Western District of Texas
Press releases recorded for this federal judicial district.
United States Attorney’s Office Announces Departure of Jaime EsparzaRead the Press Release
SAN ANTONIO – The United States Attorney’s Office for the Western District of Texas announced today the departure of Jaime Esparza as U.S. Attorney.
Esparza was confirmed by the U.S. Senate in December 2022. He came to the Western District of Texas after serving as the District Attorney for the 34th Judicial District of Texas, in El Paso, from 1993 to 2020.
As U.S. Attorney, Esparza led the handling of more than 41,000 federal criminal prosecutions—including immigration, drugs, firearm, white collar, and violent crime—and more than 10,000 civil cases in this southern border district. He made it a priority to disrupt and dismantle criminal organizations, including gangs, cartels and smuggling organizations. He also led and elevated outreach programs to educate the public on the dangers of fentanyl and machinegun conversion devices, and to bring awareness to domestic violence issues, among others.
Under Esparza’s leadership, the civil section defended the United States in numerous civil actions and sought and obtained civil penalties against numerous individuals and entities under the False Claims Act. Additionally, his team of asset recovery lawyers obtained millions of dollars in restitution for victims and forfeited millions of dollars in property that were used to commit crimes or were obtained with proceeds of crime.
The Western District of Texas is comprised of 93,000 square miles, 68 counties, covers 660 miles of U.S./Mexico border, and has divisional offices in El Paso, Del Rio, Waco, San Antonio, Austin, Pecos-Alpine, and Midland-Odessa. Its civil and criminal attorneys practice in District, Magistrate, and Bankruptcy Courts throughout the District, as well as in the Fifth Circuit Court of Appeals.
Under the Vacancy Reform Act, First Assistant U.S. Attorney Margaret Leachman now serves as the Acting U.S. Attorney for the Western District of Texas.
Leachman has been with the Western District of Texas for more than 30 years and has served in numerous roles, including as Senior Litigation Counsel, Chief of the Criminal Division, Chief of the El Paso Division, and as an Assistant U.S. Attorney in the Appellate and Major Crimes sections.
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Alleged High-Level Human Smuggler Extradited to El PasoRead the Press Release
EL PASO, Texas – A Mexican national was extradited from Mexico City to El Paso on criminal charges related to his alleged involvement in human smuggling operations through the El Paso corridor.
According to court documents, Osvaldo Coronel-Fernandez aka “Omero,” of Ciudad Juarez, is charged with one count of aiding and abetting, bringing in aliens without authorization for financial gain and one count of conspiracy to encourage and induce aliens to come to the United States for financial gain.
Coronel-Fernandez was indicted by a federal grand jury in El Paso on Nov. 20, 2019 for offenses that allegedly occurred between July 2015 and August 2016. If convicted, he faces three to 10 years in federal prison for the aiding and abetting charge and up to 10 years in prison for the conspiracy charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting U.S. Attorney Margaret Leachman for the Western District of Texas made the announcement.
Homeland Security Investigations is investigating the case with assistance from the U.S. Border Patrol and U.S. Marshals Service. The Justice Department’s Office of International Affairs worked with law enforcement partners in Mexico to secure the arrest and extradition of Coronel-Fernandez. The Justice Department thanks its Mexican law enforcement partners, who were instrumental in arresting and extraditing Coronel-Fernandez.
Assistant U.S. Attorney Richard Watts is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Midland DTO Leader Sentenced to Life in Federal PrisonRead the Press Release
MIDLAND, Texas – A Mexican national unlawfully residing in Texas was sentenced Thursday to life in federal prison for his criminal actions as the leader of a drug trafficking organization tied to a Mexican cartel.
According to court documents, Jose Ramon Castillo-Lopez aka “Pepo,” 30, of Namiquipa, Chihuahua, Mexico, supplied a co-conspirator with a firearm, along with methamphetamine, cocaine, heroin, and fentanyl “M30” pills for distribution purposes. Castillo-Lopez also utilized a garage in Midland to disassemble stolen vehicles as load vehicles used to transport illicit drugs and money.
On Oct. 1, 2022, Drug Enforcement Administration (DEA) agents learned that Castillo-Lopez had been arrested and charged with attempted capital murder for allegedly shooting a Seminole, Texas police officer. Through a review of his phone calls in the Gaines County Jail, DEA agents confirmed that Castillo-Lopez was the leader of a United States-based DTO, working directly with his counterpart on the Mexican side of the organization. Additionally, Castillo-Lopez had instructed in detail two co-defendants, his girlfriend Myra Mendez and her brother Aaron Mendez, to take over the DTO operations in the United States.
Castillo-Lopez was responsible for the distribution of 100-300 pounds of actual methamphetamine per month, more than 20 kgs of cocaine, and several hundred grams of fentanyl M-30 pills and heroin. Additionally, Castillo-Lopez was responsible for telling the Mexican side of the DTO how much and what types of narcotics were needed for distribution, the collection of narcotics proceeds, and he ensured distribution occurred in Midland/Odessa, San Antonio, Amarillo, San Angelo and throughout the state of Mississippi.
Castillo-Lopez pleaded guilty on Sept. 23, 2024, to one count of conspiracy to possess with intent to distribute 50 grams or more of actual methamphetamine and 5 kgs or more of a mixture and substance containing a detectable amount of cocaine.
“This federal life sentence is a significant victory for the United States in combatting the Mexican cartels and their drug trafficking organizations,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “Castillo-Lopez was responsible for orchestrating the movement of massive amounts of dangerous narcotics into our country and through our communities. This case is a testament to the dedication and expertise of our federal, state and local law enforcement partners. Together, we prioritize the safety of Americans and will bring the full force of justice to criminal organizations.”
“Mr. Castillo-Lopez now has a lifetime to contemplate the terrible choices he made,” said Towanda R. Thorne-James, Special Agent in Charge of the DEA’s El Paso Division. “He willingly put the lives of Texans and Mississippians at risk and now he’s facing the consequences. The men and women of the DEA will continue to bring other drug traffickers like him to their own day of reckoning.”
The DEA investigated the case with valuable assistance from the Texas Department of Public Safety, Midland Sheriff’s Office, Odessa Police Department and the Midland Police Department.
Assistant U.S. Attorney Patrick Sloane prosecuted the case.
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New Yorker Sentenced to 10 Years in Federal Prison After Leading High-Speed Smuggling Pursuit and Injuring 11 MigrantsRead the Press Release
SAN ANTONIO – A New York man was sentenced in a federal court in San Antonio to 120 months in prison for conspiracy to transport illegal aliens causing serious bodily injury and placing lives in jeopardy.
According to court documents, a Kendall County Sheriff’s Department deputy attempted a traffic stop on July 18, 2022, when the deputy observed Peter Diaz-Vasquez, 28, of Bronx, driving a pickup truck at 106 mph on I-10. Diaz-Vasquez led the deputy on a nine-mile pursuit, which included driving 110 mph through a 65 mph construction zone with numerous highway workers present. The pursuit ended when Diaz-Vasquez attempted to abruptly exit the highway, wove through traffic on the access road, and crashed over a curb into a fence. Six passengers fell out of the truck’s open bed as the truck rolled onto its side.
Diaz-Vasquez remained buckled in the driver’s seat until he was removed by law enforcement. He had been transporting 11 undocumented noncitizens at the time of the crash, two of whom were airlifted to a hospital after sustaining serious head injuries. Each of the migrants sustained serious bodily injury to their upper and lower bodies, including broken arms and legs, as well as head trauma. One suffered a severe spinal injury requiring endotracheal intubation and did not regain consciousness for 7-9 days. One of the smuggled migrants was a 17-year-old juvenile.
Diaz-Vasquez admitted that he traveled from New York by plane and rented a vehicle after being hired to pick up an unknown number of undocumented noncitizens in or near Uvalde. He said he would be paid $800 per person to transport them to a location at or near San Antonio or Austin.
“This case clearly highlights the extreme dangers posed by human smuggling,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “This defendant packed 11 passengers in his vehicle, endangering them, along with everyone on the road that day, with complete disregard for human safety. This sentence, sending Diaz-Vasquez to federal prison for 10 years, reflects the seriousness of this offense.”
Homeland Security Investigations and the Kendall County Sheriff’s Department investigated the case.
Assistant U.S. Attorney Amanda Brown prosecuted the case.
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Katy Man Sentenced to Prison for Striking Border Patrol Agent with Vehicle and Fleeing During Smuggling AttemptRead the Press Release
DEL RIO, Texas – A Katy man was sentenced in a federal court in Del Rio to 18 months in prison for one count of assaulting, resisting or impeding certain officers or employees.
According to court documents, Kevin Dominguez, 26, drove a sedan to the U.S. Border Patrol immigration checkpoint, located on U.S. Highway 57 on Aug. 1, 2023. A USBP canine alerted the agents to the trunk, revealing an individual inside. Upon the USBP agent noticing the individual, Dominguez backed up and struck the agent with the vehicle before fleeing the checkpoint. A high-speed chase ensued and a USBP helicopter observed two occupants exit the vehicle into an open field. One of the individuals was located and confirmed to be an undocumented noncitizen from Honduras.
Dominguez was indicted in a two-count indictment on Sept. 13, 2023, and was arrested Sept. 14. He pleaded guilty on Jan. 24, 2024.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The FBI investigated the case.
Assistant U.S. Attorney Matt Kass prosecuted the case.
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Four Arrested for Harboring a Dozen Illegal Aliens in 2 El Paso HotelsRead the Press Release
EL PASO, Texas – Four individuals were arrested in El Paso on criminal charges related to their alleged involvement in a human smuggling conspiracy.
According to court documents, agents from the Ysleta Border Patrol Station’s Disrupt Unit were conducting surveillance operations at an El Paso motel when they observed a vehicle outfitted with a temporary license plate. The vehicle had previously been observed at various other hotels known to be used for harboring undocumented noncitizens. Court documents allege that the driver of the vehicle entered the motel lobby briefly before returning to the vehicle and driving away.
Soon after, the agents allegedly observed three individuals cautiously departing from one of the motel rooms and entering a separate vehicle with a temporary license plate. The driver of the vehicle, Yair Alejandro Aguilar-Flores, allegedly admitted to being a Mexican national living in the United States illegally. The two individuals who accompanied him, Angel Eduardo Carrillo-Carrillo and Jorge Alfredo Lopez-Acevedo, were also arrested after the agents determined them to also be illegally present in the U.S. They also acknowledged that additional undocumented noncitizens were inside the motel room.
Upon investigation, the agents located seven more undocumented noncitizens, all of whom were placed under arrest. As agents were concluding their investigation, they noticed the driver of the first vehicle returning to the motel. He approached the room where the migrants had been arrested and knocked on the door. The individual, Jesus David Reyes-Villagran, allegedly admitted to the agents that the motel room was his and that he was returning from dropping off five other undocumented noncitizens at another El Paso hotel.
Aguilar-Flores, Carrillo-Carrillo, Lopez-Acevedo and Reyes-Villagran are charged with bringing in and transporting aliens. If convicted, they each face up to 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas the announcement.
The U.S. Border Patrol is investigating the case.
Assistant U.S. Attorney Sean Wang is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Mexican National Previously Convicted of Sexually Assaulting a Minor Arrested in El PasoRead the Press Release
EL PASO, Texas – A Mexican national with a violent criminal record was arrested in El Paso on criminal charges related to his alleged illegal re-entry.
According to court documents, Jose Juan Garcia Tiro was determined upon arrest to be in the United States illegally. He had been previously removed from the country to Mexico on April 23, 2015. In 2007, Garcia Tiro was convicted in Ocean, New Jersey and sentenced to eight years in prison for sexually assaulting a prepubescent minor.
Garcia Tiro is charged with one count of illegal re-entry. He was ordered in a Feb. 10 hearing to be detained without bond. If convicted, he faces up to 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The U.S. Border Patrol is investigating the case.
