Southern District of Texas
Press releases recorded for this federal judicial district.
Four men illegally crossing the Rio Grande indicted for claiming to be minorsRead the Press Release
McALLEN, Texas – A federal grand jury has returned four indictments against non-citizen adults for falsely claiming they were under the age of 18, announced Acting U.S. Attorney Jennifer Lowery.
The separate, but similar indictments charge Fernando Antonio Flores-Galvez, 19, Jose Alfredo Sandoval-Hernandez, 23, Osmin Trochez-Miranda, 24, all from Honduras; and Sergio Galindo Chun-Cucul, 23, Guatemala. Originally charged by complaint and in custody, they are expected to make appearances before a magistrate judge in the near future.
Each of the charges indicate the men had illegally crossed the Rio Grande. They then allegedly claimed to be minors so they could be released into United States. The charges further allege each man had used false documents with incorrect birth dates in an attempt to convince authorities they were under the age of 18.
Flores-Galvan and Sandoval-Hernandez were arrested as they attempted to enter the United States April 21, while law enforcement took Trochez-Miranda and Chun-Cucul into custody April 28 and May 3, respectively.
If convicted, each face up to five years in prison as well as a possible $250,000 maximum fine.
Border Patrol conducted the investigation. Assistant U.S. Attorney E. Paxton Warner is prosecuting the cases.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Cameroon man sentenced for wire fraud conspiracyRead the Press Release
HOUSTON - The leader and manager of an eight-man conspiracy has been ordered to federal prison for his role in a scheme to steal over $726,000 from a South Korean company, announced Acting U.S. Attorney Jennifer B. Lowery.
Frankline Bate Okpu, 35, is a legal permanent resident of Houston and pleaded guilty Jan. 25.
Today, U.S. District Judge Lynn N. Hughes ordered him to serve 36 months in prison. He was also ordered to pay $350,938 in restitution. Not a U.S. citizen, he may face removal proceedings following his prison term.
Okpu had orchestrated a scheme to steal money from Daesang Corporation, a producer of consumer foods based in Seoul, South Korea.
In the summer of 2017, Daesang sought to import frozen pork and chicken products from the United States for the upcoming Moon festival in South Korea. They contacted Trinity Food – a company who had held itself out to be a legitimate supplier of frozen food products.
Daesang communicated with Trinity via e-mail and whatsapp, ultimately entering into a contract with them. Daesang wired $726,000 into an account at a Bank of America in Houston that belonged to Okpu. Between September and December 2017, Okpu and his co-conspirators transferred the money to other accounts and converted it for their own use.
Okpu recruited others to set up bank accounts and cash checks at various banks in Houston; Miami, Florida; and Los Angeles, California, for a share in the stolen money.
Daesang never received the product they paid for and sought help from U.S. authorities.
Previously released on bond, Okpu was taken into custody following the sentencing today where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Seven others have pleaded guilty for their roles in the scheme. A final man - Pascal Ayuk Ayuketta, 39, a citizen of Cameroon, is a fugitive and a warrant remains outstanding for his arrest. Anyone with information about his whereabouts is asked to contact the nearest U.S. Marshal’s office at 1-877-WANTED-2.
The FBI and IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorney Edward Gallagher prosecuted the case.
Customs officer admits to helping undocumented nanny enter the countryRead the Press Release
LAREDO, Texas – A 40-year-old Laredo woman has entered a guilty plea to conspiracy to encourage or induce a foreign national to enter the United States, announced Acting U.S. Attorney Jennifer B. Lowery.
Walker was a Customs and Border Protection (CBP) officer at the time of the offense.
On Jan. 2, she improperly used another officer’s computer login information to help the Mexican woman enter the United States through the Laredo Port of Entry, scanning her immigration documents before entry. The woman had no legal status to reside or work in the United States. However, Walker intended for the woman to illegally enter the country and work for her as a housekeeper and nanny.
Walker also lied to authorities. She falsely stated Trevino was her biological aunt and denied processing her entry or employing her in her home.
U.S. District Judge Marina Garcia Marmolejo will impose sentencing Aug. 9. At that time, Walker faces up to 10 years in prison and a possible $250,000 maximum fine. She was permitted to remain on bond pending that hearing.
CBP - Office of Professional Responsibility conducted the investigation. Assistant U.S. Attorney Francisco J. Rodriguez is prosecuting the case.
Texan sentenced for attempting to smuggle over 70 people in one trailerRead the Press Release
LAREDO, Texas - A 24-year-old Corpus Christi man has been ordered to federal prison for conspiring to transport illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.
Francisco Benavides pleaded guilty Dec. 18, 2020.
Today, U.S. District Judge Marina Garcia Marmolejo ordered him to serve a 48-month sentence to be immediately followed by three years of supervised release. In handing down the sentence, Judge Marmolejo noted his lengthy criminal history and the number of aliens he was hauling.
On Oct. 14, 2020, Benavides arrived at the US-83 Border Patrol checkpoint driving a semi-truck and trailer. A K-9 alerted to the presence of contraband in the trailer. Authorities cut the seal and found 74 illegal aliens, including an unaccompanied minor.
Benavides claimed he traveled to Laredo from Corpus Christi to work as a trucker, despite not having a commercial license or any training as a driver. He also said he thought the trailer was full of frozen meat and expected to be paid $250 to drive it to Eagle Pass.
At the time of his plea, Benavides admitted he knew aliens were inside the trailer.
Benavides will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of Border Patrol. Assistant U.S. Attorney Paul Harrison prosecuted the case.
South Texan handed significant sentence for trafficking cocaineRead the Press Release
McALLEN, Texas – A 46-year-old Alton man has been ordered to federal prison following his conviction of conspiracy to possess with intent to distribute more than five kilograms of cocaine, announced acting U.S. Attorney Jennifer B. Lowery.
A federal jury deliberated for approximately six hours before convicting Rosbel Garcia Jr. Jan. 14 following a one-day trial which included seven witnesses.
Following his conviction, Garcia executed a signed statement admitting to his involvement in the offense and his knowledge of the controlled substances involved.
Today, U.S. District Judge Micaela Alvarez took the statement into consideration and handed Garcia a 78-month sentence to be immediately followed by three years of supervised release. In imposing the sentence, the court also noted Garcia’s greedy motivation in committing the crime and his recruitment of another individual.
According to the testimony at trial, authorities learned of a possible 20-kilogram cocaine transaction that would be occurring in the Houston area in January 2018.
The jury heard from Rene Ramos III, the person Garcia had recruited, who explained that he had been previously arrested in Houston while in possession of approximately 60 pounds of marijuana belonging to Garcia in 2012. He claimed that at the time of that arrest, he was also in possession of approximately $90,000 of Garcia’s drug trafficking proceeds.
In early January 2018, Ramos claimed Garcia contacted him and told him he had to begin working for him in order to reduce that drug debt. As part of that involvement, Ramos testified he directed his wife, Christy Leigh Wells, to deliver cocaine to individuals in Houston.
Testimony revealed Garcia traveled to Houston from the Rio Grande Valley in January 2018 along with Luby Janet Luna. Wells also testified and admitted she delivered 10 kilograms of cocaine to Luna and others Jan. 30, 2018.
The defense attempted to convince the jury that all involved were just cons who fabricated Garcia’s involvement in the scheme. The jury disagreed and found him guilty as charged.
Wells, 42, Cypress, admitted to her role in the conspiracy.
Luna, 34, Mission, is a fugitive and a warrant remains outstanding for her arrest. Anyone with information about her whereabouts is asked to contact the U.S. Marshals Service at 956-618-8025 or the Drug Enforcement Administration at 956-992-8400.
Garcia remains 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 Roberto Lopez Jr. and M. Alexis Garcia prosecuted the case.
Shop owner admits to illegally selling hummingbirdsRead the Press Release
LAREDO, Texas – A businesswoman and her employee have admitted they were responsible for selling parts of a protected species, announced Acting U.S. Attorney Jennifer B. Lowery.
Cecilia Castaneda, 63, pleaded guilty today, while Maria Luisa Garza-Salazar, 57, entered her plea Jan. 22. The Laredo women admitted to illegally selling hummingbirds. Castaneda owned and operated Herbario Corpus Christi, a business specializing in herbs and spices. Garza-Salazar was her employee.
Both women were charged under the Lacey Act for selling dried or parts of more than 160 hummingbirds. The Lacey Act still protects the migratory birds although they are no longer an endangered species. The law makes it a crime to import, sell, receive or acquire any wildlife which have been possessed, transported or sold in violation of any law.
Dried hummingbirds, or parts of the birds, are illegally packaged and sold commercially as love charms together with prayer cards. The hummingbirds are typically packaged in a paper sleeve and surrounded with red threads or envelopes.
In a companion case, Maria Guadalupe Garcia, 55, Laredo, admitted to selling more than 200 hummingbirds Oct. 28. She owned and operated Herbario Lupita, an herbal shop located in Laredo.
“These guilty pleas send a clear message to wildlife traffickers that we and our law enforcement partners are in the business of identifying and apprehending those who exploit protected species for commercial gain,” said Special Agent in Charge Phillip Land of the Fish and Wildlife Service (FWS-OLE.) “We thank the U. S. Attorney's Office for the Southern District of Texas for holding these individuals responsible for their actions.”
Castaneda is set for sentencing Aug. 10, while Garcia’s hearing is scheduled for June 22. At those times, they each face up to five years in federal prison and a possible $250,000 maximum fine.
The FWS – OLE conducted the investigation with the assistance of Texas Game Wardens. Assistant U.S. Attorney José Angel Moreno is prosecuting the case.
Local woman guilty of disaster fraudRead the Press Release
HOUSTON – A 46-year-old Houston resident has admitted to fraudulently obtaining more than $7,000 in disaster relief, announced Acting U.S. Attorney Jennifer B. Lowery.
Latoya Romar entered a guilty plea to a scheme to defraud the Federal Emergency Management Agency (FEMA) in connection with the severe storm that struck Houston May 4, 2015.
Romar applied for disaster relief, falsely claiming the storm damaged her residence and personal property. As part of her plea, she admitted she submitted forged documents to FEMA to substantiate her false claims.
As a result of her fraudulent claims, FEMA paid Romar $7,124.33 in disaster relief that she was not entitled to receive.
