Southern District of Texas
Press releases recorded for this federal judicial district.
Local man guilty in $317 million N95 mask scamRead the Press Release
HOUSTON – A 56-year-old Houston resident has pleaded guilty to a scheme to fraudulently sell 50 million non-existent N95 facemasks to the Australian government, announced Acting U.S. Attorney Jennifer B. Lowery.
In early April 2020, Arael Doolittle attempted to sell 50 million 3M N95 respirator masks to the government of Australia. However, he actually did not possess them.
The Australian government was supposed to pay over $317 million for the masks, but authorities disrupted the transaction before it was completed.
U.S. District Judge Lynn N. Hughes accepted the plea and set sentencing for Oct. 25. At that time, Doolittle faces up tofive5 years in federal prison and a possible $250,000 maximum fine. He has been and will remain in custody pending that hearing.
The Secret Service conducted the investigation. Assistant U.S. Attorney Justin R. Martin prosecuted the case.
On May 17, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The task force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic - https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form.
Out-of-state man pleads guilty to smuggling 117 from Laredo in trailerRead the Press Release
LAREDO, Texas – A 42-year-old resident of Covington, Georgia, has pleaded guilty in Laredo federal court to conspiracy to transport undocumented aliens, announced Acting U.S. Attorney Jennifer B. Lowery.
Jonathan Kyle Price admitted he had agreed to smuggle 117 aliens past a Border Patrol (BP) checkpoint.
On Feb. 19, Price arrived at the BP checkpoint on Interstate Highway 35 approximately 29 miles north of Laredo in a tractor-trailer. However, he drove away before his immigration inspection was complete. Law enforcement pursued and quickly stopped him
A service K-9 then detected an odor within the trailer. Authorities conducted a thorough inspection and found 117 undocumented aliens.
U.S. District Judge Marina Garcia Marmolejo will impose sentencing Oct. 25. At that time, Price faces up to 10 years in prison. He was permitted to remain on bond pending that hearing.
Homeland Security Investigations conducted the investigation with the assistance of BP. Assistant U.S. Attorney David Fawcett is prosecuting the case.
Defense attorney convictedRead the Press Release
McALLEN, Texas – A 48-year-old resident of Mission has pleaded guilty to violating the Travel Act by unlawfully accessing federal documents in order to assist a known drug trafficking organization, announced Acting U.S. Attorney Jennifer B. Lowery.
Eric S. Jarvis is a licensed criminal defense attorney out of McAllen. Today, he admitted to using a cellular phone and the Public Access to Court Electronic Records (PACER) database to assist and promote the drug trafficking activities of known drug traffickers since at least July 24, 2017, through May 10, 2021.
Jarvis admitted to assisting drug trafficker Angel Aziel Herrera and his successors in Mexico. He helped the drug trafficking organization by obtaining documents that provided information regarding co-conspirators during the ongoing investigation. Jarvis knew criminal complaints had documented loads that law enforcement seized from the organization. He also knew Herrera and his successors could and would provide the complaints to their sources of supply in order to continue receiving drugs from their sources of supply for importation and distribution into the United States.
Jarvis admitted to obtaining the criminal complaints from PACER on at least eight occasions from July 24, 2017, through May 2021 and providing them to Herrera and/or his co-conspirators by WhatsApp or hand delivery.
He also admitted to accepting drug trafficking proceeds from Mexico as payment from Herrera to represent other co-conspirators working for the organization in criminal matters.
As part of the plea, Jarvis also agreed to the forfeiture of $8,000 in drug trafficking proceeds he received as payment for his criminal actions.
U.S. District Judge Ricardo H. Hinojosa accepted the plea today and set sentencing for Oct. 1, at which time he faces up to five years in prison. He was permitted to remain on bond pending that hearing.
Homeland Security Investigations and FBI conducted the investigation with the assistance of the U.S. Attorney’s Office for the Western District of Texas, Customs and Border Protection, Drug Enforcement Administration, Texas Department of Public Safety and Hidalgo County Sheriff’s Office. Assistant U.S. Attorney Roberto Lopez Jr. is prosecuting the case.
The plea is a result of Organized Crime Drug Enforcement Task Force (OCDETF) investigation dubbed Operation Dead Men Walking. OCDETF identifies, disrupts and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States. It uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state and local law enforcement agencies against criminal networks.
Rip crew gets significant sentences for multiple violent crimesRead the Press Release
HOUSTON – Three illegal aliens from Central America have been ordered to prison following their multiple convictions involving conspiracy to rob a drug dealer, drug trafficking, as well as firearms and immigration offenses, announced Acting U.S. Jennifer B. Lowery.
The jury deliberated for less than four hours before convicting Nestor Henriquez-Parada, aka Homie, 37, Edwin Martinez-Brilia, aka Jarrito, 42, and Josue Marquez-Oseguera, aka Nahun, 37, Sept. 4, 2019, following a nearly three-week trial. Christain Benjhamin Martinez-Meraz, aka Peludo, 39, pleaded guilty in the middle of trial. All had repeatedly and unlawfully re-entered the United States.
Today, U.S. District Judge David Hittner handed Martinez-Meraz a 220-month sentence, while Martinez-Brilia and Marquez-Oseguera received respective total sentences of 205 and 210 months in federal prison. Not U.S. citizens, all are expected to again face removal following their incarceration. At the hearing, the court heard evidence about numerous robberies they committed prior to their arrests for these charges, multiple previous deportations and other convictions. One of those noted was a violent assault Martinez-Brilia committed against his wife.
Henriquez-Parada is set for sentencing July 30.
The four men were “Tumbadores” known to be part of a “rip crew” who engage in armed robberies of game rooms, drug dealers, alien smugglers and human traffickers.
During trial, the jury heard from a total of 24 witnesses and saw 38 exhibits.
The jury heard the crew was involved in several robberies, or “rips,” in the Houston area.
Martinez-Meraz decided to plan a robbery of a local drug dealer and employed the three others as his crew. They thought a pickup truck was coming to Houston from Mexico and contained 25 kilograms of cocaine and five kilograms of meth, but later heard drugs were actually located at a residence in Houston. They went there armed with a sledgehammer and three loaded firearms, one of which had an extended magazine.
Martinez-Brilia was the armed getaway driver, while the other three forced their way into the house. Marquez-Oseguera was armed with a sledgehammer and used it to knock down several doors in the house while Martinez-Meraz and Henrinquez-Parada were armed with firearms. They eventually broke into a closet and found what they thought were drugs. Law enforcement apprehended them as they were preparing to move the narcotics to the truck.
Authorities later executed a search of Martinez-Meraz’s residence and recovered additional drugs, a loaded assault rifle and several other magazines containing ammunition.
All 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 conducted the investigation along with Houston Police Department, Texas Department of Public Safety and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Adam Laurence Goldman and Lisa Marie Collins are prosecuting the case.
Laredo man admits to smuggling meth in fire extinguishersRead the Press Release
LAREDO, Texas – A 40-year-old Laredo man has entered a guilty plea to conspiracy to possess with intent to distribute meth, announced Acting U.S. Attorney Jennifer B. Lowery.
Between Oct. 10-26, 2016, Jesus Gabriel Vara-Perez conspired with others to deliver fire extinguishers containing approximately 24 kilograms of meth to Atlanta, Georgia. He also admitted he received $8,000 for his participation in the meth transportation.
He was arrested in Laredo Sept. 23, 2020, at which time he was in possession of more fire extinguishers containing an additional 17 kilograms of meth.
The drugs had a combined estimated street value of more than $320,000.
U.S. District Judge Marina Garcia Marmolejo will impose sentencing at a later date yet to be determined. At that time, Vara-Perez faces up to life in prison and a possible $10 million maximum fine. He was taken into custody pending that hearing.
The Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorney José Angel Moreno is prosecuting the case.
Two Texas residents charged with smuggling 89 in trailerRead the Press Release
LAREDO, Texas – A Houston-area man and woman are set to appear in Laredo federal court on allegations they attempted to smuggle undocumented aliens, announced Acting U.S. Attorney Jennifer B. Lowery.
Marc Anthony Bane, 45, Porter, and Tara Renee Dillon, 33, Conroe, are set to appear before U.S. Magistrate Judge Christopher Dos Santos at 3 p.m. today.
According to the charges, Bane and Dillon arrived at the Border Patrol (BP) checkpoint on Interstate Highway 35 approximately 29 miles north of Laredo in a tractor-trailer. There, a service K-9 allegedly detected an odor within the trailer. The charges allege law enforcement then searched the vehicle and found 89 undocumented non-U.S. citizens.
The individuals were sweating profusely inside the warm trailer even though it was approximately 3 a.m. when authorities found them, according to the charges.
Bane allegedly expected to be paid $1,000 for transporting the trailer.
If convicted, Bane and Dillon face up to 10 years in federal prison and a possible $250,000 maximum fine.
Homeland Security Investigations conducted the investigation with the assistance of BP. Assistant U.S. Attorney David Fawcett is prosecuting the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Katy resident admits to fraudRead the Press Release
HOUSTON – A 47-year-old Katy woman has entered a guilty plea to scheming to defraud British Petroleum (BP), announced Acting U.S. Attorney Jennifer B. Lowery.
Angelica Garcia Dunn admitted to diverting over $2.2 million in vendor payments to her own business accounts. She worked as a contract escrow agent with BP. As part of her duties, she provided third-party services by making vendor payments to BP’s railcar lessors and repair vendors. Dunn received lump sum payments from BP in order to make vendor payments through a bank account over which she had sole authority. It was from these funds that she took approximately $2,282,148.53 in BP funds that were supposed to be for vendors.
U.S. District Judge Alfred Bennett accepted the plea and set sentencing for Sept. 30. At that time, Dunn faces up to 20 years in prison and a possible $250,000 maximum fine. She was permitted to remain on bond pending that hearing.
