that this was not the first time she exported ammunition to Mexico.
Tapia-Aguilar as permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives and Texas Department of Public Safety.
Assistant U.S. Attorney Cahal P. McColgan prosecuted the case as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
Livestock show secretary admits to nearly $200,000 embezzlement schemeRead the Press Release
CORPUS CHRISTI, Texas - A 67-year-old Sandia resident has pleaded guilty to one count of wire fraud as part of a scheme to defraud the Nueces County Junior Livestock Show (NCJLS), announced U.S. Attorney Alamdar S. Hamdani.
Sara Rene Chapman worked for NCJLS as a secretary from 2010 until 2023. As part of her plea, she admitted that from approximately 2018 to 2023, she used NCJLS bank accounts to pay her own personal credit card bills through the use of wire transfers. The scheme resulted in a loss of approximately $172,069.17.
As part of her job, Chapman had access to the NCJLS bank accounts and was responsible for paying authorized NCJLS expenses. In 2018, Chapman began using the bank accounts to pay her monthly credit card bill and continued for over four years.
U.S. District Judge Nelva Gonzales Ramos has set sentencing for July 23. At that time, Chapman faces up to 20 years in federal prison and a possible $250,000 maximum fine as well as full restitution to the NCJLS.
Chapman was permitted to remain on bond pending sentencing.
FBI conducted the investigation. Assistant U.S. Attorney Ashley Martin is prosecuting the case.
Felon convicted after pointing weapon at law enforcement responding to assaultRead the Press Release
HOUSTON – A 33-year-old Houston resident has pleaded guilty to being a felon in possession of a firearm, announced U.S. Attorney Alamdar S. Hamdani.
Tomas Rodriguez pointed a loaded .22 caliber pistol at a local police department officer who was in the course of their normal duty.
On Sept. 5, 2021, the officer had responded to a report of an assault in a parking lot near Houston bar. Witnesses directed him to Rodriguez who had fled towards an injured female lying face down on the ground. Rodriguez fell as he ran, and the officer commanded him to remain on the ground.
However, Rodriguez got up and pointed the firearm at the officer who responded by discharging his duty weapon in self-defense. Not struck, Rodriguez proceeded to flee and discarded the weapon. Authorities apprehended Rodriguez following a foot pursuit and subsequently recovered his loaded firearm.
Rodriguez has multiple prior felony convictions. As such, he is prohibited from possessing firearms and ammunition per federal law.
U.S. District Judge Alfred H. Bennett accepted the plea and set sentencing for Aug. 8. At that time, Rodriguez faces up to 10 years in federal prison and a possible $250,000 maximum fine.
Rodriguez has been and will remain in custody pending sentencing.
The Houston Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorney Byron H. Black prosecuted the case.
Man convicted for sending nude photos and explicit texts to 13-year-old childRead the Press Release
GALVESTON, Texas – A federal judge has returned a guilty verdict against a Brazoria man for sending obscene photos and messages to a minor, announced U.S. Attorney Alamdar S. Hamdani.
U.S. District Judge Jeffrey Brown found George Jimenez, 45, guilty of coercion and enticement of a minor following a one-day trial that commenced April 3. Judge Brown entered the order late April 23. Prior to trial, Jimenez pleaded guilty to two counts of transfer of obscene material to a minor.
In April 2019, law enforcement discovered Jimenez had sent pictures of his genitals to a 13-year-old girl and other contacts in his phone. Five were the minors’ 12 and 13-year-old classmates.
Authorities executed a federal search warrant and discovered Jimenez was using the TextNow application to disguise himself as a teenage boy to engage in sexually explicit conversations with minors.
From March until April 2019, Jimenez engaged in those communications, including sending at least five pictures of his genitals to the 13-year-old child. In approximately 17 communications, Jimenez asked the minor victim for pictures of either her breasts, buttocks or genital area.
In a text exchange, the minor shared information with Jimenez that she shaved her genital region. Jimenez then sent messages asking to see images of it.
At the trial, the defense attempted to convince the court the messages he sent to the minor did not arise to the level of attempting to persuade the minor to send him sexually explicit photos of herself. He did not believe those claims and found Jimenez guilty as charged. In his ruling, the court stated, “these requests were direct, specific and unambiguous. They were not shrouded in innuendo or bashfulness. Simply put, there is no question that Jimenez repeatedly asked [the minor] to take and send him pictures of her genitals and pubic area.”
Judge Brown has sentencing for June 12. At that time, Jimenez faces 10 years to life in federal prison and a possible $250,000 maximum fine.
He has been and will remain in custody pending sentencing.
FBI conducted the investigation.
Assistant U.S. Attorneys Karen M. Lansden and Sherin S. Daniel are prosecuting the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.
Houston personal injury attorney and employee indicted for defrauding injured clients of settlement fundsRead the Press Release
HOUSTON – A Houston attorney and his former office manager are charged in federal court for conspiracy to commit mail fraud, announced U.S. Attorney Alamdar S. Hamdani.
Houston residents Clyde J. Moore, 62, and Mark A. Broussard, 63, made their initial appearances before U.S. Magistrate Judge Yvonne Ho at 2 p.m.
A federal grand jury returned the two-count indictment April 17 which was unsealed upon their arrests.
According to the indictment, Moore is an attorney who handles personal injury cases arising from car accidents. From approximately 2012 to 2021, he, Broussard and other employees at Clyde J. Moore Attorney at Law P.C. were allegedly involved in a scheme to defraud clients of settlement proceeds. The estimated amount of the fraud is $2.4 million.
Moore and his staff allegedly inflated the cost of medical expenses and misled injured clients to believe the firm paid certain medical providers more than they actually had, according to the charges.
As a result, clients allegedly received a smaller share of their entitled settlement funds. The charges allege the skimmed funds were diverted to the law firm’s trust account from which Moore allegedly made personal expenditures. These allegedly included luxury sports cars and his children’s private school tuition. The indictment alleges Moore also split the stolen funds with Broussard and other members of his firm who helped to execute the scheme.
For conspiracy to commit mail fraud, Moore and Broussard face up to five years in federal prison and a possible $250,000 maximum fine. Moore is also charged with an additional count of mail fraud which carries a maximum prison sentence of up to 20 years and a possible $250,000 fine.
IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorney Robert S. Johnson is prosecuting this case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Non-profit embezzler sent to prison for stealing over $280,000 from employerRead the Press Release
HOUSTON – A 49-year-old former administrative assistant for the Katy Area Economic Development Council (KAEDC) has been sentenced for wire fraud, announced U.S. Attorney Alamdar S. Hamdani.
Janet Leigh Medrano aka Janet Jackson pleaded guilty Dec. 12, 2023.
U.S. District Judge Keith Ellison has now ordered Medrano to serve 27 months in federal prison to be immediately followed by three years of supervised release. Jackson was additionally ordered to pay restitution in the amount of $281,489.91. At the hearing, the court heard testimony from a KAEDC representative about how Medrano’s theft left the non-profit organization on the brink of bankruptcy. In handing down the sentence, Judge Ellison noted that this was not an appropriate case for leniency. Medrano attempted to excuse her conduct by claiming she had difficulty providing for her family. Judge Ellison dismissed the claim by stating he had heard from thousands of individuals with much more desperate financial situations.
From 2014 to 2019, Medrano worked as an administrative assistant for KAEDC. Beginning in 2016 until her termination in 2019, Medrano stole from the organization using four different schemes. When KAEDC confronted Medrano, she attempted to hide her crime by providing altered bank statements to cover the ongoing theft.
Further investigation revealed Medrano was not telling the truth and had stolen over $280,000 from KAEDC.
Medrano was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
The U.S. Postal Inspection Service conducted the investigation. Assistant U.S. Attorney Christine Lu prosecuted the case.
Multimillion-dollar unlicensed money transmitter convictedRead the Press Release
HOUSTON – A federal jury has returned a guilty verdict against an Iraqi citizen who resided in Richmond for operating a money transmitting business without a license, announced U.S. Attorney Alamdar S. Hamdani.
The jury deliberated for less than one hour before finding Sameer Sami Rasheed Al Salman, 55, guilty on one count of unlicensed money remitting following a two-day trial.
During the trial, the jury heard evidence about Salman’s money transmitting business, which he operated at his residence in Richmond. Since 2020, Salman transferred and wired millions of dollars from bank accounts in the United States to ones all over the world including China, Indonesia and India.
The jury heard testimony about how Salman offered his services locally and performed informal hawala transactions, a method of transferring money without using the banking system. Salman conducted these transfers which amounted to thousands of dollars from his driveway and required individuals to show their identification. Many transfers originated from Iraq and some transfers were up to $40,000.
Authorities identified Salman’s illegal money transmitting operation after extensive surveillance and conducted a search of his residence. At that time, they discovered over $282,000 in cash stored within the house.
At the trial, the defense attempted to convince the jury Salman had lawful authority to operate a money transfer business in Iraq. The jury did not believe those claims and found him guilty as charged.
“Money flowed from Iraq through Houston thanks to Rasheed Al Salman’s illegal money transmitting business, a business he conducted from his home’s driveway and without a license,” said Hamdani. “Hawala operators like Salman pose a real threat to banking systems because they undermine the oversight and regulation of significant money transfers - transfers that when unregulated, often end up in the coffers of international criminal organizations.”