U.S. District Judge Andrew S. Hanen accepted the plea and set sentencing for Aug. 16. At that time, Romar faces up to 30 years in federal prison and a $250,000 maximum possible fine. She was permitted to remain on bond pending that hearing.
The Department of Homeland Security - Office of Inspector General conducted the investigation. Assistant U.S. Attorney Justin R. Martin prosecuted the case.
LPR admits to smuggling fentanyl and heroin through LaredoRead the Press Release
LAREDO, Texas – A 37-year-old legal permanent resident (LPR) of Mexico has pleaded guilty to participating in a drug importation conspiracy, announced Acting U.S. Attorney Jennifer B. Lowery.
Jose Martinez Torres had been residing in Chicago.
On Feb. 2, Torres attempted to enter the United States at the Juarez–Lincoln Port of Entry in Laredo. An x-ray scan of his vehicle revealed some anomalies in the dashboard which prompted authorities to conduct a search. They ultimately found 13 hidden duct-taped bundles - 11 packages of heroin weighing 12.96 kilograms and two of fentanyl with a weight of 2.22 kilograms.
The narcotics had a combined estimated street value of $350,000.
U.S. District Judge Marina Garcia Marmolejo will impose sentencing Aug. 10. At that time, Torres faces up to life in prison. He has been in custody since his arrest where he will remain pending that hearing.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney David Fawcett prosecuted the case.
Two sentenced after law enforcement uncovers illegal aliens in 100 degree trailerRead the Press Release
LAREDO, Texas – A 28-year-old Laredoan has been ordered to federal prison for conspiring to transport illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.
Jose Maria Ramirez pleaded guilty Nov. 24, 2020, while co-conspirator Eloy Martinez-Carranza entered a guilty plea Dec. 8, 2020.
Today, U.S. District Judge Marina Garcia Marmolejo ordered Ramirez to serve a 57-month sentence to be immediately followed by three years of supervised release. In handing down the sentence, the court noted how Ramirez has repeatedly broken the law and has had his supervised release revoked multiple times. Judge Marmolejo further explained there was sufficient evidence to show he was heavily involved in the conspiracy and was correctly held accountable for the aliens in the tractor-trailer as well as the stash house.
Martinez-Carranza, 35, of South Carolina, received his sentence April 30. Judge Marmolejo ordered him to 36 months in prison to be immediately followed by three years of supervised release.
On Oct. 1, 2020, Martinez-Carranza approached the US-83 Border Patrol checkpoint driving a semi-truck and trailer. Soon after his arrival, a K-9 alerted to the presence of contraband in the trailer.
Authorities cut the seal on the trailer and found 40 illegal aliens, including three unaccompanied minors. The inside temperature was approximately 109 degrees. Law enforcement also observed coffee grounds scattered around the trailer.
Martinez-Carranza claimed he was traveling to Laredo from South Carolina to work as a trucker. However, he did not have a commercial driver’s license or any training as such.
Upon further investigation, authorities identified a location suspected to be the stash house for the illegal aliens. Law enforcement conducted surveillance and stopped a vehicle leaving the house with Ramirez as the driver.
Authorities searched the home and found a total of 22 illegal aliens, including more unaccompanied minors.
Ramirez has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul Harrison prosecuted the case.
Local man sentenced for smuggling 35 people in hot trailerRead the Press Release
LAREDO, Texas – A 52-year-old Laredo resident has been ordered to federal prison for smuggling aliens, some of whom had lost consciousness, announced Acting U.S. Attorney Jennifer B. Lowery.
Juan Contreras pleaded guilty Feb. 3, 2020.
Today, U.S. District Judge Marina Garcia Marmolejo ordered Contreras to serve a 110-month sentence. At the hearing, the court heard additional information regarding the danger posed to the people trapped in the tractor-trailer Contreras drove as well as their attempts to escape. In handing down the sentence, Judge Marmolejo noted Contreras has been given multiple previous opportunities to not continue in criminal activity and that this was his third alien smuggling conviction.
Contreras had been on supervised release for a prior conviction of transporting an undocumented alien when he committed this crime. The court revoked the remainder of that term and ordered he serve and additional consecutive nine months. The total 119- month overall term of imprisonment will again be followed by three years of supervised release.
“The sentencing of Contreras sends a clear message that individuals who engage in criminal activity with disregard for human life will be located, arrested, convicted and sentenced for their actions said Deputy Special Agent in Charge Timothy Tubbs from Homeland Security Investigations (HSI). “Criminals who illegally smuggle people into and throughout the United States place personal profit ahead of public safety. HSI will continue to utilize its broad authorities to dismantle human smuggling organizations.”
On June 19, 2019, authorities found Contreras with an inoperable tractor-trailer on the side of Interstate Highway 35 near Laredo. The trailer was sealed shut, but they saw a person stuck between the trailer doors attempting to escape.
They soon rescued a total of 35 undocumented aliens who were trapped inside the trailer.
The investigation revealed the aliens had been banging on the walls while the vehicle was on the side of the highway. They also tried to reach through holes they made with a crowbar. Multiple individuals even lost conscious due to lack of oxygen and high temperatures.
Contreras 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 conducted the investigation with the assistance of Border Patrol. Assistant U.S. Attorney Brandon Scott Bowling prosecuted the case.
Laredo man sentenced for marijuana smuggling operationRead the Press Release
LAREDO, Texas - A 37-year-old local man has been ordered to federal prison for conspiring to import more than 50 kilograms of marijuana, announced Acting U.S. Attorney Jennifer B. Lowery.
Francisco De Luna pleaded guilty Aug. 3, 2020.
Today, U.S. District Judge Marina Garcia Marmolejo ordered him to serve a 70-month sentence to be immediately followed by three years of supervised release. At the hearing, the defense argued for a lesser sentence due to De Luna’s poor health condition. Judge Marmolejo explained that his health problems were no excuse, noting they were apparently not serious enough to prevent him from continuing criminal conduct. In handing down the sentence, she considered his previous convictions of drug distribution and being a felon illegally in possession of firearm.
On Feb. 12, 2020, co-conspirator Antonio de Jesus Cadena-Rodriguez applied for entry into the United States at the Lincoln-Juarez port of entry in Laredo. A K-9 alerted to contraband in the silver Dodge Grand Caravan he was driving where authorities ultimately found 57.38 kilograms of marijuana.
Cadena-Rodriguez admitted to being a part of a smuggling operation, noting he was supposed to take the vehicle to a pre-arranged location. Law enforcement continued the investigation by delivering the marijuana as expected. A white Kia Rio soon arrived with De Luna riding as passenger. Another passenger entered Cadena-Rodriguez’s vehicle and attempted to start it.
Authorities took everyone into custody. De Luna admitted he smuggled marijuana and was at the location to pick up the load for further distribution.
Law enforcement also conducted a search of De Luna’s bedroom where they found a scale, marijuana, plastic wrap and an AR-15 style rifle with high-capacity magazines.
The drugs had an estimated street value of $27,830.
De Luna was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
Mexican national Cadena-Rodriguez, 36, had also pleaded guilty and previously received his sentence for his role in the scheme.
Homeland Security Investigations conducted the investigation with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives and Customs and Border Protection. Assistant U.S. Attorney Paul Harrison prosecuted the case.
Local repairman sent to prison for defrauding customersRead the Press Release
HOUSTON – A 36-year-old resident of Sugar Land has been ordered to federal prison following his conviction arising out of a mail fraud conspiracy, announced Acting U.S. Attorney Jennifer B. Lowery.
Mark Ricky Mitchell pleaded guilty Jan. 16.
Today, U.S. District Judge Kenneth M. Hoyt handed Mitchell a 33-month sentence to be immediately followed by three years of supervised release. The court included a condition of supervised release that prohibits Mitchell from engaging in any machine repair business without prior approval. He was further ordered to pay $1,148,156.98 in restitution.
At the time of his plea, Mitchell admitted he devised a scheme to defraud customers of his machine part repair shop located in Houston. He would make numerous false claims to his customers - that he had facilities in close proximity which would reduce turnaround time, how fast parts could be repaired and that he would provide a quote before beginning work.
Once he obtained possession of the victims’ parts, Mitchell demanded payment for fraudulent charges before he would return the parts. The charges were significantly more than Mitchell had originally quoted for work that was never performed nor authorized.
The victims suffered a loss of approximately $700,000 as a result of Mitchell’s scheme.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI conducted the investigation. Assistant U.S. Attorney Justin R. Martin prosecuted the case.
Four sentenced for roles in ransom schemeRead the Press Release
McALLEN, Texas – Four U.S. citizens have been ordered to federal prison for conspiracy to harbor a Guatemalan woman and hostage taking, announced Acting U.S. Attorney Jennifer B. Lowery.
Alvaro Hernandez, 22, McAllen, Ramiro Basaldua II, 35, Pharr, Rebecca Arevalo, 22, Donna, and Sarai Elizondo, 22, Pharr, had previously pleaded guilty.
Today, U.S. District Judge Randy Crane ordered Hernandez and Basaldua to serve 60 and 110 months in prison, respectively. The sentences will be immediately followed by three years of supervised release. In handing down Basaldua’s sentence, Judge Crane considered his criminal history including prior felony convictions for aggravated robbery and possession of a controlled substance.
Elizondo and Arevalo were previously sentenced to 57 and 46 months, respectively.
In March 2017, a 19-year-old Guatemalan woman illegally entered the United States in hopes of reuniting with her brother in California. She had to stay in various alien stash homes in the Rio Grande Valley area. Eventually, Hernandez and Arevalo picked her up in Edinburg and took her to the Texas Inn hotel in McAllen.
From March 22 to March 27, 2017, Hernandez, Basaldua, Elizondo and Arevalo held the victim in the hotel room against her will. During that time, the men threatened her life and made calls to her brother for a ransom to spare her. Elizondo and Arevalo also attempted to make the victim look more “American” by fixing her hair, eyebrows and nails.
The victim’s brother sent a total of $4,400 to pay the ransom for her release. The victim was later released at a park in McAllen.
All four 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. Assistant U.S. Attorney Laura Garcia prosecuted the case..
