Southern District of Texas

BROWNSVILLE, Texas – A 55-year-old Mexican national illegally residing in Raymondville has been ordered to prison for trafficking methamphetamine and heroin, announced U.S. Attorney Nicholas J. Ganjei.

Reynaldo Galvan-Rico pleaded guilty April 4, 2024.

U.S. District Judge Rolando Olvera has now ordered him to serve 72 months in federal prison. Galvan-Rico is expected to face removal proceedings following his imprisonment.

Beginning in March 2019, authorities identified Galvan-Rico as a coordinator in Mexico. The investigation revealed he acted as the point of contact for the drug supplier in Mexico and the drivers transporting narcotics in the United States.

Galvan-Rico was allowed to remain on bond and surrender at a later date.

“A major component of Operation Take Back America is the pursuit and punishment of drug traffickers,” said Ganjei. “Those that seek a quick buck by poisoning our communities through the drug trade should be looking over their shoulder because we are coming for them.”

Immigration and Customs Enforcement - Homeland Security Investigations, Drug Enforcement Administration and FBI conducted the Organized Crime Drug Enforcement Task Forces (OCDETF) operation with the assistance of Customs and Border Protection.

OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.

Assistant U.S. Attorney Lance Watt prosecuted the case.

LAREDO, Texas – A 23-year-old Laredo man has been sentenced to federal prison for transporting illegal aliens, announced U.S. Attorney Nicholas J. Ganjei.

Braulio Ivan Rueda pleaded guilty Feb. 27.

U.S. District Judge Diana Saldaña has now ordered Rueda to serve a total of 21 months in federal prison to be immediately followed by three years of supervised release.

On Nov. 25, 2024, several people ran from the Rio Grande River into an SUV with fictitious plates. Rueda was driving. When authorities tried to block the vehicle, four Guatemalan nationals fled towards the river.

Rueda sped away and led authorities on a three-mile chase before stopping in a commercial parking lot and attempting to escape on foot.

Authorities soon took him into custody and located the four illegal aliens.

He admitted he needed money and agreed to smuggle the aliens for “easy money.” One had said he arranged in Guatemala to be smuggled into the United States and picked up near Laredo.

Rueda will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

Immigration and Customs Enforcement - Homeland Security Investigations conducted the investigation with assistance from Border Patrol, Laredo Police Department, Webb County Sheriff’s Office and Webb County District Attorney’s Office. Assistant U.S. Attorney Homero Ramirez is prosecuting the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

LAREDO, Texas – Two men have been sentenced for attempting to traffic firearms into Mexico on behalf of Jalisco New Generation Cartel (CJNG), announced U.S. Attorney Nicholas J. Ganjei.

Mexican national Jorge Alberto Morales-Calvo, 25, pleaded guilty Jan. 8, while Homero Arteaga Jr., 45, Mission, entered his plea Nov. 21, 2024.

U.S. District Judge John A. Kazen has now imposed a 41-month-term of imprisonment for Morales-Calvo. Not a U.S. citizen, he is expected to face removal proceedings following his sentence. At the hearing, the court heard Morales-Calvo and Arteaga knew the firearms were going to be smuggled across the border and delivered to CJNG. In handing down the sentence, Judge Kazen noted that selling firearms to the cartel in Mexico leads to the destabilization of that country. Arteaga previously received 57 months in prison to be immediately followed by three years of supervised release.

The investigation revealed Arteaga and Morales-Calvo were purchasing firearms on behalf of a broker for CJNG. On Sept. 18, 2024, they planned to purchase a Barrett .50 caliber rifle for $15,000 and a FN Herstal Belgium, 5.7 x 28 caliber pistol with a large capacity magazine for $850.

Arteaga and Morales-Calvo were given $16,000 in counterfeit U.S. currency to pay for the firearms.

When they arrived in Zapata to complete the transaction, Morales-Calvo stayed in the vehicle while Arteaga inspected the firearms. Arteaga then retrieved the fake U.S. currency and took possession of the firearms. Law enforcement immediately arrested Arteaga. Morales-Calvo attempted to flee but authorities stopped him before making it out of the parking lot.

“The Department of Justice is looking to hit the cartels from every angle and at every opportunity, which includes vigorously prosecuting not just the members of these terror groups, but those that enable them as well,” said Ganjei. “Those that arm or otherwise empower the cartels are going to the meet the full force of the federal criminal justice system.”

“Trafficking firearms on behalf of violent cartels is not just illegal, it fuels deadly cycle of violence on both sides of the border,” said Special Agent in Charge Michael Weddel of Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). “This case demonstrates how seriously we take these crimes and how we are using every tool and resource available to disrupt the illegal flow of weapons, dismantle cartel networks, and protect our communities.” The success of this investigation reflects the critical partnerships between all levels of law enforcement working together to stop this violence at its source.”

Both men have been and will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

The ATF conducted the investigation with the assistance of Border Patrol and the Texas Department of Public Safety. Assistant U.S. Attorney Andrew P. Hakala-Finch prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

LAREDO, Texas – A 24-year-old Laredo man has admitted to conspiring to transport illegal aliens, announced U.S. Attorney Nicholas J. Ganjei.

On April 13, authorities observed Anthony Jacob Garza suspiciously driving a Ford Expedition about 20 miles north of the U.S.-Mexico border. He continued along Texas Highway 44 towards Encinal where he eventually stopped at a gas station.

Upon law enforcement questioning, Garza claimed he was travelling alone. As authorities approached the rear of the vehicle, he admitted he had “picked up some guys” near a county road and didn’t know who they were. Law enforcement conducted a consensual search of the SUV and found three illegal aliens hiding under a blanket in the cargo area.

One told authorities he had agreed to pay $8,500 to smugglers in Mexico for transport into the United States and onto San Antonio. After crossing the Rio Grande River, the group traveled through the brush to the intersection of a county road and U.S. Highway 83, where Garza picked them up.

U.S. District Judge Diana Saldaña will impose sentencing at a later date. At that time, Garza faces up to 10 years in federal prison and a possible $250,000 maximum fine.

Garza has been and will remain in custody pending that hearing.

Immigration and Customs Enforcement – Homeland Security Investigations conducted the investigation with the assistance of Border Patrol. Assistant U.S. Attorney Homero Ramirez prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

HOUSTON – The former president of a local pipe and tubing company has pleaded guilty to tax evasion and bankruptcy fraud, announced U.S. Attorney Nicholas J. Ganjei.  

John Philip Tharp served as president of Bendco, a Pasadena-based company that specialized in bending pipes, tubes and other metal materials for oil and structural applications. The company filed for bankruptcy in February 2018.

Tharp admitted to embezzling funds by diverting and cashing customer payments at local businesses. He also directed Bendco to issue fraudulent checks payable to cash, fictitious vendors or companies with no legitimate business ties. To conceal the theft, Tharp altered the company’s financial records, including by deleting invoices.

“Bankruptcy exists to shield those that find themselves in dire financial straits, and to give people fresh starts,” said Ganjei. “When somebody commits bankruptcy fraud, they’re abusing this legal protection, and cheating those that lent them money, goods, or services. Here, through his duplicitous acts, the defendant unfortunately turned a messy financial situation into a criminal matter.”

“When you cash checks intended for your business, put it in your personal account and hide the evidence, it’s fraud. When you declare bankruptcy and fail to report the checks, it’s bankruptcy fraud. When you fail to file your tax returns and try to conceal how much you would owe, it’s tax evasion,” said acting Special Agent in Charge Lucy Tan of IRS Criminal Investigation’s Houston Field Office. “These financial laws are pretty simple to understand, which makes it easier for our special agents to prove your criminal intent. You know you’re breaking the law and we know we’ll catch you.”

According to court documents, Tharp carried out the scheme while Bendco was in bankruptcy proceedings. As part of that process, the company was required to deposit all incoming funds into a Debtor in Possession (DIP) account. Tharp admitted he caused Bendco to file false monthly operating reports to the bankruptcy court, falsely stating that all funds had been deposited into the DIP account.

He acknowledged his embezzlement resulted in a loss of $413,480.

Tharp also admitted he failed to file a 2018 tax return and willfully evaded payment of $126,430 owed to the IRS. 

U.S. District Judge Andrew S. Hanen will impose sentencing Sept. 22. Both counts of bankruptcy fraud and tax evasion carry a sentence of up to five years in prison. Tharp also agreed to pay $413,480 in restitution to Bendco and $126,430 to the IRS.   

He was permitted to remain on bond pending that hearing.

IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorneys Shirin Hakimzadeh and Brad Gray are prosecuting the case.   

CORPUS CHRISTI, Texas – A 48-year-old man from Jonesboro, Arkansas, has been ordered to federal prison for unlawfully transporting four illegal aliens, announced U.S. Attorney Nicholas J. Ganjei.

The jury deliberated for less than 30 minutes following a less than two-day trial before finding Noel Mercado guilty on two counts of alien smuggling March 11.

U.S. District Judge David S. Morales has now ordered Mercado to serve 36 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court considered evidence showing that two individuals had been bolted inside a pickup truck’s wheel well. In handing down the sentence, the court called the offense circumstance egregious and said the smuggled individuals had been “treated like trash.”

On the evening of Jan. 5, Mercado approached the Falfurrias Border Patrol checkpoint in a Ford F-350 and nearly drove past it. Authorities noticed his jaw shaking and a stuttered response to questions. A K-9 alerted to the vehicle which prompted a referral to secondary inspection, where an x-ray scan revealed two individuals hidden in bolted wheel well compartments and two more inside the auxiliary fuel tank.

All four were illegal aliens from the countries of Honduras, El Salvador and Guatemala with no authority to be in the United States.

At trial, Mercado claimed he had travelled to the Rio Grande Valley to trade baseball cards and other collectibles. He testified he had no idea any of the four individuals were concealed inside the truck he was driving. The jury did not believe his claims and found him guilty as charged.

“As we continue our successful campaign to secure the border, human smugglers are going to get increasingly desperate,” said Ganjei. “No matter how creative they think they are in their methods, our law enforcement partners are always one step ahead.”

Mercado will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

Customs and Border Protection conducted the investigation. Assistant U.S. Attorneys John Lamont and Ashley Pruitt prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

HOUSTON – Two men have been arrested on a federal criminal complaint charging them with violating U.S. sanctions related to Venezuela, illegally smuggling goods from the United States and money laundering.

Juan Carlos Cairo-Padron, 56, a Venezuelan national and lawful permanent resident of Huntsville, and Thomas Michael Fortinberry, 51, Decatur, Alabama, have made their initial appearances before U.S. Magistrate Judge Christina A. Bryan.

According to the criminal complaint, unsealed upon their appearances in court, Cairo and Fortinberry conspired for years to sell chemical catalysts, industrial equipment and associated services to Venezuelan state-owned steel mills and petrochemical companies that are subject to U.S. sanctions. Cairo and Fortinberry’s scheme allegedly involved the use of U.S. and overseas front companies that served as intermediaries on shipping documents, foreign bank accounts that moved money into and out of the United States and other activities designed to conceal the fact that the goods and services were destined for sanctioned entities.

The charges allege that from at least 2022 through the present, Cairo and Fortinberry — at times acting through companies they owned or controlled — sold millions of dollars’ worth of catalysts, industrial equipment and related services to the Venezuelan steel company Complejo Siderurgico de Guayana S.A. (COMSIGUA), which the Venezuelan government owns and is subject to U.S. sanctions. Cairo and Fortinberry allegedly used Chinese suppliers to ship the catalysts or industrial equipment directly from China to Venezuela, and in at least one instance, shipped the goods from the United States to Venezuela.

As part of their scheme, Cairo and Fortinberry also transferred millions of dollars between bank accounts in the United States, Spain and China — in transactions involving companies based in China, Germany and Spain — all for the purpose of continuing their sanctions evasion scheme and to conceal the true parties involved, according to the charges.

If convicted, both Cairo and Fortinberry face a maximum of 20 years in prison for the sanctions and money laundering violations and 10 years for smuggling.

Immigration and Customs Enforcement’s Homeland Security Investigations and Defense Criminal Investigative Service are conducting the investigation.

Assistant U.S. Attorneys S. Mark McIntyre and John Marck are prosecuting the case along with Trial Attorneys Adam P. Barry, Yifei Zheng and Christopher Magnani of the National Security Division’s Counterintelligence and Export Control Section.

A criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

Note: View the criminal complaint.

Juan Carlos Cairo-Padron, 56, of Huntsville, Texas, and Thomas Michael Fortinberry, 51, of Decatur, Alabama, were arrested on June 13, 2025 on a federal criminal complaint charging them with violating U.S. sanctions related to Venezuela, illegally smuggling goods from the United States, and money laundering. The defendants will make their initial court appearances in the Southern District of Texas today.

According to the complaint, Cairo, a Venezuelan national and U.S. lawful permanent resident, and Fortinberry, a U.S. citizen, conspired for years to sell chemical catalysts, industrial equipment, and associated services to Venezuelan state-owned steel mills and petrochemical companies that are subject to U.S. sanctions. Cairo and Fortinberry’s scheme involved the use of U.S. and overseas front companies that served as intermediaries on shipping documents, foreign bank accounts that moved money into and out of the United States, and other activities designed to conceal the fact that the goods and services were destined for sanctioned entities.

As alleged, from at least 2022 through the present, Cairo and Fortinberry — at times acting through companies that they owned or controlled such as DRI Reformers and Reformer Technologies — sold millions of dollars’ worth of catalysts, industrial equipment, and related services to the Venezuelan steel company Complejo Siderurgico de Guayana S.A. (COMSIGUA), which is owned by the Venezuelan government and is subject to U.S. sanctions. Cairo and Fortinberry used Chinese suppliers to ship the catalysts or industrial equipment directly from China to Venezuela, and in at least one instance, they shipped the goods from the United States to Venezuela. As part of their scheme, Cario and Fortinberry also transferred millions of dollars between bank accounts in the United States, Spain, and China — in transactions involving companies based in China, Germany, and Spain — all for the purpose of continuing their sanctions evasion scheme, and to conceal the true parties involved.

