Southern District of Texas
Press releases recorded for this federal judicial district.
San Benito Man Sentenced for Trafficking More than 15,000 Kilograms of MarijuanaRead the Press Release
BROWNSVILLE, Texas – A 37-year-old U.S. citizen from San Benito has been handed a significant sentence following his convictions stemming from a multi-count indictment related to a conspiracy to possess with Intent to distribute marijuana, announced U.S. Attorney Kenneth Magidson along with Acting Special Agent in Charge Mark Dawson of Homeland Security Investigations (HSI) - San Antonio. Hervey Roel pleaded guilty in August 2014.
Today, U.S. District Judge Andrew S. Hanen ordered he serve a sentence of 300 months in federal prison to be immediately followed by five years of supervised release. The sentence reflected an enhancement as the court found he was a leader/organizer in the conspiracy, he maintained certain premises for distributing controlled substances, possessed firearms during the drug conspiracy and committed the offense as part of a pattern of criminal conduct engaged in as a livelihood. The court further ordered a money judgment in the amount of $9 million and forfeited any interest Roel may have in a ranch in Olmito and a residence in Brownsville.
The charges arose from the apprehension of Roel and others at different locations in San Benito and Olmito after agents seized 1,785.5 kilograms of marijuana in a tractor-trailer.
“The court's sentence appropriately punished Roel for his being the head of large scale narcotics organization in south Texas, that negatively impacted the Rio Grande Valley,” said Dawson. “HSI will continue to utilize its broad authorities to dismantle criminal organizations who blatantly ignore the laws of this nation.”
Evidence presented at the plea hearing and sentencing proved that on June 8, 2013, HSI agents conducted surveillance at a warehouse located in Brownsville, where a tractor-trailer was then driven to a gas station in Olmito. There, the driver - Manuel Torres-Hernandez, 32, met with Lauro De La Fuente Jr., 25, and Ricardo Ochoa, 33. Agents observed Roel arrive separately and also meet with De La Fuente and Ochoa. Roel left and was followed to a ranch nearby. Torres-Hernandez left the gas station driving on Highway 77 and was stopped in San Benito where the mariJuana was discovered. De La Fuente and Ochoa were apprehended along with Victor Silva, 34, and Martin Enrique Rodriguez 25, when they drove to the scene. The individuals appeared to be conducting counter-surveillance looking for law enforcement and agents found a drug ledger within their vehicle.
Further investigation by HSI agents revealed Roel to be the coordinator of numerous drug loads to Houston and other areas north since 2011. Roel would hire individuals to package and rewrap marijuana for transport.
Ochoa was previously sentenced to a term of 125 months in prison, while De La Fuente was ordered to serve a 101-month term of imprisonment. Torres-Hernandez, Silva and Rodriguez received respective sentences of 47, 58 and 57 months in prison. All had also pleaded guilty and resided in Brownsville.
Roel will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges are the result of an investigation conducted by HSI. Assistant U.S. Attorney Oscar Ponce is prosecuting the case.
Former National Guard Member Sentenced for Enticing a MinorRead the Press Release
LAREDO, Texas – A 35-year-old former sergeant with the National Guard who was stationed in Weslaco has been ordered to federal prison following his conviction of attempted enticement of a minor, announced U.S. Attorney Kenneth Magidson. A federal jury convicted Curtis Billups, of San Antonio, on July 17, 2015, following a three-day trial.
Today, U.S. District Judge Marina Garcia Marmolejo, who presided over the trial, ordered Billups serve 151 months in federal prison. The sentence will be immediately followed by 10 years of supervised release, 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 handing down the sentence, Judge Marmolejo commented on the danger Billups poses because he acts on his thoughts.
Billups was working the area as part an enhanced border presence. In late March 2015, Billups made contact via the Internet with a person he believed to be a father offering his 12 and 14-year-old daughters for sex. In reality, the individual was actually an undercover agent with Homeland Security Investigations (HSI). Following approximately a week of correspondence, Billups traveled from Weslaco to Laredo to meet with the undercover agent, believing he would be taken to the girls to have sex with them. Instead, he was arrested and taken into custody.
During trial, the government presented the emails and text messages involving Billups, many of which were sexually explicit in nature. The evidence showed he intended to travel to Laredo to have sex with the two fictitious children.
Billups attempted to convince the jury that he believed the communications were part of a role playing game and that no children were actually involved. The jury was not convinced and convicted him as charged.
Billups will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The investigation leading to the charges was conducted by HSI. Assistant U.S. Attorney Alfredo De La Rosa and Jorge Vela prosecuted the case.
Ship Operator Pleads Guilty to Crimes Related to Pollution from Cargo Ship Traveling to Corpus ChristiRead the Press Release
CORPUS CHRISTI, Texas - A ship management company has pleaded guilty and was sentenced today for deliberately concealing pollution discharges from the ship directly into the sea and for falsifying its oil record book, announced U.S. Attorney Kenneth Magidson along with Rear Admiral David R. Callahan, Eighth District Coast Guard Commander. Chandris (Hellas) Inc. is headquartered in Greece and operated the M/V Sestrea - an 81,502 ton cargo ship that made calls in multiple ports in Texas.
Chandris pleaded guilty to a violation of the Act to Prevent Pollution from Ships for failing to properly maintain an oil record book as required by federal and international law, as well as a violation of making a false statement for making a false entry in the ship’s oil record book.
Shortly following the plea, U.S. District Judge Judge Nelva Gonzales Ramos ordered the company to pay an $800,000 criminal fine along with a $200,000 community service payment to the congressionally-established National Marine Sanctuary Foundation. The money will be designated for use in the Flower Garden and Stetson Banks National Marine Sanctuary, headquartered in Galveston, to support the protection and preservation of natural and cultural resources located in and adjacent to the sanctuary.
Chandris was also sentenced to three years probation. As a condition of the probation, all ships Chandris manages and are involved in transporting crude oil will be forced to comply with an Environmental Compliance Plan.
“Environmental crimes continue to occur throughout the Eighth Coast Guard District,” said Callahan. “When companies knowingly fail to adhere to marine anti-pollution laws, it affects each and every one of us. The Coast Guard will not tolerate the pollution of our marine environment and endangering of the public health. I am grateful for the hard work, dedication and professionalism exhibited by Coast Guard Sector Corpus Christi, the Coast Guard Investigative Service and the U.S. Attorney's Office for the Southern District of Texas.”
According to the joint factual statement, on or about Dec. 18, 2014, the chief engineering officer on board the M/V Sestrea acting on behalf of Chandris used a hose to pump fresh water through the Oil Content Meter. Because of this, the meter was “tricked” into sensing that all of the oily bilge water being run through the Oil Water Separator within normal limits. As a result, the system discharged oily water in excess of 15 parts per million overboard into the sea.
Federal and international law requires that all ships comply with pollution regulations that include the proper disposal of oily water and sludge by passing the oily water through a separator aboard the vessel or burning the sludge in the ship’s incinerator. Federal law also requires ships to accurately record each disposal of oily water or sludge in an oil record book and to have the record book available for the U.S. Coast Guard when the vessel is within the waters of the United States. The M/V Sestrea called on the Port in Corpus Christi on Jan. 3, 2015.
According to court documents, the chief engineer knowingly failed to make the required entries into the oil record book including the fact that oily waste had been discharged directly into the sea. The chief engineer also made false entries in the oil record book to conceal the fact that the pollution control equipment had not been used. The crewmembers then attempted to conceal the discharge on Dec. 18, 2014, during a Coast Guard boarding at the port in Corpus Christi by providing the falsified oil record book to the boarding crew.
The investigation was conducted by the Coast Guard - Corpus Christi Sector and the Coast Guard Investigative Service in Corpus Christi. Assistant U.S. Attorney Jeffrey S. Miller is prosecuting the case.
Local Defense Attorney Heads to Federal Prison in Connection to Scheme to Obstruct JusticeRead the Press Release
HOUSTON – A criminal defense attorney in Houston has been ordered to prison for 15 years following his convictions on 18 counts to include conspiracy, obstruction of justice, money laundering, conspiracy to commit money laundering and failure to file tax returns, announced United States Attorney Kenneth Magidson. Abraham Moses Fisch, 56, was convicted by a jury May 27, 2015, following a 15-day trial and approximately 14 hours of deliberations.
Today, U.S. District Judge Lee H. Rosenthal, who presided over the trial, handed Fisch a total sentence of 180 months in federal prison. He must also forfeit $1.15 million and serve five years of supervised release following completion of the prison term. Also sentenced today was Lloyd Glen Williams, 71, a former used car financier in Houston who previously entered a plea of guilty to conspiring to obstruct justice and to filing a false tax return. He will serve 84 months in federal prison to be followed by two years of supervised release. He will also forfeit $1.48 million.
At the hearing, a victim made a statement to the court. She is the mother of a defendant prosecuted in a drug case who was represented by Fisch. She testified that Fisch and Williams promised her and her son that they could get him probation by influencing Williams’ supposed contacts in Washington. The mother had used her retirement savings to hire Fisch and Williams based on this promise and paid them $80,000. She told the court that everything Fisch and Williams told her turned out to be a lie. She said that, as a result, she has lost faith in the justice system and does not know who to believe in the system anymore.
“Schemes to obstruct justice, such as the one concocted by these defendants, affect the hard work we try to do every day and the public’s perception of those efforts,” said Magidson. “These significant sentences should serve as a verdict for restoring faith in our federal justice system.”
The evidence at trial showed that Fisch and Williams conspired to defraud defendants who were facing federal criminal charges in Houston. The fraud was perpetrated in at least four different federal criminal cases pending in Houston, including U.S. v. Edilberto Portillo et al. (H-06-182), U.S. v. Hugo Barrera Cavazos et al. (H-06-422), U.S. v. Umawa Oke Imo et al. (H-09-426) and U.S. v. Clifford Ubani and Princewill Njoku et al. (H-09-421 and H-10-416).
The defendants in the four cases as well as their wives and associates testified that Williams and Fisch told them that in return for paying exorbitant fees, Williams would pay off his alleged government contacts in Washington D.C. in order to obtain a “guaranteed” dismissal of the criminal cases. Those individuals were supposedly officials at the Central Intelligence Agency, FBI, Department of Justice and Medicare.
Drug trafficker Edilberto Portillo and his wife, Elida Sanchez, paid $1.1 million to Fisch in order to obtain the dismissal of their charges. Fisch paid $700,000 of the Portillo/Sanchez fee to Williams. Umawa Oke Imo, a defendant in a large health care fraud case, testified that Fisch and Williams quoted him a fee of $3 million in order to obtain a dismissal. In reality, however, no officials were paid, no cases were dismissed, and Fisch and Williams simply split the fees between them.
The evidence showed that the scam undermined the functioning of the federal justice system by misleading defendants about the nature of the cooperation process with the government and interfering with defendants’ cooperation with the government, including failing to pass information from a defendant to the government. It also interfered with plea negotiations with the government by preventing defendants from timely entering guilty pleas because of the mistaken belief their case was going to be dismissed.
The scam also interfered with defendants’ relationships with former and subsequent counsel, including communicating with represented defendants unbeknownst to their legitimate counsel, causing them to fire counsel, not to communicate fully and truthfully with their attorneys and not to assist their attorneys in preparing their defense or in negotiating guilty pleas.
Fisch and Williams also insisted that defendants keep the nature of Williams’ so-called “assistance” secret from the court, the government and other attorneys.
Fisch was convicted of money laundering based on the deposit of the funds earned from the scheme, which totaled at least $1,150,000. The United States is seeking forfeiture of that amount as money derived from the criminal activity.
Previously released on bond, both Fisch and Williams were taken into custody following the sentencing today where they will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The investigation that led to this indictment and the arrests and plea was conducted by the FBI and Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorneys Robert S. Johnson and John P. Pearson.
Couple Headed to Prison for Methamphetamine SmugglingRead the Press Release
LAREDO, Texas – A local woman has been ordered to prison for nearly 20 years following her conviction of trafficking liquid methamphetamine, announced U.S. Attorney Kenneth Magidson. A federal jury convicted Brenda Rodriguez-Garcia, 23, of Laredo, following a two-day trial on June 30, 2015,
Today, U.S. District Judge Diana Saldaña, who presided over the trial, ordered Rodriguez-Garcia to serve a total of 235 months in federal prison to be immediately followed by five years of supervised release. Also sentenced today was Luis Hernandez-Cabello, 30, of Nuevo Laredo, Mexico, who pleaded guilty June 9, 2015. He will serve 37 months in prison. He is expected to face deportation proceedings following his release.
At trial, Border Patrol (BP) and the Drug Enforcement Administration (DEA) agents described their Feb. 9, 2015, discovery of methamphetamine concealed in the running boards of the couple’s Chevrolet Suburban. Testimony revealed that Rodriguez and Hernandez had passed through the same checkpoint in a different vehicle three days earlier. Although the couple was allowed to proceed with their travel on that date, an agent later found crystals on his uniform and tools that tested positive as methamphetamine. Rodriguez and Hernandez were recognized when they attempted to pass through the same check point on the later date. The jury also heard from DEA drug chemists and drug value experts who testified that the confiscated drug was methamphetamine and had a value between approximately $340,000 and $400,000.
At the hearing today, Rodriguez-Garcia asked the court for a minimal sentence, but the judge refused. The court noted that she believed Rodriguez-Garcia was the most culpable - driving the vehicles each time, organizing the trips, securing the vehicles and giving inconsistent statements. The Judge pointed out the jury’s finding of guilty, the significant quantities of methamphetamine involved and Rodriguez-Garcia’s refusal to accept responsibility for her actions.
Both defendants will remain in custody pending transfer to U.S. Bureau Prisons facilities to be determined in the near future.
The charges were the result of an investigation conducted by BP and DEA. Assistant U.S. Attorneys Christopher dos Santos, Mike Eaton and Homero Ramirez prosecuted the case.