Texas woman handed significant sentence for health care fraud schemeRead the Press Release
HOUSTON – A 58-year-old resident of Richmond has been ordered to prison for 25 years following her convictions of conspiracy and aiding and abetting health care fraud, announced Acting U.S. Attorney Jennifer B. Lowery.
A Houston jury returned guilty verdicts against Brenda Rodriguez in January 2019 following a three-day trial.
Today, U.S. District Judge Lynn H. Hughes ordered her to serve a total of 300 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence of her role in the scheme. In handing down the sentence, the court noted that as part of a larger conspiracy Rodriguez was responsible for all of the loss to taxpayers the scheme generated.
Brenda Rodriguez owned and operated the QC Medical Clinic in Richmond.
At trial, the jury heard Rodriguez paid doctors to approve patients for home health care regardless of whether it was medically necessary. Rodriguez then sold those approvals to various corrupt home health care providers. These providers then billed Medicare for services that were either unnecessary or never provided.
During the trial, jurors were able to watch video that captured the fraud committed at Rodriguez’s clinic. Potential clients were given brief exams, often by unlicensed people posing as doctors, and then quickly approved for medical services that were unnecessary.
As a result of the investigation and prosecution, several other doctors and administrators have also been convicted of crimes ranging from Medicare fraud to the payment of kickbacks.
Ultimately, the providers billed Medicare for over $11 million as a result of patients Rodriguez provided.
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.
The Department of Health and Human Service (DHHS)-Office of Inspector General and FBI conducted the investigation. Assistant U.S. Attorneys Tina Ansari and Thomas Carter prosecuted the case along with Trial Attorney Scott Armstrong of the Fraud Section in the Department of Justice’s Criminal Division.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, DHHS Centers for Medicare & Medicaid Services, working in conjunction with DHHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Texan sentenced in CARES Act unemployment fraud schemeRead the Press Release
CORPUS CHRISTI, Texas - A 29-year-old Corpus Christi man has been ordered to federal prison after he admitted to devising a scheme to fraudulently misappropriate $255,052 in unemployment benefits meant for those suffering financial hardship due to the COVID-19 pandemic, announced Acting U.S. Attorney Jennifer B. Lowery.
William Cleveland Peck pleaded guilty Oct. 22, 2020.
Today, U.S. District Judge David S. Morales ordered him to serve a 41-month sentence to be immediately followed by three years of supervised release.
As part of his guilty plea, Peck admitted to misappropriating personally identifiable information, such as Social Security numbers and dates of birth, related to various individuals. Peck then used that information to file multiple false and fraudulent claims for Pandemic Unemployment Assistance (PUA) and general unemployment benefits between May and July 2020.
Peck admitted to committing mail fraud by using misappropriated identities to file false and fraudulent claims with the Texas Workforce Commission (TWC), causing TWC to mail debit cards to a P.O. Box Peck utilized. Peck then used the fraudulently-obtained debit cards to withdraw cash and make purchases. The individuals under whose identities Peck filed the false claims were not residents of Texas, not eligible for benefits through TWC and did not authorize Peck to file such claims.
PUA benefits were made available through the Coronavirus Aid, Relief and Economic Security (CARES) Act - a federal law enacted March 29, 2020, which provides emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic.
Previously released on bond, Peck 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 Department of Labor - Office of the Inspector General, U.S. Postal Inspection Service and TWC conducted the investigation. Assistant U.S. Attorneys Andrew Swartz and Asha Natarajan are prosecuting the case.
Pharr man pleads guilty to smuggling multiple drugs in cardboard boxRead the Press Release
LAREDO, Texas – A 46-year-old Pharr man has entered a guilty plea to conspiracy to possess with intent to distribute 1.42 kilograms of meth, announced Acting U.S. Attorney Jennifer B. Lowery.
On Feb. 8, Eduardo Maldonado applied for entry into the United States from Mexico at the Lincoln-Juarez bridge port of entry in Laredo as a passenger on a commercial bus. During a routine X-ray examination of luggage and other items on the bus, authorities noted anomalies in a cardboard box belonging to Maldonado. A K-9 unit also positively alerted to the presence of contraband. A subsequent physical search revealed nine packages which tested positive for cocaine, meth and heroin.
Law enforcement weighed the narcotics and determined the packages contained 1.42, 2.04 and 4.16 kilograms of meth, heroin and cocaine, respectively. The collective street value of the drugs was approximately $162,820.
Maldonado admitted he was at a bar in Mexico with his girlfriend when he met a man who offered him $3,000 to transport the box to Birmingham, Alabama. He was to give it to someone waiting for him at the bus stop. The man paid for Maldonado’s bus ticket.
Maldonado claimed he did not know what was in the box and did not check, but admitted he knew “something” was in it based on the amount of money he was to be paid. He further acknowledged he did not ask the man many questions about the box.
U.S. District Judge Marina Garcia Marmolejo accepted the plea and set sentencing for Aug. 2. At that time, Maldonado faces up to life in prison and a possible $10 million maximum fine. He has been and will remain in custody pending that hearing.
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.
Houston woman admits to smuggling liquid meth in gas tankRead the Press Release
LAREDO, Texas – A 24-year-old Houston woman has entered a guilty plea to conspiring to import $300,000 of meth into the country, announced Acting U.S. Attorney Jennifer B. Lowery.
On March 6, Yatziri Barboza arrived at the Juarez–Lincoln International Bridge in Laredo driving a Volkswagen Touareg. Law enforcement conducted an X-ray inspection of her vehicle and noticed an anomaly in the gas tank.
They removed the gas tank and found a compartment with 57.46 kilograms of meth in liquid form.
The narcotics have an estimated street value of approximately $300,000.
U.S. District Judge Marina Garcia Marmolejo will set sentencing for a later date. At that time, Barboza faces a minimum of 10 years and up to life in prison. She was taken into custody pending that hearing.
Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney David Fawcett is prosecuting the case.
Felon convicted of trafficking meth with firearmRead the Press Release
CORPUS CHRISTI, Texas - A 42-year-old Corpus Christi man has entered a guilty plea to possessing a semi-automatic handgun in furtherance of a drug-trafficking crime as well as possession with intent to distribute meth, announced Acting U.S. Attorney Jennifer B. Lowery.
On Nov. 18, 2020, authorities executed a federal arrest warrant Benjamin Govella, who was riding a bicycle near an apartment complex in Corpus Christi. At that time, he possessed a backpack containing a Ruger SR9C 9mm pistol and nearly 50 grams of pure meth as well as two loaded magazines and a scale.
U.S. District Judge Drew B. Tipton accepted the plea and set sentencing for July 29. At that time, Govella faces up to 20 years in prison and a possible $1 million maximum fine. He has been and will remain in custody pending that hearing.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and Corpus Christi Police Department (CCPD) conducted the investigation with the assistance of the CCPD Narcotics Vice Investigations Division. Assistant U.S. Attorney Reid Manning is prosecuting the case.
Federal charges filed against operators of Houston stash houseRead the Press Release
HOUSTON – Five individuals in the United States illegally have been taken into custody following the discovery of nearly 100 undocumented aliens in a suburban Houston residence, announced Acting U.S. Attorney Jennifer B. Lowery.
The criminal complaint charges Marina Garcia-Diaz, 22, El Salvador; Henry Licona-Larios, 31, Copan, Honduras; Kevin Licona-Lopez, 25, Santa Barbara, Honduras; Marco Baca-Perez 30, Michoacan, Mexico; and Marcelo Garcia-Palacios, 21, Oaxaca, Mexico. All are noncitizens of the United States residing here illegally. They are expected to make their initial appearances before U.S. Magistrate Judge Christina Bryan at 2 p.m. today.
The criminal complaint, filed Saturday, alleges all five harbored, concealed and shielded illegal aliens for the purpose of commercial advantage or private financial gain.
The investigation began after authorities allegedly received a call from a woman reporting her brother had been kidnapped. She had paid several thousand dollars for him to be smuggled into the United States, according to the charges. However, the smugglers had allegedly demanded additional money before they would release her brother. They also threatened to kill him, according to the charges.
The investigation led to a residence on Chessington Drive in Southwest Houston, according to the complaint. Authorities ultimately found 97 undocumented noncitizens allegedly being held in two rooms of the residence. The charges allege the rooms had deadbolts on the doors facing the outside which prevented escape.
All of the male individuals were in their undergarments, according to the complaint.
The charges also allege at least one was told if the money was not paid, he would be put in “4 pieces of wood.”
Several of the held individuals allegedly identified Garcia-Diaz, Licona-Larios, Licona-Lopez, Baca-Perez and Garcia-Palacios as those conducting the smuggling operation.
If convicted, each faces up to 10 years in federal prison and a possible $250,000 maximum.
Homeland Security Investigations conducted the investigation with the assistance of the Houston Police Department. Assistant U.S. Attorney Karen M. Lansden 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.Cotulla man sentenced for trafficking over 1000 pounds of marijuanaRead the Press Release
LAREDO, Texas – A 37-year-old local man has been ordered to federal prison for his role in a conspiracy to possess with intent to distribute marijuana, announced Acting U.S. Attorney Jennifer B. Lowery.
Al Lopez pleaded guilty Feb. 8.
Today, U.S. District Judge Marina Garcia Marmolejo ordered him to serve a 60-month sentence to be immediately followed by five years of supervised release.
On March 5, 2019, Lopez arrived at the Border Patrol (BP) Checkpoint on Highway 83 north of Laredo, driving a truck with a trailer attached. After a K-9 alerted to the trailer, law enforcement conducted a searched and found 43 bundles wrapped in black tape hidden under the floor of the trailer.
The bundles contained a total of 465.5 kilograms of marijuana with a street value of approximately $300,000.
Lopez 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 BP. Assistant U.S. Attorney David Fawcett prosecuted the case.
Valley drug trafficking organizer gets life in prisonRead the Press Release
BROWNSVILLE, Texas – A 40-year-old resident of Brownsville has been ordered to federal prison following his role in trafficking more than 1000 kilograms of cocaine involving $26 million in drug proceeds, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for less than three hours before convicting Rafael Villanueva Jan. 28, following a six-day trial.