Assistant U.S. Attorney Patricia Aguayo is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Honduran National, Previously Deported 6 Times, Arrested for Illegal Re-EntryRead the Press Release
AUSTIN, Texas – A Honduran national with previous removals and criminal convictions was transferred into federal custody in Austin on criminal charges related to his alleged illegal re-entry.
According to court documents, Melvin Armando Funes-Canales, was located in the Williamson County jail on or about July 16, 2024, where he had been detained for alleged possession of a controlled substance. An investigation revealed Funes-Canales had been previously removed from the U.S. to Honduras on or about Oct. 9, 2020, and had also been deported on five other occasions. Additionally, Funes-Canales was previously convicted of burglary, grand theft and illegal re-entry.
Funes-Canales is charged with illegal re-entry. If convicted, Funes-Canales faces up to 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
Immigration and Customs Enforcement is investigating the case.
Assistant U.S. Attorney Matt Harding is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Aggravated Felon Federally Charged with Illegal Re-Entry in AustinRead the Press Release
AUSTIN, Texas – A Mexican national previously removed as an aggravated felon was transferred to federal custody in Austin on criminal charges related to his alleged illegal re-entry.
According to court documents, Ruben Tinoco-Jaimes was located in the Travis County jail on Oct. 24, 2024, and taken into federal custody Feb. 7, 2025. He had previously been removed from the United States to Mexico after he was convicted in December 2017 for possession of cocaine and sentenced to 37 months in federal prison.
Tinoco-Jaimes is charged with illegal re-entry. If convicted, he faces up to 10 years in federal prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
Immigration and Customs Enforcement is investigating the case.
Assistant U.S. Attorney Matt Harding is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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CBP Officer Arrested in El Paso, Charged with Alien Smuggling and Drug TraffickingRead the Press Release
EL PASO, Texas – A Customs and Border Protection officer was arrested in El Paso on criminal charges related to his alleged involvement in a conspiracy to smuggle undocumented noncitizens for financial gain and alleged drug trafficking activity.
According to court documents, between on or about Dec. 21, 2023 and Feb. 5, 2025, Manuel Perez Jr., 32, of El Paso, allegedly smuggled and attempted to smuggle undocumented noncitizens into the United States for commercial advantage and private financial gain. The indictment alleges that, in multiple instances, Perez Jr. admitted a vehicle driven by an undocumented noncitizen at the Paso Del Norte Port of Entry in El Paso as part of human smuggling operations. Additionally, Perez Jr. allegedly conspired to possess a substance containing at least 5kg of cocaine from on or about Nov. 1, 2019 through and including Feb. 5, 2025, to distribute throughout Texas, Louisiana, North Carolina and elsewhere.
Perez Jr. is charged with one count of conspiracy to bring aliens to the United States for financial gain, three counts of bringing aliens to the United States for financial gain, and one count of conspiracy to possess a controlled substance with intent to distribute. If convicted, he faces a up to five years in federal prison for the human smuggling conspiracy charge, three to 10 years in prison for each of the three additional human smuggling charges, and 10 years to life for the drug trafficking charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
This investigation was a joint effort by FBI El Paso, U.S. Customs and Border Protection Office of Professional Responsibility, and Department of Homeland Security Office of Inspector General, which comprise the FBI El Paso West Texas Border Corruption Task Force, along with the assistance of the U.S. Customs and Border Protection Office of Field Operations, U.S. Border Patrol El Paso Sector, Texas Department of Public Safety Criminal Investigations Division/Texas Highway Patrol, Homeland Security Investigations El Paso and the Drug Enforcement Administration El Paso Division.
Assistant U.S. Attorney John Johnston is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Violent Felon Sentenced to 10 Years in Federal Prison for Firearm PossessionRead the Press Release
DEL RIO, Texas – An Eagle Pass man was sentenced in a federal court in Del Rio today to 120 months in prison and a $2,000 fine for one count of felon in possession of firearm ammunition.
According to court documents, Mark Ivy, 38, was arrested by San Antonio Police officers in San Antonio Dec. 20, 2019 for an outstanding warrant. Ivy was sitting in the front passenger seat of a vehicle in retail parking lot with a loaded 9mm ghost gun. Ivy had been previously convicted in Del Rio on May 13, 2010 for conspiracy to interfere with commerce by threats or violence and interstate communications with intent to extort. He was then sentenced to 48 months imprisonment and therefore unable to lawfully possess firearms or ammunition.
Following his 2019 arrest, Ivy was transferred into federal custody Oct. 9, 2020. He pleaded guilty to the charge in the indictment on Oct. 25, 2021.
“My office takes felons in possession of firearms and ammunition very seriously, and when the felon has a violent criminal history like that of this defendant, we argue for a sentence which reflects the seriousness of the conduct,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I appreciate the investigative skill and expertise of our local, state and federal law enforcement partners, all of which provide immense value in these cases.”
“The FBI is dedicated to ensuring our citizens are safe in their communities,” said Special Agent in Charge Aaron Tapp for the FBI’s San Antonio Field Office. “Ivy was aware that he was not allowed to own a firearm or ammunition due to his past actions, but he made the choice to keep a gun on his person while fleeing from the scene of a violent homicide. We want to thank our partners at San Antonio Police Department, who continue to work with us to make our community safer.”
The FBI investigated the case with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives, along with the San Antonio Police Department, Maverick County Sheriff’s Office and Texas Department of Public Safety.
Assistant U.S. Attorneys Holly Pavlinski and Rex Beasley prosecuted the case.
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Leader of Drug Trafficking Organization Sentenced to 21 Years in Federal PrisonRead the Press Release
SAN ANTONIO – A Honduran national was sentenced in a federal court in San Antonio today to 262 months in prison for his role as a leader of a drug trafficking organization.
According to court documents, Marco Antonio Morales-Perez, 51, along with Pablo Torres-Zaragoza aka Jose Juan Zaragoza-Cardenas, 42, of Mexico, continued to lead an organization that trafficked methamphetamine and heroin to San Antonio and other areas of south Texas while they were both incarcerated at the Great Plains Correctional Institution in Hinton, Oklahoma on prior federal charges. Morales-Perez and Torres-Zaragoza used contraband cell phones that had been smuggled into the facility by drone to facilitate, broker and coordinate narcotics deliveries, relying on various contacts, acquaintances and intermediaries to ultimately accomplish the deliveries. Ultimately, more than 160 kgs of methamphetamine and 12 kgs of heroin was seized as part of the Drug Enforcement Administration’s investigative efforts.
“The significant sentences of these two leaders of this sophisticated drug trafficking organization sends a strong message that we are equipped to investigate and infiltrate complex organizations to hold accountable those at the highest levels who are having dangerous drugs delivered to our community,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I’d also like to thank the many local law enforcement agencies along with state and federal partners who have provided the essential investigative support to help prosecute these drug traffickers.”
Torres-Zaragoza was sentenced Dec. 4, 2024 to 262 months in federal prison. Five additional co-defendants indicted alongside Morales-Perez have also been sentenced. Jesus Alfredo Palacios was sentenced to 150 months in prison; Juan Del Hoyo was sentenced to 120 months imprisonment; Manuel Montoya received a 34-month prison sentence; Jose Adam Alejandre-Navarro was sentenced to 108 months; and Israel Villegas Alcantar received a federal prison sentence of 47 months.
The DEA investigated the case with valuable assistance from San Antonio High Intensity Drug Trafficking Areas (HIDTA), the San Antonio Police Department, Bexar County Sheriff's Office, Great Plains Correctional Facility, Hollywood Park Police Department, Castle Hills Police Department, Live Oak Police Department, Leon Valley Police Department, Texas Department of Public Safety, U.S. Marshals Service, and the Houston Police Department.
Assistant U.S. Attorney Eric Fuchs prosecuted the case.
This case resulted from the work of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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Guatemalan Nationals Charged for Alleged Possession of Firearms Following IH-35 Road Rage ComplaintRead the Press Release
WACO, Texas – Two Guatemalan nationals were arrested in Waco on criminal charges related to their alleged aiding and abetting the possession of a firearm as undocumented noncitizens.
According to court documents, Anderson Morales-Calderon and Ever Morales-Calderon were subjected to a traffic stop on Jan. 24, by officers from the Troy Police Department (TPD) and Lorena Police Department (LPD) as response to a road rage complaint called into 911. The 911 caller alleged that an individual pointed a rifle at a semi-truck on IH-35. During the traffic stop, officers observed two air rifles and one .22 rifle in plain view in the back seat and on the back floorboard of the vehicle. Further investigation revealed that both Anderson and Ever Morales-Calderon were unlawfully present in the United States.
The two defendants were in federal court in Austin Tuesday for their initial appearances. If convicted, they each face up to 10 years in federal prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and U.S. Immigration and Customs Enforcement are investigating the case with the assistance of the TPD and LPD.
Assistant U.S. Attorney Stephanie Smith-Burris is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Carrizo Springs Business Owner Indicted for 7 Counts of Tax FraudRead the Press Release
SAN ANTONIO – A federal grand jury in San Antonio returned an indictment charging a Carrizo Springs man with seven counts of failure to account for and pay over withholding taxes.
According to court documents, Mark Douglass Plocek, 60, handled the day-to-day operations, including payroll, as an owner, operator and vice president of Production Lease Operating Services Oil & Gas Services LP (PLOS). The indictment alleges that, from the second quarter of 2016 through the third quarter of 2019, Plocek used PLOS to make hundreds of thousands of dollars for his personal benefit while, at the same time, failing to truthfully account for and pay over to the IRS payroll tax withheld from PLOS’s employees’ paychecks. Plocek allegedly spent hundreds of thousands of dollars on discretionary living expenditures including but not limited to gambling, purchasing real estate and investing in an unrelated restaurant business.
Plocek made his initial court appearance today before U.S. Magistrate Judge Richard B. Farrer of the U.S. District Court for the Western District of Texas. If convicted, he faces up to five years in prison for each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
IRS Criminal Investigation is investigating the case.
Assistant U.S. Attorney William Harris is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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High School Coach Arrested for Alleged Attempt to Entice a Minor OnlineRead the Press Release
DEL RIO, Texas – A high school teacher and coach in Sabinal was arrested Friday on criminal charges related to his alleged attempt to entice a minor.
According to court documents, Kenneth Wayne Mulkey, 43, allegedly asked an undercover detective for their age, sex and location in a Snapchat interaction on Oct. 11, 2024. After the undercover officer replied by identifying as a 14-year-old boy, Mulkey allegedly identified himself as a 40-year-old football and track coach. He also sent a photo of himself before requesting sexually explicit photos of the minor—which the minor declined—and subsequently discussing topics that were sexual in nature. The affidavit alleges that the following day, Mulkey sent a sexually graphic photo of himself to the user he believed to be a teenage boy. An investigation revealed that when Mulkey had requested the sexually explicit photo of the minor on Oct. 11, his geolocation was within 40 meters of Sabinal High School.
HSI arrested Mulkey Jan. 31, 2025. He made is initial appearance in federal court Feb. 3 and is charged with attempted enticement of a minor. If convicted, he faces 10 years to life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
Homeland Security Investigations is investigating the case.
Assistant U.S. Attorneys Nallely Duarte and Ekua Assabill are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Austin Area Fentanyl Dealer Sentenced to 10 Years for Selling Counterfeit PillsRead the Press Release
AUSTIN, Texas – A Del Valle man was sentenced today to 120 months in federal prison for distributing fake oxycodone pills laced with fentanyl.
According to court documents, between May and June 2023, Gabriel Cecilio Osorio, 22, was investigated for distributing fentanyl-laced, fake oxycodone pills. As part of the investigation, Drug Enforcement Administration agents orchestrated two controlled purchases of pills from Osorio, resulting in the acquisition of 100 pills in the first transaction and 3,000 pills in the second. DEA obtained and executed a search warrant, and on June 22, 2023, Osorio was arrested outside of his residence with approximately 5,000 pills. Inside the home, agents found another 3,700 pills, a money counter, a digital scale, four firearms, and $45,701 in cash.