Houston Man Sentenced in Million Dollar Fraud Scheme Targeting Dozens of Elderly VictimsRead the Press Release
HOUSTON – Jermaine Comeaux, 35, has been ordered to federal prison following his convictions of one count of conspiracy to commit wire fraud and one count of aggravated identity theft, announced U.S. Attorney Kenneth Magidson. Comeaux, of Houston, pleaded guilty March 16, 2015.
Today, U.S. District Judge Lynn Hughes ordered Comeaux to serve 240 months in federal prison for the conspiracy as well as a consecutive 24 months for the aggravated identity theft. The total 264-month-sentence will be immediately followed by five years of supervised release. He was further ordered to pay more than $1 million in restitution.
Between Jan. 1, 2013, and Nov. 30, 2013, Comeaux engaged in a wire fraud conspiracy to unlawfully obtain cash and defraud Compass Bank, a Federal Deposit Insurance Corporation - insured institution. Comeaux and others unlawfully obtained, shared and busted out multiple credit cards for cash and shared the proceeds with each other.
Comeaux owned and operated Swagg Clothing and Comeaux Graphixx and Print’n, two businesses used in the conspiracy. He applied for and obtained PayPal and Square accounts for these businesses in order to run fraudulent cards. Comeaux would swipe, and authorize his co-conspirators to swipe, fraudulently obtained credit cards through his business terminal using credit card processors PayPal had provided. Comeaux would also swipe fraudulently obtained cards through businesses under the control of his co-conspirators, including Majix Studio and Pop Goffney. After the cards were used, the funds were deposited into bank accounts or onto debit cards under the care, custody and control of Comeaux and his co-conspirators.
Comeaux admitted to processing multiple illegitimate transactions through his business during the course of the conspiracy.
Comeaux knew the credit cards were fraudulent because they had been applied for and obtained through the use of stolen identities. There were at least 70 victims whose identities had been stolen, all senior citizens between the ages of 70 and 95, living throughout the country.
Comeaux also knew the transactions going through his processors were illegitimate as there was no exchange of goods for services. Typically, the conspirators ran the fraudulently obtained credit cards for $1,000 to $5,000 until they reached their limits. When necessary, Comeaux and his co-conspirators would fabricate and submit false information, receipts, invoices and other documentation to PayPal regarding the fraudulent transactions to further facilitate the fraud.
In total, Comeaux and his co-conspirators stole approximately $1.1 during the conspiracy.
Comeaux was ordered into custody following the hearing today.
The charges are the result of an investigation conducted by the U.S. Secret Service and U.S. Postal Inspection Service. Assistant U.S. Attorney Julie Searle is prosecuting the case.
Guatemalan Man Convicted of Harboring Smuggled Aliens into the United StatesRead the Press Release
HOUSTON – A previously deported undocumented immigrant from Guatemala has entered a plea of guilty to harboring illegal aliens, announced U.S. Attorney Kenneth Magidson. Alberto Martinez-Vasquez, 26, was convicted today as he appeared in federal court before U.S. District Judge Vanessa Gilmore.
The case was initiated Sept. 10, 2015, when law enforcement responded to a loud notice complaint at a residence on the 9800 block of Gillman Street in Houston. The location was quickly identified as a stash house. Inside, officers observed 16 undocumented immigrants in their underwear, three of whom were women and one who was a minor.
As the officers arrived on the scene, Martinez-Vasquez attempted to flee, but was soon apprehended. Evidence showed that Martinez-Vasquez harbored the 16 undocumented immigrants at that location and charged a fee of $200 per week. He would collect their clothes upon their arrival and would not return them or permit them to leave until their family members made the required payments.
Martinez-Vasquez will remain in custody pending his sentencing hearing, set for Jan. 25, 2015. At that time, he faces up to 10 years in federal prison and a possible $250,000 fine.
The charges were the result of an investigation conducted by Homeland Security Investigations and the Houston Police Department. Assistant U.S. Attorney Adam Goldman is prosecuting the case.
Four Sentenced in Smuggling Conspiracy Resulting in DeathRead the Press Release
McALLEN, Texas – A total of four people have been ordered to federal prison following their convictions related to an alien smuggling conspiracy that resulted in the death of two Guatemalan nationals, announced U.S. Attorney Kenneth Magidson.
Juan Manuel Garcia, 19, pleaded guilty to conspiracy to transport aliens and to transporting aliens resulting in death, while Julia Resendez, 33, Jose Manuel Lovato-Balleza, 24, and Eloy Mendoza Jr., 27, entered their pleas to conspiracy to harbor aliens. Resendez, Garcia and Mendoza are all residents of Sullivan City, while Lovato is a Mexican national.
Today, U.S. District Judge Randy Crane handed Garcia a total sentence of 144 months in federal prison which will be immediately followed by three years of supervised release. Resendez and Lovato-Balleza received respective sentences of 24 and 78 months, while Mendoza will serve a 108-month-term. At the hearing, the court ordered Mendoza and Garcia to pay restitution to the Guatemalan government in the amount of approximately $6,800. During the sentencing of Garcia, the court noted the frequent occurrences of rollovers in the area, the media reporting on them and that Garcia should have known the rollover was possible.
On Oct. 2, 2014, U.S. Border Patrol (BP) agents observed a truck appear to be transporting illegal aliens near Sullivan City. Garcia was driving and attempted to evade agents. He soon lost control of the vehicle on a caliche road, hitting an embankment and ejecting the majority of his passengers. BP agents responded immediately and observed Garcia and 11 illegal aliens at the scene of the rollover where one female Guatemalan national was found deceased. The majority of the other aliens had severe injuries and had to be hospitalized. Within a few days, a male Guatemalan national passed away as a result of his injuries sustained in the rollover.
Based on their investigation, law enforcement was able to determine that the aliens involved in the rollover had been harbored in two alien stash houses located in Sullivan City. Agents discovered 15 aliens at a house on Huisache Street and another 16 were being harbored at a house on Ebony Street. Mendoza and Lovato were determined to be the caretakers of the aliens found in the Huisache house, while Resendez was the caretaker in the Ebony house. Two of the aliens that Resendez was harboring were visibly injured and admitted to being in the rollover and fleeing afterwards. Both of these aliens indicated that they had been harbored by Mendoza and Lovato at the Huisache residence prior to the rollover.
The defendants will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future
The charges are the result of an investigation by Homeland Security Investigations, BP and the Texas Department of Public Safety. Assistant U.S. Attorney David A. Lindenmuth is prosecuting the case.15 Individuals in the SDTX Receive Attorney General AwardsRead the Press Release
HOUSTON - Attorney General Loretta Lynch recognized 279 Justice Department employees and 33 individuals, including 15 people in the Southern District of Texas (SDTX), with Attorney General Awards at a ceremony today in Washington DC. These annual awards recognize department employees and other individuals for their dedication to carrying out the Department of Justice’s mission.
“The individuals being honored today stand out within a department that holds all of its employees and partners to an extremely high standard of excellence,” said Attorney General Lynch. “They have put in long hours, made immense sacrifices, and, in some cases, placed themselves in harm’s way. They have taken on issues that once seemed intractable, and made progress on problems that once seemed impossible. And their outstanding work is an inspiration to public servants everywhere.”
“I am extremely proud and thank Attorney General Lynch for recognizing this team for the work they have done,” said U.S. Attorney Kenneth Magidson. “The results of this case and the efforts of all involved are a direct reflection of the excellent collaboration we have among our federal, state and local law enforcement partners and with the Department of Justice. The successful resolution of this prosecution also demonstrates our abilities and continued efforts to gather resources whenever and wherever we can to get the job done and ensure justice for the citizens of this district. “
The Attorney General’s Award for Distinguished Service is the Justice Department’s second-highest award for employee performance. The recipients of this award exemplify the highest commitment to the department’s mission.
The Distinguished Service Award is presented to the SDTX team for its outstanding work on the successful long-term investigation and prosecution of the Aryan Brotherhood of Texas (ABT). The ABT was a powerful, race-based Texas state-wide organization operating inside and outside state and federal prisons throughout Texas and the United States. ABT protected its criminal money-making enterprises, including narcotics trafficking, identity theft, counterfeiting and check fraud, through assault, murder and other acts of violence while enforcing violent internal discipline. In an investigation spanning six years and 17 separate indictments in five different federal districts, the recipients targeted the leadership and the most violent members and associates of the ABT. Their work culminated in the indictment and conviction of 73 ABT members and associates on charges ranging from racketeering conspiracy, murder in aid of racketeering, narcotics trafficking, assault in aid of racketeering, firearms offenses and obstruction of justice. This investigation and prosecution was exceedingly successful and the resulting convictions of every high ranking member of the ABT have effectively dismantled this violent criminal network. The collaborative work of the recipients in this long-term case is truly exceptional and worthy of this distinguished honor.
Award recipients include, from the Criminal Division’s Organized Crime and Gang Section, Trial Attorney David N. Karpel; from the Bureau of Alcohol, Tobacco, Firearms and Explosives’ Houston Field Division, Senior Special Agent Richard J. Boehning, Special Agent Allen D. Darilek and Intelligence Research Specialist Donna S. Gray; from the U.S. Attorney’s Office of the Southern District of Texas, Assistant U.S. Attorney Timothy S. Braley; from the FBI’s Boston Field Office, Supervisory Special Agent William Scott O’Donnell; from the FBI’s Houston Field Office, Special Agent Keith W. Koncir; from the U.S. Marshals Service-Southern District of Texas, Deputy U.S. Marshal Justin J. Perusich; from Homeland Security Investigations, Special Agents Steven D. Cavitt and Steven N. VanGeem and Task Force Officer Steven J. Lair; from the Texas Department of Criminal Justice’s Office of the Inspector General, Criminal Investigator Joshua D. Lyons; from the Texas Department of Public Safety’s Criminal Investigations Division-Major Gang Unit, Special Agent Devin R. Gonzales; from the Montgomery County Sherriff’s Office, Detective David J. Wells; and from the Texas Rangers Company “A,” Texas Ranger Brandon Bess.
Texas Man Sentenced for Hate Crime Involving the Assault of Elderly African-American ManRead the Press Release
A man from Katy, Texas, has been ordered to federal prison to serve a 71 month sentence following his conviction of a federal hate crime related to the racially-motivated assault of an 81-year-old African-American man, announced Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division, U.S. Attorney Kenneth Magidson of the Southern District of Texas and Special Agent in Charge Perrye K. Turner of the FBI Houston Division.
Conrad Alvin Barrett, 29, was charged with violating the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act. He pleaded guilty Jun. 30, 2015, admitting that on Nov. 24, 2013, he attacked the elderly African-American man because of the man’s race and color in what Barrett called a “knockout.”
Today, U.S. District Judge Gray Miller sentenced Barrett to 71 months in prison to be immediately followed by three years of supervised release. Barrett was further ordered to pay $2,000 in restitution.
“The defendant committed this shocking and violent assault against this vulnerable elderly man simply because he was African American,” said Principal Deputy Assistant Attorney General Gupta. “The Department of Justice will continue to work tirelessly to ensure that the rights of victims of violent crimes are vindicated.”
“The sentencing of the defendant today represents our office’s continuing commitment to enforce senseless acts that violate our federal civil rights laws,” said U.S. Attorney Magidson. “Every citizen is entitled to this protection.”
At the time of his plea, evidence revealed that Barrett recorded himself on his cell phone attacking the African-American man. In the recording, Barrett questions whether there would be national attention if he attacked a person of color. Barrett also claimed he would not hit “defenseless people” just moments before punching the elderly man in the face and with such force that the victim immediately fell to the ground. Barrett then laughed and said “knockout” as he ran to his vehicle and fled. The victim suffered two jaw fractures and was hospitalized for several days as a result of the attack.
The Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act was passed on Oct. 22, 2009, and signed into law by President Barack Obama six days later. Shepard was a gay student who was tortured and murdered in 1998 near Laramie, Wyoming. Byrd was an African American man who was tied to a truck by two white supremacists, dragged behind it and decapitated in Jasper in 1998.
Barrett will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges are the result of an investigation conducted by the FBI in cooperation with the Fulshear, Texas, and Katy Police Departments as well as the Drug Enforcement Administration. Trial Attorneys Saeed Mody and Olimpia Michel of the Civil Rights Division are prosecuting the case along with Assistant U.S. Attorneys Ruben R. Perez and Joe Magliolo of the Southern District of Texas, in cooperation with District Attorney John Healey of Fort Bend County, Texas.
Registered Sex Offender Heads to Prison for Possession of Child PornographyRead the Press Release
Registered Sex Offender Heads to Prison for Possession of Child Pornography
HOUSTON – Carlos Entenza, 49, of Katy, has been ordered to prison for 10 years following his conviction of possession of child pornography, announced United States Attorney Kenneth Magidson. Entenza pleaded guilty Jan. 6, 2015.
Today, U.S. District Judge Gray Miller, took into consideration Entenza’s prior child pornography conviction from Arkansas in 2002 and handed him a sentence of 120 months in federal prison. Entenza will serve 20 years of supervised release following completion of his prison term, during which time he will have to comply to comply with numerous requirements designed to restrict his access to children and the Internet. He will also be ordered to continue to register as a sex offender.
Indicted June 9, 2014, Entenza later appeared for a detention hearing before a U.S. Magistrate who found Entenza to be a danger to the community and ordered he be detained.
The investigation revealed Entenza was making child pornography available to others through the use of peer-to-peer software over the Internet. An FBI agent downloaded a video of child pornography from the files Entenza was making available online.
A search warrant was executed Oct. 24, 2013. At that time, agents seized computer media including external hard drives which led to the discovery of more than 250 digital images and approximately 380 videos containing child pornography.
Entenza will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
These charges were the result of an investigation conducted by the FBI Innocent Images Task Force.