Today, U.S. District Judge Fernando Rodriguez Jr., who presided over the trial and sentencing, ordered Villanueva to serve the rest of his life in federal prison. The court also ordered Villanueva to pay a $1,193,070 money judgment as repayment for the drug money he illegally laundered.
“This sentencing is the result of a long-term complex investigation lead by federal, state and local law enforcement agencies who continue to serve and protect our public and national security said Deputy Special Agent in Charge Timothy Tubbs of Homeland Security Investigations (HSI). “HSI and our counterparts will continue to protect our nation from transnational criminal organizations that seek to bring harm to our communities and our nation.”
“The sentencing of Villanueva demonstrates how we focus investigative resources against drug trafficking organizations that import large shipments of hard drugs from Mexico then deliver them to cities throughout the United States,” said Special Agent in Charge Daniel C. Comeaux of the Drug Enforcement Administration (DEA). “DEA and our partners remain determined to identify, dismantle and destroy drug trafficking organizations that import and spread their poison in cities across our nation.”
During trial, the jury heard from approximately 21 witnesses. They detailed Villanueva’s role as head of a drug transportation group that moved cocaine from the Rio Grande Valley and on to cities throughout the United States. He had customers in Mexico who needed transportation for cocaine to areas throughout the United States, including Houston; Chicago, Illinois; Jackson, Mississippi; as well as locations in South and North Carolina, Virginia and Georgia.
He also provided transportation for drug proceeds sold throughout the United States back to the Rio Grande Valley. The commercial vehicles were outfitted with special compartments to hide the cocaine and drug proceeds.
Several witnesses testified Villanueva hired them to move the cocaine north and the drug proceeds south. Villanueva paid them by the kilogram to transport the drugs and a percentage of the drug money coming south. Fellow drug traffickers also testified Villanueva borrowed their line of transport for the cocaine when commercial drivers he hired got arrested with loads of cocaine.
One of the witnesses was a young male who was only 16 when he started working for Villanueva.
The jury also heard about the search of Villanueva’s house where authorities found five guns and numerous documents showing his lavish lifestyle as well as several Lone Star cards.
The defense attempted to convince the jury the witnesses were all liars and authorities did poor work.
The jury ultimately found him guilty as charged for possession with intent to distribute five kilograms or more of cocaine and conspiracy to do so, conspiracy to launder monetary instruments, bulk cash smuggling and international money laundering.
Villanueva has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Several others have also been convicted for their respective roles.
HSI and DEA conducted the Organized Crime Drug Enforcement Task Force (OCDETF) operation known as La Camelia. 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.
Assistant U.S. Attorneys Karen Betancourt, Jody Young and Paul Marian prosecuted the case.
RGV attorney admits to detainee list bribery schemeRead the Press Release
BROWNSVILLE, Texas – A 40-year-old Weslaco attorney has entered guilty pleas to conspiracy to commit bribery and bribery of a public official, announced Acting U.S. Attorney Jennifer B. Lowery.
Roel Alaniz admitted he paid immigration detention employees for “alien detainee roster lists.” The lists were provided to him or his sister - Cynthia Alanis - who is also an attorney in the Rio Grande Valley.
The detainee lists were from the EL Valle Detention Center-Raymondville and the Port Isabel Detention Center-Los Fresnos. They contained names, dates of birth, country of origin and A-numbers of alien detainees. The attorneys would then visit them, or instruct others to do so, in order to solicit them to hire his law firm for representation in immigration proceedings.
U.S. District Judge Fernando Rodriguez accepted the plea and set sentencing for Aug. 2. At that time, Roel Alaniz faces up to 15 years in federal prison for the bribery conviction and up to five for the conspiracy. Both convictions also carry a maximum $250,000 fine.
He was permitted to remain on bond pending that hearing.
Benito Barrientez, 43, Lyford, and Damian Ortiz, 31, Weslaco, were two employees of the Willacy County Regional Detention Center who sold the lists to Roel Alaniz. They also pleaded to conspiracy and bribery of a public official. They are set for sentencing May 11 before U.S. District Judge Rolando Olvera Jr.
Cynthia Alaniz, 28, Weslaco, pleaded guilty to making a false statement in a bribery investigation and is set for sentencing May 5.
Barrientez, Ortiz and Cynthia Alaniz were also permitted to remain on bond.
Immigration and Customs Enforcement – Office of Internal Affairs conducted the investigation with assistance from the Department of Homeland Security-Office of the Inspector General and Homeland Security Investigations-Harlingen. Assistant U.S. Attorney Oscar Ponce is prosecuting the case.
Panama investigation leads to local child pornography pleaRead the Press Release
BROWNSVILLE, Texas – An 18-year-old Brownsville man has admitted to possessing thousands of images and videos of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.
Irbenis Mederos Jr. pleaded guilty today to possession of child pornography.
On Sep. 28, 2020, authorities discovered the sexual exploitation of a minor child via social media. It was determined she was an eight-year-old U.S. citizen residing in Panama.
The investigation led to an IP address in Brownsville belonging to Mederos. Law enforcement conducted a search at his residence and seized a cellphone. Forensic analysis resulted in the discovery of 1,229 images and 110 videos of child pornography, approximately 55 of which were of the minor female in Panama. Several others also depicted child pornography involving infants and toddlers.
U.S. District Judge Fernando Rodriguez accepted the plea and set sentencing for Aug. 2. At that time, Mederos faces up to 20 years in federal prison and a possible $250,000 maximum fine.
He has been and will remain in custody pending sentencing.
Homeland Security Investigations (HSI) in Panama conducted the investigation along with HSI-Rio Grande Valley Child Exploitation Investigation Task Force.
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.
Once wanted felon sentenced for illegal gun possessionRead the Press Release
CORPUS CHRISTI, Texas – A 42-year-old Corpus Christi resident has been ordered to federal prison for possession of a firearm as a convicted felon, announced Acting U.S. Attorney Jennifer B. Lowery.
Mark Villarreal pleaded guilty Jan. 13.
Today, U.S. District Judge Drew B. Tipton ordered him to serve an 85-month sentence to be immediately followed by three years of supervised release.
On Sep. 30, 2020, authorities observed a vehicle stalled on the roadway in Corpus Christi and pulled over to help. As they moved the vehicle out of the road and into a parking lot, authorities noticed it had two different license plates and no registration sticker.
They identified Villarreal and discovered an active warrant for his arrest. As they took him into custody, they found a .40 caliber Smith and Wesson SD40, semi-automatic pistol in his waistband.
Villarreal was previously convicted of multiple felonies to include assault of a family member. As such, he is prohibited per federal law of possessing firearms or ammunition.
Villarreal will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorney Joel Dunn prosecuted the case.
Gang members sentenced for assaulting federal officersRead the Press Release
HOUSTON – The final Houston area man charged with the assault and robbery of undercover agents during a drug operation in early 2019 has been ordered to federal prison, announced Acting U.S. Attorney Jennifer B. Lowery.
Morgan Kanu-Bradley, 20, Spring, pleaded guilty Nov. 18, 2019, as did Avery James, 22, and DeAnthony Doucet, 23, both of Baytown. They were each convicted on two counts of assaulting federal agents, three counts of robbery - including a conspiracy count - and one count of possession of a firearm during and in furtherance of a crime of violence. All are identified members of a gang in Baytown known as the “Gas Gang.”
Today, Chief U.S. District Judge Lee H. Rosenthal ordered Kanu-Bradley to serve a total of 144 months in federal prison to be immediately followed by three years of supervised release. Doucet and James were previously sentenced to respective terms of 130 and 120 months in prison to be followed by three years of supervised release.
The court heard that Kanu-Bradley was the most violent of the group and had a lack of remorse for his actions. The defense disagreed and asked for a lower sentence. Judge Rosenthal said she could not do that because of the extremely violent nature of the offense, noting that Kanu-Bradley had punched and beat the victim.
“The blatant disregard for human life that was shown when Kanu-Bradley beat and held an undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) special agent at gunpoint while robbing him deserves nothing less than the maximum allowable sentence,” said ATF Special Agent in Charge Fred Milanowski. “While our agent suffered severe injuries, the community is safer with this criminal off the street.”
On Feb. 17, 2019, undercover federal agents had arranged to purchase narcotics from Doucet at a hotel in Houston. There, Kanu-Bradley, James and Doucet held the agents at gunpoint and stole the money they had for the transaction as well as and one of their firearms and phone. The men also beat and stomped on one of agents while he was held at gunpoint.
Afterwards, Kanu-Bradley, James and Doucet all fled the scene. Other authorities on the scene pursued and arrested them.
One of the undercover officers received bruises and a laceration to his face which required stitches.
Kanu-Bradley, James and Doucet have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
ATF conducted the Organized Crime Drug Enforcement Task Force (OCDETF) operation with the assistance of the Drug Enforcement Administration, Texas Department of Public Safety and police departments in Baytown and Houston. OCDETF identifies, disrupts and dismantles the highest-level drug traffickers, money launderers, gangs and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.
Assistant U.S. Attorneys Richard Bennett and Jimmy Leo prosecuted the case.
“Project Python” Mexican national convicted of meth smugglingRead the Press Release
LAREDO, Texas – A 47-year-old resident of Guanajuato, Mexico, has entered a guilty plea to conspiracy to possess with intent to distribute meth, announced Acting U.S. Attorney Jennifer B. Lowery.
From August 2015 to March 2018, Jose Domingo Ibarra Martinez and other co-conspirators imported large quantities of meth through the ports of entry in Laredo to be distributed through the United States.
Ibarra admitted to smuggling over 150 vehicle batteries and other drug-laden items into the country during the course of the conspiracy. The investigation revealed the batteries originated from Michoacán, Mexico. Each was loaded with approximately 7.5 kilograms of meth.
During the plea. Ibarra admitted the organization as a whole imported more than 1,000 drug-laden items.
U.S. District Judge Diana Saldana accepted the plea and will set sentencing at a later date. At that time, Ibarra faces up to life in prison and a possible $10 million maximum fine. He has been and will remain in custody pending that hearing.
The Drug Enforcement Administration led the Organized Crime and Drug Task (OCDETF) operation known as Gelo Podre with the assistance of the Laredo Police Department and sheriff’s offices in Victoria and Williamson Counties. It is part of Project Python, a nationwide operation announced in March 2020. The operation targeted the Cártel de Jalisco Nueva Generación and has resulted in more than 600 arrests, 350 indictments and significant seizures of money and drugs across the United States.