If convicted, both Cairo and Fortinberry face a maximum penalty of 20 years in prison for the sanctions and money laundering violations, and 10 years in prison for the smuggling violation. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI) and the Defense Criminal Investigative Service are investigating the case.

Trial Attorneys Adam P. Barry and Yifei Zheng of the National Security Division’s Counterintelligence and Export Control Section, and Assistant U.S. Attorneys S. Mark McIntyre and John Marck for the Southern District of Texas are prosecuting the case. Trial Attorney Christopher Magnani provided substantial assistance.

A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

LAREDO, Texas – A 39-year-old Mexican national has pleaded guilty to transportation of child pornography, announced U.S. Attorney Nicholas J. Ganjei.

On March 12, Raul Velasco-Leon was traveling from Tennessee and approached the Juarez-Lincoln International Bridge attempting to enter Mexico. While on the primary lane, authorities selected Velasco-Leon for further inspection and referred him to secondary.

They conducted a search of his belongings and found what appeared to be a piece of youth-sized clothing with the words “Girl Power” tucked inside a jean pocket. Law enforcement also discovered multiple electronic devices, including 10 USB flash drives, two cell phones and a laptop. On one of the devices, they discovered six files containing child sexual abuse material (CSAM) of minor victims approximately 10 years of age.

The files contained approximately five photographs and one video that contained CSAM. The five images, displayed via video chat, depicted female minor victims showing their genital areas. The video had a split screen with the adult male, later determined to be Velasco-Leon, masturbating while the top of the screen displayed a montage of CSAM including a female minor victim being forced to perform oral sex on an adult male.

Velasco-Leon admitted he had been engaged in a video chat and when he saw the CSAM, he would watch and screen record it.

U.S. District Judge John A. Kazen will impose sentencing at a later date. At that time, Velasco-Leon faces up to 20 years in federal prison and a possible $250,000 maximum fine.

He has been and will remain in custody pending sentencing.

“This case is about protecting kids both north and south of the border from the defendant’s predatory behavior,” said Ganjei. “Although Velasco-Leon was about to depart the United States for Mexico, given his conduct, his stay in the U.S. is about to become much, much longer.”

“This guilty plea is a critical step in holding Velasco-Leon accountable for the disturbing crimes he committed,” said Acting Deputy Special Agent in Charge Mauro Lopez of Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI) Laredo. “HSI remains committed to identifying, investigating and bringing to justice those who exploit children. We will continue working tirelessly with our law enforcement partners to ensure predators face the full consequences of their actions and that victims are not forgotten.”

ICE-HSI conducted the investigation with the assistance of Customs and Border Protection.

Assistant U.S. Attorney Christine A. Cortez is prosecuting the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page. 

Note: View a copy of the White Deer declination letter, Unicat non-prosecution agreement, and Mani Erfan's plea agreement.

The Justice Department’s National Security Division (NSD) and the U.S. Attorney’s Office for the Southern District of Texas (SDTX) today announced that they declined the prosecution of private equity firm White Deer Management LLC (White Deer) and its affiliates after the firm discovered and voluntarily self-disclosed criminal violations of U.S. sanctions and export laws committed by a company it acquired, Texas-based Unicat Catalyst Technologies LLC (Unicat).

NSD and SDTX also announced that the Justice Department entered into a non-prosecution agreement (NPA) with Unicat, and that, on Aug. 19, 2024, the former chief executive officer (CEO) and co-founder of Unicat, Mani Erfan, pleaded guilty to conspiring to violate U.S. sanctions against Iran and other countries and foreign governments, as well as concealment and international promotional money laundering. As part of his plea, Erfan also agreed to pay a money judgment in the amount of $1,600,000.

“After acquiring a company with a hidden history of sanctions violations, this private equity firm uncovered the misconduct, stopped it, and quickly reported it to the government, leading to the successful prosecution of a senior executive,” said Assistant Attorney General for National Security John A. Eisenberg. “Our decision to decline prosecution of the acquiror and extend a non-prosecution agreement to the acquired entity in this case reflects the National Security Division’s strong commitment to rewarding responsible corporate leadership.”

“Illegally exporting sensitive items to Venezuela and Iran to help them evade sanctions directly undermines U.S. foreign policy and threatens our national security,” said Special Agent in Charge Chad Plantz of Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI) Houston. “HSI will not sit by idly while businesses or individuals operating in the U.S. blatantly help our nation’s adversaries procure sensitive technologies or weapons and today’s announcement of a $3 million fine and the imposition of criminal charges is just another example of that enduring commitment.”

As detailed in court documents and in the Department’s agreements with White Deer and Unicat, from approximately 2014 through 2021, Mani Erfan, Unicat’s former CEO, conspired with others, including at least one other Unicat employee, to cause Unicat to submit bids and make sales to customers in Iran, Venezuela, Syria, and Cuba in violation of U.S. economic sanctions. In total, Erfan caused Unicat to make a total of 23 unlawful sales of chemical catalysts used in oil refining and steel production to customers in Iran, Venezuela, and Cuba. Some of the sales were effected through exports of catalysts from the United States and further violated U.S. export control laws.

To further the conspiracy, the conspirators made false statements in export documents and financial records about the true identities and locations of Unicat’s customers and falsely assured some Unicat employees that the company’s business with customers subject to U.S. economic sanctions was lawful. Unicat obtained approximately $3.33 million in revenue from its unlawful sales.

Erfan and Unicat employees additionally falsified invoices to reduce the tariffs assessed on catalysts that Unicat imported from China. By undervaluing these imports, Unicat caused a loss of revenue of approximately $1.66 million in duties, taxes, and fees. Further, during negotiations to sell Unicat to White Deer, Unicat’s prior owners provided representations and warranties to White Deer attesting to Unicat’s compliance with U.S. sanctions and export control laws.

The scheme came to light in June 2021, in the midst of the COVID-19 pandemic, after White Deer acquired Unicat and a second company based in the United Kingdom, and Unicat’s new CEO was able to travel to the United States to visit Unicat and begin to integrate the operations of the company. During his visit, the new CEO learned that Unicat had a pending transaction with an Iranian customer and immediately ordered the deal’s cancellation. Over the next month, White Deer and Unicat’s new CEO retained counsel to investigate, and learned that Unicat had engaged in a series of transactions with counterparties subject to different U.S. sanctions programs. Before the investigation was complete, but after determining that Unicat employees had engaged in potentially criminal violations of U.S. sanctions laws, White Deer and Unicat’s new management submitted a voluntary self-disclosure to NSD.

Pursuant to the NPA, Unicat agreed to pay forfeiture totaling $3,325,052.10, representing the proceeds of its violations of U.S. sanctions and export control laws. In parallel resolutions coordinated between the Justice Department, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), and the Commerce Department’s Bureau of Industry and Security (BIS) Office of Export Enforcement (OEE), Unicat agreed to pay $3,882,797 to OFAC for its apparent violations of U.S. sanctions laws, and agreed with OEE to pay a penalty of $391,183 for its violation of U.S. export control laws. OFAC agreed to credit Unicat’s payment of forfeiture pursuant to the NPA against the OFAC penalty, and OEE has agreed to credit Unicat’s payment to OFAC against the OEE penalty. In a separate administrative resolution with U.S. Customs and Border Protection, Unicat agreed to pay $1,655,189.57, in underpaid duties, taxes, and fees.

NSD and SDTX declined White Deer’s prosecution and entered into the NPA with Unicat after considering the factors set forth in the Department’s Principles of Federal Prosecution of Business Organizations, the National Security Division Enforcement Policy for Business Organizations (NSD Enforcement Policy), and pursuant to the provisions of the NSD Enforcement Policy that apply to Voluntary Self-Disclosures in Connection with Acquisitions (the NSD M&A Policy).

The NSD M&A Policy provides that when a company (1) completes a lawful bona fide acquisition of another entity, (2) voluntarily and timely self-discloses to NSD potentially criminal violations of laws affecting U.S. national security committed by the acquired entity, (3) fully cooperates with NSD’s investigation, and (4) timely and appropriately remediates the misconduct, NSD generally will not seek a guilty plea from the acquiror, and there is a presumption that NSD will decline to prosecute the acquiror. The NSD M&A Policy further provides that while a presumption of declination is not available to the acquired entity, NSD will credit the acquiror’s timely voluntary self-disclosure to the acquired entity and will consider whether the acquired entity otherwise satisfies the NSD Enforcement Policy’s requirements to obtain the benefits of the Policy.

NSD and SDTX determined that White Deer’s acquisition of Unicat was a lawful bona fide acquisition, and that White Deer’s self-disclosure was timely under all of the relevant circumstances, including the COVID-19 pandemic and in the context of White Deer’s acquisition of Unicat and efforts to integrate the company’s operations into another acquired entity. White Deer and Unicat fully cooperated with the government’s subsequent investigation by proactively identifying, collecting, and disclosing relevant evidence to investigators, including foreign language evidence and evidence located overseas, and providing detailed and timely responses to the government’s requests for information and evidence. White Deer’s and Unicat’s cooperation materially assisted the government’s investigation, leading to the successful prosecution of Unicat’s former CEO. Unicat remediated the root cause of the misconduct in less than one year from the date of its discovery by terminating culpable employees, disciplining other employees involved in the misconduct, seeking reimbursement from Unicat’s sellers, and designing and implementing a comprehensive and robust internal controls and compliance program that has proven effective in practice at identifying and preventing similar potential misconduct.

This resolution marks the first time since the creation of the Justice Department’s Mergers and Acquisitions Policy in March 2024 that the Department has declined the prosecution of an acquiror for self-disclosing criminal conduct discovered at an acquired entity.

Trial Attorneys Adam P. Barry and Yifei Zheng of the National Security Division’s Counterintelligence and Export Control Section, and Assistant U.S. Attorneys S. Mark McIntyre and John Marck for the Southern District of Texas prosecuted the case. 

ICE-HSI, the Defense Criminal Investigative Service, and BIS investigated the case.

HOUSTON - The Justice Department’s National Security Division (NSD) and U.S. Attorney’s Office for the Southern District of Texas (SDTX) announced they have declined prosecution of private equity firm White Deer Management LLC and its affiliated acquisition entities. The decision follows the firm’s discovery and voluntary self-disclosure to NSD of criminal violations of U.S. sanctions laws, export controls and related offenses that Unicat Catalyst Technologies LLC, a Texas-based company it acquired, had committed.

NSD and SDTX also announced that the Department of Justice (DOJ) entered into a non-prosecution agreement (NPA) with Unicat. Additionally, on Aug. 19, 2024, Unicat’s former co-founder and CEO Mani Erfan pleaded guilty in SDTX to conspiring to violate U.S. sanctions against Iran and other countries and foreign governments, as well as to concealment and international promotional money laundering. As part of his plea, Erfan also agreed to pay a money judgement in the amount of $1.6 million.

“After acquiring a company with a hidden history of sanctions violations, this private equity firm uncovered the misconduct, stopped it and quickly reported it to the government, leading to the successful prosecution of a senior executive,” said Assistant Attorney General for National Security John A. Eisenberg. “Our decision to decline prosecution of the acquiror and extend a non-prosecution agreement to the acquired entity in this case reflects the NSD’s strong commitment to rewarding responsible corporate leadership.”

“Illegally exporting sensitive items to Venezuela and Iran to help them evade sanctions directly undermines U.S. foreign policy and threatens our national security,” said Special Agent in Charge Chad Plantz of Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI) Houston. “HSI will not sit by idly while businesses or individuals operating in the U.S. blatantly help our nation’s adversaries procure sensitive technologies or weapons and today’s announcement of a $3 million fine and the imposition of criminal charges is just another example of that enduring commitment.”

According to court documents and DOJ agreements from approximately 2014 to 2021, Mani Erfan conspired with others, including a Unicat employee, to illegally sell products to customers in Iran, Venezuela, Syria and Cuba in violation of U.S. sanctions. Erfan directed Unicat to make 23 unlawful sales of chemical catalysts used in oil refining and steel production, generating about $3.33 million in revenue.

Several sales involved exports from the United States and also violated U.S. export control laws. To cover up the scheme, the conspirators falsified export documents and financial records, misrepresenting the identities and locations of customers. They also assured some Unicat employees the company’s business dealings were lawful.

Efran and Unicat employees submitted falsified invoices to understate tariffs on catalysts imported from China, causing an estimated $1.66 million loss in duties, taxes and fees. During negotiations to sell Unicat, its prior owners falsely certified the company complied with U.S. sanctions and export control laws.

The scheme surfaced in June 2021 during the COVID-19 pandemic after White Deer acquired Unicat and a second U.K.-based firm. Once travel restrictions eased, Unicat’s new CEO visited the United States to begin integrating operations. During the visit, the CEO discovered Unicat had a pending transaction with an Iranian customer and immediately canceled the deal.

Over the following month, White Deer and the new CEO hired outside counsel and launched an internal investigation. They discovered Unicat had engaged in multiple transactions with customers subject to various U.S. sanctions programs. Before the investigation concluded, White Deer and Unicat’s new leadership voluntarily disclosed the conduct to the NSD.

The Justice Department determined that White Deer lawfully acquired Unicat and submitted a timely disclosure based on the circumstances, including pandemic-related delays. Both companies fully cooperated with the government’s investigation by identifying key evidence, including foreign-language materials and documents stored overseas and by responding promptly to information requests.

Their cooperation led to the successful prosecution of Unicat’s former CEO. Within a year of discovering the misconduct, Unicat terminated responsible employees, sought reimbursement from the company’s prior owners and implemented a comprehensive compliance program that has proven effective in detecting and preventing similar violations.

Under the terms of the NPA, Unicat agreed to forfeit $3,325,052.10, representing proceeds from violations of U.S. sanctions and export control laws.