This case, prosecuted by Assistant United States Attorney Sherri L. Zack, was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Local Man Arrested for Aiming Laser at HPD HelicopterRead the Press Release
HOUSTON – A 26-year-old Pasadena man has been charged with aiming a laser pointer at an aircraft, announced U.S. Attorney Kenneth Magidson. Julio Cesar Valdez-Salazar was indicted Oct. 7, 2015, and taken into custody today.
He will make an appearance in federal court today at 2:00 p.m. before U.S. Magistrate Judge Stephen Smith, at which time the government is expected to request his detention pending further criminal proceedings.
He is charged with aiming a laser pointer at an aircraft in violation of Title 18 U.S.C. Section 39A. The indictment alleges that on or about June 23, 2015, Valdez-Salazar knowingly aimed the beam of a laser pointer at a Houston Police Department (HPD) helicopter 80Fox, an aircraft in the special aircraft jurisdiction of the United States, or at the flight path of such an aircraft.
If convicted of the felony offense, he faces up to five years in federal prison and a possible $250,000 fine.
The charges are the result of an investigation conducted by the FBI and police departments in Pasadena and Houston. Assistant U.S. Attorney Steven Schammel is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Katy Man Sentenced for Hate Crime Involving the Assault of Elderly African-American ManRead the Press Release
HOUSTON – A man from Katy has been ordered to federal prison to serve a 71-month sentence following his conviction of a federal hate crime related to the racially-motivated assault of an 81-year-old African-American man, announced U.S. Attorney Kenneth Magidson and Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division, along with Special Agent in Charge Perrye K. Turner of the FBI – Houston Division.
Conrad Alvin Barrett, 29, was charged with violating the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act. He pleaded guilty Jun. 30, 2015, admitting that on Nov. 24, 2013, he attacked the elderly African-American man because of the man’s race and color in what Barrett called a “knockout.”
Today, U.S. District Judge Gray Miller sentenced Barrett to 71 months in prison to be immediately followed by three years of supervised release. Barrett was further ordered to pay $2,000 in restitution.
“The sentencing of the defendant today represents our office’s continuing commitment to enforce senseless acts that violate our federal civil rights laws,” said Magidson. “Every citizen is entitled to this protection.”
“The defendant committed this shocking and violent assault against this vulnerable elderly man simply because he was African American,” said Gupta. “The Department of Justice will continue to work tirelessly to ensure that the rights of victims of violent crimes are vindicated.”
At the time of his plea, evidence revealed that Barrett recorded himself on his cell phone attacking the African-American man. In the recording, Barrett questions whether there would be national attention if he attacked a person of color. Barrett also claimed he would not hit “defenseless people” just moments before punching the elderly man in the face and with such force that the victim immediately fell to the ground. Barrett then laughed and said “knockout” as he ran to his vehicle and fled. The victim suffered two jaw fractures and was hospitalized for several days as a result of the attack.
The Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act was passed on Oct. 22, 2009, and signed into law by President Barack Obama six days later. Shepard was a gay student who was tortured and murdered in 1998 near Laramie, Wyoming. Byrd was an African American man who was tied to a truck by two white supremacists, dragged behind it and decapitated in Jasper in 1998.
Barrett will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges are the result of an investigation conducted by the FBI in cooperation with the Fulshear and Katy Police Departments as well as the Drug Enforcement Administration. Assistant U.S. Attorneys Ruben R. Perez and Joe Magliolo are prosecuting the case along Trial Attorneys Saeed Mody and Olimpia Michel of the Civil Rights Division in cooperation with District Attorney John Healey of Fort Bend County.
Missouri City Woman Sentenced for Stealing More Than $1 Million from Former EmployerRead the Press Release
HOUSTON – A 49-year-old woman from Missouri City has been ordered to federal prison following her conviction of one count of wire fraud, announced U.S. Attorney Kenneth Magidson. Michelle Robyn Freytag pleaded guilty July 9, 2015, to defrauding her former employer - a Houston businessman - of more than $1.3 million.
At the hearing today, the victim addressed the court and urged for a sentence that would send a message to the members of the community that crimes of this nature will not be tolerated, noting they can “destroy lives, destroy families, destroy businesses and cause harm far exceeding just the financial costs to individual victims.” U.S. District Judge Keith P. Ellison, who accepted the guilty plea, then handed Freytag a 78-month sentence to be immediately followed by three years of supervised release. She was further ordered to pay restitution of $1,107,152 to the victim. “I am sympathetic to defendants from disadvantaged backgrounds who commit offenses at a young age and are in trouble with the law before they are old enough to understand their actions,” said Judge Ellison. “None of that applies to Ms. Freytag. She was raised in a supportive family and has had access to good jobs. She chose to steal anyway.”
Freytag was hired in April 2009 to be her employer’s executive assistant. As part of her guilty plea, she admitted that as early as August 2009, she began misusing her position and her access to his credit card and banking information. She arranged for credit cards to be assigned in her name but under her employer’s various accounts at Whitney National Bank. As the executive assistant, Freytag was able to arrange for her personal expenditures to be satisfied with monies from bank accounts assigned to her employer or his other companies.
Over the next four years, Freytag repeated this process and obtained, without authorization from her employer, at least four additional Whitney Bank credit cards in his name, his spouse’s name and in the name of two of his other companies. Freytag obtained these credit cards by falsely representing to Whitney Bank that her employer had authorized the issuance of these cards or by falsely representing that certain previously issued credit cards had allegedly been lost and that replacements were requested by her employer or his spouse. Freytag used these credit cards to take cash advances and to make personal expenditures. She would then cause these cash advances and personal expenditures to be satisfied with monies from bank accounts assigned to her employer or his other businesses.
According to the plea agreement, Freytag’s unauthorized cash advances and personal expenditures between August 2009 and January 2014 (when her scheme was discovered) totaled approximately $1.3 million.
Although originally released on bond at the time of her Indictment in February 2015, Judge Ellison later revoked Freytag’s bond for repeated violations of her conditions of release. She has been in federal custody since Aug. 13, 2015, where she will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The investigation was conducted by the FBI. Assistant U.S. Attorney Jason Varnado prosecuted the case.
Extradited Defendant Convicted for Leading Sex Trafficking RingRead the Press Release
HOUSTON – The leader of a sex trafficking ring who was indicted 10 years ago and later extradited from Mexico has pleaded guilty to four counts of harboring illegal aliens for the purpose of prostitution, announced U.S. Attorney Kenneth Magidson. Gerardo Salazar aka El Gallo entered a plea of guilty today, admitting to his role in smuggling minor girls and young women from Mexico into the United States and using deception, threats of harm, physical force and psychological coercion to compel their service as prostitutes in Houston area bars.
El Gallo, 51, of Mexico City, Mexico, was indicted in 2005 along with Mexican nationals Salvador Fernando Molina Garcia, Angel Moreno Salazar, Jose Luis Moreno Salazar, Juan Carlos Salazar and Ivan Salazar. El Gallo was the leader of the group and had been a fugitive since 2005. At that time, a warrant was issued for his arrest. He was taken into custody in 2010 and extradited to the United States in June 2014.
At their respective guilty plea hearings in 2006, the co-defendants admitted to being part of an organization that operated between early 2004 through the summer of 2005. The purpose was to recruit, entice, harbor, transport, provide and obtain young Mexican women and girls for the purpose of prostitution. They admitted they benefitted financially from participating in the venture knowing that force, fraud and coercion would be used to cause the young women and to engage in commercial sex acts. Those in the sex trafficking ring further admitted to knowing that some of the girls were under the age of 18.
U.S. District Judge Vanessa Gilmore accepted the plea today and has set sentencing for Jan. 16, 2015. At that time, Salazar faces up to 10 years on federal prison on each count of conviction as well as a possible $250,000 fine. He will remain in prison pending that hearing.
The charges were the result of an investigation conducted by members of the Human Trafficking Rescue Alliance (HTRA) in Houston, which includes the FBI, Homeland Security Investigations, Harris County Sheriff’s Office, Texas Alcoholic and Beverage Commission, Texas Attorney General’s Office, Department of State, Texas Department of Public Safety and the Houston Police Department. The HTRA was formed by the United States Attorney’s office in Houston as part of a broader effort by the Department of Justice to concentrate and combine resources of our own office’s civil rights and organized crime units as well as federal, state law and local enforcement agencies and non-governmental service organizations to target human traffickers while providing necessary services to those victimized by the traffickers. The Houston HTRA was one of the first of 42 such funded organizations and the first of its kind in Texas. The mission of the HTRA is to foster the collaboration of local, state and federal law enforcement agencies with area social service organizations to identify and assist the victims of human trafficking and to effectively identify, apprehend and prosecute those engaged in trafficking offenses.
The Justice Department's Office of International Affairs provided assistance with the extradition.Assistant
U.S. Attorneys Ruben R. Perez and Joe Magliolo are prosecuting the case.Speech Therapist and Office Manager Sentenced for Health Care FraudRead the Press Release
HOUSTON – A Houston speech therapist who owned a clinic in Sugar Land has been ordered to federal prison for 151 months following her conviction related to a health care fraud scheme that billed Tricare and Blue Cross and Blue Shield of Texas more than $3.8 million, announced U.S. Attorney Kenneth Magidson. Rebecca Lee Rabon, 44, pleaded guilty March 20, 2015. Co-defendant and office manager Tiffany Nicole Thompson, 32, of Katy, also pleaded guilty for her role in the scheme and was sentenced to serve 51 months.
After a lengthy sentencing hearing today, U.S. District Judge Melinda Harmon found that Rabon, the owner of Rabon Communication Enhancement (RCE) had not only committed the health care fraud she was charged with in January of 2014, but that she had also violated a magistrate judge’s pre-trial bond order that she not submit any more health care claims pending resolution of the matter. Judge Harmon heard testimony about the defendant’s role in the crime, and the prosecution read from an email written by Rabon that stated “risking going to jail if I get caught is worth” [it]. The prosecutor also read from a letter submitted by one of Rabon’s employees who was also a victim of the fraud. The employee wrote that she was shocked to learn the defendants had submitted fraudulent claims for children treated at RCE and “more shocked” to learn that Rabon and Thompson had submitted fraudulent claims under her private medical insurance for her as well as forged her signature on a letter directing Blue Cross and Blue Shield to send her explanation of benefits statement to Rabon’s home. Judge Harmon considered the fact that the health care fraud affected Tricare, a government health insurance program, and that it took place over an extended period of time - between January 2009 and November 2011 - in arriving at her sentence. The defendants submitted at least $3.8 million in fraudulent claims to Tricare and Blue Cross and Blue Shield during the conspiracy and received $1.2 million in payments.
Both defendants must also serve respective three-year-terms of supervised release following completion of their sentences and were further ordered to pay $1.2 million in restitution to Tricare, Blue Cross and Blue Shield and United Health Insurance. As a result of her conviction, Rabon forfeited her house on Sept. 25, 2015.
At the time of their respective pleas, Rabon and Thompson admitted they conspired together to submit claims to insurance providers for services that were not medically necessary and not provided. Between March 29, 2009, and Nov. 11, 2013, the clinic did not have the equipment or supplies to provide treatment for dysphagia - a swallowing and oral feeding dysfunction. Neither Rabon, nor any speech therapist employed at RCE, provided any of those treatments to children at the clinic. Both also admitted to submitting thousands in false and fraudulent claims for themselves and three unsuspecting RCE employees for various medical and speech therapy services that were not provided. As part of their scheme, they also sent a forged letter to Blue Cross and Blue Shield of Texas with a false address for an employee to prevent them from discovering the fraud.
Rabon has been in custody since Jan. 23, 2015, for violating the terms of her pre-trial release where she will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Thompson was permitted to remain on bond and voluntarily surrender at a later date.
The investigation into Rabon and Thompson was the result of an investigation conducted by agents from the Department of Defense - Criminal Investigative Service with assistance of Blue Cross and Blue Shield of Texas – Special Investigations Department. Assistant U.S. Attorney Julie Redlinger is prosecuting the case.
Galveston Fugitive Sought in Cocaine ConspiracyRead the Press Release
HOUSTON - A total of nine people are in custody following the return of a one-count federal indictment alleging a conspiracy to possess with the intent to distribute cocaine, announced U.S. Attorney Kenneth Magidson.
Authorities are still seeking Patrick Fredrick, 44, of Galveston, who is considered a fugitive. Anyone with information about his whereabouts is asked to contact the FBI at 713-693-5000.
Those taken into custody during an enforcement action in the Dickinson and surrounding areas last week include Arturo Cruz, 33, Seferino Nunez, 35, Matthew Olguin 25, Reid Wilder, 31, Sidney Hobbs, 44, and Carlos Cantu, 33, all of Dickinson. They all made their initial appearances before U.S. Magistrate Judge John Froeschner and were temporarily ordered into custody pending detention hearings held this week. With the exception of Olguin, who was permitted release upon posting bond, all were ordered into custody pending further criminal proceedings.
Three others - Guadalupe Martinez Ochoa, 27, of Channelview, Dionisio Gonzales, 53, of Bacliff, and Amado Cruz III, 25, of Dickinson, are also charged but already in custody. Ochoa was being held on related charges while Gonzales and Cruz were in custody on unrelated matters. All have also been transferred and appeared in federal court on the new charges. They will remain in custody.
The indictment alleges that from early 2013 all of the defendants unlawfully conspired to possess with the intent to distribute more than five kilograms of cocaine. At the detention hearings, the government argued that this group is suspected of distributing multiple kilograms of cocaine on a monthly basis. The court heard about their alleged means of operation and how they were identified. In one instance, the government contended that authorities had identified a load of cocaine suspected of being delivered to Galveston. The vehicle, driven by Ochoa, was stopped and searched, at which time authorities discovered five kilograms of cocaine hidden in the vehicle, according to the government’s allegations.