Assistant U.S. Attorney Anthony J. Evans is prosecuting the case.
Houston bounty hunter sentenced for running international sex trafficking conspiracyRead the Press Release
HOUSTON – A 30-year-old Houston bounty hunter has been ordered to prison following his convictions of sex trafficking, conspiracy to commit visa fraud and international money laundering, announced Acting U.S. Attorney Jennifer B. Lowery.
Luis de Jesus Rodriguez aka Htown Hunter pleaded guilty July 8, 2020.
Today, U.S. District Judge Lynn N. Hughes sentenced Rodriguez to a total of 180 months in federal prison for leading an international sex trafficking ring. At the hearing, the court heard a statement from a victim and considered other victim letters detailing the emotional, physical and financial impact of Rodriguez’s sex trafficking scheme. He must also serve 10 years on supervised release and be required to register as a sex offender.
“This case sends a strong message to those who benefit from the exploitation of vulnerable women,” said Lowery. “To those criminal organizations that engage in human trafficking, whether international or domestic, we will combine forces with our local, state and foreign counterparts to find you, arrest you and bring you to justice.”
In 2016, Rodriguez and his international criminal network targeted, recruited and exploited young women in Colombia and the United States by making false promises of a better life. Rodriguez directed them to watch YouTube videos portraying him as a bounty hunter in order to assure the women he was affiliated with law enforcement and could be trusted.
However, once here, the women had to work at Michael’s aka Chicas Locas, a Houston strip club located at 6440 Southwest Freeway. Rodriguez and others forced the victims to sign debt bondage contracts with debts ranging from $13,200 to $25,000. They also had to make daily payments of approximately $250.
During the conspiracy, Rodriguez threatened victims and their families in Colombia, constantly monitored them, tracked their cellphones and ultimately forced them into engaging in commercial sex acts.
When a victim wanted to leave or was non-compliant, Rodriguez resorted to violent methods and claimed it was useless to try to get help due to his purported connections with law enforcement.
Rodriguez also engaged in widespread visa fraud to facilitate the international transportation of the victims. He created fictitious background and occupations to increase the likelihood that visa applications would be approved.
Rodriguez 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 Department of State’s Diplomatic Security Service, Houston Police Department and IRS-Criminal Investigation led the investigation as part of the Human Trafficking Rescue Alliance (HTRA) with the assistance of Harris County District Attorney’s Office, Texas Alcoholic Beverage Commission, Department of Labor and its Wage and Hour Division along with police departments in Memorial Village and Los Angeles, California. The Attorney General’s Office of Colombia also provided significant assistance.
Assistant U.S. Attorneys Eun Kate Suh and Sebastian Edwards are prosecuting the case along with Trial Attorney Kate Hill from the Department of Justice’s Human Trafficking Prosecution Unit.
HTRA law enforcement also includes members of the FBI, Homeland Security Investigations, Texas Attorney General’s Office, Texas Department of Public Safety, Department of Homeland Security – OIG, Social Security Administration – OIG and Sheriff’s Offices in Harris and Montgomery counties in coordination with District Attorney’s offices in Montgomery and Fort Bend Counties.
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.
Woman admits to tax fraud on behalf of herself and many othersRead the Press Release
HOUSTON – A Texas tax preparer has entered a guilty plea to aiding and assisting in the preparation of a false U.S. Individual Income Tax Return, announced Acting U.S. Attorney Jennifer B. Lowery.
Tiffany Phenix prepared income tax returns for others at Phenix Tax Service in Alice. Asa part of her plea today, she stipulated she prepared a total of 37 false income tax returns for clients and four false income tax returns for herself, resulting in an intended tax harm to the IRS of over $284,000.
Specifically, Phenix admitted preparing a false 2015 income tax return for a taxpayer which included creating a false form W-2. She also claimed on the return false wage amounts, a false Earned income Tax Credit and a false income tax refund.
As part of her plea agreement, Phenix agreed to pay restitution to the IRS.
U.S. District Judge David S. Morales accepted the plea and set sentencing for July 22. At that time, Phenix faces up to three years in prison and a possible $250,000 maximum fine. She was permitted to remain on bond pending that hearing.
IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorney Charles J. Escher is prosecuting the case.
Houston man sent to prison for possessing over 56,000 images of child pornographyRead the Press Release
HOUSTON – A 41-year-old Houston-area man has been ordered to federal prison for 40 years after producing videos of his sexual abuse of a minor, possession of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.
Miguel Rivera pleaded guilty Oct. 30, 2020, to production, receipt and possession of child pornography.
Today, U.S. District Judge Charles Eskridge ordered him to serve a 480-month sentence. The court also heard additional information today including a statement from the victim detailing how Rivera’s heinous acts affected her childhood and to this day. In handing down the sentence, the court noted the seriousness of the offense, promoting respect for the law and deterrence of such criminal conduct. Rivera will serve the rest of his life 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. He will also be ordered to register as a sex offender.
In June 2019, law enforcement located an IP address with a folder containing child pornography using a publicly available peer-to-peer file-sharing network. The IP address was linked to Rivera and his residence.
Forensic analysis resulted in the discovery of 56,250 images of child pornography on his electronic devices. Approximately 412 videos were over five minutes in length, the longest of which was nearly an hour.
Rivera also produced 3,200 images and over 160 videos of sexually abusing a minor while the child was unconscious.
He admitted he had been downloading child pornography for at least a decade.
Rivera 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 FBI conducted the investigation.
Assistant U.S. Attorney Zahra Jivani Fenelon 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.
Final four sentenced in $189M Health Care Fraud ScamRead the Press Release
HOUSTON – Four executives of Continuum Healthcare and its various health centers have been ordered to federal prison for a massive scam perpetrated in the Houston area, announced Acting U.S. Attorney Jennifer B. Lowery.
Bobby Rouse, 81, and Steven Houseworth, 47, both of Houston; Jeffery Parsons, 62, Crockett; and David Edson, 72, Palm Harbor, Florida, had all pleaded guilty to their respective roles in the scam.
On April 22, U.S. District Judge Gray Miller sentenced Rouse to 120 months in prison. Edson received a 48-month-term of imprisonment, while Parsons and Houseworth each received 30 months in prison.
Rouse, Houseworth, Edson and Parsons were part of the executive team for Continuum Healthcare LLC, which owned Westbury Community Hospital in Houston as well as community mental health centers in the Houston area known by their locations as Hornwood, Baytown and Missouri City.
Each location operated a partial hospitalization program (PHP). The PHP was supposed to be a treatment program for individuals with mental illness, intended to closely resemble a highly structured, short-term hospital inpatient program. However, while it was a distinct and organized intensive treatment program, it offered less than 24-hour daily care.
In 2010, Continuum opened Westbury Community Hospital with Hornwood and Baytown becoming outpatient centers and continuing to operate their existing PHPs under the Westbury name. Westbury also opened a PHP.
The four men were responsible for the day-to-day operation of Continuum/Westbury and were involved in the implementation of the various kickback programs. Numerous people were referred for treatment in exchange for payment. However, the vast majority did not qualify for PHP services, because they were not experiencing an acute psychotic episode or were actually suffering from mental retardation, dementia or Alzheimer’s.
In total, Continuum billed Medicare approximately $189 million in total for fraudulent PHP services and Medicaid paid approximately $66 million on those clams.
The convictions of all 14 charged in the case were announced in 2019.
The FBI, Department of Health and Human Services - Office of the Inspector General, Texas Attorney General's Medicaid Fraud Control Unit and IRS - Criminal Investigation participated in the joint investigation. Assistant U.S. Attorneys Tina Ansari and Special Assistant U.S. Attorney Justin Blan are prosecuting the case.
Mexican man sentenced for having meth welded to tiresRead the Press Release
BROWNSVILLE, Texas – A 33 year-old Mexican citizen residing in Matamoros, Mexico, has been ordered to federal prison for possessing 43 kilograms of meth, announced Acting U.S. Attorney Jennifer B. Lowery.
Leonardo Banuelos-Garcia pleaded guilty Sept. 27, 2019.
Today, U.S. District Judge Fernando Rodriguez handed Banuelos-Garcia a 96-month sentence. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. At the hearing, the court noted the quantity of narcotics involved in the crime.
On March 28, 2019, Banuelos-Garcia arrived at the Gateway Port of Entry in Brownsville driving a Jeep Liberty. Authorities noticed the sport utility vehicle was clean and had only one key and referred him to secondary inspection.
Law enforcement noticed Banuelos-Garcia was sweating profusely and appeared nervous. An X-ray examination indicated anomalies in some of the tires.
Banuelos-Garcia was ultimately found in possession of 18 packages of meth welded to three tires of his Jeep Liberty. He admitted he was going to be paid $1000 to transport the narcotics.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Joe Esquivel prosecuted the case.
Houston man sent to prison for coercion and enticement via KikRead the Press Release
HOUSTON – A 63-year-old Houston resident has been ordered to federal prison after attempting to obtain sexual images of a young boy, announced Acting U.S. Attorney Jennifer B. Lowery.
Mark Wayne Cottrell pleaded guilty Dec. 12, 2019.
Today, U.S. District Judge Gray Miller ordered Cotrell to serve a total of 121 months in prison. He was further ordered to pay $3000 to a victim who’s image appeared in the child pornography found in Cottrell’s possession. He must also register as a sex offender and serve 15 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.
At the time of Cotrell’s plea, he admitted to engaging in conversations via the Kik application with an individual whom he believed had access to a 10-year-old boy. Cottrell had engaged in sexually-charged conversations and requested an image of the boy’s genitals. He also sent links that contained over 1000 image files and 300 video files of child pornography.
Cottrell admitted he discussed travelling to New York to meet with the fictious boy and to possessing child pornography on his phone. Authorities also found child pornographic images on a laptop in Cottrell’s possession.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI conducted the investigation.
Assistant U.S. Attorney Sherri L. Zack 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.
Fugitive narcotics trafficker apprehendedRead the Press Release
BROWNSVILLE, Texas – A 33-year-old Brownsville resident has been taken into custody after being on the run from law enforcement for the past year, announced Acting U.S. Attorney Jennifer B. Lowery.