U.S. District Judge Sim Lake presided over the trial and set sentencing for Aug. 16. At that time, Salman faces up to five years in federal prison and a possible $250,000 maximum fine.
FBI conducted the investigation. Assistant U.S. Attorneys Heather Winter and Steven Schammel are prosecuting the case.
Houstonian charged with filing over $500,000 in fraudulent disaster relief loansRead the Press Release
HOUSTON – A 26-year-old woman is set to appear in federal court for conspiracy to commit wire fraud, announced U.S. Attorney Alamdar S. Hamdani.
Khalia Douglas is expected to make her initial appearance before U.S. District Judge Yvonne Ho at 2 p.m.
According to the criminal information filed April 16, from March 2020 until June 2021, Douglas allegedly submitted false and fraudulent applications to the Federal Emergency Management Agency (FEMA), Small Business Administration, the U.S. government and a bank for financial assistance.
As part of the alleged scheme, Douglas gave instructions to co-conspirators on
how to fraudulently apply for FEMA assistance and allegedly assisted others in applying for FEMA rental assistance. Douglas allegedly received payment from co-conspirators for assisting them in filing fraudulent FEMA applications for assistance with rentals, critical needs and personal property assistance. Douglas also helped others in filing false applications for Paycheck Protection Payment loans, Economic Injury Disaster Loan assistance and bank loans, according to the charges.
Douglas allegedly assisted in filing the false applications causing an attempted loss of $514,415.
If convicted, Douglas faces up to five years in federal prison and a possible $250,000 maximum fine.
The Department of Homeland Security - Office of Inspector General conducted the investigation. Assistant U.S. Attorney Rodolfo Ramirez is prosecuting the case.
An information is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Former credit union manager admits to embezzling over $200,000 from elderly client accountsRead the Press Release
HOUSTON – A 57-year-old Prairie View woman has pleaded guilty to one count of embezzlement by a federal credit union employee, announced U.S. Attorney Alamdar S. Hamdani.
Gloria Hall was employed at Prairie View Federal Credit Union (PVFCU). From 2017 through 2019, while acting as manager, she purposefully maintained an antiquated business practice which would not allow customers to access their accounts online. Hall admitted she was able to and did access at least two elderly customer accounts and misappropriated $211,563.12 of their funds for her own personal gain.
PVFCU was one of the oldest continually operational federal credit unions a historically black college or university had established in the United States. It did not survive Hall’s embezzlement. PVFCU existed for approximately 85 years prior to its failure and merger with the Cy-Fair Federal Credit Union in early 2022.
“Hall’s personal greed trumped the needs of her community,” said Hamdani. “These banks often form the bedrock of our society, and their failures can have devastating impacts on the people that rely on them. Her actions had severe consequences, actions that deserve a harsh yet just punishment.”
U.S. District Judge Charles Eskridge accepted the plea has set sentencing for Aug. 22. At that time, Hall faces up to 30 years in federal prison and a possible $1 million maximum fine.
Hall was permitted to remain on bond pending sentencing.
The FBI – Bryan Resident Agency conducted the investigation. Assistant U.S. Attorneys Grace Murphy and Thomas Carter are prosecuting the case.
Clinic owner sent to prison for orchestrating $15M Medicare fraud and kickback schemeRead the Press Release
HOUSTON – The owner of a Houston-area mental health clinic has been sentenced for conspiracy to commit healthcare fraud, announced U.S. Attorney Alamdar S. Hamdani.
Gwendolyn Gibbs, 72, pleaded guilty Dec. 3, 2021.
U.S. District Judge Charles R. Eskridge has now ordered Gibbs to serve 84 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence Gibbs fraudulently billed Medicare for services provided to vulnerable adults with intellectual disabilities who did not require mental health services. In addition, Gibbs was ordered to pay $8,680,380.42 in restitution to Medicare. In handing down the sentence, the court noted Gibbs’ role as leader, the length of the fraud scheme and her long history in the medical field as evidence she knew what she was doing was wrong.
“Gwendolyn Gibbs exploited vulnerable adults with intellectual disabilities and residents of group homes in order to defraud Medicare of millions of dollars,” said Hamdani. “Public resources for mental health services should go to the patients that actually need them, not to enrich criminal actors like Gibbs.”
Gibbs was the owner of Daybreak Rehabilitation Center. From 2007 until 2016, she submitted fraudulent claims for partial hospitalization program (PHP) services to Medicare that were not provided or not medically necessary. A PHP is a form of intensive outpatient treatment for severe mental illness. Daybreak patients, including individuals with intellectual disabilities, did not need PHP services. Gibbs admitted to falsifying medical records to make it appear that patients were sicker than they actually were.
Gibbs also paid kickbacks to owners of group homes and patient recruiters in exchange for referring Medicare beneficiaries to Daybreak. The owners of the group homes required their residents to attend Daybreak and, in exchange, Gibbs and her co-conspirators provided transportation, supervision and meals to the group home residents.
Charles Guidry Jr., 70, Houston, a manager at Daybreak and Gibbs’ ex-husband, was previously sentenced to 70 months imprisonment followed by three years of supervised release.
Gibbs will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
FBI, Department of Health and Human Services - Office of the Inspector General, Texas Attorney General’s Medicaid Fraud Control Unit and the Railroad Retirement Board-OIG conducted the investigation. Assistant U.S. Attorneys Kathryn Olson and Michael Day prosecuted the case.
Traffickers sent to prison after multi-kilogram narcotics smuggling attemptRead the Press Release
McALLEN, Texas – Two men have been sentenced for their roles in a cocaine smuggling operation, announced U.S. Attorney Alamdar S. Hamdani.
Argelio Chavero, 51, Alton, and Agustin Romero Jr., 41, U.S. citizen residing in Mexico, pleaded guilty April 24, 2023, and Dec. 19, 2022, respectively, to importing 12 kilograms of cocaine from Mexico.
Chief U.S. District Judge Randy Crane has now imposed a 188-month-term of imprisonment for Chavero, while Romero received 57 months. Both must also serve five and three years of supervised release, respectively, following their sentences. At the hearing, the court heard additional evidence of Chavero’s lengthy criminal history which includes a prior attempt to smuggle 14 kilograms of marijuana in a vehicles’ spare tires and gas tank through the Falfurrias Border Patrol checkpoint. In addition, the court heard that drug trafficking runs in the Chavero family as his brother is also in federal custody for a 2021 conviction of importing meth. In handing down the sentence, the court noted that Chavero has led a life crime.
On April 24, 2021, Romero drove to the Hidalgo Port of Entry attempting to enter the United States from Mexico. Upon an x-ray inspection of the vehicle, law enforcement noticed anomalies in the gas tank. Further inspection revealed, four kilograms of marijuana and 12 kilograms of meth concealed within 33 packages inside the gas tank.
Chavero recruited Romero and provided him with a vehicle at the Mexican entrance to the Port of Entry. Chavero initially denied knowledge of Romero and the vehicle; however, authorities confronted Chavero with photographs of him driving the vehicle with Romero as passenger.
Both will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Laura Garcia prosecuted the case.
South Texas woman sentenced for weapons cache exportationRead the Press Release
McALLEN, Texas – A 33-year-old San Juan resident has been ordered to federal prison for attempting to exit the country with three dozen AK-47 and AR-15 rifles and other weapons and ammunition, announced U.S. Attorney Alamdar S. Hamdani.
Jessica Alvarado pleaded guilty Jan. 25 to smuggling goods from the United States.
U.S. District Judge Micaela Alvarez has now ordered Alvarado to serve 46 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard how these types of weapons are typically those that end up in the hands of cartel members in Mexico and the dangers that are associated with their use. In handing down the sentence, the court noted the dangers associated with these firearms and the individuals they endanger. The court also heard that at the time of the offense, Alvarado admitted to dealing cocaine on several occasions.
“Alvarado tried to sneak dangerous weapons across our southern border which could have had devastating effects,” said Hamdani. “This sentence should serve as a warning - put guns in the hands of others illegally and pay a hefty price with your freedom. An AK-47 or AR-15 doesn’t belong in the hands of a criminal.”
“Drugs and guns are a deadly combination,” said Special Agent in Charge Craig Larrabee, Homeland Security Investigations (HSI) San Antonio. “This sentencing serves as a warning to those who attempt to export weapons into Mexico and distribute highly addictive narcotics like cocaine. HSI will aggressively pursue violators and hold them accountable. This investigation demonstrates the strength of collaborative law enforcement efforts in the Rio Grande Valley and our strong partnership with the U.S. Attorney’s Office.”
On Jan. 31, 2023, Jessica Alvarado attempted to depart the United States via the Hidalgo Port of Entry driving a Ford F-150. At the time, she denied having any firearms.
However, authorities noticed the bed of the pickup truck was abnormally elevated and referred the vehicle to secondary inspection. A search resulted in the discovery of 33 AK-47 variant rifles, three AR-15 rifles, a .22 caliber long rifle, two .45 caliber handguns and 39 ammunition magazines. Alvarado did not possess a license to export firearms from the United States.
The investigation led to a search at her residence in San Juan where law enforcement also found approximately 499 grams of a packaged white powdery substance that tested positive for the characteristics of cocaine and more than $13,000 in bulk U.S. currency.
Alvarado was permitted to remain on bond and will surrender at a later date to serve her sentence.
HSI conducted the investigation with the assistance of Customs and Border Protection and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Lee Fry and Cahal P. McColgan prosecuted the case.