If convicted, each faces a minimum of 10 years and up to life in federal prison and a possible $10 million fine.
The charges are the result of a two-year investigation conducted by the FBI, Drug Enforcement Administration and Texas Department of Public Safety with the assistance of the police departments in Dickinson and Galveston and the Galveston County Sheriff’s Office. Assistant U.S. Attorney John Jocher is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Former CBP Officer Sentenced for Allowing Drugs Through Port of EntryRead the Press Release
BROWNSVILLE, Texas – A former Customs and Border Protection (CBP) officer from Brownsville has been sentenced for conspiracy to possess with intent to distribute more than 1000 kilograms of marijuana, announced U.S. Attorney Kenneth Magidson. Jose Luis Zavala, 38, pleaded guilty March 3, 2015.
Today, U.S. District Judge Andrew Hanen ordered he serve 78 months in federal prison to be immediately followed by three years of supervised release. He was further ordered to pay a $7,500 fine.
Zavala had been employed for eight years as a CBP officer assigned to the Brownsville field of operations.
At the time of his guilty plea, Zavala admitted he allowed vehicles loaded with marijuana to enter the United States from Mexico in exchange for money. On Nov. 19, 2014, Zavala was working the Gateway Port of Entry when a van attempted to enter the United States through the inspection lane manned by Zavala. The driver presented a U.S. Passport and the van was randomly selected for an intensive inspection, a decision not made or controlled by Zavala. The driver then abandoned the vehicle and fled on foot to Mexico. The van was carrying 1362 Kilograms of marijuana that was not hidden or disguised as legitimate cargo. Zavala had entered into an agreement with co-conspirators and intended to allow the vehicle and marijuana into the United States.
He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges were the result of an investigation by Homeland Security Investigations, Drug Enforcement Administration and Department of Homeland Security - Office of Inspector General. Assistant U.S. Attorney Bill Hagen is prosecuting the case.
U.S. Attorney Announces New Civil Rights Practice and ADA Restaurant InitiativeRead the Press Release
HOUSTON – The U.S. Attorney’s Office for the Southern District of Texas (USAO-SDTX) has established a new Civil Rights Section within its Civil Division that will have the authority to investigate and to remedy civil rights violations within the district, announced U.S. Attorney Kenneth Magidson. This section will be separate from what is handled by Criminal - Civil Rights and will welcome information from the public that brings to its attention possible violations of our nation’s civil rights laws.
The Civil – Civil Rights Section will civilly enforce federal civil rights laws including the Fair Housing Act, Equal Credit Opportunity Act, Religious Land Use and Institutionalized Persons Act, Servicemembers Civil Relief Act, Americans with Disabilities Act, Title VII of the Civil Rights Act of 1964 and the Uniformed Services Employment and Reemployment Rights Act. Civil remedies under these statutes include monetary penalties, injunctions, civil judgments and more.
Coinciding with the 25th Anniversary of the Americans with Disabilities Act of 1990 (ADA), the newly created Civil Rights Section is conducting a review of 25 of Houston’s most popular restaurants to determine if they are in compliance with the ADA. The ADA prohibits discrimination on the basis of disability by places of public accommodation, including restaurants, and requires such places to be designed, constructed and altered in compliance with the accessibility standards established by the ADA’s implementing regulations.
This initiative is in accordance with the Department of Justice’s congressionally-mandated responsibility to review compliance with the ADA and is not in response to any specific complaint against a restaurant. USAO-SDTX objectively selected the restaurants using recent third-party restaurant rankings to review 25 of Houston’s most popular and frequented restaurants.
As part of the review, restaurants will be asked to complete a survey regarding accessibility. Investigators may then conduct on-site inspections to confirm survey responses and to evaluate compliance with federal ADA regulations. Restaurants found to be non-compliant will have the option of entering into a Voluntary Compliance Agreement in which they agree to upgrade their facilities to meet ADA requirements. Restaurants found to be engaging in a pattern or practice of discrimination or failing to enter into an agreement may face a civil lawsuit and can also be subject to monetary penalties and civil fines.
“The ADA is the cornerstone of civil rights for people living with disabilities, and restaurants are required to comply with its accessibility provisions,” said Magidson. “We will take all reasonable steps within our authority to ensure that non-compliant restaurants make the necessary changes, rather than face litigation. Our goal is not to take a heavy-handed approach to this initiative, but to work with the restaurants to bring them into compliance, so that the entire community can enjoy access to the restaurants.”
In conjunction with the establishment of the new Civil Rights Section within the USAO-SDTX Civil Division, the U.S. Attorney’s Office also hosted a Civil Rights Symposium today. The purpose of the event was to discuss the nation’s federal civil rights laws in the areas of disability, housing and education, and highlight the role of the U.S. Attorney’s Office in ensuring compliance and effective monitoring in the areas of affirmative civil rights enforcement. Principal Deputy Assistant Attorney General Vanita Gupta, head of the Department of Justice’s Civil Rights Division, and U.S. District Judge Keith P. Ellison were the featured speakers and addressed civil rights enforcement and a judicial perspective of the enforcement of voting rights, respectively.
Other presentations from various Department of Justice personnel included such areas as disability rights laws and enforcement; discrimination in access to housing, credit and public accommodations; equal educational opportunities; and improving local communities through an active civil rights practice.
Organizations invited to attend included members of the American Civil Liberties Union, City of Houston, Disability Rights Texas, Houston Center for Independent Living, Houston Volunteer Lawyers, Lambda Legal, Leadership for Educational Equality, League of United Latin American Citizens, Lone Star Legal Aid, Mexican American Legal Defense and Educational Fund, National Association for the Advancement of Colored People, South Texas Civil Rights Project, Texas Civil Rights Project, Texas Department of Assistive and Rehabilitative Services, Department of Housing and Urban Development, Department of Education - Civil Rights, Teach for America, Texas Appleseed, Texas Paralyzed Veterans and Texas Wins.
Participants were also able to raise questions or concerns regarding civil rights issues in the Southern District of Texas.
Houston Woman Pleads Guilty to Defrauding Former EmployerRead the Press Release
HOUSTON – A former employee of United Transport Tankcontainers Inc. (UTT) has been convicted of one count of wire fraud, announced U.S. Attorney Kenneth Magidson. Marcella Jones aka Marcella Jones-Hatch, 44, of Houston, pleaded guilty today, admitting she caused a loss of nearly $1.8 million to her former employer.
Hatch was hired in the accounting department at UTT in 2007. As part of her plea, she admitted that between July 2008 and August 2014, she executed a scheme to defraud her former employer. As part of her scheme, she created fraudulent payment requests and submitted them to UTT. As a result, the company then sent the payments to her personal bank account which she used for her own personal benefit. The estimated total losses to UTT as a result of the scheme was $1,796,945.67.
U.S. District Judge David Hittner accepted the plea to day and set sentencing for Dec. 30, 2015, at which time Jones faces up to 20 years imprisonment and a possible $250,000 maximum fine. She will remain in custody pending that hearing.
The charges are the result of an investigation by the Secret Service. Assistant U.S. Attorney John Braddock is prosecuting the case.
U.S. Attorney Announces Settlement with Bus Company to Ensure Accessibility for People with DisabilitiesRead the Press Release
HOUSTON – The United States has entered into a settlement agreement under the Americans with Disabilities Act (ADA) with Autobuses Regiomontanos Inc. that ensures their buses are accessible to people with disabilities, including individuals who use wheelchairs or other mobility aids, announced U.S. Attorney Kenneth Magidson. Autobuses Regiomontanos is a bus transportation company located in Houston.
The settlement is the result of collaborative enforcement efforts between the United States Attorney’s Office, Department of Justice - Civil Rights Division and the Federal Motor Carrier Safety Administration (FMCSA) of the U.S. Department of Transportation (DOT). The agreement remedies violations by Autobuses Regiomontanos, including failing to have an ADA training program in place for its employees and contractors, failing to file required ADA compliance reports with the DOT and failing to ensure that all lifts on its buses are properly maintained. The settlement agreement requires Autobuses Regiomontanos to:
- Comply with all ADA requirements for accessible service and not exclude persons with disabilities from their transportation services;
- Ensure that all required reports regarding ADA compliance are filed with the DOT;
- Establish a lift maintenance program to ensure that this accommodation is available when needed;
- Train all employees and contractors on the requirements of the ADA.
“People with disabilities in the Southern District of Texas must be able to count on accessible bus service that is equal to the service provided to others,” said Magidson. “This settlement agreement demonstrates the United States Attorney’s Office’s commitment to ensure that individuals with disabilities receive equal access to public accommodations, including transportation services.”
Title III of the ADA prohibits discrimination against people with disabilities by public accommodations, including large over-the-road bus companies. DOT’s regulations implementing the ADA require that these companies perform regular maintenance checks to ensure that wheelchair lifts work, provide prompt accessible service with an alternative carrier if the company does not have a lift-equipped bus, train their employees on accessibility requirements and file annual accessibility reports with the FMCSA.
Assistant U.S. Attorney Jimmy Rodriguez handled the matter on behalf of the U.S. Attorney’s Office.
People interested in finding out more about the ADA or this settlement can call the toll-free ADA information line at 800-514-0301 (TDD 800-514-0383) or access the ADA website at www.ada.gov.
Pharr Woman Sentenced in Liquid Silicone Injection CaseRead the Press Release
McALLEN, Texas – Maribel Quintero, 39, has been ordered to federal prison following her guilty plea of violating the U.S. Food, Drug and Cosmetics Act, announced U.S. Attorney Kenneth Magidson. Quintero, of Pharr, pleaded guilty May 29, 2105.
Today, U.S. District Judge Randy Crane took into consideration Quintero’s criminal history and handed her a total sentence of 16 months in federal prison to be immediately followed by three years of supervised release. Additional information was also presented today, including testimony from a woman who was hospitalized after receiving the liquid silicone injections Quintero administered. In handing down the sentence, Judge Crane ordered that Quintero pay $15,760 in restitution to the victim who testified in regards to her injuries and medical treatment.
“The Food and Drug Administration’s (FDA) laws are designed to protect the public health by ensuring, among other things, that medical devices are safe and effective for their intended uses. The medical device here, liquid silicone, failed to meet the standards set by those laws and thus posed a safety risk to U.S. consumers,” said Special Agent in Charge Catherine A. Hermsen, FDA Office of Criminal Investigations’ Kansas City Field Office. “We will continue to focus our resources on removing such risks and protecting the public’s health.”
Quintero admitted administering injections of liquid silicone into individuals who wanted to enhance the structure of their buttocks. These injections were not approved by the FDA. Quintero also falsely represented to customers to whom she administered the liquid silicone that they were safe when, in fact, they were not.
On Sept. 9, 2014, she possessed an adulterated device - liquid silicone - and was about to use it on a male customer. She admitted that she intended to mislead him by not disclosing that she had knowledge of previous complications due to the use of the liquid silicone.
The investigation into this case began in August 2014 after law enforcement received information that Quintero was involved with providing liquid silicone to women to effect the structure and function of their bodies.
Quintero will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges are the result of an investigation by the FDA - Office of Criminal Investigations, FDA - Forensic Chemistry Center, Hidalgo County Sheriff's Office and the FBI. Assistant U.S. Attorneys Kimberly Ann Leo and Alex Benavides are prosecuting the case
Houston Couple Convicted in Stolen Identity Refund Fraud SchemeRead the Press Release
HOUSTON – The female former fugitive sought in a sophisticated tax fraud/identity theft scheme involving more than 800 victims has been convicted, announced United States Attorney Kenneth Magidson. Thalia Diaz Camareno, 30, of Houston, pleaded guilty today to conspiracy to commit mail fraud, while her husband - Antolin Julio Nazario, 34 – entered his plea April 27, 2015.
Both have admitted that from approximately June 2010 to January 2012, they engaged in a scheme that involved the filing of hundreds of fraudulent tax returns, commonly referred to as Stolen Identity Refund Fraud (SIRF). The Houston couple used stolen and unlawfully obtained personal identity information, including the names and Social Security numbers, of true persons to prepare fraudulent U.S. income tax returns.
Nazario aka Robinson Gomez Churon and Camareno aka Irene Carrero Echevarria mailed the fraudulent federal income tax returns through the U.S. Postal Service in order to generate and obtain tax refunds from the IRS to which they were not entitled and directed the fraudulently obtained tax refunds be disbursed as U.S. Treasury checks. The refunds were then used to obtain cash and goods for their own benefit.
The current fraudulent tax refund filings attributed to this couple have resulted in $4,095,959 potential loss, an excess of $800,000 paid out by the IRS and involves more than 800 victims whose identities were stolen to conduct the scheme.
Camareno was indicted along with her husband on Nov. 13, 2014. Nazario was taken into custody, while Camareno was considered a fugitive until her surrender Dec. 10, 2014. U.S. District Judge Kenneth Hoyt accepted both guilty pleas and has set sentencing for Nov. 30, 2015, for Nazario and Jan. 11, 2016, for his wife. Both will face up to 20 years in federal prison and a possible $250,000 fine. Nazario was also convicted of one count of aggravated identity theft for which he will face an additional mandatory 24-month sentence to be served consecutively to any other sentence imposed.
The charges are the result of an investigation conducted by IRS - Criminal Investigation, U.S. Postal Inspection Service and the Secret Service. Assistant United States Attorney Suzanne Elmilady is prosecuting the case.
Clinic Manager Guilty of Health Care FraudRead the Press Release
HOUSTON – The owner and operator of Elite P. Care Medical Services has been convicted of conspiracy to commit health care fraud and health care fraud in a $1 million fraud scheme, announced U.S. Attorney Kenneth Magidson. Verona Spicer, 46, pleaded guilty today before U.S. District Judge Kenneth Hoyt.