In addition to the 10-year prison term, Osorio was ordered to forfeit $45,701.00, four firearms, and assorted jewelry that were seized during the search.
“Gabriel Osorio's sentencing today continues this office's work to stem the tide in the greater Austin area of the illegal drug distribution of fake pharmaceutical pills containing fentanyl,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “Fentanyl poses a significant threat to communities across this district and the United States, and I am grateful to the many federal, state and local law enforcement agencies who join us in prioritizing these very serious drug crimes.”
The DEA, Texas Department of Public Safety, the Hays County Sheriff’s Office, Bastrop County Sheriff’s Office, Williamson County Sheriff’s Office, and the Georgetown Police Department investigated the case.
Assistant U.S. Attorney Daniel Castillo prosecuted the case.
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Former FBI Employee Sentenced for Paycheck Protection Program FraudRead the Press Release
SAN ANTONIO – A former FBI employee was sentenced in a federal court in San Antonio to three months of home confinement and five years of probation for one count of wire fraud related to fraudulent use of the Paycheck Protection Program (PPP).
According to court documents, Christopher James Phillips, 41, of Schertz, formed Phillips Global Realty LLC on Dec. 20, 2019 and submitted a PPP application on May 29, 2020, using his FBI-issued credentials to confirm his identity. In his application, Phillips represented that he employed two individuals and had an average monthly payroll of $15,000. Additionally, he submitted an IRS Form 941 (Employer’s Quarterly Federal Tax Return) for the fourth quarter of 2019, claiming a payroll of $50,000 over the three-month period. IRS records indicate that Phillips did not file such a form any time between 2019 and 2022, meaning the Form 941 he submitted as part of his PPP loan application was fraudulent and the representations were false.
Phillips also certified that PPP funds would be spent only on authorized expenses, to include payroll, utilities, rent and mortgage interest. On June 2, 2020, he received $37,500 in PPP funds. Six days later, on June 8, Phillips wired $25,000 to a personal trading account and subsequently lost all of it due to trading activities. On June 9, 2020, he made a $5,117 payment toward his personal auto loan. On June 16, 2020, he paid approximately $8,500 toward his home mortgage.
Phillips was indicted Jan. 3, 2024 for one count of wire fraud and one count of engaging in monetary transaction over $10,000 using criminally derived proceeds. He was arrested Jan. 5, 2024 and released that day on a $30,000 bond. Phillips pleaded guilty to the wire fraud charge Sept. 18, 2024. In addition to his home confinement and probation, Phillips was ordered to pay $39,771 in restitution.
“The United States government will aggressively prosecute criminals, even if those individuals work within our own ranks,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “As a result of his actions, Phillips is now a convicted felon and will spend the next five years under the watchful eye of the United States Probation Department. This sentencing should send a message to all government personnel who would consider using their position for personal gain. This office will carry out its duty and seek to hold you accountable for betraying the invaluable trust of the American people.”
The FBI investigated the case.
Assistant U.S. Attorney Justin Simmons prosecuted the case.
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Austin Man Charged with Smuggling Dozens of Firearms into Mexico Through Eagle PassRead the Press Release
DEL RIO, Texas – An Austin man was arrested in Eagle Pass on criminal charges related to his alleged smuggling of firearms from the United States into Mexico.
According to court documents, Victor Hugo Diego-Avellaneda, 39, was attempting to leave the U.S. and enter Mexico at the Eagle Pass Port of Entry on Jan. 19. He made a negative declaration regarding possession of weapons, ammunition and currency, and was referred to a secondary inspection. A criminal complaint alleges that Customs and Border Protection officers located 40 rifles, six shotguns, one pistol, 80 magazines, and two rifle scopes stored in two large duffel bags. Diego-Avellaneda allegedly claimed that he was being paid approximately $100 for each firearm he smuggled into Mexico, and that 11 of the firearms belonged to him.
Diego-Avellaneda is charged with one count of smuggling goods out of the United States. If convicted, he faces up to 10 years in federal prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
Homeland Security Investigations is investigating the case.
Assistant U.S. Attorneys Joshua Garland and Katherine Gorski are prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
U.S. Attorney’s Office Recovers More Than $55 Million in Civil Settlements and Judgments in Calendar Year 2024Read the Press Release
SAN ANTONIO – U.S. Attorney Jaime Esparza announced today that the Western District of Texas recovered $55,969,678.60 in settlements and judgments in over 25 affirmative civil enforcement cases between January 1, 2024, and December 31, 2024. This figure includes recoveries in both local matters and cases handled jointly with other U.S. Attorney’s Offices and the Department of Justice’s Civil Division.
“I am proud of my office’s work this year to achieve several significant civil recoveries for American taxpayers and the people of the Western District of Texas,” said U.S. Attorney Esparza. “We will continue to work with our agency and law enforcement partners to vigorously pursue civil remedies on behalf of the United States when appropriate.”
The office’s largest civil recoveries were obtained in False Claims Act (FCA) matters. The most significant FCA recoveries include:
- a $21.75 million settlement with Medisca, Inc. to resolve allegations concerning false and inflated Average Wholesale Prices for ingredients used in compound prescriptions;
- a $15.875 million settlement with Booz Allen Hamilton to resolve allegations of false claims related to computer military training simulators and systems;
- a $4.2 million settlement with Elara Caring and its subsidiaries to resolve allegations of false claims for hospice services provided to patients who were not terminally ill;
- a $2.3 million judgment against Ma Acupuncture Center and Dr. Dongxin Ma to resolve allegations of inflated acupuncture bills submitted to the Department of Veterans Affairs;
- a $2 million settlement with Five Point Enterprises LLC to resolve allegations of false claims for educational assistance benefits under the Post-9/11 GI Bill; and
- a $1.3 million settlement with Oncology San Antonio and Dr. Jayasree Rao to resolve allegations of unlawful kickbacks and medically unnecessary tests and treatments.
The U.S. Attorney’s Office obtained several smaller—but nevertheless significant—FCA recoveries in COVID-fraud cases, including a $680,000 settlement with Lafayette RE Management LLC and Thibault Adrien, and a $425,710 settlement with Freedom Solar LLC. In both cases, the government alleged the settling parties made false certifications in applying for and/or obtaining forgiveness of Paycheck Protection Program loans.
Another area of emphasis for the Western District of Texas is the recovery of civil penalties under the Controlled Substances Act (CSA), which imposes strict regulatory requirements on doctors, pharmacists, and other individuals and entities that handle dangerous drugs and precursor chemicals. Significant CSA recoveries in 2024 include:
- a $600,000 settlement with Dr. Alfonso Luevano (of which $465,884.22 was attributed to CSA civil penalties and $134,115.78 was attributed to FCA damages) to resolve allegations related to unlawful prescriptions for Schedule II controlled substances;
- a $300,000 settlement with Shrieve Chemical Company LLC to resolve allegations the company violated recordkeeping requirements relating to the importation and distribution of listed chemicals, manufactured a listed chemical without registering, and made a drop shipment to a customer without first importing the chemical to its registered location; and
- a $210,000 settlement with Sachnikumar Patel, RPh., Medical Arts Pharmacy, and Express Pharmacy to resolve allegations they unlawfully dispensed “office use” prescriptions, failed to register as reverse distributors, and violated CSA recordkeeping requirements.
The claims resolved by the settlements referenced above are allegations only and there has been no determination of liability.
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Twice Deported Mexican National Previously Convicted of Firearm Offense Arrested in San AntonioRead the Press Release
SAN ANTONIO – A Mexican national was arrested in San Antonio on Sunday for criminal charges related to his alleged illegal re-entry.
According to court documents, Juan Ramon Hernandez-Limon, 28, was arrested during a U.S. Immigration and Customs Enforcement (ICE) surveillance operation after he arrived at his residence and repeatedly attempted to evade arrest.
Hernandez-Limon was previously convicted on April 28, 2021 for illegal re-entry into the United States and alien in possession of a firearm. He was sentenced to 12 months and one day confinement. The affidavit states that Hernandez-Limon was again convicted of illegal re-entry on Feb. 8, 2024.
Hernandez-Limon made his initial appearance in federal court today and is charged with one count of illegal re-entry. If convicted, he faces up to 20 years in federal prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
ICE is investigating the case.
Special Assistant U.S. Attorney Anne Marie Cordova is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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San Antonio Man Sentenced to Federal Prison for Possessing Dozens of Machinegun Conversion DevicesRead the Press Release
SAN ANTONIO – A San Antonio man was sentenced today to 71 months in prison for one count of possession of a machinegun.
According to court documents, Aden Ethan Cantu aka Glock Mayne, 21, unlawfully possessed multiple machinegun conversion devices, also known as switches. In total, Cantu was held accountable for the unlawful possession of 94 switches and other machinegun conversion devices, which he had been trafficking throughout the San Antonio community. Cantu was arrested Dec. 15, 2023 and has remained in federal custody. He pleaded guilty to the charge Sept. 25, 2024.
“The possession of a machinegun conversion device is illegal,” said U.S. Attorney Jaime Esparza for the Western District of Texas, “These devices are very often paired with stolen firearms and used in other criminal endeavors, and this sentence reinforces the message that trafficking these devices will not be tolerated in our community.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
Assistant U.S. Attorney John Fedock prosecuted the case.
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Fort Bliss Soldier Sentenced to 8 Years in Federal Prison for Sexual Abuse of a MinorRead the Press Release
EL PASO, Texas – A former soldier stationed at Fort Bliss was sentenced in a federal court in El Paso to 100 months in prison for sexual abuse of a minor.
According to court documents, Carlos Humberto Richard Walsh, 23, of Washington, was involved in a romantic relationship with a minor under 16 years old from approximately Oct. 1, 2022 to approximately Jan. 24, 2023. Walsh, who was an Army specialist at the time, was subjected to barracks inspections, through which his command reported finding the minor victim in Walsh’s vehicle, along with several of the victim’s personal items in Walsh’s barracks room. The minor victim admitted to federal and local law enforcement that she had been living with Walsh in the Barracks and had engaged in sexual intercourse there on several occasions. Walsh was arrested May 25, 2023 and has remained in federal custody.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
Homeland Security Investigations, the Department of the Army Criminal Investigation Division, the Texas Department of Public Safety, and the El Paso Police Department investigated the case.
Assistant U.S. Attorney Sarah Valenzuela prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Fifth Defendant in San Antonio Firearm Burglary Crew Sentenced to 10 Years in Federal PrisonRead the Press Release
SAN ANTONIO – A San Antonio man was sentenced to 120 months in federal prison as the final defendant in a case involving a five-man burglary crew.
According to court documents, Victor Valenciana aka Vick, 30, and his four co-conspirators targeted and burglarized Ford pickup trucks in the parking lots of retail locations, malls and restaurants. Together they stole firearms, high-value items and occasionally the vehicles themselves. To evade law enforcement detection, the individuals would rent vehicles and use them to travel to the burglary locations. Additionally, they would steal license plates from similar-looking vehicles and install the stolen license plates on the rental vehicles. In all, the group stole and sold more than 100 firearms from vehicles in the San Antonio area between July 2021 until January 2022.
On Oct. 5, 2022, Valenciana, Alejandro Arias, 26, Richard Hernandez aka Panek, 26, Andrew Blue Riojas, 26, and Aureliano Villareal aka AJ, 28, all from San Antonio, were charged in a 17-count indictment, which included on count of conspiracy to receive and possess stolen firearms and multiple counts of felon in possession of a firearm and possession of a stolen firearm. Valenciana was arrested Nov. 17, 2022 and has remained in federal custody. He pleaded guilty Aug. 14, 2024, to the conspiracy charge and one count of felon in possession of a firearm.
“These five criminals will spend a combined 53 years in federal prison for their activity thanks to the investigative work and partnerships of our outstanding federal and local law enforcement agencies,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I continue to ask residents to ensure that, if you must leave a firearm in your vehicle, you do so safely and properly. Thieves continue to target specific vehicles and can successfully break in and escape in a matter of seconds.”