This case is being prosecuted as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
Leader sent to prison in unemployment insurance fraud scamRead the Press Release
McALLEN, Texas – A 41-year-old man from Edinburg is the final man to be ordered to prison for fraudulently obtaining unemployment benefits from the Department of Labor (DOL), announced U.S. Attorney Alamdar S. Hamdani.
Jose Luis Gonzalez pleaded guilty March 21, 2023.
Chief U.S. District Judge Randy Crane has now ordered him to serve a total of 74 months in federal prison to be immediately followed by three years of supervised release. He was also ordered to pay $531,161 in restitution. At the hearing, the court heard additional evidence and testimony that described how Gonzalez kept this fraud going on for a decade and caused substantial loss to the Department of Labor (DOL) and Texas Workforce Commission (TWC). The court also heard how he kept the money from the citizens in our community who qualified for the benefits and needed those benefits.
“Gonzalez and others committed substantial fraud against the taxpayers of Texas,” said Hamdani. “By creating fictitious companies, forging documents and ultimately cheating the TWC, Gonzalez kept money from people who truly needed it. Thanks to the work of law enforcement, Gonzalez will have to trade his fake companies for a real prison cell.”
Beginning in August 2008, Gonzalez devised a scheme in which he filed fraudulent unemployment insurance claims with the Texas Workforce Commission (TWC). He created and provided several fraudulent documents to file for unemployment benefits. He then advertised his scheme on Facebook where he recruited and assisted others to do the same. Several others paid Gonzalez to assist them in making fraudulent employment benefits claims.
Specifically, Gonzalez would create a fictitious employer account with the TWC to include an employer name, address and similar information. The address he created was his address or an address he controlled. TWC would mail a notice to the fictitious employer at that address, and Gonzalez would pretend to be the employer and respond to the TWC letter confirming the fictitious employment of the applicant. This caused TWC to generate and fund a debit card and mail it to a separate address Gonzalez or another individual controlled.
Ultimately, the scheme resulted in approximately 50 fraudulent unemployment claims totaling $531,161.
Nine others had also pleaded guilty and have already been sentenced.
Gonzalez has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
DOL - Office of the Inspector General conducted the investigation with the assistance of the FBI. Assistant U.S. Attorney (AUSA) Sarina S. DiPiazza prosecuted the case along with former AUSAs Steven Belt and Michael Mitchell.
Edcouch man imprisoned for downloading over 100 sexually explicit and violent videos of minorsRead the Press Release
McALLEN, Texas – A 41-year-old man has been ordered to federal prison following his conviction of receipt of child pornography, announced U.S. Attorney Alamdar S. Hamdani.
A federal jury deliberated for less than 45 minutes before convicting Miguel Martinez Feb. 28, 2019, following a two-day trial.
Chief U.S. District Judge Randy Crane has now ordered Martinez to serve 168 months in federal prison. Martinez was further ordered to pay a total of $6,000 in restitution. Martinez will serve five years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Martinez will also be ordered to register as a sex offender.
Martinez came to the attention of law enforcement following an investigation in the spring of 2012 into persons using the internet to traffic in child pornography. Authorities located and identified Martinez as a participant on a peer-to-peer network offering to distribute and receive videos of child pornography.
On Nov. 14, 2012, law enforcement executed a search warrant at Martinez's residence, at which time they seized a computer and various external storage media devices. A forensic examination of the devices revealed 123 videos and images of children under the age of 12 engaged in sexually explicit conduct including bondage and acts of violence against them. Some of the images are of known victims as identified through the National Center for Missing and Exploited Children.
In a subsequent interview, Martinez admitted to downloading the child pornography found on his computer and external storage media, which were stored in a folder labeled “Mike’s Stuff.”
At the time of the trial, Martinez denied any wrongdoing and testified that he could not remember any of the events that transpired at the time of the execution of the search warrant.
Martinez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation. Assistant U.S. Attorneys Kimberly Ann Leo and Laura Garcia prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.
Career offender sentenced after found passed out in vehicleRead the Press Release
CORPUS CHRISTI, Texas – A 36-year-old Corpus Christi resident has been sentenced for being a felon in possession of a firearm and possession with intent to distribute meth, announced U.S. Attorney Alamdar S. Hamdani.
Adolfo Tovar pleaded guilty Dec. 1, 2022.
U.S. District Judge Nelva Gonzales Ramos has now ordered Tovar to serve 200 months in federal prison to be immediately followed by five years of supervised release. In handing down the sentence, the court noted Tovar’s serious and significant criminal history, including his attempted robbery and second-degree robbery convictions.
On the late evening of April 10, 2021, a concerned citizen reported a vehicle parked crooked in a parking space with a male driver who appeared to be unconscious at a local gas station.
Authorities approached the driver, later identified as Tovar. They asked him to exit the vehicle and to provide identification. When he did so, Tovar pulled out two blue baggies typically used as packaging for illegal narcotics which fell to the ground.
Further investigation resulted in the discovery of other drug paraphernalia visible inside Tovar’s SUV. Law enforcement searched his vehicle and found meth, scales and baggies in the center console and a firearm under the driver’s seat.
Tovar has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with assistance from Corpus Christi Police Department. Assistant U.S. Attorney Joel Dunn prosecuted the case.
Violent drug dealer off the streets for possessing 250 grams of meth and pistolRead the Press Release
McALLEN, Texas – A 26-year-old Edinburg man has been sentenced for drug charges and possession of a firearm during and in relation to a drug trafficking crime, announced U.S. Attorney Alamdar S. Hamdani.
Lauro Gonzalez Jr. pleaded guilty April 24, 2023.
Chief U.S. District Judge Randy Crane has now ordered Gonzalez to serve a total of 12 years in federal prison to be immediately followed by four years of supervised release. At the hearing, the court heard how Gonzalez had been dealing various narcotics within the community for years and was proud that he had historically been able to avoid apprehension. Judge Crane heard additional evidence of the dangers of meth due to the low cost and its addictiveness. In handing down the sentence, the court noted Gonzalez’s lengthy criminal history which includes extensive drug use and distribution.
On Oct. 13, 2021, law enforcement arrived on the scene of a vehicle accident where witnesses reported the driver of a blue BMW had rear ended another vehicle and attempted to flee on foot. Authorities identified the driver as Gonzalez and arrested him for fleeing the accident.
In a subsequent search of Gonzalez’s vehicle, law enforcement located 250 grams of meth, psilocybin mushrooms, marijuana, cash, a digital scale and a 9mm pistol with an extended magazine. Gonzalez admitted to selling the drugs found in the vehicle and bragged about usually being able to evade law enforcement. Gonzalez also stated he would have shot at authorities if he was not able to get away and had his gun.
Gonzalez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Drug Enforcement Administration conducted the investigation with the assistance of the Edinburg Police Department. Assistant U.S. Attorneys Lee Fry and Devin V. Walker prosecuted the case.
Two sentenced for trafficking firearms destined for MexicoRead the Press Release
LAREDO, Texas – Two people residing in Laredo have been ordered to federal prison for conspiring to sell pistols, rifles and ammunition via social media, announced U.S. Attorney Alamdar S. Hamdani.
Joccelyn Jasmin Recio, 30, Laredo, and Mexican national Victor Martin Serrano Carrillo, 20, pleaded guilty Sept. 12, 2023, and May 11, 2023, respectively.
U.S. District Judge Diana Saldaña has now ordered Recio and Carrillo to serve respective sentences of 78 and 63 months. Recio must also serve three years of supervised release, while Carillo, not a U.S. citizen, is expected to face removal proceedings following his imprisonment. At the hearing, the court heard about Recio’s prior conviction for alien smuggling in 2016. In imposing the sentence, Judge Saldaña noted the drug war in Mexico in which Recio and Carrillo made a choice to become involved and how their involvement in the conspiracy operated as a well-oiled machine that resulted in the sale of an immeasurable number of firearms.
“Recio and Carillo potentially put lives at risk for their own personal gain - intending to profit by selling firearms and ammunition to be illegally smuggled out of the United States,” said Hamdani. “We remain vigilant in our efforts to combat this international issue. Try to take guns to Mexico through our district and pay for it with your freedom.”
As part of the conspiracy, Carrillo contacted sellers on WhatsApp to purchase firearms for Recio via private sales. Carrillo would then transport Recio and the firearms to the meeting places. Recio would use WhatsApp and other social media messaging to communicate with the buyers and then pay Carrillo a fee for each firearm following the sale.
As part of their pleas, both admitted that in February 2023, Recio had delivered a total of six pistols, two rifles and 123 rounds of ammunition along six pistol magazines in exchange for cash. Recio contacted a buyer and sent photos of the various firearms along with the prices for each.
The firearms included one loaded AR-15 type rifle.
Recio and Carrillo have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of the U.S. Marshals Service, Laredo Police Department, Webb County Sheriff’s Department and Precinct 2 Webb County Constable’s Office.
Assistant U.S. Attorney Homero Ramirez prosecuted the case as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
Tax preparer admits to fraud resulting in over half a million in lossesRead the Press Release
HOUSTON – A local tax business owner has pleaded guilty to aiding and assisting in the preparation and filing of false income tax returns, announced U.S. Attorney Alamdar S. Hamdani.
Krystal Wright was the sole owner and only tax preparer at WW2F in Freeport for six years.