In parallel resolutions, Unicat has agreed to pay $3,882,797 to the Treasury Department’s Office of Foreign Assets Control (OFAC) for violating U.S. sanctions laws and $391,183 to the Commerce Department’s Office of Export Enforcement (OEE) for violating export control regulations. Customs and Border Protection separately required Unicat to pay $1,655,189.57 in underpaid duties, taxes and fees. Both OFAC and OEE agreed to credit Unicat’s forfeiture payment to the Justice Department toward their respective penalties.

The NSD and SDTX declined to prosecute White Deer after considering the Justice Department’s Principles of Federal Prosecution of Business Organizations and the NSD Enforcement Policy for Business Organizations. The NSD Enforcement policy presumes the division will decline prosecution when a company lawfully acquires another business, voluntarily and promptly discloses potential criminal conduct, fully cooperates with the investigation and remediates the misconduct in a timely and appropriate manner.

The NSD M&A Policy states that when a company lawfully acquires another business, voluntarily and promptly discloses potential criminal conduct, fully cooperates with the investigation and appropriately remediates the misconduct, NSD generally will not seek a guilty plea from the acquiring company and will presume declination of prosecution.

While this presumption does not apply to the acquired entity itself, NSD will consider whether the acquired company meets the enforcement policy’s standards and will credit the acquiror’s timely self-disclosure accordingly.

This case marks the first time since the Justice Department adopted its Mergers and Acquisitions Policy in March 2024 that it has declined prosecution of an acquiring company that self-disclosed misconduct at an acquired entity.

ICE-HSI, Department of Defense Criminal Investigative Service and Department of Commerce, Bureau of Industry and Security conducted the investigation.

Assistant U.S. Attorneys S. Mark McIntyre and John Marck are prosecuting the case along with Trial Attorneys Adam P. Barry and Yifei Zheng of the NSD’s Counterintelligence and Export Control Section.

Note: View a copy of the White Deer declination letter, Unicat non-prosecution agreement, and Mani Erfan's plea agreement.

BROWNSVILLE, Texas – A 37-year-old Mexican woman living in San Benito has been charged with assaulting an agent with Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI), announced U.S. Attorney Nicholas J. Ganjei.

Maria Isabel Cruz-Salas is expected for her next hearing before U.S. Magistrate Judge Karen Betancourt June 18 at 11:15. She is currently in custody.

The criminal complaint filed June 10 alleges Cruz-Salas assaulted a federal officer during a worksite immigration inspection in San Benito.

According to the charges, authorities were conducting a lawful enforcement operation June 9 at Taqueria El Mante, where they discovered Cruz-Salas. As an HSI agent attempted to detain her, she allegedly kicked him in the face.

If convicted, she faces a maximum of eight years in federal prison and a possible $250,000 maximum fine.

ICE-HSI and FBI are conducting the investigation. Assistant U.S. Attorney David Coronado is prosecuting the case. 

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

A criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

HOUSTON – A total of 332 individuals have been charged in cases filed from June 6-12 in border-security related matters, announced U.S. Attorney Nicholas J. Ganjei. 

The cases include 10 that involve human smuggling. A total of 205 people are charged with illegally entering the country, while another 109 face charges of felony reentry after prior removal. Most of those individuals have prior felonies such as narcotics, violent crime, immigration crimes and more. Other relevant cases include those involving other immigration crimes as well as an assault and threat to federal officers.

One of those is Maria Isabel Cruz-Salas, a Mexican national who lives in San Benito. The criminal complaint alleges that while authorities were conducting a lawful immigration enforcement action at a local establishment, they encountered Cruz-Salas. When they attempted to detain Cruz-Salas, she allegedly kicked a federal agent in the face. If convicted, she faces up to eight years in prison.

Another woman facing charges this week is Michelle Lee Varela, who allegedly threatened to shoot a federal agent in the course of his duties. Law enforcement had been requesting information regarding the status of her husband in the United States. She used profanity and threatened to shoot if they tried to take him into custody. The charges allege law enforcement advised her to consider her remarks as she had just threatened a federal agent, but she continued in an elevated voice and a threatening tone.  

“The Southern District of Texas takes allegations of threatened violence against law enforcement very seriously,” said Ganjei. “Immigration authorities must be able to carry out their lawful duties free from violence or threats, and those that attempt to obstruct or harm such agents will be held accountable.”

Among those also charged this week are Paulina Lopez-Bello and Juan Eliud Calva-Lopez, both Mexican nationals. According to court documents, authorities discovered fraudulent lawful permanent resident cards and Social Security documents at their residence in South Texas. According to the charges, both individuals used the counterfeit materials to secure employment in the United States. They allegedly paid $300 for the fake identification. If convicted of fraud and misuse of visas, permits and other documents, they face up to 10 years in federal prison and a $250,000 fine.

Roberto Carlos Moncada-Pena, a Mexican national living in Mission, faces charges of human smuggling. The criminal complaint alleges authorities encountered Moncada-Pena during a traffic stop where they discovered three illegal aliens in the vehicle. Upon searching his apartment, law enforcement discovered 10 additional illegal aliens. If convicted, Moncada-Pena faces up to 10 years in federal prison and a maximum $250,000 possible fine.

In addition to the new cases, also announced this week was the sentencing of four Mexican nationals, all of whom have been previously convicted of illegal reentry into the United States, among other crimes. Josue Rodriguez-Rodriguez has been removed 10 times. He now faces another 69-month federal prison sentence.  

Jose Manuel Cruz-Diaz, Adrian Villa-Morales and Jose De Jesus Soto-Gonzalez have been removed at least twice before and have various felony convictions such as evading arrest with a motor vehicle, methamphetamine distribution, possession with intent to distribute marijuana and aggravated assault family violence. Sentences in federal court this week ranged from 21-57 months. 

Also of note was the sentencing of a Nigerian man who had illegally resided in Houston. Omokehinde Muyiwa Oyegoke-Tewogbade and co-conspirators schemed to steal U.S. mail containing new credit cards and bank statements intended for account holders. They contacted financial institutions to activate the stolen cards, increased credit limits and altered account information. They then used the cards to purchase goods, services, gift cards, cash and merchandise at retail stores. In total, they fraudulently activated at least 120 stolen credit cards, causing an estimated $1 million in losses to Chase Bank. He is expected to face removal proceedings following his imprisonment

These cases were referred or supported by federal law enforcement partners, including Immigration and Customs Enforcement (ICE) - Homeland Security Investigations, ICE - Enforcement and Removal Operations, Border Patrol, Drug Enforcement Administration, FBI, U.S. Marshals Service and Bureau of Alcohol, Tobacco, Firearms and Explosives with additional assistance from state and local law enforcement partners.

The cases are part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

Under current leadership, public safety and a secure border are the top priorities for this district. Enhanced enforcement both at the border and in the interior of the district have yielded aliens engaged in unlawful activity or with serious criminal history, including human trafficking, sexual assault and violence against children.  

The U.S. Attorney’s Office for the Southern District of Texas remains one of the busiest in the nation. It represents 43 counties and more than nine million people covering 44,000 square miles. Assistant U.S. Attorneys from all seven divisions including Houston, Galveston, Victoria, Corpus Christi, Brownsville, McAllen and Laredo work directly with our law enforcement partners on the federal, state and local levels to prosecute the suspected offenders of these and other federal crimes. 

An indictment or criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

CORPUS CHRISTI, Texas – A 42-year-old Texas woman has been taken into custody for threatening an Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI) agent in the performance of his duties, announced U.S. Attorney Nicholas J. Ganjei.

The criminal complaint has now been unsealed as Michelle Lee Varela made her initial appearance before a U.S. magistrate judge in San Antonio. She is expected to be in Corpus Christi federal court in the near future. 

The charges allege that on June 4, Verela influenced, impeded or retaliated against a federal officer by threat and used interstate communications to transmit a threat to injure another. Specifically, Verela allegedly made threats via cell phone to an agent with ICE-HSI.

According to the complaint, authorities were conducting a lawful immigration action and had requested information from Varela regarding her husband’s status in the United States. She allegedly used profanity and said if her husband was taken into custody, she would shoot them. The charges allege law enforcement advised her to consider her remarks as she had just threatened a federal agent, but she continued in an elevated voice and a threatening tone. She eventually hung up the phone, according to the complaint.  

If convicted, she faces up to 10 and five years in federal prison for the threat and interstate communications allegations, respectively. Both charges also carry a possible $250,000 fine, upon conviction.

“The Southern District of Texas takes allegations of threatened violence against law enforcement very seriously,” said Ganjei. “Immigration authorities must be able to carry out their lawful duties free from violence or threats, and those that attempt to obstruct or harm such agents will be held accountable.”

ICE-HSI conducted the investigation with the assistance of Goliad County Sheriff’s Office. Assistant U.S. Attorney Patti Hubert Booth is prosecuting the case. 

A criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

HOUSTON – A 47-year-old Mexican national who illegally resided in Houston has been sentenced to federal prison again, announced U.S. Attorney Nicholas J. Ganjei.

Josue Rodriguez-Rodriguez pleaded guilty on March 14. 

U.S. District Judge Ewing Werlein Jr. has now ordered Rodriguez-Rodriguez to serve 69 months in federal prison. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. In handing down the sentence, the court noted that Rodriguez-Rodriguez’s previous 41-month sentence for illegal reentry failed to deter him.

Rodriguez-Rodriguez has felony convictions for illegal reentry as well as two convictions for aggravated assault-family violence and possession with intent to deliver or manufacture a controlled substance. He was first removed in 2000.

On May 5, 2014, authorities discovered Rodriguez-Rodriguez near Carrizo Springs for a 10th time. Rodriguez-Rodriguez was later sentenced to 41 months in federal prison and removed again. Authorities found him once more on Feb. 23, 2021, in Houston.

“Our nation’s immigration laws are not mere suggestions, they are backed by criminal penalties,” said Ganjei. “The defendant could have easily avoided further prison time by simply remaining in Mexico, but he instead chose to break the law…again…and again…and again. Perhaps with today’s sentence, Mr. Rodriguez-Rodriguez will finally understand the lesson he should have learned long ago.”

Rodriguez-Rodriguez will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future. 

Immigrations and Customs Enforcement – Enforcement and Removal Operations conducted the investigation. Assistant U.S. Attorney Anthony Franklyn prosecuted the case. 

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs) and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

HOUSTON – A 39-year-old Mission man has been sentenced for his role in a long-running and violent conspiracy to monopolize the transmigrante forwarding agency (TFA) industry in the Los Indios border region, announced U.S. Attorney Nicholas J. Ganjei.

Carlos Martinez, who pleaded guilty Feb. 6, and his co-conspirators controlled the transmigrate industry through monopolization and extortion of competitors.

U.S. District Judge George C. Hanks Jr. has now ordered Martinez to serve 132 months in federal prison to be immediately followed by three years of supervised release. He must also pay a $2 million fine. 

Martinez and others used fear to control pricing, eliminate competition and keep the transmigrante industry profitable through “pool” allocations and piso payments.

Transmigrantes transport used vehicles and goods from the United States through Mexico for resale in Central America. Only a few U.S. border crossings, including the Los Indios Bridge, allow transmigrantes to enter Mexico.

Transmigrante forwarding agencies are U.S.-based businesses that help clients complete customs paperwork to export vehicles into Mexico. Martinez and his co-conspirators fixed prices for forwarding services and created a centralized entity, known as the “pool,” to collect and divide revenue among conspirators. They used the pool to eliminate competition and raise prices.

“Price fixing is not a victimless crime; it harms customers in the form of artificially high prices. Consumers need to have faith that the prices they pay are fairly determined by the market, rather than the product of illegal collusion,” said U.S. Attorney Nicholas J. Ganjei. “The 11-year sentence Mr. Martinez received reflects the size and scope of his criminal operation, as well as his leadership role in organizing and facilitating the unlawful scheme.”

“The defendants extorted victims trying to make an honest living in the freight forwarding business, and by fixing prices illegally drove up the cost of moving goods,” said Matthew R. Galeotti, head of the Justice Department’s Criminal Division. “The lead defendant’s sentence of 11 years in prison reflects the harm caused to the business community along the Southern border. The Department of Justice’s Criminal Division will continue to work to ensure that competition is fairly preserved.”

“Today’s sentence reflects the significant danger and harm the American people face from violent and extortive actions aimed at fixing prices and monopolizing the market for essential services in the Texas border region,” said Assistant Attorney General Abigail Slater of the Justice Department’s Antitrust Division. “The Antitrust Division will continue to aggressively pursue violent criminals who aim to corrupt America’s free markets and advocate for their incarceration.”

“This case underscores the serious threat posed by transnational criminal networks operating at our borders,” said Special Agent in Charge Craig Larrabee of Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI) San Antonio. “Carlos Martinez and his co-conspirators orchestrated a violent scheme that extorted small businesses, fixed prices, and laundered millions of dollars — all while threatening the safety and integrity of lawful commerce. HSI will continue to aggressively pursue those who exploit legitimate industries through corruption and intimidation, and we remain steadfast in our mission to protect our communities and our economy.”

“The FBI will remain laser focused on transnational criminal organizations, including organizations that use violence, threats or extortion to fix prices and eliminate competition,” said Special Agent in Charge Aaron Tapp of the FBI’s San Antonio Field Office. “The American people deserve access to fair markets, free from threats of violence or the corrosive impact of illegal market interference, manipulation, or collusion. Together with our partners, we are committed to protecting our borders and dismantling every component of transnational criminal organizations.”

Martinez, the son-in-law of a former Gulf Cartel leader in Mexico, ran a violent criminal syndicate operating at the U.S.-Mexico border. He seized control of the Los Indios bridge near Harlingen and Brownsville and hired workers to monitor transmigrante forwarding agencies and calculate the piso each owned.

Workers collected piso payments in cash and submitted them to Martinez’s organization. He enforced compliance by ordering disciplinary action against agencies that operated without permission, violated pool rules, failed to charge fixed prices or refused to make extortionate payments.