“This sentence serves as notice to would be offenders that ATF is committed to breaking the cycle of firearms trafficking no matter how it occurs,” said Special Agent in Charge Michael Weddel for the Bureau of Alcohol, Tobacco, Firearms and Explosives Houston Division. “The vast majority of firearms stolen from vehicles, end up being used as crime guns. We encourage gun owners to practice safe storage of firearms and to remember that your vehicle is not a safe. ATF will continue to leverage every resource that we have to see to it that each offender is held to account for their criminal behavior.”
“Criminal networks that steal firearms and high-value items not only jeopardize public safety, but also fuel illegal activity across our communities,” said Special Agent in Charge Craig Larrabee for the Homeland Security Investigations San Antonio Division. “These defendants were part of a poly-criminal organization that targeted vehicles to steal firearms, which were then sold and trafficked, some recovered in Mexico, posing a serious threat to public safety. This sentencing underscores HSI’s commitment to dismantling these criminal networks and protecting the American public.”
“We sincerely thank our federal partners for their vital support in cracking down on vehicle burglars targeting firearms,” said Chief William McManus for the San Antonio Police Department. “Their collaboration is making our community safer.”
Valenciana and his co-conspirators received a combined 639 months in federal prison. Arias was sentenced to 150 months on Jan. 16; Hernandez was sentenced to 78 months in prison Dec. 19, 2024; Riojas was sentenced to 151 months Aug. 15, 2024; and Villareal was sentenced to 140 months July 16, 2024.
ATF, HSI and SAPD investigated the case.
Assistant U.S. Attorney Brian Nowinski prosecuted the case.
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Horizon City Man Sentenced to Federal Prison for Lead Role in Human Smuggling OrganizationRead the Press Release
EL PASO, Texas – A Horizon City man was sentenced to 54 months in federal prison for charges related to his involvement in a human smuggling conspiracy.
According to court documents, Isai Orona aka Panda, 35, was the organizer of a human smuggling scheme. He had been identified in WhatsApp communications, which the organization used for coordinating criminal activity. Additionally, when U.S. Border Patrol agents apprehended a co-conspirator who had been transporting nine undocumented noncitizens in El Paso, the vehicle used was registered to Orona.
Orona was arrested Nov. 20, 2023. He pleaded guilty July 12, 2024, to one count of conspiracy to transport aliens and one count of transporting aliens. Orona admitted to smuggling over 2,500 undocumented noncitizens within approximately six months in 2023. Many car loads of undocumented noncitizens were transported to Albuquerque, New Mexico and on to other locations. He also admitted to having a network of drivers to transport the undocumented noncitizens in at least 12 vehicles, which he obtained or helped others to obtain. In addition to Orona’s imprisonment, the court entered a money judgment against him in the amount of $250,000.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
USBP investigated the case with assistance from the Texas Department of Public Safety.
Assistant U.S. Attorneys Richard Watts and Patricia Acosta prosecuted the case.
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Two Men Sentenced in Connection with Smuggling of Gun Parts to MexicoRead the Press Release
San Antonio, Texas – Two Mexican nationals have been sentenced to prison as part of a conspiracy to smuggle AR-15 parts out of the United States and into Mexico.
Jose Francisco Garcia-Cervantes was sentenced today to 57 months in prison. Ricardo Rodriguez-Sotelo was sentenced to 78 months in prison on October 24, 2024, as part of the same case.
According to court documents, both men participated in the illegal trafficking of firearm parts from the Western and Southern Districts of Texas to Mexico. Garcia-Cervantes acted as a smuggler for the operation and transported boxes of gun parts to Mexico. Rodriguez-Sotelo prepared gun parts to be smuggled across the border by repackaging them at a storage unit in Laredo, Texas, where they would be picked up for delivery by truck to Mexico.
Three co-defendants, Chandler Britain Bradford, Troy Vernon Erbe, and Jesus Guzman-Delgado are pending trial.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement: “Rodriguez-Sotelo and Garcia-Cervantes played significant roles in an operation that moved a vast number of gun parts from the United States to Mexico. We will continue to work diligently with law enforcement partners to combat weapons trafficking and the illegal flow of guns to Mexico.”
The Bureau of Alcohol, Tobacco, Firearms and Explosives, along with the Department of Homeland Security Investigations and Department of Commerce Export Enforcement Division investigated the case.
Assistant U.S. Attorney William F. Calve prosecuted the case.
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San Antonio Man Sentenced in Child Porn CaseRead the Press Release
San Antonio, Texas – A San Antonio man was sentenced yesterday to 15 years in Federal prison, lifetime supervised release, to pay $94,000 to 14 victims, forfeit all devices and online accounts used to obtain or possess child exploitation material and pay a $100 special assessment to the Victim of Crimes Fund for obtaining and storing child sexual abuse materials.
According to court documents, Ignacio Sanchez Mendoza, III, 42, was discovered using the dark-web to obtain child sexual abuse material and Department of Homeland Security investigators executed a search warrant at his home in San Antonio and found devices containing child sexual abuse materials. Mendoza was previously convicted of possessing child pornography in Bexar County in 2004 making his federal mandatory minimum sentence 15 years.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement. He said: “Child sexual abuse material is not only harmful to the victims and dangerous to our society, but is often extremely addicting for some people. People like the defendant who have a sexual interest in children often refuse to stop exploiting these children despite prior incarceration and treatment. That is why the US Attorney’s Office for the Western District of Texas prioritizes these crimes and those that prey on the most vulnerable in our society.
The Department of Homeland Security Investigations in both Boston and San Antonio investigated the case.
Assistant U.S. Attorney Tracy Thompson prosecuted the case.
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Mexican National Extradited to the United States for Involvement in an International Human Smuggling OperationRead the Press Release
Extensive coordination and cooperation efforts between U.S. and Mexican law enforcement authorities resulted in the extradition of a human smuggler who allegedly participated in an international human smuggling conspiracy.
Monica Hernandez-Palma, also known as Moni, 32, a Mexican national, was arrested in Mexico pursuant to a U.S. request for her extradition and surrendered by Mexico to U.S. authorities yesterday to face charges previously filed in the Western District of Texas. Hernandez-Palma made her initial appearance today in the Western District of Texas, where an indictment against her was unsealed.
According to the indictment, beginning in November 2020 and continuing through September 2023, Hernandez-Palma conspired with others to bring and attempt to bring migrants to the United States illegally for commercial advantage and private financial gain.
Hernandez-Palma is charged with one count of conspiracy to bring a migrant to the United States at a place other than a designated port of entry and three counts of bringing a migrant to the United States without authorization and for purpose of commercial advantage and private financial gain. If convicted, she faces a maximum sentence of 10 years in prison on each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Principal Deputy Assistant Attorney General Brent S. Wible, head of the Justice Department’s Criminal Division; U.S. Attorney Jaime Esparza for the Western District of Texas; and Special Agent in Charge Craig S. Larrabee of Homeland Security Investigations (HSI) San Antonio made the announcement.
The Office of the Assistant Special Agent in Charge HSI Del Rio investigated this case, with assistance from the U.S. Border Patrol Del Rio Sector, HSI Human Smuggling Unit in Washington, D.C., and Customs and Border Protection’s National Targeting Center.
Trial Attorney Jenna Reed of the Criminal Division’s Human Rights and Special Prosecutions Section (HRSP) and Assistant U.S. Attorney Holly Pavlinski for the Western District of Texas are prosecuting the case.
The Justice Department’s Office of International Affairs (OIA) provided significant assistance in securing the defendant’s arrest and extradition from Mexico. The Justice Department thanks its Mexican law enforcement partners, who were instrumental in arresting and extraditing Hernandez-Palma.
The investigation and prosecution of Hernandez-Palma is being coordinated through the Justice Department Criminal Division’s Joint Task Force Alpha (JTFA). JTFA was created in June 2021 by Attorney General Merrick B. Garland, in partnership with Secretary of Homeland Security Alejandro N. Mayorkas, to strengthen the Justice Department’s efforts to combat the rise in prolific and dangerous smuggling emanating from Central America and impacting our border communities. JTFA’s goal is to disrupt and dismantle human smuggling and trafficking networks operating in El Salvador, Guatemala, Honduras, and Mexico, with a focus on networks that endanger, abuse, or exploit migrants, present national security risks, or engage in other types of transnational organized crime.
Since its creation, JTFA has successfully increased coordination and collaboration between the Justice Department, Department of Homeland Security, and other U.S. law enforcement agencies, and with foreign law enforcement partners, including in El Salvador, Guatemala, Honduras, and Mexico; targeted those organizations that have the most impact on the United States; and coordinated significant human smuggling indictments and extradition efforts in U.S. Attorneys’ Offices across the country. In June, the initiative was expanded to Colombia and Panama to combat human smuggling in the Darién. JTFA is comprised of detailees from southwest border U.S. Attorneys’ Offices, including the Southern and Western Districts of Texas, District of New Mexico, District of Arizona, and Southern District of California. Dedicated support for the program is also provided by numerous components of the Justice Department’s Criminal Division that are part of JTFA, led by HRSP and supported by the Office of Overseas Prosecutorial Development, Assistance and Training; Narcotic and Dangerous Drug Section; Money Laundering and Asset Recovery Section; Office of Enforcement Operations; OIA; and Violent Crime and Racketeering Section.
This investigation is also supported by the Extraterritorial Criminal Travel Strike Force (ECT) program, a partnership between the Justice Department’s Criminal Division and HSI. The ECT program focuses on human smuggling networks that may present particular national security or public safety risks or raise grave humanitarian concerns. ECT has dedicated investigative, intelligence, and prosecutorial resources. ECT also coordinates and receives assistance from other U.S. government agencies and foreign law enforcement authorities.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Man Sentenced for Transporting Child Sexual Abuse MaterialsRead the Press Release
San Antonio, Texas – A Floresville man was sentenced yesterday to 200 months in prison for transporting child sexual abuse material to others.
According to court documents, Jeremy Michael Prieto, 34 years old, transported child sexual abuse material to others, including to an undercover FBI account. Prieto has been trafficking in child sexual exploitation material since at least 2016 and demonstrated a sexual interest in children for most of his life. Prieto had thousands of files on multiple devices. Prieto was ordered to serve lifetime on supervised release, and pay $100,000 in restitution to 20 victims of his offense. He was also ordered to forfeit the devices and accounts used to traffic the child sexual abuse material.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
The Federal Bureau of Investigation investigated the case.
Assistant U.S. Attorney Tracy Thompson prosecuted the case.
Fentanyl Trafficker SentencedRead the Press Release
Austin, Texas – A Texas man was sentenced today to 168 months in prison to be followed by 3 years of supervised release for distributing fentanyl and other illegal controlled substances. The sentence included the forfeiture of $34,567 in drug proceeds, assorted jewelry, and nineteen firearms.
According to court documents, Joshua James Calvo, 37, distributed a variety of controlled substances between February and May 2024. DEA, through informants, bought heroin and methamphetamine from Calvo on three occasions: February 11, March 21, and April 11, 2024. DEA then obtained and executed a Federal search warrant on May 1, 2024, for Calvo's residence. Inside the residence, DEA agents found approximately 23 pounds of drugs, including 1.2kg of fentanyl, 8.2kg of marijuana, 890g of heroin, and 295g of meth. The DEA also seized nineteen firearms and $34,567 in cash. Calvo was arrested.
Joshua Calvo's sentencing continues this Office's efforts to stem the tide in the greater Austin area of the illegal drug distribution of fentanyl and other controlled substances. The DEA and its agents combined with Williamson Co. Sheriff's Office and Georgetown Police Dept. to investigate this case to its conclusion.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
The DEA along with Williamson Co. Sheriff's Office and Georgetown Police Dept. investigated the case.
Assistant U.S. Attorney Daniel Castillo prosecuted the case.
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Tractor-Trailer Driver in Deadly 2022 Smuggling Event Pleads GuiltyRead the Press Release
SAN ANTONIO – The driver of the tractor-trailer used to smuggle at least 64 undocumented individuals resulting in the deaths of 47 adults and six children in 2022 entered a plea of guilty today to multiple counts arising from the fatal incident.