Most of Wright’s clients did not have a business nor did they discuss any business income or expenses with her. After Wright completed a tax return, she did not review the completed documents with clients and only provided them with the refund amount and first two pages of the return. This prevented her clients from identifying overstated or false items on their tax returns.
From 2017 through 2020, Wright prepared and filed approximately 83 federal income tax returns that contained false and fraudulent items. Some included qualified solar electric property costs, gifts by cash or check, business expenses, wages, salaries, tips and supplies.
The false and fraudulent filings resulted in a total sustained tax harm of $525,404.
U.S. District Judge Jeffrey V. Brown accepted the plea and set sentencing for June 26. At that time, Wright faces up to three years in federal prison and a possible $250,000 maximum fine.
She has been and will remain in custody pending sentencing.
IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorneys Rodolfo Ramirez and James Hu are prosecuting the case.
Local man indicted for filing false tax returnsRead the Press Release
HOUSTON – A suburban Houston man is set to appear on charges of filing fraudulent and false statements on his federal tax returns, announced U.S. Attorney Alamdar S. Hamdani.
Joseph Patrick Butler is expected to make his initial appearance before U.S. Magistrate Judge Peter Bray at 2 p.m.
A federal grand jury returned the four-count indictment April 4 which was unsealed upon his arrest. It alleges for tax years 2017 through 2020, Butler signed false joint Form 1040 U.S. individual income tax returns and received inflated tax refunds to which he was not entitled.
According to the indictment, Butler’s joint tax returns include false entries showing he allegedly received hundreds of thousands in wages. His employers allegedly withheld over $100,000 per year.
The indictment also alleges Butler falsely received over $260,000 in refunds for tax years 2013 through 2020.
If convicted, Butler faces up to three years in federal prison and a $250,000 maximum possible fine for each of the four counts as charged.
IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorneys Brad Gray and Shirin Hakimzadeh are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Edinburg man sentenced for distributing child pornographyRead the Press Release
McALLEN, Texas – A 27-year-old local man has been sentenced for distribution of child pornography depicting prepubescent minors via a social media messaging application, announced U.S. Attorney Alamdar S. Hamdani.
Ryant Rodriguez pleaded guilty March 9, 2022.
Chief U.S. District Judge Randy Crane has now sentenced Rodriguez to 132 months in federal prison to be immediately followed by five years of supervised release. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender.
Rodriguez distributed multiple images and videos depicting child pornography as a member of a social media group chat dedicated to the trade and exchange of child pornography.
The investigation revealed he was also in possession of approximately 963 pornographic images depicting children between the ages of five to 10 on his phone at the time of his arrest.
Rodriguez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI and the Winnebago County Sheriff’s Office conducted the investigation.
Assistant U.S. Attorney Cahal P. McColgan prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources link on that page.
Supplier for crack distribution ring heads to prisonRead the Press Release
GALVESTON, Texas – A 42-year-old Texas City resident has been sentenced for conspiracy to possess with intent to distribute cocaine, announced U.S. Attorney Alamdar S. Hamdani.
Shane Alan Flores pleaded guilty Nov. 9, 2021.
U.S. District Judge Jeffrey V. Brown has now ordered Flores to serve 90 months in federal prison to be immediately followed by four years of supervised release. At the hearing, the court heard additional information regarding the 2.2 kilograms of cocaine Flores supplied to co-conspirators for the manufacture and sale of cocaine base aka “crack” and his role in the conspiracy.
During 2018, Flores supplied cocaine powder to a crack distribution ring operating in the La Marque and Texas City areas to manufacture into the cocaine base or “crack” and sold to locals.
Flores will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI’s Safe Streets and Violent Crimes Task Force conducted the investigation. Assistant U.S. Attorney Kenneth A. Cusick prosecuted the case.
Mexican citizen indicted for attempting to export 600 rounds of ammunition to MexicoRead the Press Release
BROWNSVILLE, Texas – A federal grand jury has returned an indictment against a Mexican citizen residing in San Benito for attempting to smuggle ammunition into the Republic of Mexico, announced U.S. Attorney Alamdar S. Hamdani.
Fabian Osiel Flores-Morales, 30, attempted to depart the United States into Mexico via the outbound lane at the International Port of Entry in Los Indios March 21. Upon inspection of the 2009 Dodge Ram he was driving, authorities discovered hundreds of rounds of ammunition concealed throughout the vehicle.
The indictment alleges he attempted to export approximately 250 rounds of 9mm, 150 rounds of .45 caliber and 200 rounds of .40 caliber ammunition from the United States to the Republic of Mexico.
Flores does not have a license to export firearms or ammunition and has not applied for one, according to the charges.
Originally charged by criminal complaint, Flores-Morales remains in custody pending his arraignment.
If convicted, he faces up to 10 years in federal prison and a possible $250,000 maximum fine.
Homeland Security Investigations and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney David Coronado is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Meth “cooks” sent to prison in custom importation schemeRead the Press Release
McALLEN, Texas – Three men have been sentenced for their roles in a scheme to traffic and “cook” custom meth orders in the McAllen area, announced U.S. Attorney Alamdar S. Hamdani.
Alfredo Duarte, 32, Fullerton, California, and Mexican citizens Abraham Pena-Quintero, 39, and Francisco Hernandez-Madrid, 49, each pleaded guilty April 24, 2023.
Chief U.S. District Judge Randy Crane has now imposed a 135-month-term of imprisonment for Duarte, while Pena-Quintero and Hernandez-Madrid received 78 and 57 months, respectively. Duarte must also serve three years of supervised release following his sentence. Not U.S. citizens, Pena-Quintero and Hernandez-Madrid are expected to face removal proceedings following their respective terms of imprisonment. At the hearing, the court heard additional evidence about how Duarte planned and orchestrated a scheme with undercover authorities to trade guns in exchange for drugs. In handing down the prison terms, Judge Crane noted the specialized methods of the scheme to “cook” exceptionally large crystals of meth and the dangerousness that such narcotics represent to the United States.
An undercover investigation around 2021 revealed Duarte and co-conspirators imported liquid meth from Mexico. They would then “cook” it into crystals to whatever purity level and size their customers wanted.
Through the course of the investigation, the individuals delivered over 11 kilograms of meth in the McAllen area. Duarte served as the customer-facing member of the conspiracy, while Pena-Quintero and Hernandez-Madrid were narcotics couriers.
Pena-Quintero and Hernandez-Madrid will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Duarte was permitted to remain on bond and voluntarily surrender at a later date.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and Drug Enforcement Administration conducted the investigation as part of a joint operation deemed “Operation: Knock Down.” Assistant U.S. Attorney Robert L. Guerra Jr. prosecuted the case.
Drug trafficking couple imprisoned for attempting to store and transport over 30 kilos of cocaineRead the Press Release
McALLEN, Texas – Two Hidalgo residents have been sentenced for their roles in a conspiracy to distribute cocaine, announced U.S. Attorney Alamdar S. Hamdani.
Jose Alfonso Trevino Jr., 46, and Rita Eva Moreno-Tinoco, 40, pleaded guilty March 23, 2023.
Chief U.S. District Judge Randy Crane has now imposed a 120-month-term of imprisonment for Trevino followed by five years of supervised release while Moreno-Tinoco received 37 months and a three-year-term of supervised release. At the hearing, the court heard additional evidence explaining how agents located four firearms including an AR-15 style rifle inside the narcotics stash house. Judge Crane also heard how Trevino threatened arresting authorities when they transported him.
On Jan. 19, 2021, Trevino was driving a pickup truck and failed to signal a turn, at which time law enforcement conducted a traffic stop. They searched the truck and found 10 kilograms of cocaine inside reusable grocery bags on the back seat and took him into custody.
At the time of his arrest, Trevino requested to call his wife, Moreno-Tinoco. Law enforcement overheard him ask his wife to tell his son to “clean out the garage.” They then observed Moreno-Tinoco arrive at the couple’s residence and load two plastic storage bins from the garage into her vehicle.
After departing the home, law enforcement conducted a traffic stop on Moreno-Tinoco’s vehicle and found 31 kilograms of cocaine within the bins previously removed from the garage.
Both Trevino and Moreno-Tinoco will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of the Hidalgo County Sheriff’s Office and the Hidalgo Police Department. Assistant U.S. Attorney Lee Fry prosecuted the case.
Valluco gang member imprisoned for possession of various firearms and ammunitionRead the Press Release
McALLEN, Texas – A 42-year-old San Juan resident has been sentenced for being a felon in possession of multiple firearms, announced U.S. Attorney Alamdar S. Hamdani.
Daniel Garza pleaded guilty Nov. 30, 2023.
Chief U.S. District Judge Randy Crane has now ordered Garza to serve 70 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard evidence of additional firearms Garza possessed.
Garza is a known member of the Vallucos criminal street gang. With several convictions for violent, weapons-related offenses, he is prohibited from possessing firearms or ammunition per federal law. Law enforcement believed he was in such possession of prohibited items and launched an investigation.
That led them to his residence June 27, 2023, where they executed a search warrant and discovered two firearms, body armor, a mask and a bag of firearm magazines. Authorities subsequently reviewed Garza’s social media and obtained recent photographs of him in possession of several other firearms including a belt-fed rifle and a firearm he claimed was fully automatic.
Garza will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Marshals Service; Texas Department of Public Safety and police departments in Edinburg and San Juan conducted the joint investigation.