Authorities found William Garcia allegedly living illegally in Mexico April 21. He is expected to make his initial appearance today at 9 a.m. in Brownsville before U.S. Magistrate Judge Ignacia Torteya III.
Garcia is charged in a nine-count indictment unsealed today with conspiracy and possessing with intent to distribute cocaine and heroin, money laundering and operating an unlicensed money transmitting business. Garcia allegedly operated a drug trafficking conspiracy which moved cocaine and heroin from Mexico into the United States since 2016. Garcia is also accused of returning the illegal drug proceeds from the sale of heroin and cocaine back to Mexico, according to the charges.
The indictment also alleges Garcia used the United States banking system to collect his drug money.
If convicted, Garcia is up to life in prison and up to a $10 million possible fine.
Homeland Security Investigations, Drug Enforcement Administration and IRS-Criminal Investigation conducted the Organized Crime Drug Enforcement Task Force (OCDETF) investigation La Camelia. Customs and Border Protection and Cameron County District Attorney’s Office also provided assistance. Assistant U.S. Attorney Karen Betancourt is prosecuting the case.
OCDETF identifies, disrupts and dismantles the highest-level drug traffickers, money launderers, gangs and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Manager of Hospice and Home Health Companies Sentenced to Prison for Role in $150 Million Health Care Fraud SchemeRead the Press Release
A Texas man was sentenced today to 27 months in prison for his role in a conspiracy at the Merida Group, a chain of hospice and home health agencies throughout Texas, to falsely convince thousands of patients with long-term incurable diseases they had less than six months to live in order to enroll the patients in hospice programs for which they were otherwise unqualified, thereby increasing revenue to the company.
According to court documents, Jose Garza, 44, of Harlingen, was the operations manager for the Merida Group and responsible for carrying out the business’s day to day operations, including overseeing the recruitment of patients at certain locations throughout the Rio Grande Valley. Garza, and others working at his direction, recruited patients at hospitals and other medical practices by touting that the Merida Group offered “hospice that you don’t have to die to use,” pursuant to the Merida Group’s corporate marketing strategy.
At the trial of co-defendants Rodney Mesquias and Henry McInnis, witnesses testified that from 2009 to 2018, the vast majority of hospice and home health patients at the Merida Group did not qualify for services. Rather, physicians were bribed with illegal kickbacks, under the pretense of medical directorships, to falsely certify unqualified patients for services. Employees were instructed to falsify medical records, making non-terminal patients appear to be terminally ill and declining. Garza admitted to participating in the scheme, facilitating kickback payments to physicians, and directing employees to falsify medical records.
Garza pleaded guilty to one count of conspiracy to commit health care fraud on Sept. 9, 2019. Garza was charged along with three others who were convicted by a federal jury in Brownsville, Texas, in one of the largest criminal hospice fraud cases tried to a jury. Mesquias, 50, the owner of the Merida Group, was sentenced to 20 years in prison in December 2020. McInnis, 50, the CEO of the Merida Group, was sentenced to 15 years in prison in February 2020.
In addition to the prison sentence, Garza was ordered to pay $4,700,000 in restitution.
Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; Acting U.S. Attorney Jennifer Lowery of the Southern District of Texas; said Special Agent in Charge Christopher Combs of the FBI’s San Antonio Field Office made the announcement.
The Department of Health and Human Service – Office of Inspector General (HHS-OIG); FBI and Texas Health and Human Services Commission conducted the investigation.
Assistant Chief Jacob Foster and Trial Attorney Kevin Lowell of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Andrew Swartz of the Southern District of Texas are prosecuting the case.
The Fraud Section leads the Health Care Fraud Strike Force. Since its inception in March 2007, the Health Care Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Ex-law enforcement officer sent to prison for transporting purported drug moneyRead the Press Release
HOUSTON – A former deputy constable and her husband have been ordered to federal prison after admitting to conspiracy to possess with intent to distribute heroin, announced Acting U.S. Attorney Jennifer B. Lowery.
Betty Jean Molina, 58, pleaded guilty Oct. 21, 2020, while her husband - Henry Molina, 60 - entered his plea July 28, 2020. Both reside in Houston.
Today, U.S. District Judge George C. Hanks Jr. ordered Betty and Henry Molina to serve 87 and 80 months in federal prison, respectively. Each was also ordered to serve three years of supervised release following their imprisonment and must pay a $29,000 fine. At the hearing, the court heard how they used their experience, resources and Betty Molina’s law enforcement credentials to help traffic drugs and money from the sale of those drugs for what they believed to be a large-scale drug trafficking organization. In handing down the sentence, Judge Hanks noted the potential harm to the community of trafficking heroin and other illegal drugs, the couple’s disregard of those potential harms and Betty Molina’s abuse of her public trust.
“The FBI Houston Law Enforcement and Border Corruption Task Force is uniquely qualified to ensure that law enforcement officers who blatantly betray their sworn oath for personal gain are rooted out,” said FBI Special Agent in Charge Perrye K. Turner. “As a result of today's sentencing, the Molinas will be held accountable for their actions. The task force especially appreciates those who are willing to come forward to share knowledge of these crimes."
The couple admitted to transporting what they believed to be approximately a half-million dollars in drug trafficking proceeds on multiple occasions. They had also agreed to transport what they believed was two kilograms of heroin.
At the time of the offense, Betty Molina was a deputy constable with Harris County Precinct 5 Constable’s Office. As part of her plea, she admitted to using her law enforcement credentials when stopped for speeding on one of their trips.
As part of the pleas, the couple admitted to obtaining several thousand dollars of what they believed to be drug proceeds and brought it back to Houston. On at least one occasion, they also transported a significant amount of narcotics.
In return, they received approximately $30,000 combined for all of their criminal actions.
Both were 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 Houston Law Enforcement and Border Corruption Task Force, which includes the Houston Police Department, Texas Department of Public Safety and the Department of Homeland Security – Office of Inspector General conducted the investigation with the assistance of Harris County Constable Precinct 5. Assistant U.S. Attorneys Alamdar S. Hamdani and Arthur R. Jones prosecuted the case.
Undocumented alien sent to prison for causing injury to federal agentRead the Press Release
LAREDO, Texas – A 33-year-old undocumented Honduran national has been ordered to federal prison for assaulting a Border Patrol (BP) agent in the performance of his official duties, announced Acting U.S. Attorney Jennifer B. Lowery.
On Jan. 29, U.S. District Judge Marina Garcia Marmolejo rendered her guilty verdict against Walter Yobani Ordones-Chavez following a one-day bench trial that concluded Jan. 27.
Today, Judge Marmolejo ordered him to serve a 33-month-term of imprisonment. Not a U.S. citizen, he is expected to face removal proceedings following the sentence. At the hearing, the court heard additional evidence detailing how Ordones-Chavez had multiple aliases, convictions for resisting arrest in the states of Colorado and Massachusetts and been previously deported 11 times.
The court also noted that authorities had acted with great experience and restraint in apprehending Ordones-Chavez. At the conclusion of the hearing, the court thanked the agents for their service to the United States.
In the early morning hours of Dec. 31, 2019, law enforcement responded to possible illegal activity near Headen Avenue and Ventura Street in the El Tonto neighborhood of Laredo. They had discovered a group who had illegally crossed the Rio Grande River and attempted to hide inside a storage shed located at a private residence.
At trial, the court heard Ordones was one of those individuals. Testimony revealed he violently resisted efforts to apprehend him, striking at authorities and ignoring multiple commands to halt.
Law enforcement was ultimately able to physically detain him, but not before causing injury to an agent. Two BP agents were subsequently treated for injuries at a medical facility.
Ordones-Chavez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
FBI and Customs and Border Protection conducted the investigation. Assistant U.S. Attorneys Francisco J. Rodriguez and Courtney Nix prosecuted the case.
Music “tourist” sent to prison for cocaine traffickingRead the Press Release
CORPUS CHRISTI, Texas - A 40-year-old felon from Florida has been sentenced for conspiracy to distribute nearly 10 kilograms of cocaine in the Coastal Bend area, announced Acting U.S. Attorney Jennifer B. Lowery.
Terrance Collins, Tallahassee, Florida, pleaded guilty Nov. 10, 2020.
Today, U.S. District Judge Nelva Gonzales Ramos ordered Collins to serve a 120-month sentence to be immediately followed by five years of supervised release. In handing down the sentence, the court noted his extensive criminal history including 27 prior convictions totaling nearly 100 months of confinement.
“This sentence sends a clear message that drug traffickers will be held accountable for their crimes,” said Special Agent in Charge Daniel C. Comeaux of the Drug Enforcement Administration (DEA). “This investigation is another example of our collective efforts to attack drug trafficking organizations at every level.”
On or about July 4, 2020, Collins arrived from Florida to attend a purported music festival in the South Padre Island area. He left a few days later via bus.
However, during a routine inspection at a checkpoint along the way, a service K-9 alerted to luggage linked to Collins.
Law enforcement ultimately discovered 10 concealed bundles containing cocaine, weighing approximately 9.134 kilograms. The drugs had an approximate street value of $250,000.
He admitted he was to transport the narcotics back to Florida and was to be paid $1,000.
Previously released on bond, Collins was ordered into custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
DEA and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Reid Manning is prosecuting the case.
Gang member and convicted felon sentenced to over 11 years in prisonRead the Press Release
CORPUS CHRISTI, Texas – A 37-year-old local Corpus Christi resident and member of the Texas Syndicate gang has been ordered to federal prison for his role in a cocaine trafficking conspiracy, announced Acting U.S. Attorney Jennifer B. Lowery.
Adan Rivera pleaded guilty Jan. 7.
Today, U.S. District Judge Nelva Gonzales Ramos ordered him to serve a 135-month sentence to be immediately followed by five years of supervised release. At the hearing, the court heard additional statements that described Rivera's role during the cocaine trafficking conspiracy and membership in the dangerous Texas Syndicate gang. Before handing down the sentence, Judge Ramos considered Rivera's previous criminal conduct which included felony convictions for aggravated robbery, aggravated assault as well as possession of heroin and cocaine. His continued criminal conduct included an arrest in March for possession with intent to distribute heroin while on bond.
