Southern District of Texas

BROWNSVILLE, Texas – A 37-year-old man from Valle Hermoso, Tamaulipas, Mexico, has been sentenced following his conviction for conspiracy to possess with intent to distribute multi-kilograms of cocaine, announced U.S. Attorney Alamdar S. Hamdani.

Jesus Alfonso Leos-Orozco pleaded guilty May 1, 2023.

U.S. District Judge Fernando Rodriguez Jr. has now ordered Leos-Orozco to serve 140 months in federal prison to be immediately followed by three years of supervised release. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. In handing down the sentence, the court noted the necessity to consider the seriousness of the offense, nature of the criminal activity and Leos-Orozco’s extensive involvement in the scheme.

Leos-Orozco was a manager/supervisor of the narcotics smuggling conspiracy responsible for distributing approximately 150 kilograms of cocaine.

From approximately 2019 to 2021, law enforcement conducted multiple arrests of individuals possessing multi-kilograms of cocaine in the Brownsville/Edinburg area. Authorities connected the narcotics seizures to attempts to enter the United States, gas station transfers, highway interdictions and bulk currencies destined for Mexico. The bulk currencies are proceeds of the conspiracy that are both connected to a truck transporting company and Leos-Orozco.

The investigation revealed Leos-Orozco would smuggle 15 to 20 kilograms of cocaine weekly and charge $500 per kilogram imported utilizing his commercial tractor trailers company “Leos Auto Transportes De Carga.” Leos-Orozco would then recruit drivers and pay them $250 per kilogram smuggled into the United States.

Further investigation indicated at least 20 border crossing incidents using a trailer are directly linked to Leos-Orozco. Surveillance video also identified Leos-Orozco as one of the individuals responsible for the transfer of a narcotics shipment to another driver.

Leos-Orozco will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations conducted the investigation. Assistant U.S. Attorneys Paul Marian and Luis Salazar prosecuted the case.

HOUSTON – A 42-year-old man has been sentenced for securities fraud, announced U.S. Attorney Alamdar S. Hamdani.

Tyler Loudon pleaded guilty Feb. 22.

U.S. District Judge Sim Lake has now ordered Loudon to serve 24 months in federal prison to be immediately followed by one year of supervised release. In handing down the sentence, Judge Lake noted a significant sentence of incarceration was required to reflect the seriousness of the offense, promote respect for the law and afford adequate deterrence to this type of criminal conduct.

“Insider trading is rampant, extremely difficult to uncover and adversely affects the integrity of the financial markets and the public perception of the markets,” said Hamdani. “These types of offenses erode the public’s confidence in the integrity of the markets and lead to widespread cynicism that the markets are rigged in favor of a fortunate few. Mr. Loudon was only able to commit this crime because he had an unfair advantage: his spouse was an insider who gave him material nonpublic information. This sentence sends a clear message to those who would take advantage of their access to confidential insider information to personally profit are not above the law.”

“Mr. Loudon took advantage of his and his wife’s ‘work from home’ situation and betrayed his spouse by eavesdropping on her confidential business calls to realize a profit of $1.7M in less than two months,” said Special Agent in Charge Douglas Williams of the FBI Houston field office. “Insider trading cases like this one cause damage to everyday investors, our economy and the public’s trust in the fairness of our financial markets. Fair trading laws and regulations are in place so that anyone who can, and wants to, participate in the stock market does, but on an equal playing field.”

Loudon made $1.7 million in illegal profits from the purchase and sale of stock market shares.

Loudon’s wife was an associate manager in mergers and acquisitions at international oil and gas company. Loudon learned her company was planning to purchase a travel center operator business.  

Unbeknownst to his spouse, Loudon used the non-public information about the expected acquisition to purchase 46,450 shares ahead of the public notice.

After the announcement, the travel center’s stock price increased. Loudon then sold his shares for a substantial profit.

Prior to sentencing, Loudon forfeited the $1.7 million in illegal proceeds to the United States.

Loudon will self-surrender to a Bureau of Prisons facility to be determined in the near future.

The FBI conducted the investigation with the assistance of the Securities and Exchange Commission and the Financial Industry Regulatory Authority. Assistant U.S. Attorney Karen M. Lansden prosecuted the case.

McALLEN, Texas – A 37-year-old man has been sentenced for harboring aliens, announced U.S. Attorney Alamdar S. Hamdani.

Miguel Angel Nunez-Urrea pleaded guilty Nov. 30, 2023.