Spicer admitted that she hired a physician to sign patient medical documents at her clinic which had office locations on Harwin Drive in Houston and in Port Arthur. Spicer told the court that she filed Medicare and Medicaid enrollment applications in order for her to bill for services under the doctor’s Medicare and Medicaid provider numbers even though the physician did not see or evaluate the patients at Spicer’s clinic. Spicer admitted that a foreign medical graduate who did not have a license to practice medicine in the United States saw the patients, while the physician came in after hours to sign the patient medical records, including medical evaluations, physical therapy treatment notes and home health orders for patients she had not personally seen. Spicer also admitted to submitting claims for fraudulent physical therapy and diagnostic test claims. Pursuant to the plea agreement, Spicer has agreed to pay Medicare and Medicaid $508,868.70 in restitution
Judge Hoyt has set sentencing for Jan. 11, 2016, at which time she faces up to 10 years in federal prison and a fine of up to a $250,000. She was permitted to remain on bond pending that hearing.
The investigation leading to the charges was conducted by Department of Health and Human Services – Office of Inspector General, FBI, the Texas Attorney General Office’s Medicaid Fraud Control Unit with the assistance of the Medicare Zone Program Integrity Contractor, Health Integrity LLC. Assistant U.S. Attorney Julie Redlinger is prosecuting the case.
Final Defendant Sentenced in Operation Piney WoodsRead the Press Release
HOUSTON – The final person in a 14-defendant cocaine conspiracy has been ordered to federal prison for more than 24 years, announced U.S. Attorney Kenneth Magidson. Jeramy Jerome Gage, 34, of Huntsville, pleaded guilty March 28, 2014, to conspiracy to possess with the intent to distribute cocaine and marijuana.
Today, U.S. District Judge Melinda Harmon ordered he serve 292 months in federal prison which will be immediately followed by five years of supervised release. In handing down the sentence, the court noted his leadership role and that he obstructed justice among other factors for the significant sentence.
Gage was the last of 14 defendants to be sentenced in this drug trafficking organization. The remaining defendants previously received sentences ranging from 145 to 18 months in prison. Ramola K. Brown, of Huntsville, was convicted by a jury following a three-day trial, received 145 months in prison. The remaining defendants, all from the Huntsville and Houston areas, had previously pleaded guilty. Dennis Rogers Haynes received a sentence of 104 months, while Jeffrey Johnson, Arturo Valdez and Annie Mae Ball were sentenced to 87, 80 and 78 months, respectively. Lawrence Perry, Kenneth O’Bryant and Herratio Hans Hedspetch each were ordered to serve a 70-month-term of imprisonment. Gregory McFadden, Lloyd Glen O’Bryant, Mark Wayne Wheeler, Michael Andrew Williams were ordered to serve 60, 46, 43, and 18 months in prison, respectively, while Scotty Porter was ordered to serve 16 months in prison.
This convictions are the result of a two-year investigation dubbed Operation Piney Woods led by the Drug Enforcement Administration with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Marshals Service; police departments in Houston, Huntsville and Willis; sheriff’s offices in Walker, Montgomery and Harris Counties; Texas Department of Public Safety; Texas Department of Criminal Justice - Office of the Inspector General; and both the Madison and Walker County District Attorney’s Offices. Assistant United States Attorneys John Jocher and Shelley Hicks prosecuted the case.
Women Head to Prison for Stealing and Using Patient Information to Create Fraudulent Bank AccountsRead the Press Release
HOUSTON – With the sentencing of Leatrice Reynaud, 45, three Houston women have now been held accountable for their crimes of conspiracy to commit bank fraud and bank fraud, announced U.S. Attorney Kenneth Magidson. Reynaud previously pleaded guilty as did Houston cousins, Tonya Beverly, 39, and Demetria Jones, 41.
Today, U.S. District Judge Gray Miller ordered Reynaud to serve a sentence of 57 months in federal prison to be immediately followed by three years of supervised release. Beverly was sentenced last month to a term of 63 months in prison, while Jones, who was a minor participant, received 12 months and one day in custody. The three conspirators were further ordered to pay more than $100,000 in restitution to USAA Federal Savings Bank - the ultimate financial victim of the crime. As part of their plea agreements, the conspirators have agreed to forfeiture of $106,383.51 in unlawful proceeds to the United States.
Beverly, Reynaud and Jones admitted they conspired together to create and access false and fraudulent USAA Federal Savings Bank accounts using stolen personal identification information, including names, dates of birth and Social Security numbers. Beverly admitted she stole the personal information from the patient files of health care providers with whom she had been employed.
In less than two years, the conspirators created 33 false and fraudulent USAA accounts and transferred approximately $205,719 into those accounts from the real bank accounts of at least 35 individuals. Several of the victims were elderly, including one who was born in 1922 and another who was born in 1929 as well as another victim who was caring for her terminally ill husband when the crime occurred.
Today, the prosecutor read a portion of a victim statement to the court that described the mental anguish and stress caused by the conspirators’ actions. The amount of loss for each victim varied - $23,800 was taken out of the account of the victim born in 1922, while $24,000 was taken from another victim.
At least 16 different banks were affected by the defendants’ actions. As part of the fraud scheme, the conspirators used homes that were listed for sale or vacant as the recipient addresses for debit cards mailed by USAA for the false and fraudulent accounts. Jones received one of the false and fraudulent debit cards at her home address. The USAA debit cards in the victims’ real names were used to withdraw cash from ATM machines, including machines located in Hawaii, Los Angeles, Atlanta and Texas and to make purchases, including plane tickets to Los Angeles, California, for the defendants and the children of one of the defendants. The conspirators also used phones registered in the name of another victim of identity theft to access the fraudulent USAA accounts and perform account functions.
The women 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 investigation leading in this case was conducted by the U.S. Secret Service. Assistant U.S. Attorney Julie Redlinger prosecuted the case.
Weslaco Man Convicted in Cocaine-Trafficking ConspiracyRead the Press Release
CORPUS CHRISTI, Texas – A federal jury sitting in Corpus Christi has convicted a 40-year-old resident of Weslaco on one count of conspiracy to commit cocaine-trafficking and one count of possession with intent to distribute cocaine, announced U.S. Attorney Kenneth Magidson. The jury returned its verdicts against Marcos Garcia just a short time ago after less than two hours of deliberation following a three-day trial which included 18 government witnesses.
During the trial, the government presented testimony that Garcia was a commercial truck driver. On the evening of Sept. 4, 2014, Garcia picked up a load of produce in Donna and was scheduled to deliver it to Houston the next day. Garcia’s tractor trailer arrived at the Border Patrol Checkpoint near Falfurrias just after midnight on Sept. 5, 2014, but Garcia was not driving. He had solicited his brother-in-law and a 22-year-old female to drive the vehicle through the checkpoint, while Garcia passed through the checkpoint in another vehicle a few minutes prior.
Authorities arrested the two people in the tractor trailer after the discovery of 15 illegal aliens hidden in the trailer with the produce. Subsequently, 37 kilograms of cocaine was also found hidden in a false compartment underneath the trailer’s floor. The cocaine was found after the trailer had been seized by Border Patrol and stored at an impound lot.
The evidence at trial established that Garcia was going to resume driving his tractor trailer after his brother-in-law and the female successfully passed through the checkpoint. Garcia’s plan was to deliver the illegal aliens and the cocaine himself. For some time, Garcia believed that law enforcement would not discover the cocaine and filed paperwork with Border Patrol in an attempt to retrieve his trailer and the cocaine. However, law enforcement found the cocaine before Garcia could do so.
U.S. District Judge Nelva Gonzales Ramos presided over the trial and has set sentencing for Jan. 14, 2016. At that time, he faces a mandatory minimum of 10 years and up to life imprisonment as well as a possible $10 million fine.
In addition, Garcia was arrested at the Falfurrias checkpoint driving another tractor trailer hauling produce on Oct. 31, 2014. Along with the produce were 24 illegal aliens hiding in the vehicle that Garcia was driving. He previously pleaded guilty to that offense and faces up to 10 years imprisonment and a maximum $250,000 fine.
The charges are the result of an investigation conducted by Homeland Security Investigations with the assistance of Border Patrol. Assistant U.S. Attorney Chad W. Cowan is prosecuting the case.
Militia Man Found GuiltyRead the Press Release
BROWNSVILLE, Texas – A member of a citizen group known as “Rusty’s Rangers” or “Rusty’s Regulators” has been found guilty of four counts of felon in possession of a firearm, announced U.S. Attorney Kenneth Magidson. Kevin Lyndel Massey, 48, of Quinlan was found guilty this afternoon following a bench trial before the U.S. District Judge Andrew Hanen.
According to court records, the group consisted of citizens who mounted armed patrols in the Rio Grande area allegedly in search of and to possibly apprehend aliens attempting to enter the U.S. illegally. On Aug. 29, 2014, law enforcement agents were pursuing suspected illegal aliens in heavy brush when they encountered an individual of the group. A Border Patrol agent allegedly perceived him as a threat and discharged his weapon, but did not strike the armed citizen.
Massey, following the shooting, arrived in the area armed with a .45 caliber pistol and a 7.62 x 39 mm rifle. According to court records, he was thereafter identified by law enforcement who learned of his prior criminal history which included burglary. Because of this criminal history, Massey is prohibited from possessing a firearm.
The court heard that Massey was later arrested Oct. 20, 2014, outside a motel in Brownsville. At the time, according to trial testimony, he was armed with a .45 caliber pistol, while another .45 caliber pistol was thereafter located in his motel room. At that time, more than 2600 rounds of ammunition were seized in connection with the search of his truck and motel room.
Judge Hanen has set sentencing for Jan. 4, 2016, at which time he faces up to 10 years in prison and up to a $250,000 fine. He will remain in custody pending that hearing.
The charges are the result of an investigation conducted by FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives and the Cameron County Sheriff’s Department. Assistant U.S. Attorneys William Hagen and Jason Corley prosecuted the case.
Laredo Resident Sentenced in Child Pornography CaseRead the Press Release
LAREDO, Texas – a 61-year-old Laredo man has been ordered to federal prison following his conviction of possession of child pornography, announced United States Attorney Kenneth Magidson. Anselmo Venegas, 61, pleaded guilty Oct. 15, 2014.
Today, Senior U.S. District Judge George P. Kazen sentenced Venegas to 100 months in federal prison to be immediately followed by 20 years of supervised release. Upon release from imprisonment, Venegas will also be required to register as a sex offender.
In January 2014, an investigator with the Webb County Sheriff’s Office was conducting an undercover online operation, trying to identify IP addresses sharing child pornography on a peer-to-peer network. A unique IP address of a computer was found as sharing files of known child pornography.
Homeland Security Investigation (HSI) agents executed a search warrant for the residential address associated with that IP address. Venegas was at the residence, at which time he admitted to having downloaded child pornography from the Internet and then transferring the videos to an external hard drive which he had then hidden in a tool box. A forensics exam of his laptop and other electronic devices revealed numerous videos consistent with child pornography.
The arrest of Venegas was a result of Operation Child Guardian, which was launched by the Webb County Sheriff’s Office in 2009. The success of these investigations have put dozens of suspected child predators behind bars.
The prosecution is being brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Assistant U.S. Attorney Sonah Lee is prosecuting the case.
Justice Department Reaches Agreement with Galveston County, Texas, to Improve Accessibility of Services and ProgramsRead the Press Release
The Justice Department today announced a settlement agreement with Galveston County, Texas. The agreement was reached under Project Civic Access (PCA), the department’s wide-ranging initiative to ensure that cities, towns and counties throughout the country comply with the Americans with Disabilities Act (ADA). In July 2015, the department celebrated the 25th anniversary of the ADA and the department’s PCA initiative has now resulted in over 200 agreements with cities, town and counties. Today’s agreement will enhance access to all aspects of civic life for persons with disabilities in Galveston County.
The department’s PCA agreement with Galveston County requires the county to make physical modifications to county facilities to ensure that its parking, routes into buildings, entrances and public restrooms are accessible to persons with disabilities. Galveston County also agreed to provide effective communication for individuals who have hearing or visual disabilities; ensure that its emergency management procedures and policies include provisions for the evacuation of persons with disabilities; and, ensure that its emergency shelters are accessible to persons with disabilities. Notably, this agreement also requires the county to ensure that the county’s official website and other web-based services conform to industry guidelines – the Web Content Accessibility Guidelines (WCAG) 2.0 – for making web content accessible.
“This settlement reflects how much the law impacts the everyday lives of residents with disabilities,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Civil Rights Division. “Through Project Civic Access, the Justice Department has worked to ensure that all Galveston County residents and visitors with disabilities have the same access to parks, community centers, museums, libraries and county government buildings, programs, services and activities in these communities.”
“We are committed to ensuring accessibility under the ADA throughout this district,” said U.S. Attorney Kenneth Magidson of the Southern District of Texas. “Our attorneys will continue to work with our local communities and businesses to ensure compliance.”
As we continue to celebrate the achievements towards ensuring equal access for persons with disabilities in the 25 years since the passage of the ADA, the department’s PCA initiative highlights the nation’s progress towards ensuring that persons with disabilities can enjoy equal access to state and local governments.
Today’s agreement was reached under Title II of the ADA, which prohibits discrimination against individuals with disabilities by state and local governments. The agreement with Galveston County requires all actions to be completed within three years. The department will actively monitor the county’s compliance with the agreement.
For more information about the ADA, today’s agreement or the Project Civic Access initiative, individuals may access the ADA Web page at http://www.ada.gov/civicac.htm or call the toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TTY).
Second Texas Man Pleads Guilty to Federal Hate Crime Against Gay African-American ManRead the Press Release
CORPUS CHRISTI, Texas - A second Texas man has pleaded guilty to hate crime offenses for his role in a Mar. 8, 2012, assault of a gay African-American man in Corpus Christi, announced U.S. Attorney Kenneth Magidson and Principal Deputy Assistant Attorney General Vanita Gupta, head of the Department of Justice’s Civil Rights Division.