Forwarders not involved in the conspiracy were forced to join and pay into the pool. Martinez and other pool members monitored whether agencies followed pricing rules and made required payments. Martinez and his co-conspirators also demanded additional extortion fees, including a piso for each processed transaction and a fine for operating outside the pool. They used threats, intimidation and violence to enforce compliance and further their antitrust and extortion conspiracies.

Clients who didn’t comply faced consequences ranging from being denied access to the Los Indios Bridge to having their cars stolen. In more severe cases, they were kidnapped, beaten, firebombed, shot or killed.

Martinez personally collected at least $9.5 million in extortion payments. He and his family laundered the money through bank accounts they controlled, disguising the deposits to hide the true source, nature and ownership of the illicit funds.

To date, seven others have been convicted, three of whom have already been sentenced in the case.

ICE-HSI and FBI conducted the investigation.

Assistant U.S. Attorney Alexander L. Alum is prosecuting the case along with Trial Attorney Christina Taylor of the Criminal Division’s Violent Crime and Racketeering Section; Senior Litigation Attorney John Davis and Trial Attorneys Brittany E. McClure, Anne Veldhuis and Michael G. Lepage, all of the of the Antitrust Division.

HOUSTON – A 34-year-old Mexican national with a felony criminal history has been sentenced for illegally reentering the United States after three previous removals, announced U.S. Attorney Nicholas J. Ganjei.

Jose Manuel Cruz-Diaz, who had illegally resided in Houston, pleaded guilty March 28.

U.S. District Judge Sim Lake has now ordered Cruz-Diaz to serve 57 months in federal prison. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. In handing down the sentence, the court noted Cruz-Diaz had been removed four times previously and was a drug dealer. 

He has three prior felony convictions for illegal reentry as well as evading arrest with a motor vehicle. He was also convicted of delivery of black tar heroine and methamphetamines and sentenced to 10 years in state prison. He was first removed from the United States in 2011 and most recently in 2016. However, authorities discovered him in Houston in January 2020 upon his arrest for distribution of controlled substances.

Cruz-Diaz has been and will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

Immigration and Customs Enforcement – Homeland Security Investigations and the Houston Police Department conducted the investigation. Assistant U.S. Attorney Jay Hileman prosecuted the case. 

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

CORPUS CHRISTI, Texas – A 36-year-old citizen of Mexico with a felony record has been sentenced for illegal reentry into the United States, announced U.S. Attorney Nicholas J. Ganjei.

Jose De Jesus Soto-Gonzalez pleaded guilty March 5. 

U.S. District Judge David S. Morales has now ordered Soto-Gonzalez to serve 21 months in federal prison. Not a U.S. citizen, he is again expected to face removal proceedings following his sentence. 

In handing down the sentence, the court noted Soto-Gonzalez had a felony conviction for possession with intent to distribute over 100 kilograms of marijuana and served approximately four years in prison before his removal in 2022. He illegally returned and was removed again in 2023. Authorities had also previously removed him in 2008 and 2014. 

On Dec. 20, 2024, authorities encountered Soto-Gonzalez at the Border Patrol checkpoint near Falfurrias. They discovered he was a citizen of Mexico without any permission to be back in the United States. The investigation revealed he had illegally reentered the country in July 2024 near Laredo after his 2023 removal.  

Soto-Gonzalez has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. 

Border Patrol conducted the investigation. Assistant U.S. Attorney Ashley Martin prosecuted the case. 

HOUSTON – A 64-year-old man who illegally resided in Houston has been sentenced for his role in a large-scale mail theft and credit card fraud scheme, announced U.S. Attorney Nicholas J. Ganjei.

Omokehinde Muyiwa Oyegoke-Tewogbade pleaded guilty Feb. 19.

U.S. District Judge Andrew S. Hanen has now ordered him to serve 24 months in federal prison and to pay restitution in the amount of $839,555.75. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment as Oyegoke-Tewogbade had overstayed his visa and was unlawfully present in the United States.

Over a six-month period between November 2022 and May 2023, Oyegoke-Tewogbade and co-conspirators schemed to steal U.S. mail containing new credit cards and bank statements intended for account holders. They contacted financial institutions to activate the stolen cards, increased credit limits and altered account information. They then used the cards to purchase goods, services, gift cards, cash and merchandise at retail stores.

In total, they fraudulently activated at least 120 stolen credit cards, causing an estimated $1 million in losses to Chase Bank.

Four others had also previously pleaded guilty to the same charges - Christopher McGee, 43, Daniel Sanchez, 37, Bradley Kane Zarco, 39, and Travis Castaneda Qawasmeh, 28, all of Houston. Sanchez has already been sentenced to 41 months, while the others are pending their hearings.  

Oyegoke-Tewogbade will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

U.S. Postal Inspection Service conducted the investigation. Assistant U.S. Attorney Karen Lansden prosecuted the case.

BROWNSVILLE, Texas – Four members of a Mexican fishing crew have admitted they unlawfully transported fish taken from the Gulf of America, announced U.S. Attorney Nicholas J. Ganjei.

Jose Daniel Santiago-Mendoza, 22, has now pleaded guilty, while Miguel Angel Ramirez-Vidal, 32, Jesus David Luna-Marquez, 20, and Jesus Roberto Morales-Amador, 27, all citizens of Mexico, previously entered their pleas. All have admitted to knowingly transporting approximately 315 kilograms of illegally taken red snapper.

On April 16, the four-man crew left Playa Bagdad, Mexico, at night in a 25-foot open fishing vessel without running lights. They then traveled into the Exclusive Economic Zone in U.S. waters, ultimately deploying about four miles of longline containing approximately 1,200 hooks. The gear was set approximately 18 miles north of the Maritime Boundary Line with Mexico and about 25 miles east of South Padre Island (SPI).

When authorities apprehended the crew, they were in possession of approximately 693 pounds of red snapper and four sharks. The men knew the catch would be seized if they were caught in U.S. waters but chose to take the risk due to the limited supply of red snapper in Mexican waters.

They intended to sell the catch once they returned to Mexico. The snapper they unlawfully took from U.S. waters have an estimated retail value of over $9 thousand.

Ramirez-Vidal, the captain of the boat, had been arrested on 28 prior occasions for illegal fishing. The others also have similar previous arrests.

U.S. District Judge Rolando Olvera will impose sentencing for Ramirez-Vidal Aug. 13. Santiago-Mendoza, Luna-Marquez and Morales-Amador pleaded guilty and are also pending sentencing. At their respective hearings, each faces up to five years in federal prison and a possible $250,000 maximum fine.

They have been and will remain in custody pending sentencing.

Immigration and Customs Enforcement - Homeland Security Investigations, Coast Guard Investigative Services, Coast Guard Station SPI, Customs and Border Protection Air and Marine Operations, National Oceanic and Atmospheric Administration, Texas Parks and Wildlife and South Padre Island Police Department conducted the joint investigation.

Assistant U.S. Attorney William Hagen is prosecuting the case.

The arrest and prosecution of Mexican commercial fisherman marks a change in policy concerning the protection of U.S. marine resources. In past instances, authorities would seize the catch and destroy the vessel but release violators back to Mexico. Any commercial fisherman now apprehended in U.S. waters caught violating the Lacey Act face potential fines and imprisonment.

HOUSTON - A total of 202 cases have been filed from May 30-June 5 in immigration and border security matters, announced U.S. Attorney Nicholas J. Ganjei. 

The filed cases include seven involving human smuggling. A total of 129 people are charged with illegally entering the country, while another 63 face charges of felony reentry after prior removal. Most of those individuals have prior felonies such as narcotics, violent crime, immigration crimes and more. Other relevant cases charged this week relate to other immigration crimes.

One such person charged this week is Luis Humberto Gonzalez-Sanchez who was arrested for allegedly harboring 16 illegal aliens in his home in Mercedes. The criminal complaint alleges he harbored over 100 aliens in the last six months for whom he was paid $150 each. If convicted, he faces up to 10 years in prison.

Also facing new criminal charges are six Mexican nationals, all of whom had been previously convicted of illegal reentry into the United States and sentenced to terms ranging from 15-46 months in federal prison. However, their charges allege authorities had found them in the Rio Grande Valley after once again unlawfully returning without any permission to do so. Oscar Vicente Perez-Lopez, Juan Manuel De La Cruz-Mejia, Jose Luis Tostado-Flores, Jesus Morales-Vargas, Jose Patricio Rios-Rojas and Juan Manuel Alvarado-Gonzalez had allegedly been previously removed on varying dates between 2015-2023 and now face up to 20 years in prison, upon this conviction.

In addition to the new cases, an illegal alien from El Salvador was sentenced for assaulting law enforcement. Authorities conducted a traffic stop in November 2024 in Rio Grande City when Oscar Adilio Sanchez-Rivera notified them of his alien status. As a Border Patrol (BP) agent attempted to place him in a vehicle, Sanchez-Rivera attempted to evade arrest, punched the agent in the face and caused an additional injury that required surgery. He will now serve 36 months in prison.

“The defendant here managed to turn a simple removal case to a multi-year federal sentence,” said Ganjei. “Let this case be an example to others who may wish harm on police or federal agents; assaulting law enforcement will not be tolerated.”

Also announced was the sentencing in Houston of an illegal alien for stealing a U.S. citizen’s identity. In imposing the 40-month sentence, the court noted the seriousness of the offense and that Carlos Bedolla Sanchez’s previous penalties did not do enough good or make him repentant. The investigation revealed Sanchez began using the victim’s identity in approximately March 2009 to obtain state driver’s licenses and other U.S. identification, including a passport.

Following a two-day jury trial in Corpus Christi, a Houston trucker was convicted of transporting illegal aliens. A lawful permanent resident since 1989, Armando Balladares-Prado had pulled up to the BP checkpoint south of Falfurrias and seemed nervous. His vehicle was completely empty but had a seal and lock on it as if there was a full transport load in the back. Authorities soon found two individuals hidden underneath the bed of the sleeper compartment. Both were determined to be citizens of Guatemala illegally present in the United States. Balladares-Prado told the aliens to get under the bed and instructed them on what to say if law enforcement discovered them. He now faces a federal prison sentence and possible loss of his status in the United States.

In Laredo, two men also learned their fate for their roles in an extensive human smuggling conspiracy and operating stash houses in Laredo and Poteet. Manuel Capetillo and Michael Diaz are attributed with smuggling over 65 aliens, including adults and children as young as six, who came from multiple countries as far south as Guatemala. Over several months, Capetillo recruited drivers, scouts and caretakers to bring aliens in from countries in Central America and transport them throughout the southern and central areas of Texas. Capetillo received an 85-month-term of imprisonment, while Diaz was ordered to serve 70 months. In handing down the sentence, the court noted the inhumane conditions in which the aliens were transported and that Capetillo and Diaz had made a business out of smuggling aliens. “You thought of these people as cattle,” he said.

Another sentencing in McAllen saw an illegal alien heading to prison for 37 months for trafficking over $1 million in cocaine. At the hearing, the court heard additional evidence that Rolando Banda-Lucero did not have status to be in the country and got involved in narcotics trafficking for money.

Also finalized this week was an adult male pretending to be a minor as he illegally entered the country. On Feb. 2, Elger Fabricio Cotto-Navarro claimed to be an unaccompanied minor so he could be housed in a special facility. The investigation revealed Cotto-Navarro was actually an adult posing as a minor. He was sentenced and now expected to face removal proceedings. 

These cases were referred or supported by federal law enforcement partners, including Immigration and Customs Enforcement (ICE) - Homeland Security Investigations, ICE - Enforcement and Removal Operations, BP, Drug Enforcement Administration, FBI, U.S. Marshals Service and Bureau of Alcohol, Tobacco, Firearms and Explosives with additional assistance from state and local law enforcement partners.

The cases are part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

Under current leadership, public safety and a secure border are the top priorities for this district. Enhanced enforcement both at the border and in the interior of the district have yielded aliens engaged in unlawful activity or with serious criminal history, including human trafficking, sexual assault and violence against children.  

The U.S. Attorney’s Office for the Southern District of Texas remains one of the busiest in the nation. It represents 43 counties and more than nine million people covering 44,000 square miles. Assistant U.S. Attorneys from all seven divisions including Houston, Galveston, Victoria, Corpus Christi, Brownsville, McAllen and Laredo work directly with our law enforcement partners on the federal, state and local levels to prosecute the suspected offenders of these and other federal crimes. 

An indictment or criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

HOUSTON – A former Social Security employee has admitted to conspiracy and aggravated identity theft, announced U.S. Attorney Nicholas J. Ganjei. 

David Lam, 45, Pearland, was an operations supervisor and claims specialist for the Social Security Administration (SSA) office in Houston.

As part of his plea, Lam admitted to stealing the personally identifying information (PII) of recently deceased men and then using that PII to facilitate fraudulent benefits applications. 

Lam admitted to working with various coconspirators—typically, women with children—to file fraudulent survivor benefits applications listing the deceased men as the children’s fathers or stepfathers. If true, this would have entitled the women to receive benefits while raising their children as widows. However, the women had no connection to the men listed on the applications and the deceased men did not father the children. To facilitate his scheme, Lam would utilize the deceased men’s names, dates of birth and death and Social Security numbers. 

He would also instruct the coconspirators to split the stolen funds with him. The women would transfer funds via applications like Zelle, CashApp or Chime. Lam agreed to take responsibility for causing $3,346,280 in loss to the SSA and has agreed to pay that amount in restitution.   

U.S. District Judge Sim Lake will impose sentencing Sept. 12. At that time, Lam faces up to five years in federal prison for conspiracy to defraud the United States on the conspiracy charge and a $250,000 maximum fine. He will also face two years for aggravated identity theft which must run consecutively to any sentence imposed.   

The SSA-Office of Inspector General conducted the investigation.  Assistant U.S. Attorney Brad Gray is prosecuting the case.   