Assistant U.S. Attorney Cahal P. McColgan prosecuted the case as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
Traveler caught bringing in child pornography via POERead the Press Release
McALLEN, Texas – A 40-year-old Mexican citizen has been sentenced for transporting child pornography, announced U.S. Attorney Alamdar S. Hamdani.
Luis Alberto Hernandez-Venegas pleaded guilty Nov. 30, 2023.
Chief U.S. District Judge Randy Crane has now ordered Hernandez-Venegas to serve 97 months in federal prison. He will also serve five years on supervised release following completion of his prison term. Hernandez-Venegas will also be ordered to register as a sex offender and as a non-U.S. citizen, he is expected to face removal proceedings. At the hearing, the court heard additional evidence that Hernandez-Venegas knowingly joined a Telegram group well-known for distributing child pornography. From this Telegram chat, he possessed 25 videos of child pornography which equated to approximately 1,875 images. In handing down the sentence, Chief Judge Crane noted that Hernandez helped to provide for a family in Mexico with the intention of engaging in a relationship with their teenage child.
On Sept. 26, 2023, Hernandez-Venegas attempted to make entry into the United States from Mexico at the Donna Port of Entry. Authorities referred him to secondary inspection where a preliminary consensual search of his phone revealed images containing child pornography.
Law enforcement reviewed the contents of the phone and found multiple images, videos and chat messages depicting child pornography including prepubescent and pubescent male minors performing sexually explicit acts.
Hernandez-Venegas acknowledged communicating with male minors between the ages of 15 and 17. He also admitted to being in a relationship with a 15-year-old male who resides in Mexico and identified images of him on his cellphone.
He said he knowingly and intentionally possessed, received and viewed child pornography.
Hernandez-Venegas will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Alexa D. Parcell prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.
Pharr resident imprisoned for downloading child pornography on peer-to-peer sharing platformRead the Press Release
McALLEN, Texas – A 32-year-old man has been ordered to federal prison for receipt of child pornography, announced U.S. Attorney Alamdar S. Hamdani.
Vincent Andrew Gutierrez pleaded guilty Oct. 22, 2021.
Chief U.S. District Judge Randy Crane has now ordered Gutierrez to serve 84 months in federal prison. At the hearing, the court found the sadomasochistic enhancement applied as some of the images and videos depicting prepubescent minors being forced to engage in sexual acts with adults.
Gutierrez was further ordered to pay $3,000 in restitution to a known victim and will serve five years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Gutierrez will also be ordered to re-register as a sex offender.
From December 2017 to December 2019, authorities conducted an investigation on BitTorrent, a peer-to-peer file sharing platform. They soon identified a device downloading child pornography videos and images connected to the IP addresses found to be associated with Guiterrez.
Law enforcement obtained a search warrant for his home, at which time they seized a laptop and conducted a forensic examination. The investigation revealed the BitTorrent files Gutierrez possessed contained the title PTHC (pre-teen hardcore). PTHC normally refers to images or videos of prepubescent boys and girls engaged in hardcore sexual acts.
The investigation revealed Gutierrez had 412 images and four videos of child pornography.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations - Rio Grande Valley Child Exploitation Investigations Task force conducted the investigation.
Assistant U.S. Attorney M. Alexis Garcia prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources link on that page.
Bissonnet trafficker heads to prison for forcing minors to engage in sex actsRead the Press Release
HOUSTON – A 35-year-old Houston resident has been sentenced for sex trafficking of a minor on the “track,” announced U.S. Attorney Alamdar S. Hamdani.
Jerreck Michael Hilliard aka Jmoney pleaded guilty Oct. 12, 2022.
U.S. District Judge George C. Hanks Jr. has now sentenced Hilliard to 292 months in federal prison. At the hearing, the court heard evidence that Hilliard had offered to teach another person the “pimp game” who then allegedly turned around and victimized numerous vulnerable young girls and women using violence and manipulation. In handing down the prison term, the court stated that the Hilliard was “every parent’s worst nightmare.” The court also noted that Hilliard destroyed the young victims’ lives for “nothing more than money” and that their lives would never again be the same. Hilliard was also ordered to serve 10 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Hilliard will also be ordered to register as a sex offender. Restitution will be determined at a later date.
“No little girl dreams of growing up and selling her body for money,” said Hamdani. “Heinous things have happened to these victims that ultimately led them into the sights of the criminals who target and prey on them. What Hilliard did was reprehensible. It is no defense that a victim may have previously been involved in prostitution. Today, this victim blaming stops.”
From April 2019 to February 2020, Hilliard and others were involved in a sex trafficking conspiracy occurring on the Bissonnet “blade.” The “blade” or “track” is an area near I-59 Southwest Freeway and Bissonnet Street in Houston where pimps and traffickers commonly place their victims to engage in commercial sex.
Hilliard and co-conspirators recruited young teenage girls and forced them to engage in sex acts with clients for money in cars and hotels around the blade. Co-conspirators also passed around or reassigned victims amongst one another, coached each other on the “pimp game” and forced the young girls to walk the area while the traffickers kept the proceeds.
The victims were not allowed to switch between pimps unless they paid an exorbitant exit fee or were “beat out.” Some traffickers required daily quotas each night from their victims. If the girls did not meet those demands, the pimps and others severely punished victims through beatings and humiliation.
Hilliard will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Houston Police Department initiated the investigation with the assistance of Homeland Security Investigations and the Harris County District Attorney’s Office as a part of the Human Trafficking Rescue Alliance (HTRA). Established in 2004, the U.S. Attorney’s office in Houston formed HTRA to combine resources with federal, state and local enforcement agencies and prosecutors, as well as non-governmental service organizations to target human traffickers while providing necessary services to those that the traffickers victimized. Since its inception, HTRA has been recognized as both a national and international model in identifying and assisting victims of human trafficking and prosecuting those engaged in trafficking offenses.
Assistant U.S. Attorneys Richard Bennett, Kate Suh and Anthony Franklyn are prosecuting this case.
DHS employee indicted for money launderingRead the Press Release
HOUSTON – A deportation officer has been taken into custody on allegations he transported nearly $700,000 in what he believed to be drug proceeds, announced U.S. Attorney Alamdar S. Hamdani.
Christopher Washington Toral, 48, Spring, is expected to make his initial appearance before U.S. Magistrate Judge Andrew Edison at 2 p.m.
A federal grand jury returned the indictment April 9, which was unsealed upon Toral’s arrest.
Toral is an employee of Department of Homeland Security (DHS), working as a deportation officer for Immigration and Customs Enforcement.
On three occasions in 2023, Toral allegedly transported a total of approximately $700,000 in exchange for cash payments. In each instance, he believed the monies were proceeds from drug transactions, according to the indictment.
Toral transported $200,000 between Feb. 9 and 28, 2023, from Dallas to Houston, according to the charges. In early March 2023, he allegedly travelled from Newark, New Jersey, to Houston with $300,000 in U.S. currency.
If convicted, Toral faces up to 20 years in federal prison and a possible $1 million maximum fine.
FBI and DHS – Office of Inspector General conducted the investigation. Assistant U.S. Attorney Carolyn Ferko is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Affluent businessman turned repeat offender imprisoned for paying minor to produce child pornographyRead the Press Release
McALLEN, Texas – A 62-year-old man residing in McAllen has been sentenced for coercion and enticement of a minor, announced U.S. Attorney Alamdar S. Hamdani.
Luis Fabian Vela pleaded guilty Oct. 27, 2023.
U.S. District Judge Micaela Alvarez has now ordered Vela to serve 195 months in federal prison. The court enhanced the sentence after determining he was a repeat and dangerous offender against minors and because the offense involved a minor under the age of 16. In handing down the prison term, Judge Alvarez noted how Vela had community support throughout his life but turned to illegal sexual conduct when he was stressed. Calling his behavior sexually deviant, Judge Alvarez expressed concerns for the safety of the community due to these crimes occurring in the dark. Vela will serve 10 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender.
“Vela is a prominent business owner who used his significant means to coerce minors into producing pornographic material of children for his own gratification, even going as far as instructing them how to take photographs of specific areas,” said Hamdani. “He boasted about his wealth to get what he wanted, but there won’t be much of that now…at least for the next 16 years.”
From Sept. 29, 2022, through Oct. 5, 2022, Vela operated a financial account listed under Birdiebistro, a business he owns, and began communicating with a 15-year-old child. Even after the minor told Vela their age, he continued to engage in those conversations which were at times sexual in nature and extremely vulgar. He then instructed the minor on how to produce child pornography and utilized the Birdiebistro account to pay for the files.
At the hearing, Vela expressed his apologies to his own family for all that has happened to him.
Vela will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation.
Assistant U.S. Attorney Devin V. Walker prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources link on that page.
Romance scammers charged with targeting elderly in $3M fraudRead the Press Release
HOUSTON – A Nigerian man who resided in Fulshear is set to appear in court on allegations he conspired to defraud over a dozen elder Americans who thought they were in romantic online relationships and sent millions to a network of fraudsters, announced U.S. Attorney Alamdar S. Hamdani.
Darlington Akporugo, 46, is scheduled for a detention hearing at 9 a.m. before U.S. Magistrate Judge Andrew Edison.
Akporugo allegedly conspired with Jasmin Sood, 35, also of Fulshear, to commit wire and mail fraud.