The FBI conducted the investigation. Assistant U.S. Attorney Melissa Annis is prosecuting the case.
Federal prisoner convicted of possessing a weaponRead the Press Release
CORPUS CHRISTI, Texas – A 38-year-old Mexican national has entered a guilty plea to possessing a dangerous weapon while in custody, announced Acting U.S. Attorney Jennifer B. Lowery.
On June 11, 2020, Sergio Anguiano-Camarillo was awaiting transfer to a Bureau of Prisons facility from the Coastal Bend Detention Center. On that date, law enforcement responded to an assault in the recreation yard. At that time, authorities had observed Anguiano-Camarillo go under the fence and enter the recreation yard.
As part of the plea, Anguiano-Camarillo admitted he used a sharp object he possessed to attack another inmate. The victim sustained several puncture and laceration wounds to the head and neck areas as well as to one of his eyes.
Authorities conducted a search of the area near the assault and recovered a homemade weapon or “shank.” It was a jagged plastic object approximately six inches in length with a makeshift fabric handle.
Anguiano-Camarillo also admitted the shank was his.
Sentencing has been set for Oct. 20 before U.S. District Judge Nelva Gonzales Ramos. At that time, Anguiano-Camarillo faces up to five years in prison and a possible $250,000 maximum fine. He has been and will remain in custody pending that hearing.
The FBI and U.S. Marshals Service conducted the investigation. Assistant U.S. Attorney Reid Manning is prosecuting the case.
Truck driver charged with smuggling 115 in refrigerated trailerRead the Press Release
LAREDO, Texas – A 43-year-old resident of Rosharon is set to make an appearance in Laredo federal court on allegations he attempted to smuggle dozens of undocumented non-citizens, announced Acting U.S. Attorney Jennifer B. Lowery.
Michael Warren Mccoy is set to appear before U.S. Magistrate Judge Christopher A. Dos Santos at 1:30 p.m. today.
According to the charges, authorities encountered a tractor hauling a white refrigerated trailer on U.S. Highway 59 approximately eight miles east of Laredo. Law enforcement allegedly conducted a traffic stop on the vehicle bearing Texas license plates due to a failure to drive in a single lane.
At that time, they cut the seal on the trailer doors and discovered a total of 115 undocumented individuals, according to the charges.
The complaint alleges Mccoy expected to be paid $250 for the transport. He also had allegedly made three previous, similar trips.
If convicted, Mccoy faces up to 10 years in federal prison and a possible $250,000 maximum fine.
Homeland Security Investigations, Texas Department of Public Safety and Border Patrol are conducting the investigation. Assistant U.S. Attorney Anthony Garrie Brown is prosecuting the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.McAllen man who threatened partner sent to prison for narcotics distributionRead the Press Release
McALLEN, Texas – A 60-year-old McAllen resident has been ordered to federal prison for his role in a conspiracy to distribute cocaine, announced Acting U.S. Attorney Jennifer B. Lowery.
Jorge Arturo Gonzalez pleaded guilty Feb. 4, 2020.
Today, U.S. District Judge Micaela Alvarez ordered Gonzalez to serve a 235-month sentence to be immediately followed by four years of supervised release. At the hearing, the court heard additional testimony from witnesses. They described Gonzalez’s role in receiving, storing and distributing kilogram quantities of cocaine at his residence for further distribution since early 2018.
At the time of his arrest, Gonzalez had also threatened his co-conspirator. Today, the court heard how shots had been fired at the co-conspirator’s family home and that someone had killed his dog. In addition, a bullet with the co-conspirator’s name was on his front porch.
The court also determined Gonzalez was responsible for distributing at least 7.97 kilograms of cocaine as part of the conspiracy. Judge Alvarez enhanced the sentence, finding he maintained a residence for the purpose of distributing controlled substances and possessed a firearm in connection with the offense. She further found Gonzalez used credible threats of violence against his co-conspirator and obstructed justice.
On Sep. 13, 2019, authorities conducted a search of Gonzalez’s residence in McAllen and discovered 3.46 kilograms of cocaine along with a firearm, ammunition, a drug scale, thousands of dollars in U.S. currency and multiple cellphones. There also were numerous videos on his cellphones depicting him in possession of a firearm and large quantities of cocaine and other controlled substances.
Considered a danger to the community and a flight risk, 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.
Homeland Security Investigations conducted the investigation. Former Assistant U.S. Attorney (AUSA) Kristina Pekkala prosecuted the case, while AUSA Matthew Redavid handled the contested sentencing hearing today.
Jury convicts Laredo man on cocaine chargesRead the Press Release
LAREDO, Texas – A Laredo federal jury has convicted a 35-year-old legal permanent resident for conspiracy and possession with intent to distribute more than 500 grams of cocaine, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for approximately four hours before convicting Baldemar Guadiana following a two-day trial which included four witnesses.
At trial, the jury heard about the investigation which resulted in the discovery of approximately 3.68 kilograms of cocaine.
On Jan. 31, 2018, an undercover officer received eight bundles of narcotics at a local grocery store parking lot. Later that day, Guadiana contacted the officer and made arrangements to meet and take possession of the cocaine. Once at the pre-arranged location, Guadiana parked behind the officer. He then took the drugs and attempted to leave.
Law enforcement soon stopped him and took him into custody. authorities ultimately discovered a total of nearly four kilograms of cocaine in the eight bundles.
The defense attempted to convince the jury Guadiana had no knowledge the bundles in his truck contained narcotics. They also contended law enforcement did not perform an adequate and thorough enough investigation to convict him. The jury disagreed and found him guilty as charged.
U.S. District Judge Marina Garcia Marmolejo presided over trial and set sentencing for Oct. 25. At that time, Guadiana faces up to 40 years of imprisonment and a possible $5 million maximum fine. Not a U.S. citizen, he could lose his status as a legal permanent resident.
Previously released on bond, Guadiana was taken into custody following the trial today where he will remain pending his sentencing.
Homeland Security Investigations conducted the investigation with the assistance of the Laredo Police Department. Assistant U.S. Attorneys José Angel Moreno and Yoona Lim are prosecuting the case.
Former police officer gets 30 years for violating the civil rights of two menRead the Press Release
McALLEN, Texas - A 26-year-old former local police officer has been ordered to federal prison after sexually assaulting two men while in his custody, announced Acting U.S. Attorney Jennifer B. Lowery.
A federal jury deliberated for approximately two hours before returning guilty verdicts March 10 against Matthew Lee Sepulveda, Edinburg, on two violations of civil rights following a two-day trial.
Today, U.S. District Judge Randy Crane ordered Sepulveda to serve a 360-month sentence to be immediately followed by five years of supervised release. In handing down the sentence, Judge Crane commented on the shame and embarrassment to law enforcement as a result of Sepulveda’s actions. The court further noted its disappointment in Sepulveda’s lack of empathy for the victims.
“The vast majority of law enforcement officers in the United States are deeply committed to fulfilling their oath to serve and protect our community,” said Special Agent in Charge Christopher Combs of the FBI. “Sepulveda betrayed this oath by preying on his victims, exploiting his authority to serve his own personal, depraved interests.”
Sepulveda served as a law enforcement officer with the Progreso Police Department from April 17 to July 2, 2019. The jury heard that while acting under his authority as a uniformed police officer, Sepulveda performed oral sex on two victims while they were in his custody.
At trial, The jury heard from the two men.
The first explained that after he was arrested, Sepulveda took him from the jail cell and escorted him to another office at the police department. Sepulveda then began asking him questions of a sexual nature and performed oral sex on him. The victim testified because Sepulveda was a police officer, he was scared and did not think he could leave.
The evidence showed that Sepulveda’s DNA was found on the victim’s underwear. The jury also heard that Sepulveda logged the victim’s arrest and case after the fact.
The second victim, who was only 17 at the time, was taken to the police department because he was unable to contact his parents subsequent to a traffic stop in which he was a passenger. He described how Sepulveda took him to an office located within the police department where he began asking the victim questions of a sexual nature and also performed oral sex on the victim.
The defense attempted to portray one of the victims as a liar and questioned some of the evidence. The jury was unconvinced and found Sepulveda guilty of two civil rights violations. They also found that on the second count, his conduct resulted in bodily injury and included attempted aggravated sexual abuse, aggravated sexual abuse and kidnapping.
Sepulveda will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Hidalgo County Sheriff’s Office conducted the investigation with the assistance of the FBI. Assistant U.S. Attorneys Sarina S. DiPiazza and Angel Castro prosecuted the case.
Man “traveling for work” sentenced for smuggling 23 kilos of methRead the Press Release
McALLEN, Texas – A 53-year-old U.S. citizen living in Tamaulipas, Mexico, has been ordered to federal prison for importing meth into the United States, announced Acting U.S. Attorney Jennifer B. Lowery.
Fernando Ramirez pleaded guilty Feb. 26.
Today, U.S. District Judge Randy Crane ordered him to serve a 70-month sentence to be immediately followed by four years of supervised release. At the hearing, the court heard additional evidence how this was not the first time he imported a controlled substance into the United States. Ramirez admitted to crossing loaded vehicles several times in the past. In sentencing Ramirez, Judge Crane further noted the seriousness of the crime.
On Dec. 11, 2020, Ramirez arrived at the Hidalgo port of entry and attempted to enter the United States from Mexico. Ramirez stated he was on his way to work from his home in Tamaulipas. He was referred for a secondary inspection where a K-9 alerted to the gasoline tank of the vehicle. Authorities inspected it and seized 44 packages of meth with a weight of approximately 23 kilograms.
The drugs had an estimated street value of $126,500.
Ramirez eventually admitted he knew the vehicle he was driving contained drugs and that he would be paid $500 to smuggle them into the United States.
Customs and Border Protection and Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Colton Turner prosecuted the case.