Jimmy Garza, 33, pleaded guilty in federal court in Corpus Christi today to one count of conspiracy to commit hate crimes and one count of a hate crime violation based on the victim’s sexual orientation.
During the plea hearing, Garza admitted that he and others conspired to assault a gay African-American man because of his race and sexual orientation. Garza admitted that during the assault, he and his co-conspirators punched and kicked the man, and assaulted him with various weapons, including a frying pan, a mug, a sock filled with batteries, a broom and a belt.
Garza admitted that when the victim began to bleed, the conspirators forced him to remove all of his clothing and clean up the blood throughout the apartment. After the victim was completely naked, Garza held a gun to the victim’s head, while a co-conspirator sodomized the victim with a broom handle. During the assault, Garza poured bleach onto the victim’s face and eyes, and struck him with a handgun. The conspirators also whipped the victim on the back with a belt.
Garza acknowledged that throughout the assault, the conspirators repeatedly called the victim racial and homophobic slurs and made other anti-black and anti-gay statements.
Garza will be sentenced on Dec. 9, 2015, and faces a maximum sentence of 15 years in prison. He will remain in custody pending that hearing. Co-defendant Ramiro Serrata Jr. pleaded guilty to the same hate crime charges in connection with this offense on Sept.15, 2015. He is also set for sentencing on Dec. 9, 2015.
“The gruesome evidence heard in today's plea of guilty underscores the importance of prosecuting hate crimes under our authority to protect the civil rights of all our citizens,” said Magidson. “These cases will continue to be a high priority of our office.”
“The federal hate crime to which Jimmy Garza Jr. and Ramiro Serrata Jr. pleaded guilty to was as shocking as it was reprehensible,” said Gupta. “The Department of Justice will continue to use every tool at its disposal to vindicate the rights of victims of violent crime.”
This case was investigated by the FBI’s Corpus Christi Resident Agency with assistance from the Corpus Christi Police Department. It is being prosecuted by Assistant U.S. Attorney Ruben Perez and Trial Attorneys Jared Fishman and Nicholas Durham of the Civil Rights Division.
Second Texas Man Pleads Guilty to Federal Hate Crime Against Gay African-American ManRead the Press Release
A second Texas man has pleaded guilty to hate crime offenses for his role in a Mar. 8, 2012, assault of a gay African American man in Corpus Christi, Texas, announced Principal Deputy Assistant Attorney General Vanita Gupta, head of the Department of Civil Rights Division, and U.S. Attorney Kenneth Magidson of the Southern District of Texas.
Jimmy Garza, 33, pleaded guilty in federal court in Corpus Christi to one count of conspiracy to commit hate crimes and one count of a hate crime violation based on the victim’s sexual orientation.
During the plea hearing, Garza admitted that he and others conspired to assault a gay African-American man because of his race and sexual orientation. Garza admitted that during the assault, he and his co-conspirators punched and kicked the man, and assaulted him with various weapons, including a frying pan, a mug, a sock filled with batteries, a broom and a belt.
Garza admitted that when the victim began to bleed, the conspirators forced him to remove all of his clothing and clean up the blood throughout the apartment. After the victim was completely naked, Garza held a gun to the victim’s head, while a co-conspirator sodomized the victim with a broom handle. During the assault, Garza poured bleach onto the victim’s face and eyes, and struck him with a handgun. The conspirators also whipped the victim on the back with a belt.
Garza acknowledged that throughout the assault, the conspirators repeatedly called the victim racial and homophobic slurs, and made other anti-black and anti-gay statements.
Garza will be sentenced on Dec. 9, 2015, and faces a maximum sentence of fifteen years in prison. Garza is incarcerated pending sentencing.
On Sept.15, 2015, Ramiro Serrata Jr. pleaded guilty to the same hate crime charges in connection with this offense. Serrata is scheduled for sentencing on Dec. 9, 2015. Serrata also faces a maximum sentence of fifteen years in prison.
“The federal hate crime to which Jimmy Garza Jr. and Ramiro Serrata Jr. pleaded guilty to was as shocking as it was reprehensible,” said Principal Deputy Assistant Attorney General Gupta. “The Department of Justice will continue to use every tool at its disposal to vindicate the rights of victims of violent crime.”
“The gruesome evidence heard in today's plea of guilty underscores the importance of prosecuting hate crimes under our authority to protect the civil rights of all our citizens,” said U.S. Attorney Kenneth Magidson of the Southern District of Texas. "These cases will continue to be a high priority of our office."
This case was investigated by the FBI’s Corpus Christi Resident Agency with assistance from the Corpus Christi Police Department. It is being prosecuted by Trial Attorneys Jared Fishman and Nicholas Durham of the Civil Rights Division and Assistant U.S. Attorney Ruben Perez of the Southern District of Texas.
Mexican National Gets 40 Years in Prison for KidnappingRead the Press Release
McALLEN, Texas ‐ A 29-year-old resident of Camargo, Tamaulipas, Mexico, has been handed a significant sentence for his conviction of kidnapping, announced U.S. Attorney Kenneth Magidson along with Acting Special Agent in Charge Mark Dawson of Homeland Security Investigations (HSI) in San Antonio. Martin Margarito-Casimiro pleaded guilty to the charges May 27, 2015.
Today, U.S. District Judge Micaela Alvarez, who accepted the guilty plea, handed Margarito-Casimiro a 480-month sentence and ordered he pay a $25,000 fine. In handing down the sentence, Judge Alvarez noted that this kind of conduct goes on routinely in Mexico and unfortunately is seen more and more in Texas. Judge Alvarez hoped that this sentence would not only serve as a deterrent to Margarito himself, but also to anyone else seeking vengeance for a debt owed. Margarito-Casimiro is expected to face deportation proceedings following his release from prison.
“Today's sentencing exemplifies the high level of collaboration between HSI and its partners in identifying, arresting and prosecuting individuals involved in human smuggling,” said Dawson. “HSI will continue to utilize its broad authorities, in concert with its federal , state/local partners to disrupt and dismantle these criminal organizations.”
On Jan. 22, 2015, law enforcement responded to a man’s cry for help as he ran down the street with rope still tied around his arms and legs. That victim led law enforcement to the McAllen residence where he had been held. There, law enforcement found another victim with his arms and legs bound. At that time, law enforcement discovered Margarito-Casimiro and others who were attempting to flee.
At the time of his guilty plea, Margarito-Casimiro admitted he held at least one victim at gunpoint for ransom for an alleged lost load of marijuana and directed co-conspirators to tie the victim’s hands and feet. The victim was told he needed to pay in order to be released.
Margarito-Casimiro will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The investigation leading to the charges was conducted by Homeland Security Investigations and McAllen Police Department. Assistant U.S. Attorney Kristen Rees and Leo J. Leo prosecuted the case.
18 Operation Trena Sin Trono Defendants Plead GuiltyRead the Press Release
LAREDO, Texas – A total of 18 defendants have entered guilty pleas in recent weeks to various charges to include conspiracy to possess with intent to distribute marijuana, possession with intent to distribute marijuana and conspiracy to launder drug proceeds, announced U.S. Attorney Kenneth Magidson. The members of this drug and money laundering organization were part of the conspiracy that occurred from on or about June 2011 through June 2013.
The pleas are the culmination of a long term Organized Crime Drug Enforcement Task Force Investigation dubbed Operation Trena Sin Trono spearheaded by the Drug Enforcement Administration and IRS-Criminal Investigation with the assistance of Homeland Security Investigations, Laredo Police Department and the Zavala County Sheriff’s Office.
Erasmo Abdon Trejo-Nava was the head of a transportation cell that operated out of Laredo and was one of the primary transporters of marijuana shipments for the Zetas Cartel in Nuevo Laredo, Tamaulipas, Mexico. The Trejo-Nava drug trafficking organization utilized commercial trucks and trailers to transport multi-thousand pound quantities of marijuana from Laredo to the Dallas area. The investigation revealed that beginning from on or about June 10, 2011, and continuing through June 4, 2013, Trejo-Nava conspired with others to possess with intent to distribute in excess of 1,000 kilograms of marijuana and conspired to launder money.
Trejo-Nava transported loads of marijuana for himself, Jaime Montalvo-Ruiz and Ovidio Rodriguez. Joshua Sanchez and Ricardo Ramirez were identified as subjects who were tasked with receiving marijuana loads from Trejo-Nava for Montalvo-Ruiz. Salvador Saldaña Medrano was identified as a co-conspirator who assisted Montalvo-Ruiz in coordinating the delivery of marijuana to Trejo-Nava for transportation to the Dallas area and also coordinated the receipt of drug proceeds from Trejo-Nava on behalf of Montalvo-Ruiz.
The organization used various stash houses and business fronts in the Laredo area to receive and prepare the drugs for transportation via personal vehicles to a local warehouse. Gerardo Moreno Recio was identified as assisting at stash houses used by the organization. Juan Manuel Vargas-Aguilar wrapped and prepared marijuana at stash houses and marked the bundles for identification once they arrived in the Dallas area. Victor Hugo Trejo was identified as assisting in the transportation of the marijuana from the stash houses to a local warehouse.
Francisco Colin supplied tractor trailers and was also identified as providing willing truck drivers to transport marijuana loads. Mario Alberto Rodriguez and Jose Angel Trejo were identified as assisting with loading of marijuana into crates at a warehouse and traveling to Dallas to assist in receiving the marijuana. Angel Trejo was also identified as recruiting a driver to transport a load of marijuana for the organization. Arturo Alfonso Lozano and Leocadio Ruiz received the marijuana loads in Dallas on behalf of Trejo-Nava, Montalvo-Ruiz and Ovidio Rodriguez and were responsible for sorting and distributing the marijuana in Dallas and collecting the proceeds.
The investigation also revealed that the Trejo-Nava organization frequently transported drug proceeds from the Dallas area to Laredo and then to Mexico. The marijuana loads were fronted to distributors in the Dallas area to include Lozano and Ruiz. After the sale and distribution of the drugs, they received payment through co-conspirators in Dallas who collected, stored and prepared the drug proceeds for transportation via personal vehicle or tractor trailer to Laredo and then to into the Republic of Mexico. Erika Alvarez was identified as a courier of drug proceeds who traveled to Dallas to transport drug proceeds back to Laredo. Laura Heredia Garcia was also identified as a courier for drug proceeds who was tasked with transporting the drug proceeds received in Laredo to the Republic of Mexico via her own personal vehicle.
As part of the money laundering scheme, Trejo-Nava, Raquel Margarita Ramos Jimenez and Leslie Bernice Trejo knowingly and intentionally conducted financial transactions designed to conceal and disguise the nature, ownership, control and source of the proceeds and to avoid a transaction reporting requirement. They knew the property involved in the financial transactions represented the proceeds of drug trafficking. The proceeds from the sale of marijuana were also used to acquire real estate and improve real estate and services.
Erasmo Trejo-Nava, Angel Trejo, 42, Ovidio Rodriguez, 41, Hugo Trejo, 41, Colin, 41, Saldaña-Medrano, 36, all of Laredo, entered pleas of guilty to conspiring to possess with intent to distribute in excess of 1,000 kilograms of marijuana and conspiracy to launder drug proceeds as did Montalvo-Ruiz, 44, of Nuevo Laredo, Mexico, and Ruiz, 47, of Dallas.
Vargas-Aguilar, 45, Rodriguez, 29, and Ricardo Ramirez, 33, all of Laredo; Lozano, 47, of Dallas; and Sanchez, 32, of Nuevo Laredo, all pleaded guilty to one count of conspiracy to possess with intent to distribute in excess of 1,000 kilograms of marijuana, while Recio, 48, of Nuevo Laredo, entered pleas of guilty to two separate counts of possession with intent to distribute in excess of 100 kilograms of marijuana.
Garcia, 50, of Nuevo Laredo, and Alvarez, 38, and Jimenez, 44, and Trejo, 22, both of Laredo, pleaded to one count of conspiracy to launder drug proceeds.
Assistant U.S. Attorney Mary Lou Castillo is prosecuting the case.
Local Daycare Worker and Brownsville Man Convicted of Producing Child PornographyRead the Press Release
CORPUS CHRISTI, Texas – The daycare worker indicted along with another man less than a month ago on production of child pornography charges have both been convicted as charged, announced U.S. Attorney Kenneth Magidson. Christina Cortez, 38, of Corpus Christi and Matthew Harbin, 29, of Brownsville, pleaded guilty today.
The court heard that the case began after Harbin was identified as providing images to an undercover officer in England. Using the email address [email protected], Harbin provided three photos of a child clothed and not sexually posed, but that appeared to be taken at a daycare facility. Harbin told the undercover officer he had more pictures, wanted to trade and asked the undercover officer if they had a daughter and how young they were “in to.” Harbin later sent five more pictures of what appears to be the same female child, but that were sexually explicit in nature. One image depicts the child laying down on a blue mat with her dress lifted and her lower body exposed. Other images depicted an adult female’s hand making contact with a child’s private area.
Further investigation revealed Harbin had previously received the images from Cortez in July 2014. In their communications, Cortez claimed to work at a daycare facility where she produced the images. Cortez admitted taking and sending the images of the same female child involved in sexually explicit conduct to Harbin. The child’s genitals appear to be the focus of all three of the aforementioned images, one of which includes the child fondling herself.
In their communications, both Harbin and Cortez indicated a desire to engage with children. During one conversation, Cortez told Harbin “I would love to watch us with her. 2 & half.”
The court also heard that Harbin is a convicted sex offender from Alabama. He was a fugitive living in Brownsville, wanted on a federal arrest warrant for child pornography from the Northern District of Alabama. Agents seized various electronic devices from Harbin on which forensic analysis revealed more than 3500 images and more than 360 videos of child pornography.