Between approximately 2015 and 2022, the fraudsters allegedly used fictitious personas and sought out and contacted elderly victims online who were often widowed. The indictment alleges they used social networking and internet dating platforms and communicated with victims using email, text message and telephone to gain their trust. The scammers would then ultimately deceive them into transferring large sums of money to various fraudster-controlled or influenced mailing addresses and bank accounts, many Akporugo and Sood owned or controlled, according to the charges.
After establishing trust with the victim online, Akporugo and Sood approached at least one victim in the Houston area in person, according to the allegations. They then allegedly drove the victim to banks for the purpose of sending money to the fraudster network, convincing her to give Akporugo control of the victim’s banking access devices.
The indictment also charges Akporugo with aggravated identity theft and fraud in connection with an access device.
The scheme allegedly resulted at least 13 victims being defrauded of an approximate $3,123,073. The indictment includes notice of forfeiture for all illegally derived proceeds from the fraud scheme.
If convicted, both face up to 30 years imprisonment for each of the wire fraud counts and conspiracy. Akporugo faces an additional 10 years on the fraud in connection with an access device and another mandatory two years if convicted of the aggravated identity theft.
Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Grace Murphy is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Licensed firearms dealer arrested for selling gun to five-time felonRead the Press Release
LAREDO, Texas – The owner of Rick’s Armory LLC has been taken into custody for allegedly selling a firearm to a convicted felon, announced U.S. Attorney Alamdar S. Hamdani.
Ricardo Estevis Jr., 31, Laredo, is expected to make his initial appearance before U.S. Magistrate Judge Diana Song Quiroga April 11 at 9:30 a.m.
According to the criminal complaint unsealed upon his arrest, Estevis had applied for a federal position. As part of the employment process, the investigation allegedly revealed he had sold a Sig P365 handgun to someone be knew to be a felon. The charges also indicate Estevis further attempted to circumvent the appropriate procedures by conducting the purchase as a private sale.
The complaint alleges the buyer had five felony convictions and has been prohibited per federal law from possessing a firearm or ammunition since 2004.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with assistance from the U.S. Marshals Service, Laredo Police Department and other federal, state and local agencies. Assistant U.S. Attorney Homero Ramirez is prosecuting the case.
This case as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
A criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Former corrections officer charged with accepting bribesRead the Press Release
CORPUS CHRISTI, Texas – A Three Rivers resident and former Bureau of Prisons (BOP) employee is expected to appear in federal court on two counts of bribery of a public official, announced U.S. Attorney Alamdar S. Hamdani.
Justin Matthew Gonzalez, 26, is scheduled to appear before U.S. Magistrate Judge Julie K. Hampton at 9:45 a.m.
According to the indictment, returned April 4 and unsealed upon his arrest April 8, Gonzalez formerly served as a corrections officer at the Federal Correctional Institution Three Rivers. The charges allege he accepted cash as payment to smuggle contraband into the correctional institution.
If convicted, Gonzalez faces up 15 years in federal prison and a possible $250,000 maximum fine.
Department of Justice – Office of Inspector General South Central Region conducted the investigation. Assistant U.S. Attorneys Lisa Collins and Carolyn Ferko are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Previously extradited Nigerian national pleads guilty for his role in multimillion dollar business email compromise schemeRead the Press Release
HOUSTON – A 45-year-old Nigerian national previously extradited from the United Kingdom has pleaded guilty to wire fraud conspiracy, announced U.S. Attorneys Alamdar S. Hamdani and Dena J. King for the Southern District of Texas (SDTX) and Western District of North Carolina (WDNC), respectively.
Oludayo Kolawole John Adeagbo aka John Edwards and John Dayo arrived in the United States in August 2022 after he was extradited from the United Kingdom to face criminal charges brought against him by federal prosecutors in Charlotte and Houston. Adeagbo has now pleaded guilty for his criminal conduct in both cases following the transfer of the case in the U.S. District Court in the SDTX to the U.S. District Court in the WDNC.
A business email compromise scheme, also referred to as “cyber-enabled financial fraud,” is a sophisticated scam that often targets individuals, employees or businesses involved in financial transactions or that regularly perform wire transfer payments. Fraudsters are usually part of larger criminal networks operating in the United States and abroad.
There are many variations of BEC scams. Generally, the schemes involve perpetrators gaining unauthorized access to legitimate email accounts or creating email accounts that closely resemble those of individuals or employees associated with the targeted businesses or involved in business transactions with the victim businesses. The scammers then use the compromised or fake email accounts to send false wiring instructions to the targeted businesses or individuals, to dupe the victims into sending money to bank accounts controlled by perpetrators of the scheme. Generally, the money is quickly transferred to other accounts in the United States or overseas.
The BEC scheme in the SDTX
According to information contained in court documents, from November 2016 until July 2018, Adeagbo conspired with others to participate in multiple cyber-enabled business email compromises in an attempt to steal more than $3 million from victim entities in Texas, including local government entities, construction companies and a Houston-area college. As with the scheme in North Carolina, Adeagbo and his co-conspirators registered domain names that looked similar to legitimate companies. They then sent emails from those domains pretending to be employees at those companies to clients or customers of the companies they impersonated and deceived those customers into sending wire payments to bank accounts the co-conspirators controlled.
The BEC scheme in the WDNC
According to filed plea documents and court proceedings, from Aug. 30, 2016, to Jan. 12, 2017, Adeagbo, his co-conspirator - Donald Ikenna Echeazu, 42, a dual citizen of Nigeria and the United Kingdom extradited to the United States - and others defrauded a North Carolina university (the victim university) of more than $1.9 million via a BEC scheme.
Court records show that Adeagbo and his co-conspirators obtained information about significant construction projects occurring throughout the United States, including an ongoing multimillion dollar project at the victim university. To execute the scheme, Adeagbo, Echeazu and others registered a domain name similar to that of the legitimate construction company in charge of the university’s project and created an email address that closely resembled that of an employee of the construction company. Using the fake email address, the fraudsters deceived and directed the university to wire a payment of more than $1.9 million to a bank account controlled by an individual working under the direction of Adeagbo and his co-conspirators. Upon receiving the payment, Adeagbo and his co-conspirators laundered the stolen proceeds through a series of financial transactions designed to conceal the fraud.
Adeagbo remains in federal custody. At sentencing, he faces a maximum of 20 years in federal prison on each count. According to the plea agreements, Adeagbo will be required to pay a money judgment to be determined by the court and restitution in the full amount of the victims’ losses, which is alleged to be at least $14,185,847.42. A sentencing date has not been set.
U.S. District Judge Kenneth D. Bell in the WDNC sentenced Echeazu to 18 months in prison followed by a year of supervised release and ordered him to pay $655,408.87 in restitution for his role in the conspiracy.
U.S. Attorney King and U.S. Attorney Hamdani commended the FBI’s Charlotte Field Office for handling the North Carolina investigation and the FBI’s Houston Cyber Task Force for conducting the investigation in Texas with the assistance of the FBI’s Cyber and Criminal Investigative Divisions. They also thanked the United Kingdom’s National Crime Agency, the Metropolitan Police Service, the City of London Police, and the Crown Prosecution Service for their substantial assistance, and the Department of Justice’s Office of International Affairs for securing the arrest and extradition of Adeagbo and Echeazu.
Assistant U.S. Attorney (AUSA) Graham Billings of the WDNC in Charlotte is in charge of the prosecution. AUSA Rodolfo Ramirez of the SDTX handled the criminal proceedings in Houston, along with Trial Attorney Brian Mund of the Justice Department’s Criminal Division Computer Crime and Intellectual Property Section (CCIPS).
If you suspect you are a victim of a BEC scheme, you can file a complaint online with the FBI’s Internet Complaint Crime Complaint Cetner (IC3) at bec.ic3.gov. The IC3 staff reviews complaints to detect patterns or other indicators of significant criminal activity for potential criminal prosecution.
Local business owner indicted for fraudulently submitting PPP loanRead the Press Release
HOUSTON – A federal grand jury has returned a six-count indictment against a former Houston resident for conspiracy to commit wire fraud, wire fraud and conducting a monetary transaction in criminally derived property, announced U.S. Attorney Alamdar S. Hamdani.
According to the indictment, unsealed upon her appearance in court, Kristen Fenrick, 52, now of Dallas, was the owner of Klearly Kristen Inc., a business engaged in the sale of jewelry and accessories. The charges allege she submitted a fraudulent loan application via the Paycheck Protection Program (PPP) at the time of the COVID-19 pandemic.
Fenrick grossly inflated the number of employees her business purportedly had as well as its average monthly payroll expenses, according to the charges. In support of her application, Fenrick allegedly submitted fraudulent IRS documents to the lender. She also allegedly paid a co-conspirator to assist her in the preparation and submission of the false application.
Based on her misrepresentations, the indictment alleges a third-party lender with delegated authority from the Small Business Administration (SBA) approved a loan to Klearly Kristen in June 2020 for $405,340. According to the allegations, the SBA fully guaranteed and subsequently forgave the loan based on continued misrepresentations about the business’s employee headcount and payroll expenses.
The charges allege Fenrick used the PPP funds for her own personal benefit, such as the lease of a luxury vehicle, and not for the purpose for which the loan was intended.
Both before and after the PPP loan, Fenrick also allegedly made several unsuccessful attempts to secure an Economic Injury Disaster Loan for Klearly Kristen and several other purported businesses.