Federal agent charged with aiding drug smugglingRead the Press Release
McALLEN, Texas – A Border Patrol (BP) agent has been arrested on allegations he attempted to aid and abet smuggling cocaine through a BP checkpoint, announced Acting U.S. Attorney Jennifer B. Lowery.
Oberlin Cortez Pena Jr., 22, La Joya, is set to make his appearance before U.S. Magistrate Judge Nadia S. Medrano at 9 a.m. today.
Authorities took him into custody July 9 upon the filing of a criminal complaint. The charges allege that on two separate occasions, Pena accepted $1,000 in exchange for helping a vehicle with at least five kilograms of cocaine through the Falfurrias checkpoint. Pena allegedly utilized his knowledge as a BP agent in acting as a scout and providing information about the inspection lanes and which one to utilize.
According to the complaint, he also gave detailed instructions on how to conceal the drugs and tactics to employ in order to distract the K-9 unit at the checkpoint.
If convicted, he faces a minimum of 10 years up to life in federal prison as well as a possible $10 million maximum fine.
Department of Homeland Security - Office of the Inspector General conducted the investigation with assistance from Customs and Border Protection - Office of Professional Responsibility and BP. Assistant U.S. Attorneys Jongwoo Chung and John Pearson are prosecuting the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Drug trafficker from Canada sent to prisonRead the Press Release
HOUSTON – A 51-year-old woman has been ordered to federal prison for conspiracy to possess with intent to distribute cocaine, announced Acting U.S. Attorney Jennifer B. Lowery.
Elizabeth K. Fisher pleaded guilty Jan. 11, 2020.
Today, U.S. District Judge Kenneth Hoyt ordered Fisher to serve an 84-month-term of imprisonment to be immediately followed by five years of supervised release. In handing down the sentence, Judge Hoyt noted the sentence should provide deterrence to those that traffic in controlled substances.
Fisher intended to come to Houston where she would receive shipments of cocaine to test and store before delivering it someone who would transport it Canada.
She first flew into the United States in April 2019. While she did not receive any drugs on that trip, she did rent a townhouse before returning to Calgary, Canada, April 30.
On May 12, 2019, Fisher returned to Houston and her rented residence. Less than a week later, she drove to a Home Depot where she met with an individual who got in her car and drove off while Fisher entered the store. Authorities later saw her talking on her phone as she exited the parking lot in her vehicle.
Law enforcement executed a traffic stop and found four duffle bags containing a total of 78 kilograms of cocaine.
Fisher 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 in Houston and Vancouver, Canada, and Homeland Security Investigations conducted the investigation along with law enforcement in Calgary. Assistant U.S. Attorney Robert Stabe prosecuted the case.
Laredoan sentenced for importing meth inside tacosRead the Press Release
LAREDO, Texas – A 31-year-old resident of Laredo has been ordered to federal prison for bringing drugs into the country concealed in his “lunch,” announced Acting U.S. Attorney Jennifer B. Lowery.
Nicolas Castro Jr. pleaded guilty Nov. 30, 2020.
Today, U.S. District Judge Diana Saldana ordered him to serve an 87-month sentence to be immediately followed by five years of supervised release. In handing down the sentence, Judge Saldana noted Castro’s background and her concerns about how his graduation to drug smuggling after a prior conviction for alien smuggling.
On Sept. 8, 2020, Castro attempted to enter the United States at the Gateway to the Americas Bridge in Laredo. Authorities inspected Castro’s belongings and found a plastic bag with tacos and chips. Castro claimed the food was for his lunch.
Law enforcement referred him to secondary inspection where a K-9 alerted to the presence of narcotics within the bag. It then tested positive for meth.
Castro eventually admitted to knowing the tacos contained a kilogram of drugs and that he was going to be paid $1,500 to transport the drugs to Austin.
He 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 Customs and Border Protection. Assistant U.S. Attorney Brian Bajew prosecuted the case.
Smuggling 119 aliens in trailer lands Houston man in prisonRead the Press Release
LAREDO, Texas – A 32-year-old Houstonian has been ordered to federal prison for conspiracy to transport illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.
Brodrick Keith Rhodes pleaded guilty April 7.
Today, U.S. District Judge Drew B. Tipton ordered him to serve a 50-month sentence to be immediately followed by three years of supervised release. In handing down the sentence, Judge Tipton noted that Rhodes had transported an exceptionally high number of aliens in his trailer.
On Jan. 12, Rhodes arrived at the Freer Border Patrol checkpoint driving a semi-truck and refrigerated trailer. He claimed he was hauling lettuce, but authorities noticed discrepancies with his bill of lading. They also noted he appeared nervous and that the trailer was set to 30 degrees but with an internal temperature of 68.
At secondary inspection, law enforcement ultimately found 119 aliens in the trailer’s cargo area.
Rhodes claimed he worked for a business in La Porte, but the bill of lading indicated he was transporting lettuce from a Laredo produce company to a location in Sugar Land. The business indicated Rhodes had never been employed with them nor do they even transport outside the Houston area. The other two companies confirmed they had no record of the shipment.
The aliens told authorities they had been taken to a truck and told to get in the trailer. It soon departed and did not stop until it reached the checkpoint.
Rhodes was 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 Border Patrol. Assistant U.S. Attorney Paul A. Harrison prosecuted the case.
South Texan convicted of gun and drug possessionRead the Press Release
McALLEN, Texas – A 35-year-old Edinburg man has entered a guilty plea to being a prohibited person in possession of firearms, announced Acting U.S. Attorney Jennifer B. Lowery.
On April 29, 2020, authorities observed a vehicle departing Christian Ruben Chavez’s residence in Edinburg and conducted a traffic stop. At that time, they found marijuana inside the vehicle.
The investigation revealed Chavez had just sold the drugs to the driver at his residence.
Authorities subsequently searched his residence and found Chavez along with a .40 caliber pistol, 12-gauge shotgun, 5.56 caliber rifle, approximately 1000 rounds of ammunition, multiple high capacity magazines, body armor, eight pounds of vacuum sealed marijuana, marijuana plants, psychedelic mushrooms, a scale and thousands of dollars in U.S. currency.
Chavez admitted to regularly smoking marijuana for the past five years and to possessing both the marijuana and firearms.
Authorities confirmed Chavez had multiple arrests and other adjudications for possessing controlled substances. As such, federal law prohibits him from possessing firearms and ammunition.
Chavez has also agreed to forfeit all the firearms and ammunition.
U.S. District Judge Micaela Alvarez accepted the plea and set sentencing for Sept. 22. At that time, Chavez faces up to 10 years in federal prison and a possible $250,000 maximum fine.
He was permitted to remain on bond pending that hearing.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of the Edinburg Police Department. Assistant U.S. Attorney Matthew Redavid is prosecuting the case.
Texan convicted of attempting to export firearms, magazines and ammunitionRead the Press Release
LAREDO, Texas – A Laredo federal jury has convicted a 64-year-old man for attempting to export firearms, firearm magazines and thousands of rounds of ammunition to Mexico, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for less than six hours before convicting Jose Rafael Vasquez, Dallas, following a two-day trial.
On Oct. 15, 2020, Vasquez attempted to exit the United States into Mexico through the Laredo Port of Entry. The jury heard that he was driving a tan 2007 Chevrolet Suburban. During initial inspection, law enforcement discovered suspicious bundles zip-tied to the undercarriage of the vehicle. They appeared to contain ammunition.
A further inspection revealed three AK-47 rifles, eight semi-automatic handguns of various calibers, 16 handgun magazines and approximately 4,714 rounds of 7.62 mm ammunition hidden inside his vehicle. Several of the handguns had decorative handles. The jury heard testimony that these weapons were expensive and highly prized by senior members of criminal organizations in Mexico.
The weapons and ammunition had an approximate street value of $25,000.
The defense attempted to convince the jury Vasquez did not know about the items inside the vehicle. They did not believe his claims and found him guilty as charged.
U.S. District Judge Diana Saldana presided over trial and will set sentencing for a later date. At that time, Vasquez faces up to 10 years in federal prison and a possible $250,000 maximum fine.
Previously released on bond, Vasquez was taken into custody following the sentencing today where he will remain pending sentencing.
Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation along with Customs and Border Protection. Assistant U.S. Attorneys Francisco J. Rodriguez and David Fawcett are prosecuting the case.
Jury convicts Cuban national for assaulting federal officersRead the Press Release
CORPUS CHRISTI, Texas – A federal jury has returned a guilty verdict against a Cuban woman for assaulting two Border Patrol (BP) agents at the Javier Vega Checkpoint, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for approximately 25 minutes before convicting Yaniuska Ordaz-Echevarria, 31, following a one-day trial.
The jury heard that just before midnight on Jan. 31, Ordaz-Echevarria arrived at the checkpoint in Sarita as a passenger on a commercial bus. Law enforcement removed her in order to inquire more about her citizenship status. Ordaz-Echevarria possessed no identification or other documents indicating she was in the United States lawfully. Authorities then escorted her into the checkpoint building for further processing.
Once inside, Ordaz-Echevarria became irate with authorities, refusing to answer their questions. When law enforcement attempted to peaceably escort her into a holding cell, she swung her fists violently. Her aggressive behavior required multiple agents to attempt to restrain her, during which time she continued to kick and punch them.
Two of the BP agents injured at the checkpoint testified and described attempting to subdue Ordaz-Echevarria while she swung and kicked wildly at agents. The jury also saw exhibits documenting their injuries as well as a video depicting Ordaz-Echevarria’s belligerent acts.
The defense attempted to convince the jury that Ordaz-Echevarria’s actions were unintentional and that Ordaz-Echevarria was just angry about possibly being deported for the fourth time. They were not persuaded and found Ordaz-Echevarria guilty as charged.
U.S. District Judge David Morales presided over the trial and set sentencing for Sept. 28. At that time, Ordaz-Echevarria faces up to eight years imprisonment and a possible $250,000 maximum fine.