Chief U.S. District Judge Randy Crane has now ordered Nunez-Urrea to serve 41 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 additional testimony that the firearms Nunez-Urrea possessed were capable of accepting large capacity magazines. In handing down the sentence, Judge Crane noted the effect these actions had on Nunez-Urrea’s family.

On Sept. 26, 2023, authorities encountered a group of undocumented aliens near Falfurrias. The investigation led to a stash house in Mission where Nunez resided with his wife. They also believed firearms to be in the home.

On Oct. 11, 2o23, law enforcement conducted a search at the couple’s residence in the early hours of the day. At that time, they discovered seven undocumented aliens - Nunez-Urrea, his wife and five others who were in the attic above a child’s bedroom.

Authorities also found a loaded pistol, a .22 caliber rifle and high-capacity magazines within the couple’s bedroom, all of which belonged to Nunez-Urrea.

Further investigation revealed text messages detailing the undocumented migrants were to be transferred to the Houston area after staying with the couple.

Nunez-Urrea’s wife, Kenia Anguiano-Sanchez, 30, a Mexican national, also pleaded guilty and was previously sentenced.

Nunez-Urrea and Anguiano-Sanchez 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 with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Jose A. Garcia prosecuted the case.

LAREDO, Texas – A 53-year-old woman has been sentenced for passport fraud and aggravated identity theft, announced U.S. Attorney Alamdar S. Hamdani.

Elizabeth Ann Berbel pleaded guilty Aug. 28, 2023.

Berbel is also known as Ana Elizabeth Gomez-Garcia, Ana Elizabeth Gomez Garcia, Ana Elizabeth Gomez, Anna Elizabeth Gomez Garcia, Anna Elizabeth Gomez, Elizabeth Berbel, Elizabeth Ann Gomez, Tina Gomez-Manns and Anna Gomez.

U.S. District Judge Keith Ellison has now ordered Berbel to serve six and 24 months for the passport fraud and aggravated identity theft convictions, respectively. They will run consecutively for a total 30-month-term of imprisonment. Berbel was also ordered to pay $3,083.43 in restitution. During the hearing, the court heard testimony from the victim who described the trauma she has experienced as a result of Berbel’s conduct as well as the negative impact the use of her identity has had on her life and career.

On March 22, 2019, Berbel applied for a passport in Laredo. Part of the application required her to include the names of her parents, her place of birth and her Social Security number. At the time of the plea, Berbel admitted she included information that actually belonged to another person.

Berbel had been using the victim’s Social Security number and other information as early as 2001.

The investigation further revealed that in August 2005, law enforcement had stopped at Berbel at the Laredo Port of Entry. At that time, she was carrying multiple forms of identification including a Social Security card with the victim’s number. At the time, Berbel admitted she was not the person on the identification documents and that she was in fact Ana Elizabeth Gomez Garcia, a citizen and national of Mexico. She also acknowledged having other identification documents hidden in her car. Berbel claimed she waited a week or two before returning to the United States by using these other documents.

Authorities were also able to locate and identify several of Berbel’s biological family members. The investigation confirmed her true identity and not the one she had been assuming by using the victim’s information.

She will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

The Department of State conducted the investigation with assistance from the Social Security Administration and the Texas Department of Public Safety.

Assistant U.S. Attorney Brian Bajew prosecuted the case.

LAREDO, Texas - A 36-year-old woman has been sentenced for her conviction of false statements in a health care matter, announced U.S. Attorney Alamdar S. Hamdani.

Nora Nely Avila pleaded guilty Jan. 3, 2021.

U.S. District Judge Keith P. Ellison has now ordered Avila to serve 18 months in federal prison to be immediately followed by three years of supervised release.

At the hearing, the court heard evidence that Avila incorrectly took out stitches from a patient’s wound, leading to an infection. In addition to the prison sentence, Judge Ellison entered a money judgement against Avila for $52,241.66.

Avila admitted that from January 2017 through December 2019, she impersonated a nurse and performed unlicensed work at multiple hospitals and home health companies in the Laredo area.

From 2017 until 2019, Avila stole the identity of a licensed nurse and repeatedly and fraudulently presented the license and credentials of this licensed nurse at federally-funded Medicare and Medicaid providers throughout Laredo.

At other home health agencies, Avila falsified patient records and failed to show up to work which left patients without needed care. Avila also obtained employment as nurse trainer in the federal-funded Job Corps program and was assigned to train future nurses.

Previously released on bond, Avila was permitted to remain on bond and to surrender at a later date.

FBI, Department of Health and Human Services – Office of the Inspector General (OIG), Department of Labor – OIG, Homeland Security Investigations and the Texas Attorney General’s Medicaid Fraud Control Unit conducted the investigation. Assistant U.S. Attorney Kathryn Olson prosecuted the case.