If convicted, Fenrick faces up to five years in prison for conspiracy to commit wire fraud, a maximum of 20 years on each of the substantive wire fraud counts and up to 10 years imprisonment for conducting a monetary transaction in criminally derived property. She could also be ordered to pay up to $250,000 in fines.
The SBA-Office of Inspector General conducted the investigation with the assistance of the Secret Service. Assistant U.S. Attorney Shirin Hakimzadeh is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Real estate developer convicted for spending over $500,000 of investor’s funds on vacations and mortgageRead the Press Release
HOUSTON – A 47-year-old Houston resident has pleaded guilty to wire fraud, announced U.S. Attorney Alamdar S. Hamdani.
Salek admitted to his involvement in a fraudulent scheme to obtain more than $1 million and falsely informing an investor the funds would be used to develop real estate.
During the plea, Walter Salek admitted between 2019 and 2021, he entered into agreements with an investor to develop real estate in the Houston area. As per the agreement, Salek was to contribute real estate, and the investor was to provide cash to develop the properties. Once developed, properties were to be either leased or sold.
The investor believed the funds would be used for the developments and deposited over $1 million into business bank accounts that Salek controlled through use of interstate wire communications. However, Salek diverted at least $571,000 of the investment funds for his own personal use on mortgage payments and luxury vacations.
U.S. District Judge Sim Lake will impose sentencing July 11. At that time, Salek faces up to 20 years in federal prison and a possible $250,000 maximum fine.
He was permitted to remain on bond pending that hearing.
The FBI conducted the investigation. Assistant U.S. Attorney Belinda Beek is prosecuting the case.
Man charged with filing false tax returns seeking over $4M in refundsRead the Press Release
CORPUS CHRISTI, Texas – A local resident has been indicted on 15 counts for making a false claim and subscribing to false tax returns based on a fictitious income and withholdings, announced U.S. Attorney Alamdar S. Hamdani.
David Gauna appeared before U.S. Magistrate Judge Julie K. Hampton at 10 a.m.
The indictment alleges in 2019, Gauna falsely claimed on his income tax return for estates and trusts (Form 1041) that his trust had received $620,891 in interest income, which had been withheld and paid to the government. At the time of filing, he allegedly knew the return was incorrect and untrue.
The indictment further alleges in 2020, Gauna filed another Form 1041, claiming his trust was owed a tax refund of $3,346,693. Later that year, he allegedly assisted in filing 13 additional 1041 forms, requesting refunds totaling $4,960,434, all of which he knew were fraudulent.
If convicted, Gauna faces up to three years in federal prison and a possible $250,000 maximum fine for subscribing to a false tax return as well as up to five years in prison and a possible $250,000 fine for each of the 14 counts of making false claims against the United States.
IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorney John Marck is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Kingsville business owner charged with failing to pay employment taxesRead the Press Release
CORPUS CHRISTI, Texas – A local resident has been indicted on 16 counts for failure to pay employment taxes to the IRS, announced U.S. Attorney Alamdar S. Hamdani.
Timothy Gaines Pollard appeared before U.S. Magistrate Judge Julie K. Hampton today at 10 a.m.
According to the indictment, Pollard owned and operated Tim Pollard Construction, a residential remodeling and fence installation business in Kingsville and Bishop. Pollard was allegedly responsible for determining which expenses to pay and exercised control over all aspects of the business.
As owner and operator, Pollard was allegedly held liable for collecting and withholding employment taxes from his employees’ paychecks. Such employment taxes allegedly include federal income tax, Social Security and Medicare taxes. It is alleged Pollard withheld these taxes from employees but failed to pay them over to the United States.
The indictment further alleges Pollard diverted corporate funds to cover his personal salary and expenses. Pollard still owes more than $400,000 in employment taxes on behalf of his company’s employees, as alleged in the indictment.
If convicted, Pollard faces up to five years in federal prison and a possible $250,000 maximum fine for each count of in the indictment.
IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorney John Marck is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Laredo man admits to smuggling toddler from Mexico into South TexasRead the Press Release
LAREDO, Texas – A 27-year-old man has pleaded guilty for attempting to transport a two-year-old child from Mexico further into the United States, announced U.S. Attorney Alamdar S. Hamdani.
Julio Chavez-Olan admitted to making an agreement with another person to transport the girl in exchange for financial gain.
On Nov. 23, 2023, Chavez-Olan arrived at the Juarez Lincoln Bridge Port of Entry in Laredo driving a grey Honda sedan with a two-year-old child in the backseat. He attempted to enter the United States by claiming the girl was his own daughter and presented law enforcement with her birth certificate.
Upon primary inspection, Chavez-Olan showed family photographs to authorities, claiming the photos included the child in the backseat.
Law enforcement then referred Chavez-Olan to secondary inspection where further investigation determined the photographs did not depict the two-year-old girl and were instead of his daughter and niece.
The investigation also revealed the minor was not related to Chavez-Olan and was not accompanied by a parent, legal guardian or family member during the smuggling attempt.
U.S. District Judge Marina Garcia Marmolejo will impose sentencing July 16. At that time, Chavez-Olan faces up to 10 years in federal prison and a possible $250,000 maximum fine.
Chavez-Olan was permitted to remain on bond pending that hearing.
Customs and Border Protection conducted the investigation. Special Assistant U.S. Attorney Terence Andrew Check Jr. is prosecuting the case.
Fugitives arrested in deadly human smuggling and kidnapping for ransom schemeRead the Press Release
HOUSTON – Two individuals are expected to appear in Houston federal court in relation to a smuggling event that turned fatal in March 2023, announced U.S. Attorney Alamdar S. Hamdani.
Lorie Lin Flowers, 25, and Santiago Hernandez Jr., 26, are expected to make their initial appearances before U.S. Magistrate Judge Dena Hanovice Palermo at 2 p.m.
The Houston residents had evaded law enforcement for over nine months until authorities recently apprehended them following their removal from Mexico back to the United States.
The charges allege that on March 17 and 18, 2023, a human smuggling operation resulted in the armed kidnapping of three migrants along I-10 East in Waller County. Three other victims were shot and left at the scene, according to the allegations. The alleged perpetrators held the victims hostage at two Houston area hotels and began requesting ransom money from their families. The charges allege the victims were beaten and threatened while held for ransom.
According to testimony presented in court, the kidnappers released two hostages after their families paid the ransom and law enforcement conducted an operation to rescue the remaining victim.
The scheme led to the death of one of the alleged perpetrators.
Brian Martinez, 24, and Christian Hernandez, 26, both of East Bernard, Miguel Gonzalez, 34, Richmond; and Houston residents Zachary Austin Palomo, 29, Alex Anthony Fisher, 27, and Brenda Roxana Serrano Figueroa, 25, were previously indicted and all but Miguel Gonzalez have remained in custody on various charges.
Santiago Hernandez, Flowers, Palomo, Figueroa and Fisher are charged with aiding and abetting kidnapping. If convicted, they face up to life in prison. For bringing in and harboring certain individuals, Gonzalez, Cristian Hernandez and Martinez could receive up to 10 years in federal prison upon conviction. All charged also carry a potential fine of $250,000.
The FBI conducted the investigation with the assistance of the sheriff’s offices in Harris and Waller Counties, Houston Police Department and the State Attorney General of the State of Michoacán as helping in the arrest of the fugitives. Assistant U.S. Attorney John M. Lewis is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Convicted felon and sex offender sent to prison for possessing firearms, ammunition and methRead the Press Release
CORPUS CHRISTI, Texas – A 45-year-old Corpus Christi resident has been sentenced for being a felon in possession of firearms and ammunition in addition to possessing meth, announced U.S. Attorney Alamdar S. Hamdani.
A federal jury convicted Roberto Moya Dec. 12, 2023, following a two-day trial.
U.S. District Judge David S. Morales has now ordered Moya to serve 75 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional testimony that described the extent of Moya’s involvement in drug dealing. Evidence was also presented that depicted Moya fighting with guards at the jail. In handing down the sentence, the court noted Moya’s gang affiliations and his associations with known drug dealers resulted in the position he is in today.
On May 25, 2022, law enforcement conducted a search at Moya’s residence as part of a narcotics investigation. Although he was not the target, the investigation led them to that location.
During the search, authorities discovered a Glock pistol and a fully loaded magazine along with five other bullets of various calibers. Law enforcement found them between the mattress and box spring of the bed inside Moya’s bedroom. Law enforcement also found three pistols throughout the house, a shotgun and five shotgun shells in the garage, to which only Moya had a key.
The investigation further revealed Moya was a convicted felon for robbery and failure to register as a sex offender. As such, he is prohibited from possessing firearms and ammunition.
Moya will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of Homeland Security Investigations and the Corpus Christi Police Department. Assistant U.S. Attorney Amanda L. Gould prosecuted the case.
This case was prosecuted as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
Children’s store employee gets 25 years for attempting to sexually assault nine-year-oldRead the Press Release
McALLEN, Texas – A 21-year-old man residing in San Juan has been sentenced for coercion and enticement of a minor, announced U.S. Attorney Alamdar S. Hamdani.
Jorge Eduardo Naranjo pleaded guilty July 8, 2023, admitting he utilized a social media application and made arrangements to engage in a sexual encounter with a nine-year-old child.