She has been and will remain in custody pending that hearing.
The FBI conducted the investigation. Assistant U.S. Attorneys Yifei Zheng and Dennis Robinson are prosecuting the case.
Gang members charged with trafficking young girls for sexRead the Press Release
HOUSTON – Four Houston-area gang members are in custody following the return of a federal indictment on allegations of human trafficking, announced Acting U.S. Attorney Jennifer B. Lowery.
Clarence Chambers aka Chris, 29, is expected to appear today before U.S. Magistrate Judge Peter Bray at 2 p.m. Also charged are Javon Opoku aka Glizzy, 20, Damarquis McGee aka Lil Blue, 23, and Andres Portillo aka Andro, 20. Portillo is set for an initial appearance on July 1 at 2 p.m., while McGee and Opoku are set for their initial appearances on July 6 at 10 a.m.
The defendants are charged with trafficking young runaway girls on what it known as the “Blade” or the Bissonnet Track. This is an area near Southwest 59 Freeway and Bissonnet Street in Houston where traffickers commonly place their victims, according to the charges.
According to the indictment, the defendants worked to recruit underage teenage girls and forced them to engage in sex acts for money in cars and hotels around the Blade. They allegedly passed around or reassigned victims amongst one another, taught each other “the pimp game” and required the young girls to walk the Blade and sell their bodies. They also kept the proceeds, according to the charges.
The indictment further alleges if any of the girls wanted to switch between pimps, they would have to pay an exit fee or get “beat out” to do so.
Some of the defendants also allegedly required daily quotas each night from their victims. If the victims failed to meet their daily quotas, they were severely punished through beatings and humiliation, according to the indictment.
If convicted, Chambers and the others face a minimum of 15 years and up to life in federal prison.
The Houston Police Department initiated the investigation and later partnered with Homeland Security Investigations and the Harris County District Attorney’s Office as 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 and Kate Suh 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.Jury finds Webster aviation company liable for violating FAA regulationsRead the Press Release
HOUSTON – Ascent Aviation Solutions LLC and its owner have been ordered to pay nearly $240,000 in penalties for violating safety regulations, announced acting U.S. Attorney Jennifer B. Lowery.
Michael King had been operating the Webster-based company as a direct air carrier without the necessary Federal Aviation Administration (FAA) certification. A direct air carrier is one who provides, or offers to provide, air transportation and who maintains control over the operational functions performed in providing the transportation. In order to operate as a direct air carrier, one must hold an FAA-issued certificate after demonstrating they meet the requisite requirements.
The jury heard that Ascent used what is known in the industry as a “dry lease” to circumvent the FAA requirements for direct air carriers. Under such lease, the lessee simply leases the equipment and is responsible for all aspects of operational control of the plane.
Authorities learned of the illegal charter operation and checked one of the flights. At that time, they found evidence of a sham lease agreement between themselves and an unsuspecting third party.
That party did not have operational control of the plane. Testimony revealed he only paid Ascent to fly him from one city to another. The jury heard Ascent retained operational control of the aircraft meaning Ascent, not the passenger, handled all flight logistics including hiring the pilots.
Further investigation revealed King and Ascent had operated 14 unregulated charter flights which all had the potential to endanger public safety.
The jury ultimately found King and his company liable for violating 14 FAA regulations, including one for the careless and reckless operation of a plane. They were ordered to pay $239,872.
The FAA conducted the investigation. Assistant U.S. Attorneys Ariel N. Wiley, Julie Redlinger and Keith Wyatt represented the United States during the proceedings.
Cuban national charged with ramming FBI security gateRead the Press Release
HOUSTON – A 38-year-old Cuban citizen who resided in the Houston area is set to appear in federal court on charges of willfully injuring or committing any depredation exceeding $1000 against U.S. property, announced Acting U.S. Attorney Jennifer B. Lowery.
Authorities took Nestor Mariano Vidal Batista into custody after allegedly damaging the FBI office in Houston. He is set to make his initial appearance before U.S. Magistrate Judge Frances H. Stacy at 2 p.m. today.
The criminal complaint alleges that on June 23, Batista stole a Dodge Ram 2500 pick-up truck shortly before attempting to lodge an in-person complaint at the FBI office in Houston. Upon his arrival, security alleged referred him to local authorities.
According to the charges, Batista then re-entered the truck, circled the area and tried to force entry. He allegedly sped toward, and crashed the truck into, the front security gates of the FBI building. The complaint alleges, he caused considerable damage.
Shortly thereafter, he was allegedly able to exit the truck and enter the visiting area in the lobby. Authorities then subdued him and took him into custody.
If convicted, Batista faces up to 10 years in federal prison and a possible $250,000 maximum fine.
The FBI conducted the investigation with the assistance of the Houston Police Department. Assistant U.S. Attorney Joe Porto is prosecuting the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Alleged NCAA ticket fraudster taken into custodyRead the Press Release
HOUSTON – A 46-year-old California resident has been charged in a nationwide ticket scam that included a Texas A&M football game, announced Acting U.S. Attorney Jennifer B. Lowery.
A Houston federal grand jury returned a five-count indictment against Derrick Langford April 1, on charges of conspiracy, wire fraud and aggravated identity theft. Authorities arrested him in California yesterday. He is set to make his initial appearance before U.S. Magistrate Judge Donna M. Ryu in Oakland, California, at 1 p.m. (PST) today.
According to the indictment, Langford used email to obtain stolen credit card information from victims across the United States. He then allegedly used that data and false identities to buy tickets for sporting events, concerts and other entertainment venues across the United States which he then re-sold on internet-based ticket resale sites like Ticket Liquidator.
One such event tied to Langford was the Texas A&M football game against Clemson on Sept. 8, 2018, according to the charges. As part of the scheme, Langford had allegedly created false buyer accounts and used stolen credit card numbers to buy tickets to that game. According to the indictment, Langford then resold the fraudulently-purchased tickets on ticket resale sites to unsuspecting buyers.
Texas A&M discovered the fraud and invalidated the tickets, according to the charges. However, some had already been allegedly been sold to unsuspecting buyers which caused the university to incur a 100% loss on the fraudulent tickets.
As the scheme continued, Langford received stolen credit card information and personal identifying information of more than 75 victims in one of his email accounts, according to the charges.
If convicted of wire fraud or conspiracy to do so, Langford faces carries a penalty of up to 20 years in federal prison and a possible $250,000 maximum fine. The identity theft carries an additional two years which must be served consecutively to any other prison term imposed.
The FBI conducted the investigation with the assistance of the Texas A&M University Police Department. Assistant U.S. Attorneys Quincy Ollison and Belinda Beek 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.Imposter sent to prison after claiming to be federal immigration officerRead the Press Release
LAREDO, Texas – A 53-year-old Laredoan has been ordered to federal prison after he admitted to wire fraud and extortion under color of official right, announced Acting U.S. Attorney Jennifer B. Lowery.
Rito Salomon Palacios pleaded guilty Sept. 9, 2020.
Today, U.S. District Judge Diana Saldana ordered Palacios to serve a 57-month sentence to be immediately followed by three years of supervised release. At the hearing, the court heard additional information including testimony and evidence detailing the fraud scheme and the emotional and fiscal damage Palacios caused the victims. Four of them appeared in court and detailed the harassment and threats Palacios committed and the resultant ill effect on their lives.
In handing down the sentence, Judge Saldana noted how heartless Palacios was in relation to his victims as well as his history of thefts and lies and the unfortunate lack of real punishment in previous cases.
The court upwardly departed and raised his criminal history category by two levels to adequately reflect his criminal history. Judge Saldana also mentioned his threats and aggression and considered Palacios a threat to the community.
Palacios masqueraded at varying times as an officer or employee of Customs and Border Protection, an immigration officer or another federal officer or employee. At the time of his plea, the court also heard he delivered receipts in documents bearing the seal of the Department of Transportation and Customs and Border Protection.
Palacios defrauded and extorted members of the public who were not citizens or nationals of the United States. He took money or property by false and fraudulent pretenses, representations and promises to deliver immigration visas, permits or residency in the United States. As part of the scheme, he utilized the internet to set appointments for his victims to be fingerprinted.
Palacios admitted as part of the plea that he demanded and obtained more than $72,000 from the fraud and extortion scheme.
Palacios was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Office of Professional Responsibility and Homeland Security Investigations conducted the investigation with the assistance of the Laredo Police Department. Assistant U.S. Attorney José Angel Moreno prosecuted the case.
South Texan heads to prison for possessing nearly 1500 pornographic images of minorsRead the Press Release
BROWNSVILLE, Texas – A 27-year-old Brownsville resident has been ordered to federal prison for possession of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.
Alvaro Vega-Rodriguez pleaded guilty Feb. 4, 2020.
Today, U.S. District Judge Rolando Olvera Jr. ordered him to serve a 78-month sentence to be immediately followed by 20 years of supervised release during which he will have to comply with numerous requirements designed to restrict his access to children and the internet. He has also been ordered to register as a sex offender.
“These investigations serve as a reminder and warning to those who engage in perverse online behavior involving child exploitation,” said Deputy Special Agent in Charge Timothy Tubbs of Homeland Security Investigations (HSI). “This illegal activity will not be tolerated and those who are participating in it will be found and brought to justice.”
In May 2019, authorities launched an investigation targeting child pornography sharing on the internet. That led them to Vega-Rodriguez. The following month, they conducted a search at the residence and seized his computer. Forensic analysis on the computer later revealed approximately 1,488 images and 121 videos of child pornography.
Vega-Rodriguez was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
HSI’s Rio Grande Valley Child Exploitation Task Force conducted the investigation.
Assistant U.S. Attorneys Ana C. Cano and Jose A. Esquivel, Jr. 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.