According to court documents, Homero Zamorano Jr., 48, of Elkhart, pleaded guilty to one count of conspiracy to transport aliens resulting in death, causing serious bodily injury, and placing lives in jeopardy; one count of transportation of aliens resulting in death; and one count of transportation of aliens resulting in serious bodily injury and placing lives in jeopardy.
Zamorano is scheduled to be sentenced on April 24, 2025 and faces a maximum penalty of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
HSI is investigating the case with valuable assistance from the Customs and Border Protection, Border Patrol, Immigration and Customs Enforcement (ICE) Enforcement and Removal Operations, FBI, ATF, San Antonio Police Department, Bexar County Sheriff’s Office, San Antonio Fire Department, Marshall Police Department, and Palestine Police Department.
Assistant U.S. Attorneys Eric Fuchs and Sarah Spears for the Western District of Texas are prosecuting the case.
These charges resulted in coordination with Joint Task Force Alpha (JTFA). The U.S. Attorney’s Office for the Western District of Texas is part of the JTFA, which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with the Department of Homeland Security (DHS), to enhance U.S. enforcement efforts against the most prolific and dangerous human smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. The Task Force focuses on disrupting and dismantling smuggling and trafficking networks that abuse, exploit, or endanger migrants, pose national security threats, and are involved in organized crime. JTFA consists of federal prosecutors and attorneys from U.S. Attorneys’ Offices along the Southwest Border (District of Arizona, Southern District of California, Southern District of Texas, and Western District of Texas), from the Criminal Division and the Civil Rights Division, along with law enforcement agents and analysts from DHS’s Immigration and Customs Enforcement, and Customs and Border Protection’s U.S. Border Patrol, the FBI and the Drug Enforcement Administration.
Previously Deported Sex Offender Sentenced to 3 years in Federal Prison for Illegal-ReentryRead the Press Release
Del Rio, Texas – A Guatemalan national was sentenced today to 3 years in prison for illegally re-entering the United States following deportation.
According to court documents, Heraldo Agustin Huesgen-De Leon, also known as Heraldo Agustin Hueskin-De Leon, 47, was arrested on May 16, 2024, after being encountered by United States Border Patrol agents near Eagle Pass, Texas. Defendant was previously removed from the United States on September 19, 2018. Defendant had previously been sentenced in 2011 to 20 years imprisonment for second degree rape.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
The United States Border Patrol investigated the case.
Assistant U.S. Attorneys Tyler Fleming and Matt Kass prosecuted the case.
Canadian Gun Smuggler SentencedRead the Press Release
Austin, Texas – A Canadian national was sentenced today to 82 months in prison and given a $30,000.00 fine for illegally purchasing handguns with the intent to smuggle them into Canada.
According to court documents, Harsimran Dhaliwal, 31, a Canadian citizen, was operating a gun smuggling operation to smuggle handguns, which are illegal in Canada, across the border and distribute them to criminals. In 2022, Dhaliwal made arrangements with a straw purchaser to obtain numerous handguns in and around the Austin area. Dhaliwal then smuggled the handguns back to Canada. At least two of those weapons have been recovered in Canada and linked to crimes committed there.
“The international smuggling of firearms is dangerous and harmful and our office will vigorously prosecute persons who illegally obtain, transport, and distribute guns” said U.S. Attorney Jaime Esparza.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
Assistant U.S. Attorney Keith Henneke prosecuted the case.
Alien Smuggling Supervisor SentencedRead the Press Release
El Paso, Texas – An El Paso man was sentenced yesterday to 57 months in prison for conspiring with others from April 2021 through November 2023 to knowingly transport aliens who had illegally entered the United States.
According to court documents, since 2021 Mark Anthony Holguin, 28, supervised an alien smuggling organization that helped transport a significant number of aliens from the Republic of Mexico into the United States at El Paso, Texas, and Santa Teresa New Mexico.
U.S. Attorney Jaime Esparza stated: “Alien smuggling has become an epidemic in the El Paso community. We need to send a message to these criminals—at all levels of these organizations—that it will not be tolerated, and we will prosecute. Border Patrol and Homeland Security Investigations were a vital part of this investigation in helping to dismantle this alien smuggling organization.”
“The outcome of this criminal case should remind those involved in human smuggling that their criminal actions are neither going unnoticed nor undetected,” said Jason T. Stevens, special agent in charge for HSI El Paso. “HSI El Paso, jointly with our federal partners, is working tirelessly to secure our borders by identifying, arresting, and prosecuting transnational criminal organizations members responsible for illegally transporting people into and through our country.”
The United States Border Patrol and Department of Homeland Security Investigations investigated the case.
Special Assistant U.S. Attorney Shannon Holderfield prosecuted the case.
Winnsboro Man Sentenced to 4 Years in Federal Prison for Smuggling Firearms into MexicoRead the Press Release
DEL RIO, Texas – A Mexican national with Legal Permanent Resident status was sentenced in a federal court in Del Rio to 48 months in prison for smuggling firearms and other goods from the United States into Mexico.
According to court documents, Miguel Tapia-Barcenas, 23, of Winnsboro, gave negative declarations for firearms, ammunition and currency over $10,000 while traveling through the Del Rio Port of Entry into Mexico July 14, 2022. Customs and Border Protection officers searched his vehicle and the attached trailer, revealing four semiautomatic pistols, 2,688 ammunition rounds of various calibers, and several magazines. Tapia-Barcenas said that he was being paid by a third party to smuggle firearms into Mexico and had done so on two previous occasions.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
Homeland Security Investigations and CBP investigated the case.
Assistant U.S. Attorney Jayvee Rhoda prosecuted the case.
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Boerne CEO Sentenced to Three Years in Federal Prison for Tax Evasion and Embezzlement of Employee Health Care PremiumsRead the Press Release
SAN ANTONIO – A Boerne woman was sentenced in a federal court in San Antonio to 36 months in prison for embezzling employee health insurance premiums and tax evasion.
According to court documents, Belinda Jo Juarez, 53, was the majority owner and CEO of Superior Home Health Service, a health care company based in San Antonio with additional locations elsewhere. The company offered employees the option to enroll in an employee health insurance plan. Beginning in or around August 2017, Juarez knowingly caused her company to stop remitting insurance payments to the insurance providers but continued to withhold contributions from employee paychecks, even after insurance providers canceled their contracts as the result of non-payment. Juarez’s employees, some of whom who had incurred costs for medical services, were not informed that their insurance coverage had been cancelled or was inactive. As part of the sentence, Juarez was ordered to pay $617,738.65 in restitution to former employees for improperly withheld premiums and resultant medical debts.
Juarez was also sentenced on one count of willful failure to collect or pay over tax for withholding federal payroll tax contributions from her employees’ paychecks and failing to remit the funds to the IRS for time periods between 2016 and 2019. The sentence accounted for over $1 million in personal income tax liability. In total, Juarez was sentenced to pay $3,667,098.88 in restitution to the IRS.
In addition to the restitution and imprisonment, Juarez was fined $20,000 and will serve three years of supervised release at the conclusion of her sentence.
“Protecting the public treasury is one of the primary missions of federal law enforcement,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “It is even more important when, as in this case, there is direct harm to civilian victims. Not only did this defendant withhold millions in tax payments to the government, but the ill-gotten gains also came directly from the paychecks of her own employees.”
“Juarez let greed drive her to defraud the government and left her employees to face the horror of losing their health insurance when they needed it most,” said acting Special Agent in Charge Lucy Tan for IRS Criminal Investigation’s Houston Field Office. “This case was referred to us by another IRS division, just as we get tips from the public and requests from other agencies. We pair our law enforcement and accounting skills in order to bring justice to victims because criminal greed doesn’t stop at one tax violation.”
“I hope this sends a clear message to all who sponsor or transact business with employee benefit plans that the federal government will aggressively pursue those who commit crimes against employees and retirees of private-sector pension and health plans,” said Dallas Regional Director Deborah Perry for the Department of Labor, Employee Benefits Security Administration (EBSA).
IRS-CI and the EBSA investigated the case.
Assistant U.S. Attorneys Justin Chung and Justin Simmons prosecuted the case.
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Booz Allen Agrees to Pay $15.875M to Settle False Claims Act AllegationsRead the Press Release
Booz Allen Hamilton Holding Corporation (Booz Allen) has agreed to pay the United States $15,875,000 to resolve allegations that Booz Allen Hamilton Engineering Services LLC (BES), a wholly owned subsidiary of Booz Allen, violated the False Claims Act by knowingly submitting fraudulent claims to the United States in connection with a General Services Administration (GSA) task order to supply computer military training simulators and systems to Department of Defense (DoD) agencies, including the Air Force. Booz Allen, which is headquartered in McLean, Virginia, provides a range of management, consulting and engineering services to the government. BES was an engineering services firm located in Annapolis Junction, Maryland, with offices in Dayton, Ohio, and other locations.
The settlement announced today resolves allegations that BES, through its former program managers John G. Hancock and Karen K. Paulsen, knowingly engaged in a fraudulent course of conduct with Keith A. Seguin, then a civilian Air Force employee and contracting official, and David J. Bolduc Jr., the co-owner and manager of a BES subcontractor, QuantaDyn Corporation, that resulted in GSA awarding BES a task order for training simulators. BES, in turn, awarded task orders (or “modules”) to QuantaDyn. The government alleges that Seguin improperly and illegally divulged confidential government contracting and budget information, a competitor’s confidential bid or proposal information and source selection information to Hancock and Paulsen, who used the illicit information despite knowing they were not authorized to possess it. Through this conduct, Hancock and Paulsen successfully influenced GSA to award the task order to BES.
Additionally, the government alleges that, after the GSA award, Hancock, Paulsen, Seguin and Bolduc made use of confidential government budget information to formulate and submit price quotes to GSA for the individual modules that BES awarded to QuantaDyn on a sole-source basis. As a result of the conduct described above, BES, through Hancock and Paulsen, knowingly submitted fraudulent claims to GSA under the 37 modules awarded to QuantaDyn, which GSA paid. Hancock, Paulsen, Seguin and Bolduc previously resolved criminal charges related to this conduct.
“Government contractors that improperly receive confidential government information during the procurement process corrupt the integrity of that process,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “This settlement demonstrates our continuing commitment to protecting the integrity of the government’s procurement process.”
“Over the past several years, my office has used every tool at its disposal — from civil settlements to criminal prosecution to asset forfeiture — to hold accountable the companies and individuals that helped a corrupt federal employee at Randolph Air Force Base defraud the United States by steering training simulator contracts,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I am grateful for the assistance of the Department of Justice’s Civil Division and our law enforcement partners in finally closing the book on this fraud scheme with the civil settlement announced today.”
“This case demonstrates the unwavering dedication of the DoD Office of Inspector General’s Defense Criminal Investigative Service (DCIS), along with our law enforcement partners, to aggressively pursue those who undermine the integrity of the DoD contracting process,” said the Honorable Robert P. Storch, Inspector General of the Department of Defense. “This settlement announcement highlights the steadfast commitment of DCIS and our investigative partners to holding accountable those who seek to enrich themselves by jeopardizing the welfare of America’s warfighter and defrauding American taxpayers.”
“The GSA Office of Inspector General will continue working with law enforcement partners to protect taxpayer dollars and the integrity of federal contracting,” said GSA Deputy Inspector General Robert C. Erickson.
The civil resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the Western District of Texas, with assistance from the GSA Office of Inspector General (OIG); DCIS; and the Defense Contract Audit Agency (DCAA), Headquarters, Operations Investigative Support Division (OIS).
Attorneys Seth W. Greene and Art J. Coulter of the Civil Division’s Fraud Section, and Assistant U.S. Attorney Thomas A. Parnham Jr. for the Western District of Texas handled the matter, with assistance from GSA OIG Special Agent Gregory A. Fallecker.
In September 2020, the United States entered into a civil settlement agreement with QuantaDyn and William T. Dunn Jr., the majority owner, president and CEO of QuantaDyn.