LAREDO, Texas – A 28-year-old man has been sentenced for possessing child pornography and exploiting children, announced U.S. Attorney Alamdar S. Hamdani.

Kevin Montemayor pleaded guilty March 28, 2022.

U.S. District Judge Keith Ellison has now sentenced Montemayor to 15 years for the possession of child pornography and sexual exploitation of children convictions, respectively. They will run concurrently for a total 180-month-term of imprisonment. Montemayor was further ordered to pay $42,000 in restitution to the victims and will serve five 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. Montemayor will also be ordered to register as a sex offender.

Montemayor came to the attention of law enforcement after they learned an IP address associated with him had posted child sexual abuse material over Facebook Messenger.

On Aug. 9, 2020, authorities executed a search warrant at Montemayor’s residence and found several electronic devices containing child pornography. Law enforcement then seized the devices and took Montemayor into custody.

Authorities later identified a victim who claimed she met Montemayor over the instant messaging application Kik when she was only 15. She claimed Montemayor sexually extorted her for child sexual abuse material by threatening to leak her images if she did not continue to supply Montemayor with more explicit material.

Montemayor will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Leslie Ann Cortez prosecuted the case.

LAREDO, Texas - A 35-year-old citizen of the Dominican Republic has been sentenced to federal prison for conspiracy to transport individuals within the United States resulting in death, announced U.S. Attorney Alamdar S. Hamdani.

Wilkin Perez-Perez pleaded guilty Jan. 12, 2023.

U.S. District Judge Keith P. Ellison found him to be a leader in the conspiracy and ordered Perez-Perez to serve 135 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 additional evidence that Perez-Perez was involved in numerous alien smuggling events, engaged in violent conduct both in and outside the scope of this conspiracy, to include the possession of a weapon, and that Perez-Perez fled the United States when he learned of his arrest.

“ ‘Two bodies found along the banks of the Rio Grande,’ a tragic and all too often headline made possible by ruthless and reckless human smugglers like Perez-Perez and the transnational criminal organizations that employ the likes of him,” said Hamdani. “We will go to any lengths necessary to prosecute the leaders and members of these organizations who care only about cash and not about they humans they transport. Let this case be an example to anyone thinking about becoming a part of the deadly smuggling industry in the United States, you will be held accountable…no matter how long it takes.”

Perez-Perez had been in charge and managing the transportation of people into the United States as well as their harboring in the country.

On Sept. 21, 2017, Melvin L. Barahona-Godoy and Yoryi Alexis Perez led several people to the Rio Grande River. Two drowned while trying to cross into the United States. Authorities discovered their bodies along the river bank.

The investigation led to Perez-Perez who had returned to the Dominican Republic following the discovery of the deceased individuals. He was determined to being in charge of and managing the U.S. branch of the organization. He had coordinated the transportation of these and other individuals, including the two that died, into the interior of the United States and harboring them in Laredo.

Perez-Perez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Barahona-Godoy, 27, Guatemala, and Perez, 34, Dominican Republic, were also charged in relation to the transportation and harboring of the men and others and were later sentenced to 57 and 78 months in prison, respectively.

Homeland Security Investigations, Border Patrol and U.S. Marshals Service conducted the investigation.

Assistant U.S. Attorney Brandon Scott Bowling prosecuted the case.

LAREDO, Texas – A 26-year-old man has been ordered to prison for production and possession of child pornography, announced U.S. Attorney Alamdar S. Hamdani.

Aaron Negrete pleaded guilty March 7, 2023.

U.S. District Judge Keith P. Ellison has now sentenced Negrete to 225 and months for the production and possession of child pornography convictions, respectively. They will run concurrently for a total 225-month-term of imprisonment. At the hearing, the court also heard additional information including testimony from the minor victim’s mother, detailing the impact of Negrete’s actions. In handing down the prison terms, the court noted severity of the his crimes. Negrete was further ordered to pay $30,000 in restitution to known victims of the child pornography possessed and will serve five 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. Negrete will also be ordered to register

“The homes of relatives are supposed to be safe places, especially for kids, but Aaron Negrete used his residence to harm his relative numerous times, committing the most heinous acts one can perpetrate on another, let alone a child," said Hamdani. "He filmed himself molesting the minor then shared the videos and images on the internet, extending the child’s victimization into perpetuity. Our hope is this significant sentence can give the victim some peace knowing Negrete is not lurking in anyone’s home, but instead behind bars for nearly 20 years to come.”