LAREDO, Texas – Two men have been ordered to federal prison for their roles in an extensive human smuggling conspiracy, announced U.S. Attorney Nicholas J. Ganjei.

Manuel Capetillo, 27, Poteet, and Michael Diaz, 31, Laredo, pleaded guilty Feb. 4 and March 4, respectively.

U.S. District Judge John A. Kazen has now imposed an 85-month-term of imprisonment for Capetillo, while Diaz received 70 months. Both men were also ordered to serve three years of supervised release following their sentences. Diaz was further ordered to pay a $10,000 special assessment. In handing down the sentence, the court noted the inhumane conditions in which the aliens were transported and that Capetillo and Diaz had made a business out of smuggling aliens. “You thought of these people as cattle,” he said. Judge Kazen also commented on Capetillo’s leadership role and that he was one of the highest-level players in the region he had seen. 

Capetillo and Diaz are attributed with smuggling over 65 aliens, including adults and children as young as six, who came from multiple countries as far south as Guatemala and as close as Mexico. Both had received cash payments in excess of $50,000 during their operations.

The investigation revealed both men operated stash houses in Laredo and that Capetillo also operated one in Poteet. Over several months, Capetillo recruited drivers, scouts and caretakers to bring aliens in from countries in Central America and transport them throughout the southern and central areas of Texas.

Capetillo negotiated prices with Mexican smugglers on how much and to whom would be paid for aliens illegally crossing into the United States. He also negotiated with Mexican nationals to provide weapons for the wars taking place in Monterrey, Mexico, and importing drugs into the United States.  

Diaz worked in close connection with Capetillo to rent a yard in Laredo and load aliens into inoperable vehicles, place them on top of tow trucks and smuggle them to Capetillo’s Poteet stash house in the Southern Texas heat. Capetillo paid Diaz for his role in the conspiracy.

Previously released on bond, Capetillo was taken into custody following the sentencing where he will remain pending transfer to a Federal Bureau of Prisons facility to be determined in the near future. Diaz has been and will remain in custody.

Immigration and Customs Enforcement - Homeland Security Investigations, Border Patrol and Customs and Border Protection conducted the investigation with the assistance of police departments in Laredo and Poteet. Assistant U.S. Attorney Tory Sailer prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

CORPUS CHRISTI, Texas – A 66-year-old Houston resident who has been a lawful permanent resident in the United States since 1989 has been convicted of smuggling aliens further into the country, announced U.S. Attorney Nicholas J. Ganjei.

The jury deliberated for approximately one hour before returning the guilty verdict against Armando Balladares-Prado following a two-day trial.

On May 5, 2024, Balladares-Prado pulled up to the Border Patrol checkpoint south of Falfurrias for primary immigration inspection. The jury heard that he seemed nervous but provided consent for an x-ray examination of his tractor-trailer. The vehicle was completely empty but had a seal and lock on it as if there was a full transport load in the back.

Authorities soon found two individuals hidden underneath the bed of the sleeper compartment. Both were determined to be citizens of Guatemala illegally present in the United States.

Testimony revealed Balladares-Prado told the aliens to get under the bed and instructed them on what to say if law enforcement discovered them.

The defense attempted to convince the jury the aliens had gotten into the tractor and pulled the bed down on top of themselves. Contradictory evidence showed that to be virtually impossible. The jury was not convinced of defense claims and found Balladares-Prado guilty as charged.   

U.S. District Judge Nelva Gonzales Ramos presided over trial and set sentencing for Sept. 3. At that time, Balladares-Prado faces up to five years in federal prison and a possible $250,000 maximum fine.

Previously released on bond, he was taken into custody following the conviction where he will remain pending sentencing.

Immigration and Customs Enforcement - Homeland Security Investigations and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Joseph Griffith prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

LAREDO, Texas – Two Texas residents have been sentenced for conspiracy to possess with the intent to distribute fentanyl, announced U.S. Attorney Nicholas J. Ganjei.

Hernan Cortez, 40, Houston, and Daniel Elizondo, 37, Laredo, pleaded guilty Jan. 8.

U.S. District Judge John A. Kazen has now imposed a 63-month-term of imprisonment for Elizondo. Cortez previously received 66 months. Both must also serve four years of supervised release following completion of their sentences. At the hearing, the court heard additional evidence that detailed how Cortez brought the fentanyl to Laredo and how Elizondo decided to hide the drugs after he learned law enforcement was watching the house. In handing down the prison terms, Judge Kazen noted that fentanyl is lethal and kills many people.

Cortez transported approximately a half of a kilogram of fentanyl from Houston to Laredo Aug. 28, 2024. He intended to sell the drugs there with Elizondo’s assistance.

The following day, Cortez brought the fentanyl to a stash house where Elizondo was located. Authorities conducting surveillance observed Elizondo exit the house wearing a black satchel bag and walk into an alleyway connected to an adjoining property. Shortly after, he returned without the bag.

Authorities executed a search warrant and found 274 grams of fentanyl hidden in a tire wheel in the covered alleyway between the two properties.

Cortez initially believed the narcotics were cocaine or heroin and tried selling them in Houston but couldn’t find any buyers because it was actually fentanyl.

Both men have been and will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

The Drug Enforcement Administration conducted the investigation with the assistance of the Laredo Police Department. Assistant U.S. Attorney Andrew P. Hakala-Finch prosecuted the case.

McALLEN, Texas – A 20-year-old Edinburg man has been sentenced for attempting to coerce and entice the production of child sexual abuse material (CSAM) from a Finnish minor, announced U.S. Attorney Nicholas J. Ganjei.

Brandon Roy Alvarez pleaded guilty Oct. 9, 2024.

U.S. District Judge Drew Tipton has now sentenced Alvarez to 210 months in federal prison. At the hearing, the court heard additional information including that Alvarez would collect child pornography and store it on multiple devices. He would then pose as a minor and utilize the CSAM he collected to entice his victims to produce more. Alvarez will serve 10 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Alvarez will also be ordered to register as a sex offender.

The investigation began after authorities discovered a 10-year-old minor victim residing in Finland had received sexually explicit messages and CSAM videos from an English-speaking individual through various social media and other applications. They identified Alvarez as that person.

He had attempted to entice the minor victim into sending him a nude photo and/or a video of the victim masturbating from on or about Sept. 17-20, 2023.

Alvarez admitted he used his accounts to meet underage children online. He said he would pretend to be a minor female child to gain the other user’s trust and then use child pornography he collected to lure minors into sending sexually explicit photographs and videos.

FBI conducted the investigation.

Assistant U.S. Attorney Alexa D. Parcell is prosecuting the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page. 

McALLEN, Texas – A 21-year-old El Salvadorian national has been sentenced for assaulting a Border Patrol (BP) agent, announced U.S. Attorney Nicholas J. Ganjei.

Oscar Adilio Sanchez-Rivera pleaded guilty March 4.

U.S. District Judge Drew B. Tipton has now ordered Sanchez-Rivera to serve 36 months in federal prison. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment.

“The defendant here managed to turn a simple removal case to a multi-year federal sentence,” said Ganjei. “Let this case be an example to others who may wish harm on police or federal agents; assaulting law enforcement will not be tolerated.”

On Nov. 1, 2024, authorities conducted a traffic stop in Rio Grande City when Sanchez-Rivera notified them of his alien status. As the BP agent attempted to place him in a vehicle, Sanchez-Rivera attempted to evade arrest. He punched the agent in the face and grabbed the agent’s finger, causing a fracture that required surgery.

Sanchez-Rivera fled on foot but was soon apprehended.

He will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

BP and FBI conducted the investigation. Assistant U.S. Attorney Amanda McColgan prosecuted the case.

McALLEN, Texas – A 36-year-old Mexican citizen has been sentenced for his role in possessing with intent to distribute nearly $3 million in methamphetamine concealed inside cabbages, announced U.S. Attorney Nicholas J. Ganjei.

Jose Angel Ibarra-Rojas pleaded guilty Nov. 6, 2024.

District Judge Drew B. Tipton has now ordered Ibarra-Rojas to serve 132 months in federal prison. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. At the hearing, the court heard how the narcotics were packaged in a sophisticated manner. The heads of the cabbages were removed, and balls of methamphetamine were then inserted into the leaves in order to conceal them.

On June 18, 2024, law enforcement conducted a traffic stop on a tractor trailer in Pharr. Ibarra-Rojas was the passenger. A search of the vehicle revealed 1,154 plastic-wrapped packages containing a crystal-like substance concealed within cabbages in the cargo area.

Authorities determined the substance was methamphetamine and had a total weight of approximately 1,356 kilograms. The drugs had an estimated street value of over $2.8 million.

Ibarra-Rojas admitted he knew the trailer contained narcotics and was aware it had recently entered the United States. He claimed he expected to be paid $1,000 to arrange the transport of the trailer and its narcotics farther north into the United States. Ibarra-Rojas also said he had arranged similar transports several times in the past.

Immigration and Customs Enforcement - Homeland Security Investigations (ICE-HSI) conducted the investigation with the assistance of Customs and Border Protection (CBP) and Hidalgo County Constable’s Office.

“The amount of drugs smuggled in this case is staggering, but fortunately authorities were able to seize it before it hit our streets,” said Ganjei. “ICE-HSI, CBP, and the Hidalgo County Constable’s Office should be commended for their excellent work in keeping this meth out of our community.”

Ibarra-Rojas will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

Assistant U.S. Attorney Alexa D. Parcell prosecuted the case.

McALLEN, Texas – A 46-year-old Pharr resident has been sentenced for unlawful possession of a firearm, announced U.S. Attorney Nicholas J. Ganjei.

Rogelio Rodriguez Jr. pleaded guilty July 10, 2024.

U.S. District Judge Drew B. Tipton has now handed Rodriguez an enhanced sentence of 96 months after determining he possessed numerous firearms in connection with another felony offense of aggravated assault with a deadly weapon. His sentence will be immediately followed by a two-year-term of supervised release. At the hearing, the court heard Rodriguez had a pattern of illegally possessing firearms in connection with drug trafficking.

On Jan. 12, 2024, authorities responded to a call regarding an aggravated assault at Rodriguez’s residence. Law enforcement had information that Rodriguez had refused to leave the property and brandished a firearm after being confronted about carrying firearms.

They conducted a search and discovered three firearms in the residence including a Glock .40 caliber pistol, a Smith & Wesson .38 special revolver and a North American Arms .22 caliber revolver.

The investigation revealed Rodriguez had two prior felony convictions for drug trafficking. As such, he is prohibited from possessing firearms per federal law.

Rodriguez will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of the McAllen Police Department. Assistant U.S. Attorney Devin V. Walker prosecuted the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. 

GALVESTON, Texas - A 44-year-old Manvel resident has been ordered to federal prison after his multiple convictions involving child sexual abuse material (CSAM), coercion and enticement of minors and being a registered sex offender while committing the crimes, announced U.S. Attorney Nicholas J. Ganjei.

Brian Jones pleaded guilty March 12 to two counts each of sexual exploitation of a child, coercion and enticement of a minor and penalties for registered sex offenders as well as one count of possession of CSAM.

U.S. District Judge Jeffrey V. Brown has now sentenced him to 600 months on each of the sexual exploitation charges and the coercion and enticement counts and 240 months for possessing child pornography to run concurrently. He also received 120 months for each of the penalties for registered sex offenders which will be served consecutively to each other and as to the other counts for a total of 840 months.

At the hearing, the court heard additional evidence regarding two victims whom he began talking to when they were just 11 and six years of age. Their guardian prepared a victim impact statement which described how the children were seeing a therapist on a weekly basis for the trauma they endured and how they had to leave the only school and friends they had ever known. The statement also references a comment from the therapist who noted that when she thinks of these children, she just wants to cry.

Jones was further ordered to pay restitution to the victims and will serve the rest of his life on supervised release following the completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to the internet. He will also again be required to register as a sex offender.

“Mr. Jones’ criminal history, which includes a prior sexual offense involving a minor, demonstrates that he is beyond any hope of rehabilitation, and thus only a life sentence or the equivalent, like the one he received today, can adequately safeguard the community from his future predatory behavior,” said Ganjei. “Although we may not ever fully heal the scars that the defendant inflicted on the victims in this case, we can ensure that Mr. Jones can never harm another child again.”

“Another great investigation through our partnership with Internet Crimes Against Children (ICAC) task force,” said Chief Johnny Spires of Pearland Police Department (PPD). “Our detective has been investigating these horrible crimes for more than 17 years and is considered an expert in his field. We are very proud of his work here at the PPD and his continued assistance working with other agencies throughout our area. We ask the public to please help protect our children, if you see something say something.”

“With today’s sentencing we have removed a dangerous predator from the community who preyed on children as young as six years old and has shown absolutely no remorse for his heinous actions,” said Special Agent in Charge Chad Plantz of Immigration and Customs Enforcement – Homeland Security Investigations (ICE-HSI) Houston. “The success of this investigation is a direct result of the unwavering support we continue to receive from the National Center for Missing and Exploited Children (NCMEC) and the tireless efforts of our partners at PPD, who worked closely with our special agents to ensure this individual is no longer free to victimize innocent children.”

A total of 24 cybertips from the NCMEC prompted the investigation in 2023. An individual, later identified as Jones, had uploaded over 1,000 CSAM files from April 5 - May 8, 2023. The investigation revealed he was a registered sex offender.

Authorities conducted a residential search warrant and seized his electronic devices. A forensic examination revealed he had over 11,000 images and over 850 videos which depicted children engaged in sexually explicit conduct, including anal and vaginal penetration, masturbation, sadistic and masochistic conduct and the lewd and lascivious exhibition of genitals. 

Law enforcement also found images and screenshots of an adult female filming two naked children for Jones during several live chats. In some of the images, Jones’ face or genitals are included as he recorded himself watching them. Some images also included the adult female touching the minor victims.