Houston men sentenced for smuggling meth in truck tiresRead the Press Release
LAREDO, Texas – Two Houston men have been ordered to federal prison for their involvement in a conspiracy to import meth into the United States, announced Acting U.S. Attorney Jennifer B. Lowery.
Denzel Holloway, 29, and Joshua Guerra, 27, pleaded guilty June 9, 2020.
Today, U.S. District Judge Nelva Gonzales Ramos ordered Holloway to serve a 78-month sentence to be immediately followed by three years of supervised release.
Guerra was sentenced previously to a 96-month term of imprisonment.
On Nov. 28, 2019, Holloway attempted to enter the United States at the Juarez–Lincoln Port of Entry in Laredo. Authorities conducted an X-ray inspection and noticed anomalies in the tires of his pickup truck.
They ultimately found 24 bundles containing a total of 53.4 kilograms of meth in hidden compartments within the truck’s tires. During their investigation, law enforcement discovered Guerra had helped coordinate the smuggling attempt.
The drugs had an estimated street value of about $300,000.
Holloway was 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 Customs and Border Protection. Assistant U.S. Attorney David Fawcett prosecuted the case.
Former Mexican governor sent to US prison for money launderingRead the Press Release
CORPUS CHRISTI, Texas – A former Coahuila, Mexico, governor has been ordered to federal prison for his role in a money laundering scheme that includes offenses against a foreign nation involving bribery of a public official, announced Acting U.S. Attorney Jennifer B. Lowery.
Jorge Juan Torres-Lopez, 67, pleaded guilty June 16, 2020.
Today, U.S. District Judge Nelva Gonzalez Ramos handed Torres-Lopez a 36-month sentence. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. At a previous hearing, the court heard additional evidence from two witnesses who described their relationship with Torres-Lopez and detailed some of the financial transactions and illegal payments.
Torres-Lopez worked for the Mexican government from 1994 to 2011. His roles included general director of Promotion and Development while secretary of Finance for the state of Coahuila, municipal president of Saltillo as well as interim governor of Coahuila. In approximately December 2005, Hector Javier Villarreal-Hernandez was appointed as undersecretary of Program and Budget for the state of Coahuila. At the time, Torres-Lopez was his supervisor. In July 2008, Villarreal-Hernandez was appointed as secretary of Finance for Coahuila, where he remained until his resignation in August 2011.
Torres-Lopez admitted that during some of his time in office, he conducted financial transactions in the United States to conceal the bribes he received in return for road-building contracts for the State of Coahuila. As part of his plea, he agreed to forfeit a piece of property in the United States associated with the payments.
Law enforcement took Torres-Lopez into custody in Mexico Feb. 5, 2019, where he remained until his extradition to the United States Oct. 29, 2019. He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Villarreal-Hernandez, 50, of Saltillo, Coahuilla, Mexico, has also been convicted in the Southern and Western Districts of Texas for money laundering offenses and currently pending sentencing.
The multi-agency investigation dubbed Operation Politico Junction included Drug Enforcement Administration, IRS - Criminal Investigation, Homeland Security Investigations, FBI and U.S. Marshals Service. This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.
The Prosecutor General of the Republic of Mexico provided significant assistance. The Department of Justice’s Office of International Affairs of the Department’s Criminal Division also assisted.
Assistant U.S. Attorneys Jon Muschenheim and Lance A. Watt prosecuted the case.
Brownsville man sent to prison for possessing 600 images of Sugar Land minorRead the Press Release
BROWNSVILLE, Texas – A 23-year-old south Texas man has been ordered to federal prison for possession of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.
Gene Surf Silva pleaded guilty March 24.
Today, U.S. District Judge Rolando Olvera sentenced him to 121 months in federal prison. He will also serve 20 years on supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. Silva was further ordered to pay $15,000 in restitution to five known victims and will also be ordered to register as a sex offender.
In September 2018, authorities learned Silva was addicted to child pornography. The investigation revealed he had possibly acted on his impulses and victimized a child.
Law enforcement executed a warrant on his residence and obtained his computer. Forensic analysis revealed 600 images and 11 video files of a minor from Sugar Land in his possession as well as 800 additional images of child pornography.
Silvah 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 Task Force conducted the investigation.
Assistant U.S. Attorney Nikki Piquette is 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.
Jury convicts Houstonian in human smuggling conspiracyRead the Press Release
VICTORIA, Texas – A federal jury has convicted a 31-year-old Houston man for conspiring to smuggle undocumented citizens within the United States, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for less than two hours before convicting Francisco Javier Lapop aka Chico following a two-day trial.
During the trial, jurors heard testimony that Lapop arranged multiple trips to transport non-citizens who illegally crossed into the United States. During each transportation, Lapop’s associates drove the individuals in a box truck bearing counterfeit commercial logos. They traveled from a south Texas stash house to Houston where Lapop paid his associates.
The jury also heard he recruited others, including his brother, to assist in the crime. The investigation revealed the conspiracy spanned November 2019 to April 2021 and involved dozens of undocumented individuals.
The defense attempted to convince the jury the evidence was insufficient to prove Lapop was a member of the conspiracy. They ultimately did not believe those claims and convicted him as charged.
U.S. District Judge Drew B. Tipton presided over trial and set sentencing for Sept. 16. At that time, Lapop faces up to 10 years in federal pison and a possible $250,000 maximum fine.
Lapop was permitted to remain on bond pending that hearing.
Homeland Security Investigations conducted the investigation with assistance from Kleberg County Attorney’s Task Force. Assistant U.S. Attorneys Yifei Zheng and Dennis E. Robinson are prosecuting the case.
Seven charged for roles in a $110 million compound drug schemeRead the Press Release
McALLEN, Texas – A compound pharmacy owner, three marketers, a referring physician and two clinic office staff have been taken into custody in connection with a multi-million dollar health care fraud and kickback scheme, announced Acting U.S. Attorney Jennifer B. Lowery.
A federal grand jury sitting in McAllen returned a 15-count indictment charging John Ageudo Rodriguez, 51, Mohammad Imtiaz Chowdhury, 40, his father Dr. Tajul Shams Chowdhury, 71, and Alex Flores Jr., 51, all of McAllen; Hector DeLaCruz, Jr., 50, Edinburg; Araceli Gaona, 35, Mission; and Erika Hernandez Salinas, 38, Donna.
All are expected to have their initial appearances tomorrow before U.S. Magistrate Judge J. Scott Hacker.
The indictment includes charges of conspiracy to commit health care fraud, health care fraud, conspiracy to pay and receive illegal kickbacks and conspiracy to commit money laundering.
Rodriguez was the owner of Pharr Family Pharmacy (PFP), according to the indictment. From May 2014 to September 2016, PFP allegedly billed various federal health care programs more than $110 million, including claims that were false, fraudulent and the result of illegal kickbacks.
According to the indictment, Mohammad Chowdhury, Flores and DeLaCruz were purported marketers for PFP who were the conduits for several million dollars in kickbacks relating to the referral of prescriptions for high-reimbursing compound drugs to the pharmacy. In numerous instances, the marketers allegedly received kickbacks from Rodriguez, which they shared with referring physicians.
Dr. Chowdhury is a physician with a medical practice in Edinburg known as Center for Pain Management, according to the charges, while Gaona and Salinas were employees at the clinic. The indictment alleges Mohammad Chowdhury paid kickbacks to his father for referring prescriptions to PFP, including prescriptions for high-reimbursing compound drugs that were not medically necessary nor what the patients wanted. Gaona and Salinas are charged with conspiring to pay and receive kickbacks and conspiracy to commit money laundering in connection with their alleged receipt of kickbacks to help coordinate the flow of prescriptions from the medical clinic to the pharmacy.
The indictment alleges Rodriguez and his co-conspirators targeted specific health care benefit programs known to pay high reimbursements for compound drugs, such as Federal Employee’s Compensation Program, TRICARE, Medicare and various private insurance plans.
As part of the scheme, Rodriguez allegedly provided PFP marketers with pre-filled prescription pads intended to be given to physicians. The charges allege these included compound drugs and other prescription items that would yield the highest possible reimbursement to PFP, without regard to medical necessity.
If convicted of health care fraud and conspiracy to commit health care fraud, they face up to 10 years in prison and a maximum $250,000 possible five. The penalty for conspiracy to pay and receive illegal kickbacks is five years with a $25,000 maximum fine. Those charged and convicted of conspiracy to commit money laundering face up to 20 years in prison and fine of up to $500,000.
The U.S. Postal Service-Office of Inspector General (OIG), FBI, Defense Criminal Investigative Service, Department of Labor-OIG, Veterans Affairs-OIG, Texas Health and Human Services—OIG, Department of Health and Human Services-OIG, and Texas Attorney General, Medicaid Fraud Control Unit conducted the investigation.
Assistant U.S. Attorneys Andrew Swartz and Asha Natarajan 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.
Local man found guilty of violent robbery attemptRead the Press Release
CORPUS CHRISTI, Texas – A Corpus Christi federal jury has convicted a 41-year-old man for attempted robbery and discharging a firearm in the commission of the crime, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for an less than two hours before convicting Eric Richard Garza, Corpus Christi, following a three-day trial.
On Dec. 14, 2018, Garza drove to Central Watch and Clock Repair in Corpus Christi with Christopher Rangel-Musial. Both were wearing masks. The jury heard that Garza gave Rangel-Musial a loaded firearm and told him to point the it at the shop owner while he robbed the business of money and goods.
Rangel-Musial did so, but the shop owner refused to get on the ground as told. Garza instructed Rangel-Musial to shoot him, at which time he fired three shots, hitting the victim twice. The shop owner managed to get his revolver and chased the two men out of the store, shooting Rangel-Musial twice as they fled.
The defense attempted to convince the jury that a female passenger in the getaway vehicle committed the crime. They did not believe those claims and found him guilty as charged.