The claims resolved by the United States are allegations only. There has been no determination of liability.
Settlement
Chinese National Indicted in El Paso, Texas, and Arrested in Las Vegas for Alleged Conspiracy to Sell Equipment Used to Manufacture Counterfeit PillsRead the Press Release
A federal grand jury in the Western District of Texas charged a Chinese national with two counts related to alleged distribution of pill press equipment that can be used by criminals to manufacture illegal drugs laced with fentanyl.
Department of Homeland Security agents arrested the defendant, Xaiofei Chen, at a trade show in Las Vegas on Oct. 29. According to the criminal complaint supporting her arrest warrant, Chen sold pill press machines that can be used with molds, stamps or dies mimicking commonly prescribed controlled substances to produce counterfeit pills that appear indistinguishable from legitimate pharmaceutical drugs. Specifically, the criminal complaint alleges that Chen worked for a Chinese-based company that sold die molds and equipment, and that Chen sold pill press equipment and counterfeit die molds to buyers in the United States. The complaint further alleges that Chen avoided Drug Enforcement Administration (DEA) disclosure requirements by dismantling equipment and shipping parts in separate packages into the United States. This equipment allegedly included counterfeit dies, including M30 dies meant to mimic a common prescription drug but which are regularly used to make fake opioid pills. The complaint alleges that the packages that Chen sent also were mislabeled to conceal the illegal equipment that they contained.
The Controlled Substances Act prohibits the sale of pill press equipment and counterfeit die molds to individuals who intend to use these machines unlawfully and requires reporting of certain equipment sales. Counterfeit pills made on such equipment can be laced with fentanyl and other dangerous drugs. According to the Centers for Disease Control and Prevention (CDC), fentanyl is a highly addictive synthetic opioid that is 50 times more potent than heroin and 100 times more potent than morphine. Fentanyl and related substances have devastated communities across the United States and fuel the ongoing drug overdose epidemic, which the CDC recently estimated killed approximately 107,000 Americans in 2023. Fentanyl overdose is the leading cause of death for Americans ages 18 to 49. In recent years, more than half of counterfeit pills tested have been found to have a potentially lethal dose of fentanyl.
“The fentanyl epidemic has taken hundreds of thousands of American lives, and this case reflects the department’s unwavering commitment to prosecuting every level of the deadly fentanyl supply chain,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department will continue to protect Americans by prosecuting those involved in the unlawful sale of parts and equipment that can be used to manufacture counterfeit pills.”
“The defendant allegedly sold equipment that can be used to make dangerous opioid pills harmful to American families,” said Executive Associate Director Katrina W. Berger of Homeland Security Investigations (HSI). “HSI is proud to work with our law enforcement partners to prevent the distribution of equipment commonly used in the manufacture of these destructive drugs.”
A federal court in Nevada ordered Chen, a foreign national, detained pending her trial in El Paso where the indictment was returned on Nov. 20. The indictment charges Chen with one count of conspiracy to distribute and import a tableting machine used to manufacture a controlled substance and one count of conspiracy to distribute dies designed to imprint and reproduce the trademark, trade name and other identifying mark and imprint of another. If convicted, Chen faces a maximum penalty of four years in prison and a $250,000 fine. A federal district court judge would determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
HSI and Customs and Border Protection are investigating the case.
Trial Attorneys Edward E. Emokpae, Scott B. Dahlquist and Kaitlin Sahni of the Civil Division’s Consumer Protection Branch and Assistant U.S. Attorneys Laura Franco Gregory and Donna S. Miller for the Western District of Texas are prosecuting the case. Attorneys Colin Trundle and Sarah Williams of the Consumer Protection Branch also provided valuable assistance.
An indictment or complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Ukrainian National Sentenced to Federal Prison in “Raccoon Infostealer” Cybercrime CaseRead the Press Release
AUSTIN, Texas – Ukrainian national Mark Sokolovsky was sentenced today to 60 months in federal prison for one count of conspiracy to commit computer intrusion.
According to court documents, Sokolovsky, 28, conspired to operate the Raccoon Infostealer as a malware-as-a-service or “MaaS.” Individuals who deployed Raccoon Infostealer to steal data from victims leased access to the malware for approximately $200 per month, paid for by cryptocurrency. These individuals used various ruses, such as email phishing, to install the malware onto the computers of unsuspecting victims. Raccoon Infostealer then stole personal data from victim computers, including log-in credentials, financial information, and other personal records. Stolen information was used to commit financial crimes or was sold to others on cybercrime forums.
In March 2022, concurrent with Sokolovsky’s arrest by Dutch authorities, the FBI and law enforcement partners in Italy and the Netherlands dismantled the digital infrastructure supporting the Raccoon Infostealer, taking its then existing version offline. Sokolovsky was extradited from the Netherlands in February 2024 after being indicted for crimes related to fraud, money laundering and aggravated identity theft.
As part of his plea in October, Sokolovsky agreed to forfeit $23,975 and pay at least $910,844.61 in restitution.
"Mark Sokolovsky was a key player in an international criminal conspiracy that victimized countless individuals by administering malware which made it cheaper and easier for even amateurs to commit complex cybercrimes,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “Today’s outcome is the result of tireless investigative efforts by multiple law enforcement agencies in several countries and we reiterate our thanks to our international partners for their essential work. My office will not stop in its efforts to hold cybercriminals accountable for their misdeeds."
“Sokolovsky’s infostealer was responsible for compromising more than 52 million user credentials, which were then used in furtherance of fraud, identity theft, and ransomware attacks on millions of victims worldwide,” said Special Agent in Charge Aaron Tapp for the FBI’s San Antonio field office. “We want to thank our Cyber Task Force and international partners for their assistance in bringing Sokolovsky to justice. Cases like this are a priority for the FBI and we encourage anyone who has been a victim of a financial scam to go to www.IC3.gov.”
The FBI’s Austin Cyber Task Force investigated the case with the assistance of the Department of the Army Criminal Investigation Division, the Austin Police Department, the Naval Criminal Investigative Service, the Round Rock Police Department and the Texas Department of Public Safety.
Assistant U.S. Attorney G. Karthik Srinivasan prosecuted the case.
Victims of the Raccoon Infostealer can find more information at www.justice.gov/usao-wdtx/victim-assistance-raccoon-infostealer.
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Stafford Man Indicted After Alleged Attempt to Smuggle 294 Pounds of Meth into TexasRead the Press Release
DEL RIO, Texas – A federal grand jury in Del Rio returned an indictment today charging a Stafford man with four charges related to trafficking methamphetamine.
According to court documents, Yobany Vega, 24, attempted to enter the United States from Mexico through Eagle Pass Camino Real Bridge 2 on Dec. 6. The indictment alleges that Customs and Border Protection Officers noticed a non-factory compartment during secondary inspection and discovered 41 bundles hidden in the vehicle. The bundles contained 294 pounds or 133.63 kgs of methamphetamine.
Vega is charged with one count of conspiracy to possess with intent to distribute methamphetamine, one count of possession of methamphetamine with intent to distribute, one count of conspiracy to import methamphetamine, and one count of importation of methamphetamine. If convicted, he faces 10 years to life in prison and a maximum $10,000,000 fine for each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
Homeland Security Investigations is investigating the case.
Assistant U.S. Attorney Matt Kass is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Private Asset Manager, Majority Owner Settle False Claims Act Allegations Relating to Improper Paycheck Protection Program LoanRead the Press Release
AUSTIN, Texas – Lafayette RE Management LLC, a private asset manager based in New York City, and Thibault Adrien, Lafayette’s founder and majority owner, have agreed to pay $680,000 to settle allegations that they violated the False Claims Act by knowingly making false certifications to the government in applying for, and receiving forgiveness of, a Paycheck Protection Program (PPP) loan.
Congress created the PPP in March 2020, as part of the Coronavirus Aid, Relief and Economic Security (CARES) Act, to provide emergency financial support to millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Under the PPP, eligible businesses could obtain short-term, low-interest, forgivable loans, guaranteed by the Small Business Administration (SBA), to spend on payroll costs, rent or mortgage, and other specified business expenses. Applicants were required to make certain affirmative certifications in order to be eligible to obtain the PPP loan, including that (1) “current economic uncertainty” made the loan necessary to support the applicant’s ongoing operations, and (2) the funds will be used to retain workers, maintain payroll, or for other authorized purposes prescribed by Congress and the SBA.
The United States alleged that Lafayette and Adrien applied for and received a $335,000 PPP loan by falsely certifying that the loan was economically necessary due to the uncertainty caused by the pandemic. The United States further contended that Lafayette and Adrien’s application to SBA seeking forgiveness of the entire loan amount contained false statements.
The allegations in this case were initially brought by Jesus Nunez-Unda in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act. Under those provisions, a private party known as a relator can file an action on behalf of the United States and receive a share of any recovery. The qui tam case is captioned United States ex rel. Nunez-Unda v. Lafayette RE Management LLC, Brandywine Homes USA LLC, and Thibault Adrian, No. 5:22-cv-000659 (W.D. Tex.).
Assistant U.S. Attorney Samuel M. Shapiro represented the United States in the settlement.
The claims resolved by this settlement are allegations only and there has been no determination of liability.
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Two Colombian Human Smugglers Arrested on U.S. ChargesRead the Press Release
Note: View a copy of the indictment here.
On Dec. 13, Colombian authorities arrested two men charged with human smuggling conspiracy for moving migrants through Colombia en route to the United States. In the course of that conspiracy, the defendants are alleged to have put lives in jeopardy, including by placing some of the 40 migrants and two boat captains on a boat that disappeared on its way to Nicaragua after leaving San Andres Island on Oct. 21, 2023.
Hernando Manuel de la Cruz Rivera Orjuela, 52, and Luis Enrique Linero Pinto, 40, both Colombian nationals, were arrested in Colombia at the request of the United States for their alleged roles in the transnational human smuggling operation, based on an indictment obtained on Oct. 23 from a federal grand jury sitting in the Western District of Texas.
According to the indictment unsealed yesterday, the defendants participated in a conspiracy that unlawfully smuggled migrants, transporting them from other locations to San Andres Island, and from there to Nicaragua via boats, north through Central America and Mexico, before reaching their final destination in the United States. Allegedly, Rivera Orjuela and Linero Pinto advised the migrants how to get to San Andres Island, personally received them once they arrived on the island, arranged for their accommodation, and brought them to the boats that transported them to Nicaragua so they could enter the United States illegally. Linero Pinto is alleged to have bribed uniformed service members of the Colombian Navy to acquire real-time intelligence about the position of Navy patrol vessels located between San Andres Island and Nicaragua, enabling the boats carrying migrants to avoid detection.
“Through coordination with our domestic and international law enforcement partners, we have secured the arrest of two Colombian nationals we allege took part in a human smuggling operation that resulted in the disappearance of a boat carrying 40 migrants,” said Attorney General Merrick B. Garland. “As this indictment makes clear, Joint Task Force Alpha (JTFA) continues to be one of the Justice Department’s most effective tools for countering insidious human smuggling operations that fuel suffering and exploitation.”
“For over three years, JTFA has deployed every tool at our disposal to disrupt and dismantle human smuggling networks,” said Deputy Attorney General Lisa Monaco. “This latest indictment demonstrates the Department’s continuing commitment to combat human smuggling across the Western hemisphere and bring those responsible to justice.”
“The indictment alleges that, as part of their participation in a conspiracy to smuggle migrants to the United States, these defendants put several migrants on the boat that disappeared off the coast of Nicaragua in October 2023,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “This indictment reflects the importance of JTFA’s expansion to address human smuggling in and through Colombia. Today’s announcement also underscores the Criminal Division’s commitment to investigating and prosecuting the transnational criminal organizations whose business model puts human lives at risk for financial gain.”