Jones had initially talked to the adult female who had a connection to the children. He first requested naked pictures of her and then of the minors.   

Text messages between Jones and the minor victims also revealed he had asked them to send him images of their vaginas. The abuse lasted for over three years.   

The investigation also identified the adult female who had also pleaded guilty to two counts of the sexual exploitation of children and is serving a 50-year federal prison sentence.

This was also not the first time Jones had requested children to take pornographic pictures of themselves for him. He was sentenced in 2016 for indecency with a child by exposure in which he had requested his then girlfriend’s minor daughter to send him naked pictures of herself.

PPD, ICE-HSI Galveston and the Houston Metro ICAC task force conducted the investigation.

Assistant U.S. Attorney (AUSA) Kimberly Ann Leo and former AUSA Brian Hrach prosecuted the case which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.

HOUSTON – A 42-year-old Mexican national who illegally resided in Houston has been sentenced for fraudulently using a passport and identification belonging to a U.S. citizen, announced U.S. Attorney Nicholas J. Ganjei.

Carlos Bedolla Sanchez pleaded guilty March 18.

U.S. District Judge Keith P. Ellison has now ordered Sanchez to serve 16 months for fraudulently using a passport and 24 months for using the identification of a U.S. citizen. The sentences will run consecutively. At the hearing, the court heard additional information that Sanchez was previously convicted for two felony drug charges under the U.S. citizen’s identity and received 12 months for violating his term of supervised release to be served concurrently. Not a U.S. citizen, Sanchez is expected to face removal proceedings following his 40-month-term of imprisonment.

In imposing the sentence, the court noted the seriousness of the offense and that his previous penalties did not do enough good or make him repentant.

On May 19, 2022, Sanchez attempted to renew a passport he received in 2009 using the stolen identity of a U.S. citizen born in Puerto Rico. As part of the scheme, he submitted passport applications using the victim’s name, Social Security number, date of birth and birthplace, and falsely certified that he was a U.S. citizen or non-citizen national.

The investigation revealed Sanchez began using the victim’s identity in approximately March 2009 to obtain state driver’s licenses and other U.S. identification, including a passport.

He later admitted to making a false statement in the application and use of passport and aggravated identity theft.

He will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

Department of State - Diplomatic Security Service conducted the investigation. Assistant U.S. Attorney Anthony Franklyn prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

McALLEN, Texas – A 41-year-old Mexican national illegally in the United States has been ordered to prison for possessing narcotics with the intent to distribute, announced U.S. Attorney Nicholas Ganjei.

Rolando Banda-Lucero pleaded guilty Oct. 31, 2024.

Chief U.S. District Judge Randy Crane has now ordered Banda-Lucero to serve 37 months in federal prison. 

At the hearing, the court heard additional evidence Banda-Lucero did not have status to be in the country and got involved in narcotics trafficking for money. In handing down the sentence, Judge Crane noted the straightforward facts of the case and Banda-Lucero’s clear role as a courier. Not a U.S. citizen, he is expected to face removal proceedings following the sentence.

On Oct. 25, 2023, Banda-Lucero was to deliver narcotics in Pharr. Authorities conducted surveillance within a shopping center and observed a white work van pull into a parking spot.

Banda-Lucero exited the passenger side of the van and provided a duffel bag over to who he thought was the purchaser. The bag contained 20 bundles which had an approximate weight of 22.5 kilograms and tested positive for cocaine.

The drugs had an estimated street value of $1.2 million.  

Banda-Lucero will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

The Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorney Jose A. Garcia prosecuted the case.

HOUSTON – A 68-year-old Houston man has agreed to pay $390,082 to resolve allegations he submitted false claims to Medicare for the surgical implantation of neurostimulator electrodes, announced U.S. Attorney Nicholas J. Ganjei.

Dr. Benjamin Tiongson is a pain management doctor who practices in Houston, Sugar Land and Katy. Pain Reduction Center P.A. is an entity Tiongson used to conduct his medical practice. 

From Dec. 7, 2021, to Dec. 14, 2022, Tiongson billed Medicare for the surgical implantation of neurostimulator electrodes. These are invasive procedures usually requiring use of an operating room. As a result, Medicare pays thousands of dollars per procedure.

However, neither Tiongson nor his staff performed these surgical procedures, according to the allegations.

Instead, patients allegedly received devices used for electro-acupuncture, which only involved inserting monofilament wire a few millimeters into patients’ ears and taping the neurostimulator behind the ear with an adhesive. All device placements took place in Tiongson’s clinic, not a hospital or surgical center, and no incision was made on a patient, according to the allegations.

The U.S. Attorney’s Office conducted the investigation with Department of Health and Human Services – Office of Inspector General. Assistant U.S. Attorney Laura E. Collins handled the matter.

The claims resolved by the settlement are allegations only and there has been no determination of liability.

McALLEN, Texas – Two men residing in Edinburg have been sentenced for their roles in the straw purchasing of firearms, announced U.S. Attorney Nicholas J. Ganjei.

Mario Elier Leal, 22, and Rodolfo Benitez-Garza, 24, pleaded guilty in 2024.

Chief U.S. District Judge Randy Crane has now ordered Leal to serve a total of 97 months in federal prison, while Benitez-Garza received 18 months. Benitez-Garza must serve three years of supervised release following the completion of his sentence. Lacking status in the United States, Leal is expected to face removal proceedings after serving his prison term.

At the hearings, the court heard additional evidence that described how Benitez-Garza and Jesus Cristo Lopez purchased the firearms on behalf of Leal. Leal would provide the money and advise which firearms he wanted. The court noted Leal was aware the firearms were to be transported into Mexico, that he played a significant role in recruiting others to purchase firearms on his behalf and could be described as a coordinator.

On July 12, 2024, authorities discovered a suspected straw purchasing attempt involving Benitez-Garza and Lopez who attempted to obtain three AK-47 variant rifles. Leal was circling the parking lot at that time and had previously visited the same location with Lopez.

The investigation revealed Leal provided the money for the purchases and offered Benitez-Garza and Lopez approximately $300 for their assistance. Both falsely claimed the rifles were for personal use when they were actually intended for Leal.

Evidence revealed Leal had recruited Lopez and directed him to find another individual. Surveillance captured Leal at multiple stores with others suspected of purchasing firearms on his behalf.

Authorities have identified 13 other firearms suspected of being purchased for Leal. As a Deferred Action for Childhood Arrivals recipient, Leal is prohibited from owning a firearm per federal law.

Benitez-Garza was permitted to remain on bond and voluntarily surrender to a Federal Bureau of Prisons facility to be determined in the near future while Leal will remain in custody.

Lopez, 21, is set for sentencing in August.

Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of Mission Police Department. Assistant U.S. Attorney Jose A. Garcia prosecuted the case.

McALLEN, Texas – A 34-year-old McAllen man has pleaded guilty to possessing methamphetamine with the intent to distribute, announced U.S. Attorney Nicholas J. Ganjei.

The investigation revealed Michael Luera was selling methamphetamine in the Rio Grande Valley area.

On Dec. 12, 2024, authorities stopped him for a traffic violation shortly after he sold approximately 252 grams of the drug.  

A K-9 unit alerted to the presence of narcotics in the vehicle, leading authorities to find an additional approximately 1,000 grams of methamphetamine. Further investigation revealed multiple bags containing a large amount of U.S. currency and a loaded firearm.

Chief U.S. District Judge Randy Crane accepted the plea and set sentencing for Aug. 14. At that time, Luera faces up to life in federal prison and a possible $10 million fine.

Luera has been and will remain in custody pending sentencing.

The Drug Enforcement Administration and Texas Department of Public Safety conducted the investigation.

Assistant U.S. Attorney Cahal P. McColgan is prosecuting the case.

McALLEN, Texas – A 44-year-old Mission resident has pleaded guilty to conspiracy to commit wire fraud, announced U.S. Attorney Nicholas J. Ganjei.

Mario Alberto Rodriguez admitted he participated in a scheme that used false warranty deeds to mislead lenders and real estate clients.

Rodriguez would defraud homebuyers and short-term lenders by selling a lot with proposed townhome construction without filing the warranty deed. This left no record of the sale and allowed him to sell the same property multiple times. Rodriguez would then instruct co-conspirators to take out new loans on the previously sold properties in order to use the cash for other purposes.

Rodriguez defrauded victims out of more than $770,000 as a result of the scheme. Construction was never completed and victims were unable to take possession of the properties.

Chief U.S. District Judge Randy Crane will impose sentencing Aug. 12. At that time, Rodriguez faces up to 20 years in federal prison and a possible $250,000 maximum fine.

He was permitted to remain on bond pending that hearing.

FBI, Texas Department of Insurance, McAllen Police Department, and the Hidalgo County Sheriff’s Office conducted the investigation. Assistant U.S. Attorney Amanda McColgan prosecuted the case.

HOUSTON – A 33-year-old Houston resident has been ordered to federal prison following his convictions for possession with intent to distribute fentanyl and methamphetamine and being a felon in possession of a firearm, announced U.S. Attorney Nicholas J. Ganjei.

Fredrick Douglass Shelton pleaded guilty Feb. 13.  

U.S. District Judge Kenneth M. Hoyt has now ordered Shelton to serve 324 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court recognized the families of the deceased and commented on the disturbing fact that after the deaths, Shelton continued to sell fentanyl with a verbal warning to customers that the drugs are strong. In handing down the sentence, Judge Hoyt noted Shelton’s history of drug dealing and conduct during this offense which made him question whether there is anywhere Shelton could be safely housed.

“The defendant’s conduct in this case vividly illustrates his utter disregard for human life and the safety of others,” said Ganjei. “Not only was his fentanyl trafficking linked to three overdose deaths, but he also left a 10-month-old baby alone, surrounded by guns and drugs (including fentanyl), while he was out dealing. With today’s sentencing—made possible by collaboration with our partners—this dangerous individual is now off the street for decades to come, and Houstonians are safer for it.”

The investigation began following evidence linking three fatal fentanyl overdoses to Shelton. He had sold large quantities of highly potent fentanyl to numerous individuals in the Houston area.  

As Shelton left his residence to conduct yet another drug transaction, law enforcement conducted a search at his residence. They found large amounts of fentanyl, cocaine, methamphetamine, narcotics packaging equipment and firearms strewn throughout the residence in a disorderly fashion, including on counters, scales and the floor. 

Authorities also discovered Shelton had left his 10-month-old child in the residence alone and exposed to the narcotics. 

Shelton will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

The FBI Houston Field Office and Drug Enforcement Administration conducted the Organized Crime Drug Enforcement Task Forces (OCDETF) operation with the assistance of the Montgomery County Narcotics Enforcement Team and sheriff’s offices in Montgomery and Harris Counties. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage. 

Assistant U.S. Attorney Stuart Tallichet prosecuted the case. 

BROWNSVILLE, Texas – Two family members with ties to South Texas have been charged with allegedly conspiring to materially support a Mexican cartel previously designated as a foreign terrorist organization, conspiracy to commit money laundering and related smuggling charges, announced U.S. Attorney Nicholas J. Ganjei. 

The superseding indictment, returned May 22, alleges Maxwell Sterling Jensen, 25, Draper, Utah, and James Lael Jensen, 68, Sandy, Utah, conspired to provide material support to the Cartel de Jalisco Nueva Generación (CJNG) in the form of U.S. currency. The Secretary of State designated CJNG as a foreign terrorist organization Feb. 20. 

“This case underscores the more aggressive and innovative approach the Southern District of Texas is taking towards combatting the scourge of drug cartels,” said Ganjei. “This strategy focuses not just on the traffickers and trigger-pullers directly employed by the cartels, but also targeting their confederates and enablers. Whether you are handing the cartel a gun, providing a car or safehouse for smugglers, or putting money in the cartel’s pocket, you will be held to account.”

The Jensens allegedly operated Arroyo Terminals, an enterprise based in Rio Hondo.

Both are also charged with allegedly conspiring to conduct financial transactions to conceal and disguise the nature and source of the proceeds of illegally smuggled goods, crude oil. They also aided and abetted the fraudulent entry of approximately 2,881 shipments of the oil in violation of the Tariff Act, according to the charges.  

“Cases like this highlight the often-dangerous relationships between alleged unscrupulous U.S. businesses and terrorist organizations,” said Special Agent in Charge Craig Larrabee of Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) San Antonio. “Through strong collaborations and relentless investigative work, we and our partners exposed a possible large-scale operation that allegedly attempted to move millions in illicit crude oil and launder the proceeds. HSI remains committed to protecting our economy and holding offenders accountable.”

“What began as a Drug Enforcement Administration (DEA) drug trafficking investigation evolved into a multifaceted case involving an alleged complex criminal operation generating millions of dollars from crude oil – the largest funding source for Mexican drug cartels,” said Acting Special Agent in Charge William Kimbell of DEA - Houston. “Given the charges have profound implications for both the United States and Mexico, we will continue to explore all leads and identify any believed to be involved. The collaboration with federal law enforcement, prosecutors, and state agencies proved critical to unraveling these alleged crimes and will continue until such operations are destroyed.”

“It is a top priority of the FBI to eliminate foreign terrorist organizations by depriving them of the funding they need to operate and by seizing their most valued assets,” said FBI Special Agent in Charge Aaron Tapp of the San Antonio Field Office. “Together with our law enforcement partners, we will use every resource and capability at our disposal to ensure violent cartels and anyone who corruptly facilitates their operations are held accountable to the American people and unable to establish a foothold in our communities."

“Our commitment to taking down drug cartels and organized crime leverages IRS Criminal Investigation’s (CI) specialty in forensic accounting that identifies the alleged money trail and shuts down the flow of cash, just like we did in this case,” said acting Special Agent in Charge Lucy Tan, of IRS Criminal Investigation’s Houston Field Office. “Some of our best special agents are using their law enforcement expertise to build unshakeable cases to ensure criminals are taken off the streets and their ill-gotten gains are returned to the American people.”