U.S. District Chief Judge Randy Crane ordered Naranjo to serve 300 months in federal prison. The sentence was enhanced after the court determined Naranjo was a repeat and dangerous offender against minors, the offense involved a minor under the age of 12 and it was a commercial sex act. During the hearing, the court also heard argument that Naranjo crafted a life where he had access to children through employment at a children’s store and even expressed a desire to have his own female child so he could sexually assault her. The court also heard additional information that Naranjo was in possession of hundreds of child pornography files and further distributed those files. In handing down the prison term, Judge Crane noted that despite Naranjo’s age, his behavior was alarming and expressed the need to protect children in our community from this danger. Naranjo will also serve 10 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender.
“Naranjo exhibited some of the most dangerous behavior for our society,” said Hamdani. “He is a predator – he made specific inquiries about how to prevent children from reporting sexual abuse and if a nine-year-old could become pregnant. Thankfully, our partners put a stop to his threat and, together, we have taken another step in keeping our community safe from these reprehensible crimes.”
Naranjo, who operated several accounts with the username “Bored Dude” on a social media site, began communicating with an individual he believed had a nine-year-old child. Naranjo exchanged multiple messages clarifying his intent to engage in criminal sexual activity with the individual’s child who he referred to as “little.” Additionally, he sent files containing child pornography to the individual, messages inquiring how to keep children from reporting sexual abuse and if it was possible the child would become pregnant.
Naranjo traveled to an Edinburg hotel and intended to engage in the criminal sexual activity. Law enforcement took him into custody immediately upon his arrival at the hotel.
The FBI conducted the investigation.
Assistant U.S. Attorney Devin V. Walker prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources link on that page.
South Texan sent to prison for hauling 32 people in horse trailerRead the Press Release
CORPUS CHRISTI, Texas – A 34-year-old Mission resident has been sentenced following his conviction for transportation of undocumented aliens, announced U.S. Attorney Alamdar S. Hamdani.
Simon Garcia III pleaded guilty Dec. 15, 2023.
U.S. District Judge Nelva Gonzales Ramos has now ordered Garcia to serve 24 months in federal prison followed by two years of supervised release. At the hearing, the court heard additional evidence regarding the circumstances of the crime such as the heat and cramped conditions. In handing down the sentence, the court noted the number of people transported in the horse trailer.
On Sept. 15, 2023, Garcia approached the Falfurrias Border Patrol (BP) checkpoint driving a black Dodge Ram 3500 truck with an attached horse trailer and four horses. A K-9 alerted to the vehicle and authorities referred him to secondary inspection.
Upon further investigation, law enforcement discovered 32 people hidden within a storage compartment inside the trailer. All were illegally present in the United States and cramped into a small area.
After refusing to get inside the trailer, one person recalled that he was forced into the trailer. Some described how they crossed into the United States and were held at stash houses before masked individuals told them to get into the horse trailer, not move and be quiet. Another person said he was sweating excessively, had a hard time breathing, had no way to escape and feared for his life.
Garcia will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations and BP conducted the investigation. Assistant U.S. Attorney Liesel Roscher prosecuted the case.
Local man arrested for distributing fentanyl resulting in two fatalitiesRead the Press Release
HOUSTON – A 24-year-old Crosby resident has been taken into custody for trafficking fentanyl on multiple occasions that resulted in death and serious bodily injury, announced U.S. Attorney Alamdar S. Hamdani.
Joshua Ray Stebelton is expected to make his initial appearance before U.S. Magistrate Judge Dena Hanovice Palermo at 2 p.m.
The indictment, returned March 27 and unsealed upon Stebelton’s arrest, alleges he was a member of an ongoing four-year conspiracy to distribute more than 440 grams of fentanyl. According to the indictment, the conspiracy allegedly resulted in the deaths of two and serious bodily injury to a third victim.
In November 2020, Stebelton allegedly distributed less than 40 grams of fentanyl that resulted in the death of an individual. Less than two months later in January 2021, he is alleged to have distributed fentanyl again which resulted in the death of another victim.
In addition to the conspiracy, Stebelton is charged with seven counts of distributing fentanyl from November 2020 through June 2023.
If convicted, Stebelton faces up to life imprisonment and a possible $10 million maximum fine.
The FBI conducted the investigation with the assistance of the Houston Police Department and Harris County Sherriff’s Office. Assistant U.S. Attorneys Anibal J. Alaniz, Casey N. MacDonald and Jimmy Leo are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Fleeing felon sent to prison for firearm and methRead the Press Release
CORPUS CHRISTI, Texas – A 41-year-old Corpus Christi man has been ordered to federal prison following his convictions of possessing narcotics with the intent to distribute, being a felon in possession of a firearm and possessing firearms in furtherance of a drug trafficking crime, announced U.S. Attorney Alamdar S. Hamdani.
A federal jury sitting in Corpus Christi convicted Jason Ramirez May 10, 2022, following a two-day trial.
U.S. District Nelva Gonzales Ramos has now ordered Ramirez to serve 120 months in federal prison for being a felon in possession of a firearm and drug trafficking. He received an additional six-month sentence for possessing a firearm in furtherance of drug trafficking. The prison terms will run consecutively for a total 126-month sentence of imprisonment. The sentence will be immediately followed by five years of supervised release.
At trial, the jury heard that on Feb. 29, 2020, law enforcement pursued Ramirez after he failed to yield at a stop sign. He soon crashed into a concrete fountain at a local park and fled on foot. Shortly after, they discovered Ramirez in a nearby neighborhood and arrested him.
At the time of arrest, authorities discovered a pistol and meth in Ramirez’s vehicle. Upon searching his phone, law enforcement discovered messages related to the selling of drugs and pictures of Ramirez posing with the firearm.
The defense attempted to convince the jury that the gun and meth found in the car did not belong to Ramirez. However, the jury saw video evidence of Ramirez fleeing from the vehicle and footage showing the discovery of the weapon and narcotics. The jury did not believe those claims and found him guilty as charged.
Ramirez has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of the Drug Enforcement Administration and the Corpus Christi Police Department. Assistant U.S. Attorney John R. Lamont prosecuted the case.
Firearm smugglers sent to prison for illegally purchasing and transporting 21 pistols into MexicoRead the Press Release
LAREDO, Texas – Two Mexican nationals have been sentenced following their convictions of firearm smuggling, announced U.S. Attorney Alamdar S. Hamdani.
Sadir Arvizu Velazquez, 40, and his son, Sadir Arvizu Barcenas, 19, both Mexican citizens residing in Querétaro, Mexico, pleaded guilty Oct. 11, 2023.
U.S. District Judge John A. Kazen has now imposed a 52-month-term of imprisonment for Velazquez, while Barcenas received 37 months. Not U.S. citizens, they are expected to face removal proceedings following their sentences. In imposing the prison terms, Judge Kazen stated that some degree of planning was evident since the men traveled from Mexico to the United States for the specific purpose of violating federal laws.
On Nov. 5, 2022, the father and son duo flew to Dallas from Mexico City, Mexico, to enlist the assistance of James Mwangangi Kiilu, 22, Denton, to buy 21 semi-automatic pistols between Nov. 6, 2022, and Nov. 9, 2022. Kiilu agreed to purchase pistols in his name and falsely certify on federal forms that the pistols were only for him.
After purchasing the weapons, Kiilu delivered them to Velazquez and Barcenas.
On Nov. 9, 2022, authorities observed Kiilu, Velazquez and Barcenas loading the pistols into a secret compartment of a small compact car, a Chevrolet Spark, modified with a secret compartment to conceal the pistols. The men then disposed of the pistol boxes, bags and receipts. Law enforcement subsequently conducted traffic stops on Kiilu, who drove a rented SUV, and Velazquez who drove the Chevrolet Spark. Authorities found the pistols in the hidden compartment within the compact car.
Law enforcement seized the firearms which have since been forfeited to the United States.
On Feb. 1, U.S. District Judge Micaela Alvarez ordered Kiilu to serve 52 months in prison to be followed by three years of supervised release.
Velazquez and Barcenas will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future while Kiilu will remain on bond until ordered to self-surrender.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with assistance from the Laredo Police Department. Assistant U.S. Attorney Homero Ramirez prosecuted the case.
This case as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.
Convicted elderly sex offender heads to prison for next decadeRead the Press Release
HOUSTON – A 74-year-old Kingwood resident has been sentenced for possessing and watching sexually explicit material involving minors over a web video meeting, announced U.S. Attorney Alamdar S. Hamdani.
Stephen Philip Keller pleaded guilty Nov. 27, 2023, to one count of accessing with intent to view child pornography and one count of possession of child pornography. At the time of the plea, the court heard that Keller is a repeat offender against minors. He was convicted in 2001 for criminal solicitation of a minor.
U.S. District Judge Andrew S. Hanen has now ordered Keller to serve two 120- month prison terms concurrently for the accessing with intent to view and possession of child pornography convictions. Keller was further ordered to serve 15 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Keller is also a registered sex offender and will continue to be so following his sentence.
In March 2021, Keller logged into in a web video meeting which included more than 20 minutes of child pornography videos. The investigation identified Keller as one of several participants in the meeting.
In February 2022, law enforcement executed a search warrant at Keller’s residence. At that time, he admitted to participating in more than five web video meetings which involved the streaming of child pornography. Keller also admitted to receiving child pornography through encrypted messaging apps on his cellphone.
Authorities also conducted a forensic investigation and discovered several illicit images of minors on Keller’s phone.
Keller will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
FBI conducted the investigation with the assistance of Harris County Precinct 4 Constable’s Office.
Assistant U.S. Attorney Stephanie Bauman prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.