Senior U.S. District Judge Hayden Head accepted the guilty plea today and set sentencing for Dec. 9, 2015. At that time, both Cortez and Harbin face a minimum of 15 and up to 30 years in federal prison and a possible $250,00 maximum fine. Upon completion of any prison term imposed, both also face a maximum of life on supervised release during which time the court can impose a number of special conditions designed to protect children and prohibit the use of the Internet.
Both Cortez and Harbin were arrested on federal charges in August 2015 and have been in custody since that time where they will remain pending their sentencing hearing.
The charges are the result of an investigation by Homeland Security Investigations and the Corpus Christi Police Department - Internet Crimes Against Children Task Force.
This case, prosecuted by Assistant U.S. Attorney Hugo R. Martinez, was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Two Men Sentenced for Possession of MethRead the Press Release
CORPUS CHRISTI, Texas – Two men from Lafayette, Indiana, have been sentenced following their convictions of conspiracy to possess with intent to distribute methamphetamine, announced U.S. Attorney Kenneth Magidson. Daniel Marvin, 48, and William Parker, 35, pleaded guilty Feb. 18, 2015, and March 16, 2015, respectively.
Today, Senior U.S. District Judge John Rainey sentenced Marvin to 135 months in federal prison, while Williams was ordered to serve a 120-month-term of imprisonment. Both were also ordered to serve five years of supervised release following their sentences.
In December 2014, Border Patrol (BP) agents at the Sarita checkpoint were conducting primary inspections when they became suspicions of two vehicles that approached the checkpoint at approximately the same time. During an x-ray inspection of the first vehicle, which was driven by Marvin, agents discovered a small safe that contained a bundle of methamphetamine wrapped in black tape, a small scale, $1,300 U.S. currency and a loaded 9mm handgun. In a further inspection of the second vehicle, which was driven by Parker, agents located a modified container to conceal contraband that included a baggie and syringe filled with methamphetamine and a small scale. Initially, the two men stated that they were travelling alone; however, they later admitted to travelling to South Texas together to pick up the vehicle that contained the safe and drugs. Laboratory analysis determined that the methamphetamine weighed approximately 500 grams and had a purity level of 96%.
In federal custody since their arrests, Marvin and Parker will remain in custody and serve their sentences at a U.S. Bureau of Prisons facility to be designated in the near future.
The convictions stem from an investigation by the Drug Enforcement Administration and BP. Assistant U.S. Attorney Lance Watt is prosecuting the case.
Father and Son Head to Prison in Massive Marijuana Grow Field CaseRead the Press Release
BROWNSVILLE, Texas – Miguel Echevarria-Zuniga, 51, and Miguel Echevarria-Guizar, 22, have been ordered to federal prison following their convictions of manufacturing marijuana, announced U.S. Attorney Kenneth Magidson. The father and son pleaded guilty April 3, 2015.
Today, U.S. District Judge U.S. District Andrew S. Hanen handed Echevarria-Guizar a total of 36 months in federal prison. Echevarria-Zuniga was sentenced last month to serve 42 months for the marijuana charge and for being an alien found in the United States after having been deported. Both men are expected to face deportation proceedings following their release from prison.
The convictions stem from an August 2014 alien smuggling investigation by Homeland Security Investigations (HSI) which revealed that part of a 40-acre tract of land in a rural area of Willacy County was being used to grow marijuana. Agents discovered more than 9,000 marijuana plants growing in the field.
Agents arrested the Echevarrias, both Mexican citizens, as they attempted to abscond from the area. Initially, the Echevarrias denied any involvement with marijuana field and claimed to be part of a group of illegal aliens that were being housed in a different part of the land. However, fingerprint analysis linked both defendants to items found in the marijuana field. Agents also searched a storage shed which was rented by Echevarria-Zuniga and found sales receipts for items found in the marijuana field.
Both men have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
This case was investigated by HSI and prosecuted by Assistant U.S. Attorneys Israel Cano III and David A. Coronado.
Area Ambulance Company Owner Pleads Guilty in Health Care Fraud SchemeRead the Press Release
McALLEN, Texas ‐ The owner of Vic’s Texas Transport, Inc. (dba Victory EMS) has been convicted of health care fraud and aggravated identity theft, announced United States Attorney Kenneth Magidson. Victor Lee Gonzalez, 28, of Mission, entered his guilty plea today before Chief U.S. District Judge Ricardo Hinojosa.
As part of the plea, Gonzalez admitted he submitted claims with Medicare and Texas Medicaid for reimbursement of ambulance transportation services that were not provided. To further execute his scheme to defraud, Gonzalez used the Texas Medicaid number of a patient to submit false and fraudulent billings to Texas Medicaid. The aggregate sum of the false and fraudulent claims submitted by Gonzalez was $1,080,213 to Medicare and Texas Medicaid. As a result of those fraudulent claims, Medicare and Texas Medicaid paid approximately $458,904.45.
Sentencing has been set for Nov. 30, 2015. At that time, Gonzalez faces a maximum of 10 years in federal prison without parole and a possible $250,000 fine. For the aggravated identity theft, he also faces an additional 24 months in prison which must be served consecutively to any other prison sentence imposed. Gonzalez, whose bond was previously revoked in the case, will remain in custody pending that hearing.
The investigation was conducted by the U.S. Department of Health and Human Services‐Office of Inspector General and the Texas Attorney General’s Medicaid Fraud Control Unit. Assistant United States Attorney Michael Day is prosecuting the case.
Former Memorial Hermann Employee Sentenced for Embezzling Nearly $10 MillionRead the Press Release
HOUSTON – The former manager of Printing and Mail Services at Memorial Hermann Health Systems has been ordered to federal prison after defrauding his employer of nearly $10 million over a 14-year period, announced U.S. Attorney Kenneth Magidson. Kenneth Joseph Wild II, 50, of Katy, entered a guilty plea April 22, 2015, to one count of mail fraud.
Today, U.S. District Judge Kenneth Hoyt, who accepted the guilty plea, handed Wild an 87-month sentence to be followed by three years of supervised release. He was further ordered to pay $$9,302,667.29 in restitution. As part of his plea agreement, Wild agreed to forfeit his home and all of its contents, his vehicles, his 401K pension plan with Memorial Hermann and any other financial assets in his possession in order to pay that restitution to Memorial Hermann. In handing down the sentence, Judge Hoyt noted the significance of the case because it involved public money. Judge Hoyt commented that Wild "victimized Memorial Hermann, it's patients, your family and yourself. You only came to your senses after you got caught and now you will have a significant amount of time to reflect on your actions.”
On or about Feb. 23, 2001, Wild was appointed as manager of Printing and Mail Services, a division within Memorial Hermann which oversees and outsources the creation of all informational and promotional materials disseminated by Memorial Hermann. In this role, Wild had the responsibility for approving invoices submitted for printing services utilized by Memorial Hermann and for forwarding those invoices to accounts payable for payments to be remitted via checks delivered by U.S. mail.
On or about March 8, 2001, just two weeks after Wild’s promotion to management, an entity named Digital Designs Limited began submitting invoices to Memorial Hermann for printing and data conversion services purportedly provided to Memorial Hermann. Wild used his position to cause the Digital Designs invoices to be approved. Over the span of 14 years, from March 2001 through March 2015, Wild submitted 229 invoices totaling $9,302,667.29 in the name of Digital Designs for services that were never provided to Memorial Hermann.
On March 11, 2015, Memorial Hermann’s chief audit and compliance officer received an anonymous, hand-written letter alleging the Digital Designs account was an anomalous, ghost account and asking for an investigation. As a result, Memorial Hermann swiftly conducted a preliminary review of the account and immediately reached out to law enforcement to report the incident.
The investigation revealed that the address listed for Digital Designs was a P.O. Box opened by Wild in 1996. In October 2001, Wild had obtained an assumed name certificate from the Harris County Clerk’s Office for “Digital Designs of Texas, P.O. Box 36345, Houston, TX 77236.” The investigation further revealed that payments remitted to Digital Designs were deposited into a bank account which was assigned to Wild with a dba of Digital Designs. Wild deposited the checks from Memorial Hermann into that account and then transferred those funds to other accounts he controlled. He then used the funds to support his extravagant lifestyle which included, among other things, making significant personal expenditures, purchasing a home and making substantial improvements and extensive international travel for himself and his family and friends.
He has been in custody since his arrest on March 21, 2015, where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The charges are the result of an investigation by U.S. Postal Inspection Service. Assistant U.S. Attorney Jason Varnado is prosecuting the case.
Two Kilos of Pure Meth Lands Couple in Federal PrisonRead the Press Release
CORPUS CHRISTI, Texas – A couple from South Texas have been handed significant sentences following their convictions of conspiracy to possess with intent to distribute methamphetamine, announced U.S. Attorney Kenneth Magidson. Pedro Candelaria, 24, of Pharr, and Cynthia Marez, 31, of McAllen, pleaded guilty June 4, 2015, and March 5, 2015, respectively.
Today, U.S. District Judge Nelva Gonzales Ramos sentenced Candelaria to 156 months in federal prison, while Marez was ordered to serve a 84-month-term of imprisonment. Both were also ordered to serve five years of supervised release following their sentences.
In January 2015, Border Patrol (BP) agents conducted an inspection of a passenger bus that arrived at the Falfurrias checkpoint. During that inspection, they discovered several vacuum-sealed bags strapped to Marez’s body which contained approximately 2.2 kilograms of methamphetamine. The investigation also led to the arrest of Candelaria who had been Traveling with Marez. Laboratory analysis determined that the methamphetamine had a purity level of 97%.
In federal custody since their arrests, Candelaria and Marez will remain in custody and serve their sentences at a U.S. Bureau of Prisons facility to be designated in the near future.
The convictions stem from an investigation by the Drug Enforcement Administration and BP. Assistant U.S. Attorney Lance Watt is prosecuting the case.
Laredo Man Gets Sentenced for Illegally Possessing AmmoRead the Press Release
LAREDO, Texas – A previously convicted felon who resided in Laredo has been sentenced for illegally possessing 14 rounds of 7.62x39mm ammunition, announced United States Attorney Kenneth Magidson. Humberto Hilario-Gomez, 25, of Laredo, pleaded guilty to being a felon in possession of ammunition on Jan. 13, 2015.
Today, U.S. District Judge George P. Kazen handed Hilario-Gomez a sentence of 72 months in federal prison to be immediately followed by three years of supervised release. The Judge commented on Hilario-Gomez’s young age and his extensive history of violent behavior. Hilario-Gomez expressed remorse over his actions.
The conviction stems from an aggravated robbery investigation initiated by Laredo Police Department. After it was determined that Hilario-Gomez was involved in the robbery, a warrant was issued and executed at his residence. There, officers discovered the ammunition in his home.
Hilario-Gomez has prior felony convictions for aggravated assault with a deadly weapon, deadly weapon in a penal institution, taking a weapon from an officer, robbery, and evading arrest with a motor vehicle. As such, he is prohibited from possessing firearms or ammunition per federal law.
The charges are the result of an investigation conducted by Laredo Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Christopher A. dos Santos prosecuted the case.
Houston Man Schemes to Steal from UK-Company, Lands in Federal PrisonRead the Press Release
HOUSTON – A Houston man has been ordered to federal prison for a wire fraud scheme in which he deceived a United Kingdom-based company into sending him $357,000, announced U.S. Attorney Kenneth Magidson. Avery Lamarr Ayers, 48, pleaded guilty to one count of conspiracy to commit wire fraud on June 18, 2015.
Today, U.S. District Judge Gray Miller, ordered he serve the statutory maximum of 60 months in federal prison to be immediately followed by three years of supervised release. The court also imposed a restitution order in the amount of $357,000. At the hearing, Judge Miller also found Ayers to be a leader/organizer in the conspiracy.
From approximately Nov. 21, 2014, through March 9, 2015, Ayers deceived an oil and gas company into sending him thousands of dollars for a purported contractual agreement. Ayers and others claimed to be the legitimate company that was owed the funds and illegally caused the victim company to wire $357,000 to Ayers via a Comerica account here in Houston. The scheme involved the use of deceptive email accounts and fabricated or illegitimate invoices for payment on services rendered by the legitimate company.
On Jan. 20, 2015, Ayers registered a “dummy” company doing business as (dba) Minas & Hidrocarboneto in the Harris County Clerk’s Office. That same day, Ayers also opened a Comerica Bank account in the name of Avery L. Ayers dba Minas & Hidrocarbonetos GB SARL.
On or about Jan. 21, 2015, co-conspirators circulated a fraudulent invoice to the oil and gas company via email requesting payment in the amount of $357,000 on services rendered by Minas & Hidrocarbonetos. Two days later, a wire in the amount of $356,975 ($357,000 before wire fees) was credited to Ayers’ Comerica Bank account. After receiving the funds, Ayers arrived at the bank and conducted several transactions from the account to include the purchase of multiple cashier’s checks, the withdrawal of nearly $10,000 in cash and the transfer of $50,000 to another account.
Ayers had provided the bank with a fictitious letter to them purportedly from the company which stated "These funds will be used at your discretion to establish a small office, moving & research expenses and pay outs to families in Texas & Louisiana with Gas & Oil rights on their property." The bank soon suspected the wire was fraudulent and attempted to take action. The wire could not be recalled and Comerica requested Ayers return the funds, to which he refused. He then tried to withdraw the rest of the funds, but because of the fraud alert, the bank was able to freeze the funds.
Ayers is currently in state custody on unrelated charges. He will remain there pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The investigation was conducted by Homeland Security Investigations, Asset Identification and Removal Group. Assistant United States Attorney Suzanne Elmilady is prosecuting this case.
Joint Task Force Investigation Leads to Arrests for Online Solicitation ChargesRead the Press Release
CORPUS CHRISTI, Texas – Three local men have been charged in separate, but similar cases following a joint investigation conducted by the FBI, Homeland Security Investigations (HSI) and Corpus Christi Police Department – Internet Crimes Against Children Task Force (CCPD-ICAC), announced U.S. Attorney Kenneth Magidson.