U.S. District Judge Nelva Gonzales Ramos presided over trial and set sentencing for Sept. 15. At that time, Garza faces up to 30 years of imprisonment and a possible $500,000 maximum fine. He will remain in custody pending that hearing.
Rangel-Musial pleaded guilty in 2019. He has been and will remain in custody until his sentencing, set for June 30.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and Corpus Christi Police Department conducted the investigation. Assistant U.S. Attorneys Joel Dunn and Christopher Marin are prosecuted the case.
Soldiers charged with alien smugglingRead the Press Release
LAREDO, Texas – Two soldiers are set to make appearances in federal court today on allegations they attempted to smuggle two undocumented Mexican citizens to San Antonio, announced Acting U.S. Attorney Jennifer B. Lowery.
Emmanuel Oppongagyare, 20, and Ralph Gregory Saint-Joie, 18, are set to make their initial appearances before U.S. Magistrate Judge Diana Song Quiroga at 1:30 p.m. today.
Saint-Joie is an active duty member of the U.S. Army, while Oppongagyare is from the Pennsylvania National Guard.
According to the charges, Oppongagyare approached the Hebbronville Border Patrol (BP) Checkpoint driving a sedan on the morning of June 13. Saint-Joie was allegedly riding as passenger. Both men were wearing their uniforms, according to the complaint. During primary inspection, Oppongagyare allegedly told authorities they were traveling from Zapata to San Antonio.
Law enforcement referred them to secondary inspection, where they discovered two undocumented Mexican citizens in the trunk of the vehicle, according to the charges.
The complaint alleges they expected to receive an undetermined amount of money to pick up the individuals in McAllen and transport them to San Antonio. They were allegedly told to wear their U.S. Army uniforms in order to avoid questioning from authorities.
If convicted, Oppongagyare and Saint-Joie face up to 10 years in federal prison and a possible $250,000 maximum fine.
BP and Homeland Security Investigations are conducting the investigation.
Assistant U.S. Attorney Brian Bajew is prosecuting the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Septuagenarian charged with manufacturing “ghost guns”Read the Press Release
McALLEN, Texas – A 73-year-old has been charged for selling illegally manufactured and unregistered firearms suppressors destined for a Mexican drug cartel, announced Acting U.S. Attorney Jennifer Lowery.
A federal grand jury returned a three-count indictment today against William Scott Simms. He made his initial appearance May 28 following his arrest, at which time he was ordered into custody pending further criminal proceedings. He is expected to appear again in the near future before a U.S. magistrate judge on the charges contained in the indictment.
Simms is charged with aiding and abetting the attempt to illegally export a silencer, possession of 11 unregistered machine and possession of an unregistered silencer.
Simms allegedly planned to sell illegally manufactured and unregistered firearm suppressors. The alleged recipients were members of a Mexican drug cartel seeking to purchase weapons to be illegally exported into Mexico. The charges further allege Simms illegally manufactured 11 fully-automatic firearms to be sold for $10,000 each.
Simms manufactured the machine guns without any identifying serial numbers, according to the criminal complaint originally filed in the case. Such firearms are commonly known as “ghost guns” because they are more difficult to trace their origins.
If convicted, Simms faces up to 10 years in prison and up to a $10,000 fine for each charge.
The Department of Justice launched Operation Guardian which targeted firearms and illegal export of firearms in November 2019. On April 8, President Biden issued executive orders specifically targeting the manufacturing and transfer of ghost guns.
Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorney Robert L. Guerra Jr. 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.
San Antonio man indicted for smuggling cocaine in pickup truck axleRead the Press Release
LAREDO, Texas – A 24-year-old San Antonio resident has been charged with importing 9.6 kilograms of cocaine, announced Acting U.S. Attorney Jennifer Lowery.
A Laredo federal grand jury returned a two-count indictment June 15 against Jonathan Nunez-Gamboa. He is set to appear before U.S. Magistrate Judge Diana Song Quiroga in the near future for his arraignment.
The indictment alleges that on May 26, Nunez-Gamboa applied for entry into the United States from Mexico at the Lincoln-Juarez bridge Port of Entry in Laredo. Authorities observed Nunez-Gamboa nervously shaking and sweating, according to the charges. He also allegedly gave inconsistent travel itineraries. The charges allege authorities then referred him and his truck to secondary inspection.
There, an X-ray scan of the pickup truck revealed anomalies in the rear axle, according to the charges. The indictment further alleges there were 14 packages of narcotics stuffed inside a hollowed-out rear axle. These packages were full of a white powdery substance that field tested positive for cocaine, according to the criminal complaint originally filed in the case.
The cocaine allegedly weighed 9.6 kilograms with an estimated street value of $230,400.
If convicted, Nunez-Gamboa faces up to life in prison as well as a possible $10 million maximum fine.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul A. Harrison 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.
Armed drug traffickers head to prisonRead the Press Release
McALLEN, Texas – Two men will now serve substantial prison sentences for possession with intent to distribute more than 500 grams of meth, announced Acting U.S. Attorney Jennifer B. Lowery.
Jose Guadalupe Lopez, 41, Weslaco, pleaded guilty in October 2020.
Today, U.S. District Judge Randy Crane imposed a 67-month sentence to be followed by three years of supervised release. At the hearing, the court heard how Lopez had a prior federal drug trafficking conviction for marijuana and that he had now advanced to kilogram quantities of meth. In handing down the sentence, the court held Lopez responsible for the co-defendant’s firearms, noting that guns and drugs are tools of the trade.
Johnathan Ivan Torres, 22, Mercedes, also had pleaded guilty and was sentenced in January also to 120 months in prison. At that time, the court found Torres was in possession of two firearms in connection with his distribution of approximately 6.5 kilograms of meth.
Beginning in May 2019, law enforcement discovered Torres was a source of supply for meth in Hidalgo County. The investigation revealed Lopez and Torres had been communicating and actively discussing the sale and distribution of the narcotics. Authorities ultimately discovered both men in possession of several kilograms of meth.
An additional search of the location where Torres had been residing yielded an additional half a kilogram of meth and two firearms in close proximity to the drugs.
The investigation revealed the meth had been imported from Mexico with a 98% purity level.
Both have 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. Assistant U.S. Attorneys Alejandra Andrade and Matthew Redavid prosecuted the case.
Pain doctor pays to settle allegations arising from false billingRead the Press Release
LAREDO, Texas – A 44-year-old physician from Laredo has paid $340,437.68 to resolve allegations he falsely billed Medicare for the use of electro-acupuncture devices, announced Acting U.S. Attorney Jennifer B. Lowery.
Dr. Marte A. Martinez Jr. is an anesthesiologist and pain management physician who practices in Laredo. Marte A. Martinez M.D. PLLC is an entity Martinez used to conduct his medical practice.
From Aug. 23, 2019, to Feb. 12, 2020, Martinez billed Medicare for the implantation of neurostimulator electrodes. These are surgical procedures usually requiring use of an operating room. Medicare pays thousands of dollars per procedure.
Neither Martinez nor his staff performed surgery. Instead, patients received devices used for electro-acupuncture. This involves inserting needles into patients’ ears with the neurostimulator taped behind them with an adhesive.
To date, the Southern District of Texas has resolved four other settlements with a Katy anesthesiologist, a Houston pain doctor, a Rockport chiropractor and a Houston chiropractor involving similar allegations of false billing.
The FBI and Department of Health and Human Services – Office of Inspector General conducted the investigation with the assistance of Qlarant, the Unified Program Integrity Contractor for Medicare. Assistant U.S. Attorney Brad Gray handled the matter.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Former employee admits to stealing over $400,000Read the Press Release
McALLEN, Texas – The former controlling manager of Lone Star Shredding’s parent company has pleaded guilty to defrauding his employer, announced Acting U.S. Attorney Jennifer B. Lowery.
Lone Star Shredding is a local subsidiary in Mercedes. Its parent company is located in Tennessee.
Brian Janish, 44, admitted to using an unauthorized access device and engaging in other fraudulent activity to steal $403,293.19 between July 2013 and December 2017.
As part of his responsibilities, Janish was in charge of establishing bank accounts and approving expenses for the company. When the company switched banks, Janish failed to close the company’s previous bank account or destroy the corporate credit card issued in his name.
In fact, he charged personal expenses on the company credit card, including travel and online goods. Janish also wrote checks from the company account and withdrew cash for personal use. He attempted to cover his fraud by emailing fake bank statements to the company.
The Morristown, Tennessee, resident also increased his payroll without authorization.
U.S. District Judge Randy Crane accepted the plea and set sentencing for Aug. 19. At that time, Janish faces up to 10 years in 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. Attorneys Rodolfo Ramirez and Stephanie Bauman are prosecuting the case.
Wrongful billing results in $2.6M settlement and 10-year exclusion from federal health care programsRead the Press Release
HOUSTON – A 46-year-old chiropractor and her medical group have agreed to pay in order to resolve allegations of fraudulent billing, announced Acting U.S. Attorney Jennifer B. Lowery.
Suhyun An owns and manages Campbell Medical Group PLLC and Johnson Medical Group PLLC dba Campbell Medical Clinic in the Spring Valley area of Houston.
In March 2021, the United States filed a civil complaint against An alleging she fraudulently obtained over $3.9 million from the Medicare and TRICARE programs by billing for the implantation of neurostimulator electrodes. These are surgical procedures usually requiring use of an operating room for which Medicare pays thousands of dollars An’s staff did not perform surgery. In fact, nurses at the clinic were trained to use the devices in part by watching YouTube videos.
An knew the devices were not billable or recklessly disregarded that fact. She and her staff ignored warnings and specific guidance from Medicare contractors and her own outside billing companies, including warnings that the devices were being labeled as “possible fraud.”
In addition to the $2.6 million financial settlement, An and her medical entities have agreed to a 10-year-period of exclusion from participation in any federal health care programs.