The investigation revealed that in in July 2020, Rivera was involved in a conspiracy with others to possess with intent to distribute nearly 20 kilograms of cocaine. He helped coordinate or protect cocaine or currency with other co-conspirators.
Law enforcement ultimately seized over $250,000 during the course of the investigation.
Previously released on bond, Rivera was taken into custody in March following the heroin trafficking arrest. He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Homeland Security Investigations conducted the investigation with assistance from Drug Enforcement Administration, U.S. Marshals Service, Nueces County District Attorney's Criminal Interdiction Unit, Texas Department of Public Safety and Corpus Christi Police Department. Assistant U.S. Attorney Reid Manning prosecuted the case.
Former police officer convicted of child pornography chargeRead the Press Release
BROWNSVILLE, Texas - A 32-year-old former officer with the Primera Police Department (PPD) has admitted to possessing child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.
Joel Alex Sandate pleaded guilty today.
The investigation revealed that from September 2019 to March 2020, Sandate had installed hidden cameras to capture recordings of a minor female. He saved the recorded videos onto various computer media devices such as his cellphone, a sim card and a USB drive.
Another PPD officer had discovered the images and reported it to authorities.
U.S. District Judge Fernando Rodriguez Jr. accepted the plea today and set sentencing for July 20. At that time, Sandate faces up to 10 years in federal prison as well as a $250,000 fine.
He has been and will remain in custody pending sentencing.
Homeland Security Investigations - Rio Grande Valley Child Exploitation Task Force conducted the investigation with the assistance of PPD, Texas Rangers and the Cameron County District Attorney’s Office.
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.
Texas man headed to prison for trying to sexually entice minorRead the Press Release
BROWNSVILLE, Texas - A 49-year-old Austin man has been ordered to federal prison following his conviction of coercion and enticement of a minor to engage in sexual activity, announced Acting U.S. Attorney Jennifer B. Lowery.
Jeffrey Charles Hyde Jr. pleaded guilty Nov. 1, 2018.
Today, U.S. District Judge Rolando Olvera Jr. ordered him to serve 121 months in federal prison. Hyde was further ordered to pay restitution to the victim and will serve 25 years on supervised released following completion of his prison term, 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.
“Child exploitation investigations continue to be one of our highest priorities,” said Deputy Special Agent in Charge Timothy Tubbs of Homeland Security Investigations (HSI). “No crime affects us more deeply than the exploitation of innocent children. HSI will continue to identity, arrest and prosecute those who traumatize and victimize children.”
On or about Sept. 9 to Nov. 28, 2017, Hyde utilized a cell phone to attempt to persuade and entice a minor to engage in unlawful sexual activity. During this time, Hyde was residing in Austin and communicating with a minor female n the Rio Grande Valley area.
During these texts, Hyde actively attempted to persuade the minor to engage in unlawful sexual activity. He also sent sexually-explicit videos to the minor.
HSI - Rio Grande Valley Child Exploitation Task Force conducted the investigation.
Assistant U.S. Attorney Ana C. Cano 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 man admits to exploiting minors he met onlineRead the Press Release
HOUSTON – A 41-year-old Houstonian has entered guilty pleas to coercion and enticement of a minor as well as sexual exploitation of a child, announced Acting U.S. Attorney Jennifer B. Lowery.
Thomas Douglas Butler had met a 14-year-old female on a social media/video chat site. After grooming her through their communications, he traveled to San Antonio to pick her up and bring her to his residence in a Houston hotel. While there, the victim reported Butler engaged in sex acts with her, provided her with alcohol on numerous occasions and gave her very little food.
Authorities located the victim Aug. 18, 2020, reunited her with her family and arrested Butler.
Law enforcement searched Butler’s hotel residence and seized several documents and electronic devices. This led to the discovery of a second minor female victim who resided out of state. Butler had groomed her to perform sexually illicit behavior such as exposing her genitals in a lewd and lascivious manner during Skype video sessions, some of which he recorded.
Butler then coerced her into continuing to engage in sexually charged chats. If she failed to comply, he would threaten to notify her parents or others of their relationship and potentially distributing the videos he created from the Skype chats.
U.S. District Judge Alfred Bennett accepted the plea and set sentencing for June 24. If convicted, Butler faces up to life in prison for the coercion and enticement as well as another minimum of 15 and up to 30 years for sexual exploitation of a child. Both charges also carry potential fines up to $250,000. He could also be ordered to pay thousands of dollars in special assessments and restitution.
Found to be a danger to the community and a flight risk, Butler has been and will remain in custody pending that hearing.
The FBI conducted the investigation.
Assistant U.S. Attorney Sherri L. Zack 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.
Laredo men receive significant sentences for trafficking $4 million of marijuanaRead the Press Release
LAREDO, Texas – A 35-year-old Laredo resident has been ordered to federal prison after conspiring to possess with the intent to distribute 1,261.5 kilograms of marijuana, announced Acting U.S. Attorney Jennifer B. Lowery.
Jose Luis Villalba, pleaded guilty in October 2020 as did Hector Gonzalez, 35, also of Laredo.
Today, U.S. District Judge Nelva Gonzalez Ramos ordered Villalba to serve a 120-month sentence to be immediately followed by five years of supervised release. At the hearing, the court heard additional information including evidence detailing his role in the offense as a manager and supervisor for the drug-trafficking organization.
Gonzalez received his sentence April 7. U.S. District Judge Marina Garcia Marmolejo ordered him to 132 total months in prison to be immediately followed by five years of supervised release.
On July 9, 2016, Villalba and Gonzalez coordinated the transportation of a large load of marijuana inside a tractor-trailer past the Border Patrol checkpoint north of Laredo. Law enforcement intervened and recovered approximately 2,775 pounds of marijuana.
The marijuana had an approximate street value of $4 million.
Villalba was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future, while Gonzalez is in custody.
The Drug Enforcement Administration and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Francisco J. Rodriguez prosecuted the case.
Justice Department announces court-authorized effort to disrupt exploitation of Microsoft Exchange Server vulnerabilitiesRead the Press Release
HOUSTON – Authorities have executed a court-authorized operation to copy and remove malicious web shells from hundreds of vulnerable computers in the United States. They were running on-premises versions of Microsoft Exchange Server software used to provide enterprise-level email service.
Through January and February 2021, certain hacking groups exploited zero-day vulnerabilities in Microsoft Exchange Server software to access email accounts and place web shells for continued access. Web shells are pieces of code or scripts that enable remote administration. Other hacking groups followed suit starting in early March after the vulnerability and patch were publicized.
Many infected system owners successfully removed the web shells from thousands of computers. Others appeared unable to do so, and hundreds of such web shells persisted unmitigated. This operation removed one early hacking group’s remaining web shells which could have been used to maintain and escalate persistent, unauthorized access to U.S. networks. The FBI conducted the removal by issuing a command through the web shell to the server, which was designed to cause the server to delete only the web shell (identified by its unique file path).
“Today’s court-authorized removal of the malicious web shells demonstrates the Department’s commitment to disrupt hacking activity using all of our legal tools, not just prosecutions,” said Assistant Attorney General John C. Demers for the Justice Department’s National Security Division. “Combined with the private sector’s and other government agencies’ efforts to date, including the release of detection tools and patches, we are together showing the strength that public-private partnership brings to our country’s cybersecurity. There’s no doubt that more work remains to be done, but let there also be no doubt that the Department is committed to playing its integral and necessary role in such efforts.”
“Combatting cyber threats requires partnerships with private sector and government colleagues,” said Acting U.S. Attorney Jennifer B. Lowery of the Southern District of Texas. “This court-authorized operation to copy and remove malicious web shells from hundreds of vulnerable computers shows our commitment to use any viable resource to fight cyber criminals. We will continue to do so in coordination with our partners and with the court to combat the threat until it is alleviated, and we can further protect our citizens from these malicious cyber breaches.”
“This operation is an example of the FBI’s commitment to combatting cyber threats through our enduring federal and private sector partnerships,” said Acting Assistant Director Tonya Ugoretz of the FBI’s Cyber Division. “Our successful action should serve as a reminder to malicious cyber actors that we will impose risk and consequences for cyber intrusions that threaten the national security and public safety of the American people and our international partners. The FBI will continue to use all tools available to us as the lead domestic law enforcement and intelligence agency to hold malicious cyber actors accountable for their actions.”
On March 2, Microsoft announced that a hacking group used multiple zero-day vulnerabilities to target computers running Microsoft Exchange Server software. Various other hacking groups also have used these vulnerabilities to install web shells on thousands of victim computers, including those located the United States. Because the web shells the FBI removed each had a unique file path and name, they may have been more challenging for individual server owners to detect and eliminate than other web shells.
Throughout March, Microsoft and other industry partners released detection tools, patches and other information to assist victim entities in identifying and mitigating this cyber incident. Additionally, the FBI and the Cybersecurity and Infrastructure Security Agency released a Joint Advisory on Compromise of Microsoft Exchange Server on March 10. Despite these efforts, by the end of March, hundreds of web shells remained on certain United States-based computers running Microsoft Exchange Server software.
This operation was successful in copying and removing those web shells. However, it did not patch any Microsoft Exchange Server zero-day vulnerabilities or search for or remove any additional malware or hacking tools that hacking groups may have placed on victim networks by exploiting the web shells. The Department strongly encourages network defenders to review Microsoft’s remediation guidance and the March 10 Joint Advisory for further guidance on detection and patching.
The FBI is attempting to provide notice of the court-authorized operation to all owners or operators of the computers from which it removed the hacking group’s web shells. For those victims with publicly available contact information, the FBI will send an e-mail message from an official FBI e-mail account (@FBI.gov) notifying the victim of the search. For those victims whose contact information is not publicly available, the FBI will send an e-mail message from the same FBI e-mail account to providers (such as a victim’s ISP) who are believed to have that contact information and ask them to provide notice to the victim.
If you believe you have a compromised computer running Microsoft Exchange Server, please contact your local FBI Field Office for assistance. The FBI continues to conduct a thorough and methodical investigation into this cyber incident.
Honduran immigrant convicted of alien smugglingRead the Press Release
CORPUS CHRISTI, Texas – A Corpus Christi federal jury has convicted a 42-year-old legal permanent resident of Houston for transporting an illegal alien, announced Acting U.S. Attorney Jennifer B. Lowery.