Taylor Alan Mills, 29, and Christopher Alan Rue, 39, both of Rockport, and James Robert Kirkland, 48, of Corpus Christi, were all charged separately by criminal complaint this week for online solicitation of a minor. Mills and Kirkland made their initial appearance Wednesday afternoon before U.S. Magistrate Judge B. Janice Ellington, at which time they were ordered temporarily into custody pending further criminal proceedings. Rue is expected to make his initial appearance this afternoon.
Each criminal complaint alleges the men were communicating with a person they believed was the mother of two minor female children – ages 14 and 11. In reality, the men were actually talking to an undercover officer. Each man expected to meet and engage in sexual contact with the minors, according to the charges. They were arrested as they arrived at the designated meeting place.
“CCPD-ICAC is proud to have partnered with HSI, FBI and the U.S. Attorney’s Office on this most recent operation,” said Captain Dave Cook. “We continually strive to protect our great community and maintain a safe environment for our children. We take Internet safety seriously and will continue to remain diligent in our pursuit of online predators.”
The cases will be prosecuted by Assistant U.S. Attorney Hugo R. Martinez and were brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
A criminal complaint is an allegegation of criminal conduct, not evidence.
A defendant is presumed innocent unless and until convicted through due process of law.Houston Tax Preparer Convicted of Defrauding the IRSRead the Press Release
HOUSTON – The operator of a tax preparation in Houston has entered a plea of guilty to one count of knowingly preparing a materially false claim against the United States, announced U.S. Attorney Kenneth Magidson along with Special Agent in Charge Rick Goss of IRS-Criminal Investigation (IRS-CI). Adriana Lizette Luna pleaded guilty today, admitting she prepared a materially false 2011 U.S. Individual Income Tax return.
According to the written plea agreement filed in the record of the case, Luna operated an income tax preparation business known at times as Ruby’s Income Tax and Diaz Tax Service at other times. As part of the plea, Luna admitted preparing at least 23 false income tax returns for clients, including the 2011 return which the basis for her plea which claimed a false refund of approximately $11,724.
Luna admitted in the plea agreement that the intended tax loss on the 23 false tax returns she prepared was more than $235,000 and that she split roughly one-half of the false tax refunds with her clients. As part of the plea, she has agreed to pay restitution to the United States in the amount of $116,000.
U.S. District Judge Sim Lake, who accepted the plea, has set sentencing for Dec. 10, 2015. At that time, Luna faces up to five years and a possible $250,000 fine.
IRS-CI investigated. Assistant U.S. Attorney Charles J. Escher is prosecuting the case.
Texas Man Pleads Guilty to Federal Hate Crime Against Gay African American ManRead the Press Release
A Texas man has pleaded guilty to hate crime offenses for his role in a Mar. 8, 2012, assault of a gay African American man in Corpus Christi, Texas, announced Principal Deputy Assistant Attorney General Vanita Gupta, head of the Department of Justice’s Civil Rights Division, and U.S. Attorney Kenneth Magidson of the Southern District of Texas.
Ramiro Serrata Jr., 22, pleaded guilty in federal court in Corpus Christi to one count of conspiracy to commit hate crimes and one count of a hate crime violation based on sexual orientation.
During the plea hearing, Serrata admitted that he and others conspired to assault a gay African American man because of his race, color and sexual orientation. Serrata admitted that during the assault, he and his co-conspirators punched and kicked the man and assaulted him with various dangerous weapons, including a frying pan, a mug, a sock filled with batteries, a broom and a belt.
Serrata admitted that when the victim began to bleed, the conspirators forced him to remove all of his clothing and clean up the blood throughout the apartment. After the victim was completely naked, one of the conspirators pointed a gun at the victim, while Serrata sodomized him with a broom. During the assault, the conspirators poured bleach onto the man’s face and eyes, pistol-whipped him with a handgun and whipped him with a belt.
Serrata acknowledged that throughout the assault, the conspirators repeatedly called the victim racial and homophobic slurs and made other anti-black and anti-gay statements. The conspirators also prevented the man from leaving the apartment by physical force and threats of force. The victim eventually escaped the apartment by jumping out of a window.
Serrata will be sentenced on Dec. 9, 2015, and faces a maximum sentence of fifteen years in prison. Serrata is incarcerated pending sentencing.
Jimmy Garza Jr. is also charged with related hate crimes in connection to this offense. His trial is scheduled for Sept. 29, 2015. He has pleaded not guilty, and is presumed innocent unless and until proven guilty.
This case was investigated by the FBI’s Corpus Christi Resident Agency with assistance from the Corpus Christi Police Department and is being prosecuted by Trial Attorneys Jared Fishman and Nicholas Durham of the Civil Rights Division and Assistant U.S. Attorney Ruben Perez of the Southern District of Texas.
Local Man Pleads Guilty to Federal Hate Crime Against Gay African American ManRead the Press Release
CORPUS CHRISTI, Texas - A Texas man has pleaded guilty to hate crime offenses for his role in a Mar. 8, 2012, assault of a gay African American man in Corpus Christi, announced U.S. Attorney Kenneth Magidson and Principal Deputy Assistant Attorney General Vanita Gupta, head of the Department of Justice’s Civil Rights Division.
Ramiro Serrata Jr., 22, pleaded guilty in federal court in Corpus Christi to one count of conspiracy to commit hate crimes and one count of a hate crime violation based on sexual orientation.
During the plea hearing, Serrata admitted that he and others conspired to assault a gay African American man because of his race, color and sexual orientation. Serrata admitted that during the assault, he and his co-conspirators punched and kicked the man and assaulted him with various dangerous weapons, including a frying pan, a mug, a sock filled with batteries, a broom and a belt.
Serrata admitted that when the victim began to bleed, the conspirators forced him to remove all of his clothing and clean up the blood throughout the apartment. After the victim was completely naked, one of the conspirators pointed a gun at the victim, while Serrata sodomized him with a broom. During the assault, the conspirators poured bleach onto the man’s face and eyes, pistol-whipped him with a handgun and whipped him with a belt.
Serrata acknowledged that throughout the assault, the conspirators repeatedly called the victim racial and homophobic slurs and made other anti-black and anti-gay statements. The conspirators also prevented the man from leaving the apartment by physical force and threats of force. The victim eventually escaped the apartment by jumping out of a window.
Serrata will be sentenced on Dec. 9, 2015, and faces a maximum sentence of 15 years in prison. Serrata is incarcerated pending sentencing.
Jimmy Garza Jr. is also charged with related hate crimes in connection to this offense. His trial is scheduled for Sept. 29, 2015. He has pleaded not guilty, and is presumed innocent unless and until proven guilty.
This case was investigated by the FBI’s Corpus Christi Resident Agency with assistance from the Corpus Christi Police Department and is being prosecuted by Assistant U.S. Attorney Ruben Perez and Trial Attorneys Jared Fishman and Nicholas Durham of the Civil Rights Division.
McAllen Area Durable Medical Equipment Company Owner Pleads Guilty to Health Care FraudRead the Press Release
McALLEN, Texas ‐ The owner of Illusion Medical Equipment and Illusion Medical Equipment II LLC in McAllen has been convicted of health care fraud and aggravated identity theft, announced United States Attorney Kenneth Magidson. Willie Chester Mitchell, 33, of McAllen, entered his guilty plea today before Chief U.S. District Judge Ricardo Hinojosa.
Mitchell admitted to submitting fraudulent claims to Texas Medicaid for incontinence and diabetic supplies that were not delivered as claimed. Mitchell further admitted that to conceal his fraud, phony delivery tickets were created and doctors’ signatures were forged on the required durable medical equipment prescription forms also known as Title XIX forms. Mitchell illegally used the identity of a former employee on numerous unlawful billings.
Sentencing has been set for Dec. 11, 2015, at 9:00 a.m. At that time, Mitchell faces up to 10 years in federal prison and a possible $250,000 fine for the health care fraud. For the aggravated identity theft, he faces a mandatory two years in prison which must be served consecutively to any other prison sentence imposed.
The investigation leading to the charges was conducted by the Texas Attorney General’s Medicaid Fraud Control Unit and the U.S. Department of Health and Human Services‐Office of Inspector General. Assistant United States Attorney Michael Day is prosecuting the case
Local Woman Heads to Federal Prison for Two Separate Fraud SchemesRead the Press Release
HOUSTON – A 38-year-old resident of Humble has been ordered to federal prison following her convictions in two separate schemes to defraud, announced U.S. Attorney Kenneth Magidson.
Cheryl Reed Johnson aka Shawnee Reed and Cheryl Reed pleaded guilty to engaging in a conspiracy to commit bank, mail and wire fraud as well as making false statements to a bank and wire fraud in the first case as well as conspiracy to commit mail and wire fraud, conspiracy to make false claims to the IRS and making a false claim to the IRS in another case.
Today, U.S. District Judge Gray Miller, who accepted the guilty pleas in both cases, ordered Johnson serve a total of 151 months in federal prison to be immediately followed by three years of supervised release. She was further ordered to pay $2,742,018.25 in restitution to her victims.
In the first scheme, Johnson illegally used various Social Security numbers not assigned to her by the Commissioner of Social Security from approximately January 2005 through February 2014. She would use those numbers in order to obtain loans from banks and other lending institutions to purchase houses and vehicles as well as to obtain credit cards and personal loans.
The second case was a tax refund fraud conspiracy. This scheme involved the electronic submission of federal tax returns in the names of numerous individuals, each of which falsely claimed tax credits that resulted in a refund. Johnson and others claimed more than $2.2 million in false first time home buyer credits on 2008 returns they filed with the IRS. The fraudulent claims resulted in Johnson and her co-conspirators claiming more than $2.3 million in fraudulent refunds. The defendants directed most of those refunds into their bank accounts or those of their co-conspirators
She will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Both cases are the result of investigations conducted by the U.S. Postal Inspection Service and IRS - Criminal Investigation. Assistant U.S. Attorney Melissa Annis is prosecuting the cases.
Laredo Jury Convicts Laredo Man of Transporting Undocumented AliensRead the Press Release
LAREDO, Texas – A federal jury sitting in Laredo has convicted a local man of conspiracy and transporting undocumented immigrants for private financial gain, announced United States Attorney Kenneth Magidson. Jose Javier Villafranca, 46, of Laredo, was convicted on all counts as charged after only two hours of deliberation today.
Villanfranca had attempted to smuggle six undocumented immigrants through a United States Border Patrol checkpoint in the tractor trailer that he was operating on July 5, 2015. The undocumented immigrants were discovered when a U.S. Border Patrol canine unit alerted to their presence in the truck’s trailer.
At trial, the jury heard testimony from Border Patrol agents who described the circumstances leading to their discovery of the undocumented Guatemalans and Villafranca’s arrest. Two of the illegal aliens testified at trial detailing how they had been transported to Villafranca’s tractor-trailer where Villafranca instructed them to get inside where they remained until discovered at the checkpoint.
U.S. District Judge Marina Garcia Marmolejo presided over the trial and has set sentencing for Jan. 6, 2016. At that time, Villafranca faces a maximum of 20 years in prison and a possible $250,000 fine.
The investigation leading to the charges was conducted by Border Patrol. Assistant U.S. Attorneys Mike Eaton and Homero Ramirez prosecuted the case.
Jury Convicts Alabama Man of Importing MethamphetamineRead the Press Release
McALLEN, Texas – A federal jury sitting in McAllen has returned a conviction against an Alabama man for importing and possessing with intent to distribute approximately 16 kilograms of methamphetamine, announced United States Attorney Kenneth Magidson. James Marcus Malone, 42, of Boaz, Alabama, was convicted on all four counts as charged following two days of testimony and less than two hours of deliberation.
During trial, the jury heard that on March 20, 2015, Malone entered the U.S. at the Hidalgo, Texas Port of Entry, driving a Chevrolet Tahoe with Alabama license plates. Authorities soon determined he was linked to another vehicle and individual which subsequently arrived at the same Port of Entry just a few minutes later. The second vehicle, a Dodge Ram pickup truck, was driven by a man who presented an Alabama driver’s license. At the primary inspection area, a Customs and Border Protection (CBP) officer made initial contact with Malone and noticed he appeared nervous and incoherent when responding to questions regarding the purpose of his trip into Mexico. The officer then referred Malone to secondary inspection.
There, Malone denied knowing the other individual in the Dodge Ram pickup who was also from Alabama.
During a subsequent search of the Dodge Ram, CBP officers discovered approximately 16 kilograms of methamphetamine concealed within the muffler.
The jury also heard that Malone eventually admitted, during a post-Miranda interview, to knowing the other man from Alabama but claimed he was only dropping him off in Mexico to visit a recently deported girlfriend. Malone further stated during that interview that he assumed his travel companion was transporting narcotics, but that he forced himself to believe the story concerning the girlfriend and did not want full details.
However, the government presented evidence showing that Malone drove a group of conspirators from Alabama all the way to Reynosa for the purpose of picking up the Dodge Ram which was loaded with the narcotics. There was also evidence to suggest Malone, along with other conspirators, fabricated the story regarding the recently deported girlfriend in an attempt to ward off attention from law enforcement at the Port of Entry. A Homeland Security Investigations (HSI) agent testified and phone records proved Malone was in constant communications with a conspirator waiting for the load of narcotics to arrive in the Houston area prior to continuing back to Alabama.
Sentencing has been set for Dec. 17, 2015. At that time, Malone faces a mandatory minimum of 10 years and up to life in federal prison and a possible $10 million fine on each count of conviction. He will remain in custody pending that hearing.
The investigation leading to charges was conducted by CBP and HSI. Assistant U.S. Attorneys Alex Benavides and Michael Day are prosecuting the case.