At the time of the initial arrests, authorities seized four tank barges containing crude oil, three commercial tanker trucks, an Arroyo Terminal pickup truck and one personal vehicle. The Arroyo Terminal property in Rio Hondo, crude oil contained Arroyo Terminal storage tanks and additional real properties are also sought for forfeiture. The superseding indictment also contains notice that the United States will seek a $300 million money judgment upon conviction. 

The conspiracies to provide material support and to commit money laundering both carry a possible prison term of up to 20 years. If convicted of aiding and abetting the smuggling of goods into the United States and doing so by means of false statements, both men could also face up to 10 and five years, respectively. James Jensen also faces one count of money laundering spending which carries an additional 10 years in prison, upon conviction.  

With the exception of the money laundering charge which has the possibility of up to a $500,000 fine or twice the value of the property involved, the remaining counts carry a maximum $250,000 potential fine. 

The investigation was a joint effort among many law enforcement partners to include FBI, ICE-HSI and DEA with substantial assistance of IRS CI along with Customs and Border Protection, U.S. Marshals Service and Texas Department of Public Safety.

Operation Liquid Death involved the combined efforts of DEA, FBI, ICE-HSI and IRS CI and others and is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood.

Assistant U.S. Attorneys (AUSA) James Sturgis and Laura Garcia are prosecuting the case. AUSAs Mary Ellen Smyth and Tyler Foster are handling seizure and forfeiture matters.

An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law. 

HOUSTON – In support of Operation Take Back America, the Southern District of Texas has filed another 281 cases in immigration and border security-related matters from May 23-29, announced U.S. Attorney Nicholas J. Ganjei. 

Among those are 105 people who face charges of illegally reentering the country. The majority have prior felony convictions for narcotics, violent crime, sexual offenses, prior immigration crimes and more. A total of 163 people are charged with illegally entering the country, while seven cases allege various instances of human smuggling with the remainder involving other immigration crimes, child sexual abuse material (CSAM) and firearms.

One such person charged this week is Carlos Enrique Gonzalez-Pena, an alien present in the United States with a work visa who was allegedly found in possession of CSAM. The charges allege he had visited the darknet where he viewed child pornography sites. A forensic examination of his computer allegedly resulted in the discovery of two video files involving a female child approximately four to six years of age, one of which showed her being sexually assaulted. If convicted, he faces up to 20 years in prison. 

Another one of the cases involves Humberto Vasquez - a Mexican male who allegedly attempted to exit the United States via the Donna Port of Entry. Upon inspection, law enforcement discovered four pistols belonging to him as well as 870 rounds of assorted ammunition, according to the charges. The complaint alleges he did not possess an export license that would authorize him to transport such items into Mexico and faces up to 10 years in prison if convicted of illegal exportation of firearms. 

Authorities also found three Mexican nationals near Mission this week with no legal permission to be in the United States, according to the complaints against them. Victor Manuel Ornelas-Ochoa, Alfredo Samuel Gallegos-Esquivel and Exequiel Solano had allegedly been previously removed from the country and have felonies to include possession with intent to deliver marijuana, human smuggling and aggravated sexual assault of a child, respectively. They are all charged with illegal reentry and could receive up to 20 years in prison. Another man who faces the same charges and penalty is Julio Sanchez-Lorenzo. He is a Mexican male who had just been removed from the United States via Brownsville May 21 with no permission to return, according to the charges. However, authorities allegedly found him just six days later near Roma. 

In addition to the new cases, a federal jury in Houston convicted a Mexican citizen for illegally reentering the United States under an assumed identity. On June 11, 2024, authorities found Jose Martin Valdez-Galvan in Laredo. At that time, he provided a false name and claimed to be a U.S. citizen. Testimony revealed Valdez-Galvan originally stole the person’s identity to avoid previous charges for unauthorized use of a motor vehicle. Valdez-Galvan was an illegal alien who had been previously removed but returned to the United States without permission. He had assumed the other person’s identity in 2015 after his second removal. He faces up to a 20-year prison sentence. 

“Both public safety and basic common sense require us to know who is entering and residing in our country. Those that adopt false or stolen personas to hide their identities pose an increased criminal risk to our community,” said Ganjei. “Theft of an American citizen’s identity by a foreign national will not be tolerated, and those that engage in such criminality will be charged, punished, and, if appropriate, deported.”

In Corpus Christi, an intoxicated driver admitted he was an alien illegally in possession of firearm. Honduran national Josias Eliseo Ulloa-Pavon had been driving under the influence of alcohol before crashing Feb. 18. Upon arrival at the scene, authorities found him pinned inside the fully overturned vehicle. He had red bloodshot eyes, appeared unsteady on his feet and had a strong odor of alcohol. A search revealed a magazine containing six rounds of ammunition in his pocket and a Bersa Model Thunder .380 caliber pistol in his car.  

Two men from Brownfield admitted to conspiring to transport illegal aliens in Laredo federal court this week. On March 22, authorities observed a Ford Expedition circumventing a Border Patrol (BP) checkpoint near Laredo. Mac Quese Howard was driving, and De Richardson Miller was in the front passenger seat providing directions. Authorities conducted a traffic stop and found three illegal aliens hidden in the back seat. Miller and Howard admitted they had travelled to Laredo for the sole purpose of picking up the aliens and transporting them to San Antonio for payment.

Also announced was the sentencing of a Mexican national with a felony criminal history and multiple prior removals for illegally reentering the country again. Juan Humberto Lara Molina’s has a lengthy drug, weapons and immigration criminal history including two other illegal reentry convictions. He was also convicted of dealing cocaine in Indiana and unlawful sale of firearms in Illinois and was previously ordered removed from the United States on multiple occasions, most recently in November 2021. However, law enforcement discovered him at the Falfurrias BP checkpoint Dec. 12, 2024. He was one of seven individuals being transported farther north by human smugglers in a tractor-trailer. He was ordered to serve 24 months in federal prison. 

These cases were referred or supported by federal law enforcement partners, including Immigration and Customs Enforcement (ICE) - Homeland Security Investigations, ICE - Enforcement and Removal Operations, BP, Drug Enforcement Administration, FBI, U.S. Marshals Service and Bureau of Alcohol, Tobacco, Firearms and Explosives with additional assistance from state and local law enforcement partners.

The cases are part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

Under current leadership, public safety and a secure border are the top priorities for this district. Enhanced enforcement both at the border and in the interior of the district have yielded aliens engaged in unlawful activity or with serious criminal history, including human trafficking, sexual assault and violence against children.  

The U.S. Attorney’s Office for the Southern District of Texas remains one of the busiest in the nation. It represents 43 counties and more than nine million people covering 44,000 square miles. Assistant U.S. Attorneys from all seven divisions including Houston, Galveston, Victoria, Corpus Christi, Brownsville, McAllen and Laredo work directly with our law enforcement partners on the federal, state and local levels to prosecute the suspected offenders of these and other federal crimes. 

An indictment or criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

HOUSTON – A 71-year-old woman has admitted to acting as a loan borrower on millions of dollars in fraudulent loans as part of a large-scale bank fraud scheme, announced U.S. Attorney Nicholas J. Ganjei.

Jennifer Williams admitted that from 2016 to 2021, she conspired with others in a bank fraud scheme involving dozens of loans totaling at least $10 million in fraudulent proceeds.

As part of the plea, Williams acknowledged submitting loan applications with false income information along with fraudulent tax returns and financial statements. She also admitted using proceeds from the scheme to buy a home in the Houston area.

Williams and others accomplished the bank fraud by preparing loan applications that contained false and fraudulent information and documents, including fake equipment sales invoices, income tax returns and financial and bank statements.

U.S. District Judge Keith Ellison will impose sentencing Aug. 14. At that time, Williams faces up to five years in federal prison and a possible $250,000 fine or twice the amount involved in the transaction.  

She was permitted to remain on bond pending that hearing. 

Another Houston resident charged in the case - Hugo Villanueva, 70, - is considered a fugitive, and a warrant remains outstanding for his arrest. Anyone with information about his whereabouts is asked to contact the FBI at 713-693-5000.

The Federal Housing Finance Agency - Office of Inspector General (OIG), IRS Criminal Investigation, FBI and Federal Deposit Insurance Corporation - OIG conducted the investigation. Assistant U.S. Attorney Belinda Beek is prosecuting the case.

HOUSTON – A coordinated effort involving an international disruption of an online software crypting syndicate which provides services to cybercriminals to assist them with keeping their malicious software (malware) from being detected has resulted in the seizure of four domains and their associated server, announced U.S. Attorney Nicholas J. Ganjei.

Crypting is the process of using software to make malware difficult for antivirus programs to detect. The seized domains offered services to cybercriminals, including counter-antivirus (CAV) tools. When used together, CAV and crypting services allow criminals to obfuscate malware, making it undetectable and enabling unauthorized access to computer systems.

According to the affidavit filed in support of these seizures, authorities made undercover purchases from seized websites and analyzed the services, confirming they were designed for cybercrime. Court documents also allege authorities reviewed linked email addresses and other data connecting the services to known ransomware groups that have targeted victims both in the United States and abroad, including in the Houston area.  

“Modern criminal threats require modern law enforcement solutions,” said Ganjei. “As cybercriminals have become more sophisticated in their schemes, they have likewise become more advanced in their efforts to avoid detection. As such, our law enforcement efforts must involve striking not just at the individual fraudster or hacker, but the enablers of these cybercriminals as well. This investigation did exactly that. With this syndicate shut down, there is one less provider of malicious tools for cybercriminals out there.”

“Cybercriminals don’t just create malware; they perfect it for maximum destruction,” said FBI Houston Special Agent in Charge Douglas Williams. “By leveraging counter antivirus services, malicious actors refine their weapons against the world’s toughest security systems to better slip past firewalls, evade forensic analysis, and wreak havoc across victims’ systems. As part of a decisive international operation, FBI Houston helped cripple a global cyber syndicate, seize their most lethal tools, and neutralize the threat they posed to millions around the world.”

The seizures occurred May 27 in coordination with Finnish and Dutch national police as part of Operation Endgame, a multinational law enforcement initiative targeting the dismantling of malware cybercriminal services. Participating countries include the United States, The Netherlands, France, Germany and Denmark with additional support from Ukraine and Portugal.  

The FBI Houston Field Office is conducting the investigation with the cooperation and significant assistance of law enforcement partners in The Netherlands and Finland and U.S. Secret Service.

Assistant U.S. Attorneys (AUSA) Shirin Hakimzadeh and Rodolfo Ramirez are prosecuting the case. AUSA Kristine Rollinson is handling the seizure aspects of the case. 

HOUSTON – A 38-year-old Mexican citizen has been found guilty of illegally reentering the United States under an assumed identity, announced U.S. Attorney Nicholas J. Ganjei.

The jury deliberated for four hours before convicting Jose Martin Valdez-Galvan following a two-day-trial.

On June 11, 2024, authorities found Valdez-Galvan in Laredo. At that time, he provided a false name and claimed to be a U.S. citizen. Valdez-Galvan originally stole the person’s identity to avoid previous charges for unauthorized use of a motor vehicle.

Testimony revealed Valdez-Galvan was an illegal alien who had been previously removed and returned to the United States without permission. He had assumed the other person’s identity in 2015 after his second removal. The jury also heard how fingerprints matched those of Valdez-Galvan.

At trial, Valdez-Galvan testified his name was not Jose Martin Valdez-Galvan. His mother also provided testimony that her son’s name was something else despite evidence she had previously identified him as Valdez-Galvan. 

The defense attempted to question the trustworthiness of the evidence, but the jury was not convinced and found Valdez-Galvan guilty as charged.

“Both public safety and basic common sense require us to know who is entering and residing in our country. Those that adopt false or stolen personas to hide their identities pose an increased criminal risk to our community,” said Ganjei. “Theft of an American citizen’s identity by a foreign national will not be tolerated, and those that engage in such criminality will be charged, punished, and, if appropriate, deported.”

U.S. District Judge Marina Garcia Marmolejo will set sentencing at a later date. At that time, he faces up to 20 years in federal prison and a possible $250,000 maximum fine.

Valdez-Galvan has been and will remain in custody pending sentencing.

Immigration and Customs Enforcement - Enforcement and Removal Operations conducted the investigation with the assistance of Border Patrol. Assistant U.S. Attorneys Bryan L. Oliver and Jay Hileman prosecuted the case.

LAREDO, Texas – Two Texas residents have admitted to conspiring to transport illegal aliens, announced U.S. Attorney Nicholas J. Ganjei.

On March 22, authorities observed a Ford Expedition circumventing a Border Patrol (BP) checkpoint near Laredo. Mac Quese Howard, 20, was driving, and De Richardson Miller, 18, was in the front passenger seat providing directions. Authorities conducted a traffic stop and found three illegal aliens hidden in the back seat. 

Miller and Howard admitted they had travelled to Laredo for the sole purpose of picking up the aliens and transporting them to San Antonio for payment.

Howard expected to receive a total of $5,000 to split with Miller after delivering the illegal aliens.

U.S. District Judge Diana Saldaña will impose sentencing at a later date. At that time, both face up to 10 years in federal prison and a possible $250,000 maximum fine.

Howard has been and will remain in custody, while Miller was released on bond pending that hearing.

BP conducted the investigation. Assistant U.S. Attorney Homero Ramirez prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs) and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).

CORPUS CHRISTI, Texas – A 20-year-old Honduran national who illegally resided in Corpus Christi has been convicted of being an alien who unlawfully possessed a firearm, announced U.S. Attorney Nicholas J. Ganjei.

Josias Eliseo Ulloa-Pavon had been driving under the influence of alcohol before crashing Feb. 18. 

Upon arrival at the scene, authorities found Ulloa-Pavon pinned inside the fully overturned vehicle. No other cars were in the vicinity. Ulloa-Pavon had red bloodshot eyes, a strong odor of alcohol and appeared unsteady on his feet, swaying as he stood. They removed him from the vehicle and placed him under arrest. 