“As alleged in the indictment, these defendants are charged for their roles in the disappearance of dozens of migrants, and the allegations detail many of the dangers we see too often in combating human smuggling — from bribery to the deadly risks migrants take every day,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “I appreciate the combined efforts of JTFA, our international partners, and the prosecutors involved. These partnerships are essential in dismantling the criminal organizations that impact us all and prioritize illicit financial gain over human life.”
“These alleged conspirators orchestrated a complex human smuggling operation that recklessly risked human lives for ill-gotten gain,” said Executive Associate Director Katrina W. Berger of Homeland Security Investigations (HSI). “The devoted Special Agents of HSI work diligently to combat criminal enterprises that profit from the victimization of innocent people. HSI remains committed to dismantling human smuggling networks that exploit and subject their victims to hazardous and oppressive conditions. These transnational organizations profit by preying on vulnerable individuals, and HSI will continue to dismantle such operations.
The defendants are each charged with one count of conspiracy to encourage and induce unlawful aliens to come to, enter, and reside in the United States and with placing a life in jeopardy during that conspiracy. If convicted, the defendants face a maximum penalty of 20 years in prison and a fine of up to $250,000. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
HSI is leading the investigation with participation from their McAllen, El Paso, and Cartagena Field Offices. HSI’s Human Smuggling Unit, Customs and Border Protection’s National Targeting Center International Interdiction Task Force, and the Justice Department’s Office of Overseas Prosecutorial Development, Assistance and Training (OPDAT); Office of International Affairs (OIA); and Narcotic and Dangerous Drug Section (NDDS)’s Judicial Attaché Office in Bogotá provided valuable assistance. The Justice Department thanks Colombian law enforcement officials, who were instrumental in furthering this investigation.
JTFA Co-Director Jim Hepburn and Deputy Director Daria Andryushchenko of the Criminal Division’s Human Rights and Special Prosecutions Section (HRSP) and Assistant U.S. Attorney Jose Luis Acosta for the Western District of Texas are prosecuting the case.
The indictment of these defendants is the result of the coordinated efforts of JTFA. Attorney General Merrick B. Garland created JTFA in June 2021 to marshal the investigative and prosecutorial resources of the Justice Department, in partnership with the Department of Homeland Security (DHS), to combat the rise in prolific and dangerous smuggling and trafficking groups operating in Mexico, Guatemala, El Salvador, and Honduras. In June 2024, the initiative was expanded to Colombia and Panama to combat human smuggling in the Darién. JTFA comprises detailees from U.S. Attorneys’ Offices along the southwest border, including the Southern and Western Districts of Texas, District of New Mexico, District of Arizona, and Southern District of California. Dedicated support is provided by numerous components of the Justice Department’s Criminal Division, led by HRSP and supported by OPDAT, NDDS, the Money Laundering and Asset Recovery Section, Office of Enforcement Operations, OIA, and Violent Crime and Racketeering Section.
JTFA also relies on substantial law enforcement investment from DHS, FBI, the Drug Enforcement Administration, and other partners. To date, JTFA’s work has resulted in over 345 domestic and international arrests of leaders, organizers, and significant facilitators of human smuggling; over 290 U.S. convictions; over 240 significant jail sentences imposed; and forfeitures of substantial assets.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Driver in Failed Meth Smuggling Conspiracy Sentenced to 14 Years in Federal PrisonRead the Press Release
DEL RIO, Texas – An Arlington woman was sentenced in Del Rio to 168 months in federal prison for her role in a conspiracy to import methamphetamine into the United States.
According to court documents, Linnette Rodriguez-Potter, 46, conspired with others to import 3.422 kilograms of methamphetamine which had a purity of 100%. Rodriguez-Potter was referred to a secondary inspection at the Del Rio Port of Entry on July 25, 2020. Customs and Border Protection Officers discovered and removed seven package containing methamphetamine hydrochloride. A search of her cell phone revealed communications with co-conspirator Sally Renae Smith, in which Rodriguez-Potter was instructed to deliver the packages to Smith at a Del Rio motel. From there, the co-conspirators intended to further traffic the methamphetamine elsewhere in Texas.
Rodriguez-Potter, Smith, and two other co-defendants—Joshua Keith Stewart and Stetson Lee Spearman—all pleaded guilty to the conspiracy charge. Smith was sentenced on Feb. 22, 2024 to 292 months in prison. Stewart was sentenced on Oct. 4 to 235 months in prison. Spearman remains in federal custody with a sentence hearing scheduled for March 12, 2025.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
HSI investigated the case.
Assistant U.S. Attorney Rex Beasley is prosecuting the case.
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Arrestados dos colombianos traficantes de personas acusados en EE. UU.Read the Press Release
Nota: Vea una copia de la acusación aquí (en inglés).
El 13 de diciembre, las autoridades colombianas detuvieron a dos hombres acusados de conspiración para el tráfico de personas por trasladar migrantes a través de Colombia con destino a Estados Unidos. En el transcurso de dicha conspiración, se alega que los acusados habrían puesto vidas en peligro, entre otras cosas al colocar a algunos de los 40 migrantes y a dos capitanes de barco en una embarcación que desapareció de camino a Nicaragua tras zarpar de la isla de San Andrés el 21 de octubre de 2023.
Hernando Manuel de la Cruz Rivera Orjuela, de 52 años, y Luis Enrique Linero Pinto, de 40 años, ambos de nacionalidad colombiana, fueron detenidos en Colombia a petición de Estados Unidos por su presunta participación en la operación transnacional de tráfico de personas, según una acusación obtenida el 23 de octubre de un gran jurado federal del Distrito Oeste de Texas.
Según la acusación hecha pública ayer, los acusados participaron en una conspiración que traficaba ilegalmente con migrantes, transportándolos desde otros lugares a la isla de San Andrés, y desde allí a Nicaragua en embarcaciones, hacia el norte a través de América Central y México, antes de llegar a su destino final en Estados Unidos. Supuestamente, Rivera Orjuela y Linero Pinto aconsejaban a los migrantes cómo llegar a la isla de San Andrés, los recibían personalmente una vez llegaban a la isla, organizaban su alojamiento y los llevaban a las embarcaciones que los transportaban a Nicaragua para que pudieran entrar ilegalmente en Estados Unidos. Al parecer, Linero Pinto sobornó a miembros uniformados de la Armada colombiana para obtener información en tiempo real sobre la posición de las patrulleras de la Armada situadas entre la isla de San Andrés y Nicaragua, lo que permitió a las embarcaciones que transportaban a los migrantes evitar ser detectadas.
“Gracias a la coordinación con nuestras fuerzas del orden nacionales e internacionales, hemos logrado el arresto de dos ciudadanos colombianos que, según se afirma, participaron en una operación de contrabando de personas que dio lugar a la desaparición de una embarcación en la que viajaban 40 inmigrantes”, declaró el fiscal general Merrick B. Garland. “Como deja claro esta acusación, la Fuerza de Tarea Conjunta Alpha (Joint Task Force Alpha, JTFA) sigue siendo una de las herramientas más eficaces del Departamento de Justicia para contrarrestar las insidiosas operaciones de contrabando de seres humanos que alimentan el sufrimiento y la explotación”
“Durante más de tres años, la JTFA ha desplegado todas las herramientas a nuestro alcance para desarticular y desmantelar las redes de contrabando de seres humanos”, declaró la vicefiscal general Lisa Monaco. “Esta última acusación demuestra el compromiso continuado del Departamento [de Justicia de EE. UU.] para combatir el contrabando de personas en todo el Hemisferio Occidental y llevar a los responsables ante la justicia”.
“La acusación alega que, como parte de su participación en una conspiración para traficar migrantes a los Estados Unidos, estos acusados pusieron a varios migrantes en el bote que desapareció frente a la costa de Nicaragua en octubre de 2023”, dijo Nicole M. Argentieri, viceasistente principal del Fiscal General y jefa de la División Penal del Departamento de Justicia. “Esta acusación refleja la importancia de la expansión de la JTFA para abordar el contrabando de personas en Colombia y a través de ese país. El anuncio de hoy también subraya el compromiso de la División Penal de investigar y perseguir a las organizaciones delictivas transnacionales cuyo modelo de operar pone en peligro vidas humanas para obtener beneficios económicos”.
“Como se alega en la acusación, estos imputados son acusados por su papel en la desaparición de docenas de migrantes, y las acusaciones detallan muchos de los peligros que se observan con demasiada frecuencia en la lucha contra el tráfico de personas; desde el soborno a los riesgos mortales que los migrantes toman todos los días”, dijo el fiscal federal para el Distrito Oeste de Texas Jaime Esparza. “Agradezco los esfuerzos combinados de la JTFA, de nuestros socios internacionales y de los fiscales implicados. Estas asociaciones son esenciales para desmantelar las organizaciones delictivas que nos afectan a todos y otorgan prioridad a las ganancias económicas ilícitas sobre la vida humana”.
“Estos presuntos conspiradores orquestaron una compleja operación de contrabando de personas que arriesgaba imprudentemente vidas humanas a cambio de ganancias mal habidas”, declaró Katrina W. Berger, directora ejecutiva adjunta de la Oficina de Investigaciones de Seguridad Nacional (Homeland Security Investigations, HSI). Los dedicados agentes especiales de HSI trabajan con diligencia para combatir las empresas delictivas que se aprovechan de la victimización de personas inocentes. HSI mantiene su compromiso de desmantelar las redes de tráfico de seres humanos que explotan y someten a sus víctimas a condiciones peligrosas y opresivas. Estas organizaciones transnacionales se aprovechan de personas vulnerables, y HSI continuará desmantelando este tipo de operaciones.
Cada uno de los imputados está acusado de un cargo de conspiración para inducir a extranjeros ilegales a venir, ingresar y residir en Estados Unidos y de poner en peligro una vida durante esa conspiración. De ser sentenciados, los acusados enfrentan una pena máxima de 20 años de prisión y una multa de hasta 250.000 dólares. Un juez del tribunal federal de distrito determinará cualquier sentencia tras considerar los reglamentos para las sentencias en Estados Unidos y otros factores estatutarios.
La HSI está dirigiendo la investigación con participación de las oficinas locales en McAllen, El Paso y Cartagena. La Unidad contra el Contrabando de Personas de HSI, el Centro Nacional de Identificación del Grupo de Trabajo de Interdicción Internacional de la Oficina de Aduanas y Protección Fronteriza (CBP) de EE. UU., y la Oficina de Desarrollo, Asistencia y Capacitación Fiscal en el Extranjero (OPDAT) del Departamento de Justicia; la Oficina de Asuntos Internacionales (OIA); y la Sección de Narcóticos y Drogas Peligrosas (NDDS) de la Oficina del Agregado Judicial en Bogotá aportaron una valiosa asistencia. El Departamento de Justicia agradece a los oficiales de las fuerzas del orden colombianas que fueron instrumentales para profundizar esta investigación.
El codirector de la JTFA Jim Hepburn y la vicedirectora Daria Andryushchenko y la Sección de Derechos Humanos y Procesos Especiales (HRSP) de la División Penal del Departamento de Justicia de EE. UU. (DOJ) y el fiscal federal adjunto de Estados Unidos, José Luis Acosta, del Distrito Oeste de Texas se hallan procesando el caso.
La sindicación de estos procesados es resultado de los esfuerzos coordinados de la JTFA. El fiscal general Merrick B. Garland estableció la JTFA en junio de 2021 para combinar los recursos del Departamento de Justicia para la investigación y procesamiento, en asociación con el Departamento de Seguridad Nacional (DHS) para combatir el aumento de los prolíficos y peligrosos grupos de contrabando y tráfico que operan en México, Guatemala, El Salvador y Honduras. En junio de 2024 la iniciativa fue ampliada (en inglés) a Colombia y Panamá para combatir el contrabando humano en la zona del Darién. La JTFA está compuesta de miembros de las fiscalías federales de Estados Unidos a lo largo de la frontera del suroeste, incluyendo los Distritos Sur y Oeste de Texas, el Distrito de Nuevo México, el Distrito de Arizona y el Distrito Sur de California. El apoyo dedicado es aportado por numerosos componentes de la División Penal del Departamento de Justicia, dirigida por HRSP, con apoyo de OPDAT, NDDS, la Sección de Lavado de Dinero y Recuperación de Activos, la Oficina de operaciones de aplicación de la Ley, la OIA, y la Sección de crímenes violentos y extorsiones.