“The Aaron Negrete sentence today sets the tone for how we will handle child predators in our state,” said Special Agent in Charge Craig Larrabee, Homeland Security Investigations (HSI) San Antonio. “If you harm a child, we will investigate you, we will arrest you, and we will bring the full weight of the law against you. HSI urges our South Texas community to remain vigilant against child predators and to immediately report suspected cases of child exploitation to HSI.”

The investigation began when authorities learned an IP address associated with Negrete had uploaded child pornography online.  

On Oct. 12, 2022, law enforcement executed a search warrant at his home. At that time, they found and seized several electronic devices which contained child pornography and took Negrete into custody. He ultimately admitted to downloading an application he used to search for child pornography which included abuse of babies and toddlers.

The investigation further revealed he had sexually abused a minor relative. He recorded himself doing so and shared the recordings and photographs online. The child had visited Negrete and stayed at his residence in Laredo. On more than 50 instances, Negrete forced the victim to rub his genitals and took naked pictures, among other things. The minor was told to keep it a secret to prevent “something bad” from happening.

Negrete will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations conducted the investigation with the assistance of the Laredo Police Department as part of the Child Exploitation Task Force which also includes FBI, Texas Department of Public Safety, U.S. Marshals Service and United Independent School District Police.

 Assistant U.S. Attorney Michael Makens 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 link on that page.

HOUSTON – A 26-year-old man has pleaded guilty to selling stolen government property, announced U.S. Attorney Alamdar S. Hamdani. 

Tamoshion Rucker previously served in the U.S. Army from 2018 to 2022 as a radio and communications security repairer and was a former member of the U.S. Army Reserves.

As part of his plea, Rucker admitted he attempted to sell Image Intensifier Tubes (IITs) for personal gain. Manufacture of IITs fulfill government contracts which are not available or authorized for sale to the public.

The investigation began in December 2022 when authorities attempted to retrieve stolen IITs Rucker posted for sale on eBay.  

To safeguard this technology and equipment, IITs require demilitarization at the end-of-life cycle use. The instructions allegedly involve striking them with a ball peen hammer, ensuring destruction and that disposal of the fragments are made in accordance with hazardous waste guidelines. IITs cannot be resold or otherwise transferred to anyone after already being used.

Rucker agreed to sell five IITs for $3,000. After the transaction, Rucker then also agreed to exchange the remaining 50 IITs for an additional $32,000. Authorities detained Rucker later that day carrying a box containing 45 IITs bearing contract numbers. The total estimated value of all recovered IITs exceeds $103,000.

U.S. District Judge David Hittner accepted the plea and has set sentencing for Aug. 8. At that time, he faces up to 10 years in federal prison and a possible $250,000 maximum fine.

He was permitted to remain on bond pending sentencing.   

The FBI and Army Criminal Investigative Division conducted the investigation with assistance from Texas Department of Public Safety. Assistant U.S. Attorney Carolyn Ferko is prosecuting the case. 

McALLEN, Texas – A 43-year-old McAllen man has been sentenced for conspiracy to possess with intent to distribute meth, announced U.S. Attorney Alamdar S. Hamdani.

Raul Mendiola-Flores pleaded guilty Feb. 22.

U.S. District Judge Drew B. Tipton has now ordered Mendiola-Flores to serve 144 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court heard about his nine prior criminal convictions to include a felony possession with intent to deliver cocaine in which he previously served five years in prison.

Law enforcement determined Mendiola-Flores was in direct communication with Mexican drug traffickers to coordinate the importation of meth.

In May 2023, Jorge Lopez imported one kilogram of meth from Mexico into the United States through the Hidalgo Port of Entry. The Mexican drug trafficking organization communicated with Mendiola-Flores to facilitate pick-up and delivery further north. Mendiola-Flores then arranged a meeting at a local convenience store parking lot in McAllen to receive the drugs.

Lopez, 19, a U.S. citizen residing in Reynosa, Mexico, previously pleaded guilty and remains in custody pending his sentencing. At that time, he faces up to life in federal prison and a possible $10 million maximum fine.  

Mendiola-Flores will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorneys Laura Garcia prosecuted the case.

McALLEN, Texas – A 28-year-old man has been sentenced for importing cocaine, announced U.S. Attorney Alamdar S. Hamdani.

Miguel Angel Trejo pleaded guilty Feb. 21.

U.S. District Judge Drew B. Tipton has now ordered Trejo to serve 50 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence that Trejo played an integral part in smuggling illegal narcotics into the United States. In handing down the sentence, the court noted that traffickers could not succeed without the willing participation of transporters like Trejo.