To date, the Southern District of Texas has resolved three other settlements with a Katy anesthesiologist, a Houston pain doctor and a Rockport chiropractor involving similar allegations of false billing.
The Department of Health and Human Services – Office of Inspector General and Defense Criminal Investigation Service conducted the investigation. Assistant U.S. Attorney Brad Gray handled the matter.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Shooter pleads guiltyRead the Press Release
VICTORIA, Texas - A 20-year-old Bloomington man has admitted to assaulting a federal marshal, announced acting U.S. Attorney Jennifer B. Lowery.
Today, Jose Luis Vasquez Jr. also admitted he discharged a weapon and used a weapon during a crime violence.
On Feb. 3, Vasquez assaulted a U.S. deputy marshal as she and the other members of the Violent Crimes Fugitive Task Force attempted to arrest him. The marshal had to shield herself behind a truck for protection as Vasquez fired his weapon numerous times, striking the door of the vehicle.
Vasquez shouted “I’m not going back” as he fired a Smith and Wesson M7P40, .40 caliber semi-automatic pistol at authorities. The weapon’s magazine held at least 20 rounds of ammunition.
Senior U.S. District Judge John D. Rainey accepted the plea and has set sentencing for Sept. 7. At that time, Vasquez faces a sentence up to 20 years for the assault as well as a minimum of 10 years for the firearms conviction which must be served consecutively to the other sentence imposed.
He has been and will remain in custody pending sentencing.
The FBI; Bureau of Alcohol, Tobacco, Firearms and Explosives; Texas Rangers and U.S. Marshals Service conducted the investigation with assistance from the Victoria County Sheriff ‘s Office and Victoria County District Attorney’s Office. Assistant U.S. Attorney Patti Hubert Booth is prosecuting the case.
Houston gang member charged for trafficking young teen for sexRead the Press Release
HOUSTON – A local gang member has been ordered into custody on charges of child sex trafficking, announced Acting U.S. Attorney Jennifer Lowery.
Today, U.S. Magistrate Judge Sam Sheldon ordered Porter Bush, 44, Houston, into custody pending further criminal proceedings.
The indictment, returned May 13, alleges Bush trafficked a 14-year-old girl from February to June 2018.
On June 25, 2018, authorities allegedly found and recovered the young girl near the Bissonnet Track after she got into a car with a potential client. The charges allege law enforcement conducted a traffic stop of the vehicle, at which time Bush pretended to be the 14-year-old’s stepfather.
The Bissonnet Track is a known area near 59 Southwest Freeway and Bissonnet Street where traffickers place minor and adult victims for commercial sex, according to the charges.
If convicted, Bush faces a minimum of 10 years and up to life in federal prison as well as a possible $250,000 maximum fine.
The Houston Police Department conducted the investigation as part of the Human Trafficking Rescue Alliance (HTRA).
HTRA law enforcement also includes members of the FBI, Homeland Security Investigations, Texas Attorney General’s Office, IRS-Criminal Investigation, Department of Labor (DOL), DOL – Wage and Hour Division, Department of State, Texas Alcoholic and Beverage Commission, Texas Department of Public Safety, Department of Homeland Security – Office of Inspector General (OIG), Social Security Administration – OIG and Sheriff’s Offices in Harris and Montgomery counties in coordination with District Attorney’s offices in Harris, Montgomery and Fort Bend Counties.
Established in 2004, the United States 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. Attorney Kate Suh 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.
Robstown man gets huge sentence for sexual exploitation of a childRead the Press Release
CORPUS CHRISTI, Texas – A 53-year-old local man has been ordered to federal prison for conspiring to entice a minor to engage in sexually explicit conduct for the purpose of producing child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.
Santos Gonzalez pleaded guilty March 2.
Today, U.S. District Judge Drew B. Tipton sentenced Gonzalez to 420 months in prison. He will then have to serve the rest of his life on supervised release, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. Gonzalez will also be ordered to register as a sex offender.
At the time of his plea, Gonzalez admitted to soliciting co-defendant Diane Martinez to produce and send illicit photographs of a minor victim. In exchange, he provided Martinez money for groceries and medication.
Forensic analysis of Facebook accounts belonging to Gonzalez and Martinez revealed they communicated between Jan. 21, 2016, and May 20, 2020. Throughout the thousands of pages of communication, Gonzalez expressed wanting to have sexual intercourse with the minor victim. Gonzalez would offer food, groceries, gifts and other items of monetary value in exchange for Martinez sending nude photographs of the child.
Eventually, Gonzalez no longer used Martinez as an intermediary, directly soliciting the minor victim for sex.
Authorities received information about the abuse from a family acquaintance of the victim as well as a tablet used to commit the crimes.
Gonzalez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Martinez is scheduled to be sentenced July 28 before Judge Tipton.
Homeland Security Investigations, Corpus Christi Police Department’s Internet Crimes Against Children Unit and Texas Department of Public Safety conducted the investigation.
Assistant U.S. Attorneys Sara Popejoy and Dennis Robinson 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.
Houston consulting company admits to H-1B visa fraud conspiracyRead the Press Release
HOUSTON – Cloudgen LLC has pleaded guilty to conspiracy to commit H-1B visa fraud, announced Acting U.S. Attorney Jennifer B. Lowery.
Cloudgen LLC is a consulting and strategic solutions company located on South Dairy Ashford Road in Houston. Through its corporate representative, Cloudgen pleaded guilty to conspiring to commit visa fraud from on or about March 2013 to December 2020. During the plea, the company admitted to recruiting multiple Information Technology workers from India and falsely procuring H-1B visas for them to enter and work in the United States. A H-1B visa permits the temporary employment of non-immigrants to fill specialized jobs in the United States.
Specifically, in this “bench and switch” scheme, the company would file documents with the Departments of Labor (DOL) and Homeland Security (DHS) containing fraudulent statements about the availability of work at third-party national employers. Cloudgen would then submit forged contracts stating each third-party company had a job for the individual Indian national. Next, based on those false documents, Cloudgen would submit paperwork to get an H-1B worker’s visa for the Indian nationals. When granted, they would use that visa to allow the Indian nationals to enter the United States.
However, because the jobs were fake, they were housed in different locations across the country while Cloudgen obtained other employment for them. Such action gave Cloudgen a competitive advantage by having a steady “bench” or supply of visa-ready workers to send to different employers based on market needs when the true process actually takes some time. Once workers had obtained new employment, the “switch” would occur when the new third-party company filed immigration paperwork for the foreign workers.
Cloudgen would also extend their visas, based on the original false ones, to allow them to stay and continue working in the United States. Cloudgen took a percentage of the worker’s salary as their fees, earning approximately $493,516.28 in profits during the course of the conspiracy.
Chief U.S. District Judge Lee H. Rosenthal will impose sentencing Sept. 16. At that time, the company could have to pay up to $500,000 or the greater of twice the gross gain or twice the gross loss as well as a maximum five years of probation.
The Department of State's Diplomatic Security Service conducted the investigation with the assistance of DOL and DHS. Assistant U.S. Attorneys Richard W. Bennett and Jay Hileman are prosecuting the case.
Three charged in nationwide scheme to sell hundreds of thousands of fraudulent Texas paper tagsRead the Press Release
HOUSTON – Authorities are searching for two men indicted for using fictitious car dealerships to issue nearly 600,000 automobile paper tags and selling them on the internet without selling any cars, announced Acting U.S. Attorney Jennifer Lowery.
The charges allege the illegal tags pose a danger to the public and law enforcement because purchasers use them to avoid obtaining registration, safety inspections and liability insurance. They can also allegedly be used to hide their identities from law enforcement.
Houston resident Leidy Areli Hernandez Lopez, 39, is also charged in the scheme. She is in custody and expected to make her initial appearance before U.S. Magistrate Judge Sam Sheldon at 2 p.m.
Octavian Ocasio, 49, New York, and Emmanuel Padilla Reyes aka Christian Hernandez Bonilla, 31, city unknown, are considered fugitives and warrants remain outstanding for their arrests. Anyone with information about their whereabouts is asked to contact the FBI at 713-693-5000.
A federal grand jury in Houston returned the 15-count indictment May 20 charging all of them with conspiracy and various counts of wire fraud.
According to the charges, the scheme involved the use of fictitious car dealerships to issue and sell hundreds of thousands of Texas temporary buyer tags without selling cars. The three also allegedly used email accounts to communicate with each other and to deliver the fraudulent tags to purchasers throughout the United States.
In Texas, used car dealers must have an independent GDN license to buy, sell or exchange used vehicles, according to the charges. To obtain such a license, applicants must access the Texas Department of Motor Vehicles’ (TxDMV) online eLicensing application portal to apply. Once an applicant obtains a GDN license, they can buy, sell or exchange used cars and create temporary buyer tags for the transaction through the TxDMV’s online eTag portal. The portal is web-based and password protected, and only licensed GDN holders can access it, according to the indictment. However, the GDN holder can create other users on their account to allow access to the portal to create and issue buyer tags.
There is no restriction on the vehicle, buyer or vehicle identification number inputted into the portal, according to the indictment.
According to the charges, these three knowingly participated in the scheme to issue and sell more than 580,000 fraudulent tags to buyers across the United States. They allegedly provided false information such as fraudulent identities, drivers’ licenses, lease agreements and business signs in the online application portal to obtain GDN licenses for fictitious car dealerships. The indictment further alleges they advertised the sale of Texas buyer tags on social media platforms like Facebook and Instagram and used email to communicate and deliver fraudulently-obtained tags. They also received and shared proceeds from the fraudulent sale of Texas buyer tags via electronic payment services like Cash App and Zelle, according to the charges.
If convicted each faces up to 20 years in prison and a potential $250,000 maximum fine.
The FBI conducted the investigation with assistance from Travis County Constable Precinct 3, Houston Police Department, Texas Department of Public Safety, Harris County Sheriff’s Office, New York State Police and New York Police Department. Assistant U.S. Attorneys Belinda Beek and Adam Goldman 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.