La JTFA también depende de la participación sustancial para la aplicación de la ley procedente del DHS, FBI, la Administración de Control de Drogas y otros asociados. Hasta el momento el trabajo de la JTFA ha resuelto más de 345 arrestos en el país e internacionales de líderes, organizadores e importantes facilitadores del contrabando de seres humanos; más de 290 condenas en Estados Unidos; la imposición de más de 240 importantes sentencias de cárcel y la incautación de importantes activos.
Una acusación es simplemente una alegación. Se presume la inocencia de todos los acusados hasta que se prueben culpables sin lugar a dudas razonables en un tribunal de justicia.
Esta traducción se proporciona como una cortesía y únicamente debe considerarse fidedigna la fuente original en inglés.
Austin Man Sentenced to Federal Prison for $1.5 Million Wire Fraud SchemeRead the Press Release
AUSTIN, Texas – An Austin man was sentenced in federal court to 41 months in prison for defrauding multiple investors in a $1.5 million Ponzi scheme.
According to court documents, Nurnepes Nurjanov, 34, was an informal day trader who, in September 2019, began soliciting funds from investors, drafting agreements that promised minimum returns, the split on profits between him and his investors, and investor access to the trading accounts. He also promised to use investment funds only for stock trades and agreed to pay “50% of clean profit” to the investor. To entice potential investors, Nurjanov created false documents indicating favorable investment returns and, using a trading simulator template, showed them alleged gains he was making.
One investor agreed to invest $50,000 in October 2019, and was shown a fraudulent investment statement reflecting a significant return. Another investor provided $50,000 in December 2020, followed by $142,500 in February 2021. That investor made several other large investments with Nurjanov over the next several months before selling their business in June 2022 and investing the proceeds of $325,000 with Nurjanov. Subsequentially, that investor referred a friend to Nurjanov, who in-turn was convinced by multiple false statements to wire Nurjanov $200,000. While they did receive alleged investment returns, the funds were proceeds from money invested by other victims of Nurjanov’s scheme.
Nurjanov spent other portions of the fraudulently acquired cash and assets for his personal living expense. In total, Nurjanov defrauded victims of $1,524,500.
Nurjanov was summoned to appear in court and made his initial appearance June 13, 2024, at which time he pleaded guilty to one count of wire fraud. In addition to imprisonment, Nurjanov was ordered to pay $1,505,500 in restitution.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The FBI investigated the case.
Assistant U.S. Attorney Dan Guess prosecuted the case.
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San Antonio Man Sentenced to 28 Years in Federal Prison for Armed Pharmacy RobberiesRead the Press Release
SAN ANTONIO – A San Antonio man was sentenced to 339 months in federal prison for three counts of pharmacy robbery and three counts of brandishing a firearm during and in relation to a crime of violence.
According to court documents, from October to December 2020, Atseko Factor, 40, and co-defendant Andre Dupree Jack, 41, robbed three pharmacies at gunpoint in Luling, Pleasanton and Seguin. During the robberies, Factor and Jack pointed firearms at the employees, bound them with zip ties, and stole more than $43,000 worth of controlled substances, along with cash, pharmaceuticals and merchandise.
Factor pleaded guilty to the charges Sept. 10. In addition to imprisonment, Factor was ordered to pay approximately $47,000 in restitution.
Jack pleaded guilty to one count of conspiracy to commit pharmacy robbery and four counts of brandishing a firearm during and in relation to a crime of violence on March 21. He is scheduled to be sentenced Jan. 16, 2025.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The Drug Enforcement Administration and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case along with the Pleasanton, Seguin, and Luling Police Departments.
Assistant U.S. Attorneys Brian Nowinski and John Fedock prosecuted the case.
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Waco Man Sentenced to Life in Federal Prison for Coercion and Enticement of a MinorRead the Press Release
WACO, Texas – A Waco man was sentenced today to life in federal prison for one count of coercion and enticement of a minor.
According to court documents, Bailey Warren Lowe, 25, used a Snapchat account to request sexually explicit images from a 13-year-old girl on multiple occasions. If she acted slowly or the photos did not meet his expectations, Lowe would become angry and threaten to expose her. On one occasion, in early 2022, Lowe drove the minor’s residence, where they engaged in sexual activity in his vehicle. Lowe did not use a condom and, when the minor repeated that she was 13 years old, he demanded she not tell anyone about them because he was 22 and could get in trouble. Lowe was enlisted in the Navy at the time.
An FBI investigation revealed multiple chat conversations and instances of sexual exploitation between Lowe and additional victims between the ages of 10 and 15 years old. He was arrested July 28, 2023 and pleaded guilty Dec. 5, 2023.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The FBI investigated the case.
Assistant U.S. Attorney Gregory Gloff prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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San Antonio Financial Advisor Arrested, Charged with Obstruction of JusticeRead the Press Release
SAN ANTONIO – A San Antonio woman was arrested Tuesday in San Antonio on criminal charges related to allegedly obstructing and attempting to obstruct an ongoing federal fraud investigation.
According to court documents, the FBI and IRS Criminal Investigation are conducting a federal investigation into an investor fraud scheme in San Antonio and Lubbock. The indictment alleges that Brooklynn Chandler Willy, 45, obstructed and attempted to obstruct that investigation by producing false documents in response to a federal grand jury subpoena.
According to the charging documents, Willy was the owner of a San Antonio based company named Queen B Advisors LLC, doing business as Texas Financial Advisory (TFA), and was the owner of Chandler Capital Holdings. Among other services, TFA purported to provide asset management and financial planning services. The indictment alleges that in or around May 2021, Willy recommended that a married couple invest $500,000 into a company, using Chandler Capital as the agent to execute and deliver contracts. The couple agreed and wrote a check for Chandler Capital to deposit for their agreed upon investment. The indictment alleges that rather than depositing the check for its intended investment, Willy used the $500,000 for her own purposes, including personal credit card payments, payments to other investors, and payments to another business owned and controlled by Willy.
According to the indictment, in response to a federal grand jury subpoena, Willy produced a false loan agreement which falsely purported to have been signed by the victims. Willy again produced this document to federal agents during an interview on Nov. 19, 2024, and made false statements about this document and other matters.
Willy is charged with one count of obstruction of, and attempt to obstruct, an official proceeding, one count of false statement, and one count of aggravated identity theft. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The FBI and IRS-CI are investigating the case.
Assistant U.S. Attorneys Joe Blackwell and Kelly Stephenson are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Texas Man Who Falsely Claimed to be Delta Force Veteran to Defraud Dozens of Victims Sentenced to 40 Years in Federal PrisonRead the Press Release
AUSTIN, Texas – A Manor man was sentenced in a federal court in Austin Wednesday to 480 months in prison for four counts of wire fraud and one count of money laundering.
According to court documents, Saint Jovite Youngblood, aka Kota Youngblood, 52, committed wire fraud against his victims by claiming Mexican drug cartel members were planning to commit violence against them. Youngblood falsely claimed to have been part of the U.S. Army’s Delta Force special operations unit and offered protection to his victims from the cartels in exchange for money. Youngblood also represented that funds obtained from his victim “investors” would be paid back with a significant return on the money. Instead, Youngblood used most of the money on junkets to Las Vegas to gamble in casinos. Over the course of his scheme, Youngblood defrauded 32 victims for more than $12 million. He was arrested July 31, 2023 and convicted by a federal jury April 23, 2024.
In addition to the 40 years of imprisonment, Youngblood was ordered to pay the full restitution of $12,766,384.
“This fraudster developed close relationships with dozens of individuals, building an immense amount of trust seemingly just to destroy their lives financially through elaborate, deceitful misrepresentations,” said U.S. Attorney Jaime Esparza for the Western District of Texas. “The 40-year sentence that Youngblood will now serve in federal prison, along with the full restitution paid back to the victims, demonstrates the gravity of these crimes, and it is my hope that the individuals and families impacted by his schemes are able to repair any loss they have suffered. Thanks to our partners at the FBI for their investigative efforts that assisted greatly with this successful outcome of justice.”
“Many of Youngblood’s victims were terrorized thinking their families were in danger; others lost their livelihoods to his schemes. This sentence reflects the despicable nature of Mr. Youngblood's lies and criminal actions,” said Special Agent in Charge Aaron Tapp for the FBI’s San Antonio Field Office. "The FBI is committed to identifying scams such as this - and ensuring anyone who endeavors to financially fleece innocent Americans is held to account. We want to thank the U.S. Attorney’s Office for their work on this case - and their continued assistance in gaining justice for victims of financial crimes.”
The FBI investigated the case.
Assistant U.S. Attorneys Dan Guess and Matt Harding prosecuted the case.
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Fort Cavazos Soldiers Arrested on Human Smuggling Conspiracy ChargesRead the Press Release
ALPINE, Texas – Three Fort Cavazos soldiers were arrested on criminal charges related to their alleged involvement in a conspiracy to smuggle undocumented noncitizens.
According to court documents, a U.S. Border Patrol Agent initiated a vehicle stop in Presidio on Nov. 27. The vehicle fled as the agent approached the passenger side and struck a second USBP vehicle, injuring an agent inside, according to the filed criminal complaint. Presidio County Deputies and Presidio Police Officers eventually stopped the vehicle and apprehended four individuals, three of whom were undocumented noncitizens—one Mexican national and two Guatemalan nationals. The fourth individual was Emilio Mendoza Lopez, who claimed to be the front seat passenger in the vehicle. The driver, alleged to be Angel Palma, fled on foot and was located the following day at a hotel in Odessa.
Mendoza Lopez and Palma allegedly traveled from Fort Cavazos to Presidio for the purpose of picking up and transporting undocumented noncitizens. A third individual, Enrique Jauregui, is alleged to be the recruiter and facilitator of the human smuggling conspiracy. Data extracted from Palma’s phone through a search warrant revealed messages between the three soldiers indicating collaboration in the smuggling operation.
Mendoza Lopez made his initial appearance Dec. 2 in Alpine before U.S. Magistrate Judge David B. Fannin. Mendoza Lopez is charged with one count of bringing in and harboring aliens.
Palma and Jauregui were both arrested Dec. 3 on Fort Cavazos. They are scheduled to appear before U.S. Magistrate Judge Jeffrey Manske for their initial appearance hearings in Waco on Dec. 6. The two codefendants are charged in a separate criminal complaint with one count of bringing in and harboring aliens and one count of assaulting a federal agent. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
HSI, USBP and the Department of the Army Criminal Investigation Division are investigating the case.
Assistant U.S. Attorney Kevin Cayton is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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El Paso Medical Equipment Supplier Sentenced to Federal Prison for $1.7 Million Healthcare Fraud SchemeRead the Press Release
EL PASO, Texas – An El Paso woman was sentenced in a federal court in El Paso to 60 months in prison for conspiracy to commit healthcare fraud.
According to court documents, Edelmira Marquez, 59, engaged in fraudulent billing practices as the owner of Marquez Medical Supply, a durable medical equipment company located in El Paso. Marquez’s scheme involved substituting and providing lesser valued items to Medicaid and Medicare beneficiaries/patients, then billing Medicaid and Medicare for the greater valued items. The items were primarily continence supplies including adult diapers. wipes and bed liners.
Marquez was summoned to court Dec. 21, 2023. She made her initial appearance Jan. 19, 2024, and was released on bond. She pleaded guilty to the single count on March 7. Upon sentencing, Marquez was remanded into federal custody. In addition to her imprisonment, Marquez was fined $20,000 and ordered to pay $1,739,608.59 in restitution to Medicaid.
U.S. Attorney Jaime Esparza for the Western District of Texas made the announcement.
The FBI and the Texas Attorney General Medicaid Fraud Control Unit investigated the case.
Assistant U.S. Attorney Debra Kanof prosecuted the case.
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