A search revealed a magazine containing six rounds of ammunition in his pocket. Ulloa-Pavon admitted he had a Bersa Model Thunder .380 caliber pistol in his car which law enforcement located and seized.

Ulloa-Pavon had admitted during a previous interaction with law enforcement to being from Honduras and not lawfully in the United States.

U.S. District Judge David Morales will impose sentencing Aug. 27. At that time, Ulloa-Pavon faces up to 15 years in federal prison and a possible $250,000 maximum fine.

He has been and will remain in custody pending sentencing.

The Bureau of Alcohol, Tobacco, Firearms and Explosives along with Immigration and Customs Enforcement-Enforcement and Removal Operations and the Corpus Christi Police Department conducted the investigation. Assistant U.S. Attorney Zachary Bird prosecuted the case. 

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

CORPUS CHRISTI, Texas – A 44-year-old Mexican national with a felony criminal history and multiple prior removals has been sentenced once again for illegally reentering the United States without permission, announced U.S. Attorney Nicholas J. Ganjei.

Juan Humberto Lara Molina pleaded guilty Feb. 13.

U.S. District Judge Nelva Gonzales Ramos has now ordered Molina to serve 24 months in federal prison. Not a U.S. citizen, he is again expected to face removal proceedings following his imprisonment. In imposing the sentence, the court noted that his criminal history raises serious concerns, stating that if he kept coming back, he would be spending much more time in prison.

Molina has a lengthy drug, weapons and immigration criminal history including two other illegal reentry convictions, one in 2007 and another in 2015. He was also convicted of dealing cocaine in Indiana and unlawful sale of firearms in Illinois. He has also been previously ordered removed from the United States on multiple occasions.

Authorities removed Molina most recently in November 2021. However, law enforcement discovered him at the Falfurrias Border Patrol (BP) checkpoint Dec. 12, 2024. He was one of seven individuals being transported farther north by human smugglers in a tractor-trailer.

Molina will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined in the near future.

BP conducted the investigation. Assistant U.S. Attorney Young Min C. Burkett prosecuted the case.

This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

HOUSTON – Nicholas J. Ganjei has taken the oath of office to remain as the chief federal law enforcement officer for the Southern District of Texas (SDTX).

Former acting Attorney General James McHenry named Ganjei as U.S. Attorney for the Southern District of Texas Jan. 29. 

Pursuant to the Vacancy Reform Act, the Attorney General has the authority to name a U.S. Attorney to serve on an interim basis for up to 120 days. After that time, the district court will appoint a U.S. Attorney to serve until the confirmation of his or her eventual successor. Ganjei recently received the unanimous vote of the judges of the Southern District of Texas, re-appointing him as U.S. Attorney for the Southern District.

“I am honored by the district court’s vote of confidence in my leadership of this great office,” said Ganjei. “There is much unfinished business for SDTX to address, from leading the fight to secure our southern border, to ensuring our streets are safe from drugs and violent crime. I am grateful to remain at the helm of the Southern District as we continue to deliver for the American people.”

Chief Judge Randy Crane recently administered the oath of office in front of an audience of U.S. Attorney’s Office staff and court personnel.

Ganjei is a former longtime federal prosecutor who previously served as acting U.S. Attorney and First Assistant U.S. Attorney for the Eastern District of Texas. He joined the Department of Justice in 2008 as an Assistant U.S. Attorney (AUSA) on the U.S. – Mexico border. As an AUSA, Ganjei prosecuted organized crime, immigration, narcotics and human trafficking cases as well as fraud, public corruption and white-collar matters.  

Before joining the department, Ganjei clerked for the Honorable Richard Allen Griffin and Ralph R. Erickson and has taught on the subjects of civil, criminal and constitutional law at both the collegiate and law school levels.

Immediately prior to his SDTX service, Ganjei was chief counsel to U.S. Senator Ted Cruz and the Senate Judiciary Committee’s Subcommittee on the Constitution where he oversaw all legal matters related to criminal justice, border security, judicial nominations, antitrust, intellectual property and religious liberty.

As U.S. Attorney, Ganjei has been and will continue to be chief law enforcement officer for one of the busiest districts in the United States.

Under Ganjei’s leadership, public safety and a secure border are the top priorities for the Southern District. Enhanced enforcement both at the border and in the interior of the district have yielded aliens engaged in unlawful activity or with serious criminal history, including human trafficking, sexual assault and violence against children.

The U.S. Attorney’s Office for the Southern District of Texas represents 43 counties and more than nine million people covering 44,000 square miles. Assistant U.S. Attorneys from all seven divisions including Houston, Galveston, Victoria, Corpus Christi, Brownsville, McAllen and Laredo work directly with our law enforcement partners on the federal, state and local levels to prosecute the suspected offenders of these and other federal crimes. 

CORPUS CHRISTI, Texas – A 36-year-old man has been sentenced for possession with intent to distribute 28.6 kilograms of cocaine, announced U.S. Attorney Nicholas J. Ganjei.

Jesus Cedillo pleaded guilty Feb. 25.

U.S. District Judge David Morales has now ordered Cedillo to serve 126 months in federal prison to be immediately followed by five years of supervised release.

On Oct. 28, 2024, Cedillo approached the Border Patrol (BP) checkpoint near Falfurrias. Following a K-9 alert, authorities conducted a search of the vehicle and found multiple bundles of cocaine, totaling 28.6 kilograms, hidden in the speaker boxes in his trunk.

Cedillo admitted an ex-co worker recruited him to transport the cocaine to Houston for $6,000.

The Drug Enforcement Administration along with BP conducted the investigation. Assistant U.S. Attorney Zachary Bird prosecuted the case.

HOUSTON - A Harris County resident has admitted to failing to report and pay employment taxes, announced U.S. Attorney Nicholas J. Ganjei.

Joseth “Joe” Limon owned and operated Platinum Employment Group Inc. which supplied laborers to businesses in the Houston area. From 2013 through 2018, Platinum failed to file employment tax returns and, according to its payroll records, more than $8.8 million in taxes.

After closing Platinum, he set up another labor-staffing company, Rockwell Staffing LLC, in the name of his then 18-year-old daughter. When he discovered the IRS was attempting to collect Rockwell’s employment taxes, he caused his daughter to submit an affidavit that falsely claimed Rockwell had been a victim of identity theft and had no employment-tax liability.

U.S. District Judge Lee H. Rosenthal will impose sentencing Aug. 6. At that time, Limon faces up to five years in prison and a possible fine of at least $250,000.

Limon was permitted to remain on bond pending sentencing.

IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorney Shirin Hakimzadeh and Trial Attorney Curtis Weidler of the Tax Division are prosecuting the case.

A Texas man pleaded guilty today before Magistrate Judge Richard W. Bennett for the Southern District of Texas to not reporting and paying over employment taxes that his company withheld from its employees’ paychecks. The plea must be accepted by a U.S. district court judge.

The following is according to court documents and statements made in court: Joseth “Joe” Limon, of Harris County, owned and operated Platinum Employment Group Inc., a company that supplied laborers to businesses in the Houston area. From 2013 through 2018, Platinum did not file employment-tax returns, and, according to its payroll records, did not pay more than $8.8 million in employment taxes. The timely payment of these taxes is critical to the functioning of the U.S. government, because, for example, they are the primary source of funding for Social Security and Medicare. The federal income taxes that are withheld from employees’ wages also account for a significant portion of all federal income taxes collected each year.

After closing Platinum, he set up another labor-staffing company, Rockwell Staffing LLC, in the name of his then 18-year-old daughter. When he later found out that the IRS was attempting to collect Rockwell’s unpaid employment taxes, he caused his daughter to submit an affidavit to the IRS that falsely claimed that Rockwell had been a victim of identity theft and had no employment tax liability.

Limon is scheduled to be sentenced on Aug. 6. He faces a maximum penalty of five years in prison as well as a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division and U.S. Attorney Nicholas J. Ganjei for the Southern District of Texas made the announcement.

IRS Criminal Investigation is investigating the case.

Trial Attorney Curtis Weidler of the Tax Division and Assistant U.S. Attorney Shirin Hakimzadeh for the Southern District of Texas are prosecuting the case.

HOUSTON – A total of 277 cases have been filed from May 16-22 in border-security related matters in the Southern District of Texas, announced U.S. Attorney Nicholas J. Ganjei. 

The filed cases include 21 involving human smuggling. A total of 165 people are charged with illegally entering the country, while another 88 face charges of felony reentry after prior removal. Most of those individuals have prior felonies such as narcotics, violent crime, immigration crimes and more. Other relevant cases charged this week relate to other immigration crimes.

Those charged by criminal complaint include two Mexican males found near Roma after being recently removed. Rogelio Torres and William Rocael have prior convictions for burglary and aggravated assault, respectively, and had been removed from the country just this year, according to the allegations. Another charged includes Roberto Martinez who had already previously received an 84-month sentence for the same crime. Regardless, he was found near Cuevitas after his removal in 2020. Five more Mexican males – Jose Salvador Orozco-Olivares, Jesus Misael Espinoza-Garza, Rigoberto Santana-Guerra, Gaspar Garcia-De La O and Celso Jassel Cantu-Mendiola are also charged with illegal reentry after being removed on dates ranging from 2018-2024 but found again in the Rio Grande Valley area this past week. They are also alleged to also have prior felonies. All of these individuals could face up to 20 years in federal prison, if convicted.

As part of the ongoing efforts, charges are also being filed against those that have failed to register and be fingerprinted. In one such case this week, Victor Manuel Herrera-Herrera admitted he had illegally entered the United States in April 2024 near Brownsville and has remained in the country since that time without having registered or been fingerprinted as required by law.

In addition to the new cases, the sixth and final person admitted her role in a human smuggling conspiracy that resulted in death. Cynthia Gabriela Muniz Carreon and five others were part of a transnational human smuggling organization responsible for moving illegal aliens across the southern border of Texas. Their actions led to the death of a Guatemalan man and several other dangerous events, including a rollover crash. Although many of the aliens were from Guatemala, the smuggling group instructed them to falsely claim Mexican nationality which ensured they would be removed to Mexico instead of their home country, making it faster and easier for the organization to smuggle them back into the United States. Ledgers revealed the organization generated approximately $79,000 in smuggling proceeds between April 12 and 17, 2024, alone. All six face up to life in federal prison.

In McAllen, an illegal alien was sent to prison for 36 months after distributing cocaine with children in his vehicle. On Aug. 14, 2024, law enforcement conducted surveillance on Heriberto Marin-Hebert and observed him making hand-to-hand exchanges around McAllen. They conducted a traffic stop, at which time he threw a box containing of cocaine in a ditch in an attempt to avoid detection. Authorities found multiple individually wrapped baggies of cocaine in the box as well as additional baggies of cocaine, drug scales, drug paraphernalia, two firearms and over $12,000 in cash at his residence. 

A Mexican national received 135 months for smuggling methamphetamine and heroin into the country in Brownsville federal court this week. Ramon Gustavo Alfaro Velez drove his Ford F-150 to the Veterans International Port of Entry. Authorities referred him to a secondary inspection, uncovering 43 bundles hidden within a non-factory compartment beneath the bed liner which contained a white substance that field-tested positive for methamphetamine, weighing 139 kilograms. Velez admitted he was being paid $4,000 to travel to Dallas, collect narcotics proceeds and transport them to Mexico. He also admitted he had knowingly transported proceeds into Mexico on at least five prior occasions.

Also sentenced was a human smuggler for transporting aliens in his pickup truck after they had crossed the Rio Grande River via raft. Julian Alberto Soto tried to evade law enforcement by fleeing an attempted traffic stop at a high rate of speed. He eventually stopped, and authorities discovered all 10 passengers in his vehicle were in the country illegally. The court noted his involvement in a separate smuggling attempt involving 20 illegal aliens and found Soto’s repeated involvement in human smuggling warranted a sentence that would promote respect for the law and deter future illegal conduct. Judge Crane emphasized that the repeated violations took place in Roma and the close timing of these incidents demonstrated a pattern of recurring behavior. He received 46 months.

In Houston, an illegal alien was ordered to serve 54 months this week for unlawfully returning to the United States. His term of imprisonment will run consecutively to another sentence for driving while intoxicated he received after running through a stop sign in August 2022. Rodolfo Hernandez-Marchan has previous convictions for illegal reentry, evading arrest and assault of a family member.

Another human smuggler - a 38-year-old resident of Chatanooga, Tennessee - was ordered to serve 18 months after unlawfully transporting illegal aliens through the Falfurrias Border Patrol (BP) checkpoint. Upon his arrival, Josef Alquan Rutley claimed he was traveling to Laredo, denied having any passengers and said he was looking for a load. An x-ray scan revealed 22 illegal aliens locked inside the trailer with no means of escape. All were from the countries of Ecuador, El Salvador, Guatemala, Honduras and Mexico.

These cases were referred or supported by federal law enforcement partners, including Immigration and Customs Enforcement (ICE) - Homeland Security Investigations, ICE - Enforcement and Removal Operations, Border Patrol, Drug Enforcement Administration, FBI, U.S. Marshals Service and Bureau of Alcohol, Tobacco, Firearms and Explosives with additional assistance from state and local law enforcement partners.

The cases are part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

Under current leadership, public safety and a secure border are the top priorities for this district. Enhanced enforcement both at the border and in the interior of the district have yielded aliens engaged in unlawful activity or with serious criminal history, including human trafficking, sexual assault and violence against children. 

The Southern District of Texas remains one of the busiest in the nation. It represents 43 counties and more than nine million people covering 44,000 square miles. Assistant U.S. Attorneys from all seven divisions including Houston, Galveston, Victoria, Corpus Christi, Brownsville, McAllen and Laredo work directly with our law enforcement partners on the federal, state and local levels to prosecute the suspected offenders of these and other federal crimes. 

An indictment or criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.