The jury deliberated for one hour before convicting Ivis Orestes Irias-Romero following a two-day trial.
On Nov. 14, 2020, at approximately 11:00 p.m., Irias-Romero drove a truck into the primary inspection area at the Border Patrol (BP) checkpoint near Sarita. He had a female riding as passenger.
Irias-Romero said he was from Honduras and produced his immigration card. However, the female did not respond when asked about her status. Instead, Irias-Romero claimed she was his wife and produced a copy of a marriage license certificate.
Authorities then asked the woman again, this time in Spanish. She admitted she was a Honduran citizen unlawfully living in Houston. She testified at trial and said she met Irias-Romero four years prior while on Facebook. She added that she had unsuccessfully tried several times to enter the United States, but finally made it in November 2020. She then contacted Irias-Romero who agreed to travel to Brownsville to pick her up and bring her to Houston.
After his arrest, Irias-Romero admitted the woman was not his wife and that he knew she was in the United States illegally. However, at trial, he contended that he was saving her from a hostage situation. The jury was not convinced and convicted him as charged.
U.S. District Judge David Morales presided over trial and set sentencing for July 14. At that time, Irias-Romero faces up to five years of imprisonment and a possible $250,000 maximum fine.
Irias-Romero was permitted to remain on bond pending that hearing.
BP conducted the investigation. Assistant U.S. Attorneys Michael Hess and Patrick Overman prosecuted the case.
DA investigator indicted on drug and money laundering chargesRead the Press Release
HOUSTON – An investigator with the Waller County District Attorney’s Office has been charged with attempting to possess with the intent to distribute heroin as well as attempting to launder drug proceeds, announced Acting U.S. Attorney Jennifer Lowery.
Authorities took Mohamed Ahmed “Alex” Kassem, 46, Houston, into custody today. He is expected to make his initial appearance before U.S. Magistrate Judge Peter Bray at 2 p.m. tomorrow.
A Houston grand jury returned the three-count indictment April 7. It alleges Kassem was involved in laundering of what he believed was $200,000 in drug proceeds in August 2019.
If convicted of attempting to possess with the intent to distribute heroin, Kassem faces up to life in prison as well as a possible $10 million maximum fine. Upon conviction of either of the two counts of money laundering, he also faces up to 20 years of federal imprisonment. The money laundering charges also carry up to a $500,000 fine or twice the value of the property involved in the transaction.
The FBI conducted the investigation with the assistance of the Drug Enforcement Administration and Waller County District Attorney’s Office. Assistant U.S. Attorneys Alamdar Hamdani and Carolyn Ferko are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Fort Bend County home health owner charged with copying and pasting doctor signaturesRead the Press Release
HOUSTON ‐ A 60-year-old Richmond man is now in custody on charges of making false statements in his scheme to defraud Medicare, announced Acting U.S. Attorney Jennifer B. Lowery.
Paul Njoku is expected to make his initial appearance before U.S. Magistrate Judge Peter Bray at 2 p.m.
The five-count indictment, returned Feb. 3, alleges Njoku made false statements relating to health care matters by copying and pasting doctor and nurse signatures onto patient paperwork.
According to the charges, Njoku owned and operated Opnet Healthcare Services Inc. doing business as P&P Healthcare Services. Medicare had made several requests to them seeking supporting documentation for billed claims. In response, Njoku allegedly falsified patient treatment notes and home health certification paperwork by copying and pasting the signatures of a doctor and a nurse.
Each conviction of making false statements relating to health care matters carries a possible five-year term of imprisonment and a maximum $250,000 fine.
The Department of Health and Human Services ‐ Office of Inspector General, FBI and Texas Attorney General’s Medicaid Fraud Control Unit conducted the investigation. Special Assistant U.S. Attorney Abdul Farukhi is prosecuting the case.
An indictment is an accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Former charter school official sent to prison for embezzling fundsRead the Press Release
HOUSTON – The former superintendent of Houston Gateway Academy has been ordered to federal prison after taking more than a ¼ million dollars, announced Acting U.S. Attorney Jennifer B. Lowery.
Richard Garza, 61, Houston, pleaded guilty Sept. 20, 2019.
Today, U.S. District Judge Ewing Werlein Jr. sentenced him to serve 60 months in prison to be immediately followed by three years of supervised release. He was further ordered to pay a $20,000 fine and restitution in the amount of $191,292 to the Texas Education Agency (TEA). At the hearing, the court noted Garza led a double life and had a desire for taking money from others which got him into trouble and led him to his situation today.
Houston Gateway Academy is a charter school located in the Gulfgate area of Houston. While superintendent, Garza awarded a contract to a company whose owner then sent funds back to Garza.
As part of his plea, Garza admitted he awarded a $280,000 no-bid contract to Ahmed Bokaiyan. Bokaiyan was an IT employee at the school who also owned a business called Hot Rod Systems. Bokaiyan, through his company, was to provide IT equipment and services to a new school not yet constructed.
An audit revealed Garza paid three checks totaling approximately $252,757 to Hot Rod Systems before it completed any work. Shortly after Bokaiyan received the payments, he sent approximately $164,381 via wire transfer to Garza’s personal bank account. Garza then used some of the funds to purchase a New Nissan Armada SUV and a condominium located on Gentryside Drive in Houston.
Garza was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
Bokaiyan, 58, Houston, had also pleaded guilty for his role in the scheme and was ordered to pay $156,595 in restitution.
The Department of Education-Office of Inspector General conducted the investigation with the assistance of the TEA. Assistant U.S. Attorney Quincy L. Ollison is prosecuting the case.
Five men convicted in alien harboring conspiracyRead the Press Release
McALLEN, Texas – With the guilty plea of a 42-old Donna man, five individuals have now admitted to their roles in a conspiracy to harbor illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.
Abel Cavazos pleaded guilty today, while Jesus Valdez, 21, Jonathan Romero, 19, and Darrell Palomares, 21, all of Donna, and Mexican national Rodrigo Acevedo, 21, admitted to their roles in the conspiracy earlier this year.
The investigation led authorities to a barn in Donna believed to be used to harbor illegal aliens. On Dec. 3, 2020, they arrived at the location and saw multiple individuals fleeing from the scene. Law enforcement was eventually able to apprehend Cavazos, Valdez, Romero, Palomares and Acevedo as well as 12 others determined to be illegally present in the United States.
Some claimed they had been physically assaulted and forced to call family members to demand payment for their release.
At their respective pleas, Cavazos, Valdez, Romero, Palomares and Acevedo admitted they knew the aliens had no legal status to remain in the United States, but still willfully joined in the harboring conspiracy.
U.S. District Judge Micaela Alvarez has set sentencing for April 15 for Valdez and Romero. Palomares and Acevedo will be sentenced April 22, while Cavazos is set for July 21. At their respective hearings, each faces up to 10 years in federal prison and a possible $250,000 maximum fine.
Valdez, Romero, Palomares and Cavazos were permitted to remain on bond pending those hearings, while Acevedo is currently in custody.
Homeland Security Investigations conducted the investigation with the assistance of Border Patrol, Texas Department of Public Safety and Hidalgo County Sheriff’s Office. Assistant U.S. Attorney Jongwoo Chung is prosecuting the case.
7th member of MS-13 criminal enterprise indicted for murderRead the Press Release
HOUSTON – Another member of the violent international street gang Mara Salvatrucha (MS-13) is set to appear in federal court for his alleged role in a 2018 murder, announced Acting U.S. Attorney Jennifer B. Lowery.
Carlos Elias Henriquez-Torres, 20, an El Salvadorian national who illegally resided in Houston, was previously in state custody on related charges. He is set to appear at 2 p.m. today before U.S. Magistrate Judge Andrew Edison on the charges in the superseding indictment returned March 31.
Previously indicted were Wilson Jose Venture-Mejia, 24, Jimmy Villalobos-Gomez, 24, Angel Miguel Aguilar-Ochoa, 35, Walter Antonio Chicas-Garcia, 24, and Marlon Miranda-Moran, 21, all El Salvadorian nationals. Villalobos-Gomez is a legal permanent resident but the remaining men unlawfully resided in Houston. The charges against all of them remain pending.
Also named in the indictment is Franklin Trejo-Chavarria, 23. He is currently in custody in El Salvador.
The indictment alleges they committed a 2018 murder in furtherance of the MS-13 enterprise. The victim was allegedly beaten to death with machetes in order for the defendants to further their positions in the enterprise.
All are charged with conspiracy and murder in aid of racketeering.
If convicted, they face a potential death sentence.
The FBI, Homeland Security Investigations and Houston Police Department conducted the investigation. Assistant U.S. Attorneys Britni Cooper and John Michael Lewis are prosecuting the case along with Trial Attorneys Julie A. Finocchiaro, Gerald Collins and Matthew Hoff from the Department of Justice’s Organized Crime and Gang Section
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Weekly harboring of aliens lands Mexican man in prisonRead the Press Release
McALLEN, Texas – A 37-year-old Mexican citizen has been ordered to prison following his conviction of harboring aliens within the United States, announced Acting U.S. Attorney Jennifer B. Lowery.
Juan Garcia-Garcia pleaded guilty Sept. 3, 2019.
Today, U.S. District Judge Micaela Alvarez ordered him to serve a 108-month term of imprisonment. In handing down the sentence, the court noted her concern that Garcia-Garcia is in the country illegally and chose to violate the law and engage in criminal conduct. Judge Alvarez said there was no excuse for his actions and that he needed to set a better example for his son. Not a U.S. citizen, Garcia-Garcia is expected to face removal proceedings following the sentence.
On June 10, 2019, law enforcement approached a suspected stash house in Edinburg where they encountered Garcia-Garcia. He admitted to being the owner of the residence. A search of the trailer led to the discovery of 37 undocumented aliens. Authorities also found three firearms and three ledgers containing over 100 names.
Garcia-Garcia admitted to harboring 14 to 21 undocumented aliens per week since February 2019. He was paid $50 per undocumented alien and was responsible for providing food and water.
Garcia-Garcia has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Customs and Border Protection conducted the investigation. Assistant U.S. Attorney M. Alexis Garcia prosecuted the case.