School board leader sentenced in corruption schemeRead the Press Release
BROWNSVILLE, Texas – The former vice president of the Brownsville Independent School District (BISD) Board of Trustees has been ordered to federal prison following her convictions of conspiracy and corruption, announced Acting U.S. Attorney Jennifer B. Lowery.
A Brownsville federal jury returned guilty verdicts Nov. 4, 2020, against Sylvia P. Atkinson, 49, Brownsville, following an eight-day trial. She was convicted of one count of conspiracy, one count of bribery concerning programs receiving federal funds and six counts of Travel Act violations.
Today, U.S. District Judge Fernando Rodriguez Jr., who presided over the trial, ordered Atkinson to serve a total 80-month sentence to be followed by three years of supervised release. The Judge also imposed a $35,000 fine to be paid immediately.
In handing down the sentence, Judge Rodriguez noted how Atkinson’s crime took on great significance because of the abuse of the public trust and the need for a sentence that will deter others from engaging in similar conduct. The court specifically found Atkinson had lied extensively in her testimony at trial and assessed an obstruction of justice enhancement at sentencing. Judge Rodriguez further commented that Atkinson’s story on the stand unbelievable and clearly a lie.
Atkinson was elected to the BISD Board of Trustees Nov. 4, 2016, and appointed vice president in 2018. During her career in education, she has served as the superintendent of Socorro, Santa Rosa and Los Fresnos school districts, assistant superintendent of BISD and Rio Hondo ISD (RHISD) and the executive director of High School Programs and Community Outreach at Texas Southmost College.
During trial, the jury heard from several witnesses including BISD Board of Trustees members and its attorney as well as officials of Texas Education Agency and Texas Association of School Boards. They detailed how Atkinson orchestrated a long-running criminal scheme to solicit bribes from vendors seeking to obtain contracts with BISD and RHISD.
From December 2018 through February 2019, Atkinson solicited and received a $10,000 bribe related to a film crew’s potential use of BISD facilities for filming a purported Hollywood movie. She also received illegal campaign contributions in 2014 and 2016 for her and another person.
The jury also heard how she had set up a shadow company with sales employees from potential educational and telehealth vendors who desired to do business with BISD and RHISD. Atkinson arranged both school meetings although she knew there was a conflict of interest in doing so. She also set up the company to hide her involvement and potential profit from any business those vendors obtained with BISD and RHISD.
The defense attempted to convince the jury that she had been acting as a “consultant” when she accepted payment. The jury, however, found the payments were bribes and found her guilty as charged.
Atkinson 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 FBI conducted the investigation with the assistance of the Cameron County District Attorney’s Office and Brownsville Police Department. Assistant U.S. Attorneys Jody Young and Robert S. Johnson prosecuted the case.
Tractor-trailer trafficker sentenced for smuggling over 100 kilograms of cocaineRead the Press Release
CORPUS CHRISTI, Texas – A 36-year-old Edinburg man has been ordered to federal prison after admitting to his role in a large cocaine trafficking conspiracy, announced Acting U.S. Attorney Jennifer B. Lowery.
Ray Anthony Almaroad pleaded guilty Jan. 26.
Today, U.S. District Judge David S. Morales ordered him to serve an 87-month sentence to be immediately followed by four years of supervised release. At the hearing, the court heard additional statements noting Almaroad’s use of a tractor-trailer hauling a legitimate truckload of limes. He used it as a decoy for the concealed compartment containing over 100 cocaine bundles.
On Nov. 27, 2020, at nearly midnight, Luis Elfego Ramirez drove a tractor-trailer to the Border Patrol checkpoint located near Sarita. Almaroad was the passenger and registered owner of the vehicle. Authorities noted weld marks on the diesel tank where and discovered a custom-made concealed compartment within the fuel tank. Authorities then found and seized 110 bundles of cocaine, with a total net weight of 109 kilograms.
The drugs have an approximate street value of over $3.2 million.
Previously released on bond, Almaroad was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
Ramirez, 49, Edinburg, had also pleaded guilty and previously received 120 months imprisonment.
The Drug Enforcement Administration conducted the investigation with assistance of Customs and Border Protection. Assistant U.S. Attorney (AUSA) Reid Manning and former AUSA David Paxton prosecuted the case.
Brownsville man learns fate after attempting to smuggle drugsRead the Press Release
BROWNSVILLE, Texas - A 35-year-old local man has been sentenced following his conviction of attempting to deliver cocaine, announced Acting U.S. Attorney Jennifer B. Lowery.
Jose Isaac Martinez pleaded guilty June 2.
Today, U.S. District Judge Rolando Olvera ordered Martinez to serve an-84 month sentence to be immediately followed by four years of supervised release.
“Today’s sentence not only holds Martinez accountable for his crimes, but serves as a warning to those who are contemplating drug trafficking,” said Special Agent in Charge Shane Folden of Homeland Security Investigations (HSI). “HSI will continue to use every resource available to identify smugglers like Martinez, who distribute this poison to the citizens throughout the United States.”
On July 7, 2019, Luigui Ortiz-Rosales attempted entry into the United States from Mexico driving a Mercury Villager minivan at the Brownsville Veterans International Bridge. During inspection, authorities removed four rectangular packages of suspected narcotics from the natural void of the rear quarter panels.
The packages field tested positive for cocaine and weighed approximately 4.70 kilograms with an estimated street value of $94,000.
The investigation ultimately led law enforcement to Martinez. They had observed an F-150 pickup truck circling the parking lot of a shopping center location in Brownsville. Martinez was the driver. He stopped the vehicle, exited and approached the location where law enforcement had already arrested Ortiz-Rosales. The investigation revealed Martinez was to pick up the narcotics and deliver them to a grocery store parking lot in Brownsville.
Ortiz-Rosales, 38, of Mexico, ultimately pleaded guilty and was later sentenced to 30 months in federal prison to be followed by two years of supervised release.
Martinez has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
HSI and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney David Coronado prosecuted the case.
Mexican national indicted for transporting people that resulted in deathRead the Press Release
LAREDO, Texas – A federal grand jury has charged a 23-year-old non-citizen unlawfully residing in Laredo with conspiracy to transport 12 undocumented citizens resulting in death, announced Acting U.S. Attorney Jennifer B. Lowery.
Jesus Martinez-Villela is expected to appear for his arraignment before a U.S. magistrate judge in Laredo in the near future.
The criminal complaint originally filed in the case alleges Martinez-Villela attempted to flee authorities by driving off-road near Encinal April 22.
Law enforcement later located Martinez-Villela’s abandoned truck with an injured person on the ground, according to the charges. They also allegedly located another man who was unresponsive in the bed of the truck. He was pronounced dead at the scene, according to the allegations.
Multiple other undocumented citizens were allegedly transported to a local hospital to be treated for their injuries.
If convicted, Martinez-Villelafaces up to life in prison and a possible $250,000 maximum fine.
Homeland Security Investigations conducted the investigation with assistance from Border Patrol and Texas Department of Public safety. Assistant U.S. Attorney Yoona Lim 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.
Man from the Congo found guilty in smuggling attemptRead the Press Release
CORPUS CHRISTI, Texas – A federal jury has convicted a 24-year-old non-citizen residing in Houston for attempting to transport an alien, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for less than four hours before convicting Bakunduwukize Desire following a two-day trial of attempting to transport an alien to Houston on Dec. 8, 2019.
Testimony revealed Desire arrived at the Falfurrias Checkpoint claiming he had a fight with his girlfriend and needed a ride back to Houston. His friend offered him a vehicle in exchange for driving the alien to Houston. He also accepted $800 as payment.
The jury heard Desire picked up the alien at a stash house in the valley and coached him to act like he was asleep once they got to the checkpoint.
The defense attempted to convince the jury that he did not know the alien was illegally present in the United States. They did not believe those claims and found Desire guilty as charged.
U.S. District Judge Drew B. Tipton presided over trial and set sentencing for Aug. 12. At that time, Desire faces up to five years of imprisonment and a possible $250,000 maximum fine.
Desire was permitted to remain on bond pending sentencing.
Border Patrol conducted the investigation. Assistant U.S. Attorneys Barbara J. De Pena and Amanda Gould prosecuted the case.
Jury convicts valley resident on meth chargesRead the Press Release
McALLEN, Texas – A federal jury has convicted a 49-year-old Mission resident for conspiracy and possession with intent to distribute more than 500 grams of meth, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for approximately 40 minutes before convicting Eugenio Perez Jr. following a two-day trial which included three witnesses.
According to the testimony, authorities discovered 1.6 kilograms of meth while investigating a drag racing incident that resulted in a two-car collision.
At trial, the jury heard from a local police officer who explained how Perez crashed into an SUV pulling out of a parking lot. The officer approached Perez after observing him pull a bag from his truck’s cab and place it into the bed of the truck. He instructed Perez not take anything from the vehicle.
Perez’s daughter arrived on the scene. At that time, she took the bag from the bed of the truck and placed it in her car, according to testimony.
The officer further testified that he stopped her from leaving the area and asked her to show him what was inside the bag. The daughter opened the bag which was found to contain approximately 1.6 kilograms of meth.
The defense attempted to convince the jury that law enforcement had rushed to judgment and did not perform an adequate and thorough enough investigation to convict Perez. The jury disagreed and found him guilty as charged.
U.S. District Judge Randy Crane presided over trial and set sentencing for July 27, 2021. At that time, Perez faces a minimum of 10 years and up to life in prison as well as a possible $10 million fine.
Previously released on bond, Perez was taken into custody following the sentencing today where he will remain pending that hearing.
The Drug Enforcement Administration conducted the investigation with the assistance of Palmview Police Department. Assistant U.S. Attorneys Michael Mitchell and M. Alexis Garcia prosecuted the case.