On Nov. 30, 2023, Trejo claimed he had no illegal drugs in his vehicle when arriving at the Rio Grande City port of entry checkpoint.

Authorities referred him to secondary inspection where a K-9 alerted to the odor of narcotics. A subsequent search revealed 17 bricks of cocaine weighing approximately 19 kilograms hidden in compartments under the floorboards of the rear seat. The cocaine had an estimated street value of approximately $230,000.

At the time of his plea, Trejo admitted he knew he was smuggling narcotics and had done so on multiple occasions.

Trejo will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Customs and Border Protection and Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Theodore Parran III prosecuted the case.

HOUSTON – A 57-year-old man has been sentenced for his role in a fraud conspiracy perpetrated against victims in more than 20 countries, announced U.S. Attorney Alamdar S. Hamdani.

Uche Victor Diuno pleaded guilty Feb. 1.

U.S. District Judge Alfred H. Bennett has now ordered Diuno to serve 60 months months in federal prison and to pay $5,693,648 in restitution. Not a U.S. citizen, Diuno is expected to face removal proceedings following his imprisonment. At the hearing, the court recounted Diuno’s recent testimony in which Diuno detailed his own significant role in the fraud. Diuno himself told the court he regretted his actions and the great harm he caused to victims of the scheme.  

“Diuno helped orchestrate a team of fraudsters impersonating bank executives to pitch fake investments and fake payouts to real victims around the world,” said Hamdani. “This international operation, supported by a cadre of co-conspirators, stole millions from victims as far off as Asia and as close as America, all to funnel money and Land Rovers to his boss in Nigeria. Now, the only traveling Diuno will do will be from a prison yard back to his cell.”

Diuno helped orchestrate a scam in which fraudsters abroad lured victims with false promises of millions in investment funding and inheritances.

His co-conspirators posed as executives and employees of well-known U.S. banks to deceive victims into making payments to secure purported investment and money transfer agreements. Other members of the conspiracy then laundered these payments through U.S. bank accounts and directed them back to the scheme’s leaders in Nigeria.

Diuno admitted he and his co-conspirators used multiple aliases to convince victims the scam was authentic. Diuno also admitted to his role in the laundering of victim funds.

Acting on instructions from the scheme’s leader, Diuno directed a co-conspirator to disburse victim funds after receiving them. This included transferring funds to other bank accounts through currency exchangers and purchasing vehicles that were shipped back to scammers in Nigeria.

From October 2014 to September 2018, Diuno and his co-conspirators caused losses of nearly $5.7 million.

“Uche Victor Diuno conspired with criminal associates who established false web domains and capitalized on sham visits to U.S. embassies around the globe to defraud millions of dollars from victims in over 20 countries,” said FBI Houston Special Agent in Charge Douglas Williams. “This complex, international investment fraud was identified, investigated, and ultimately eradicated due to the diligent work of FBI Houston agents and our key partners at the Department of State’s Office of Inspector General (DOS-OIG). We encourage all Americans to protect themselves from fraudsters like Uche Diuno by visiting www.ic3.gov for the most relevant information about trending scams and protective tips to combat swindles.”

“DOS-OIG is unwavering in our commitment to investigate and bring to justice individuals engaged in international fraud schemes such as Uche Victor Diuno,” said Special Agent in Charge Christopher Hileman, DOS-OIG. “We greatly appreciate the work of our partners at the FBI Houston Field Office, Southern District of Texas, Criminal Division’s Fraud Section and their diligent and professional investigation and prosecution of Diuno.”

Diuno will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

FBI and DOS-OIG conducted the investigation. Assistant U.S. Attorney Christian Latham and Trial Attorney Philip Trout of the Criminal Division’s Fraud Section prosecuted the case.

HOUSTON – Five individuals are now in custody following allegations they tricked an elderly man in his 90s out of over $300,000 in retirement funds, announced U.S. Attorney Alamdar S. Hamdani.

Authorities arrested Lenel Hopkins, 52, Antoinette Monique Hopkins, 42, Alichia Webster, 60, Neil John Halvorson, 65, and Victor Evans Jr., 70. The arrests occurred in Alabama and Florida where they will first appear before their arraignments in Houston. 

All five individuals as well as their company - Ternion Group International LLC aka Ternion Training and Education Center Corporation - are charged with one count of conspiracy to commit wire fraud and one count of wire fraud. 

The indictment alleges Ternion self-identified as a “Christian” company that claimed to be an international investment group performing construction projects and job training for believers. They promised investors high monetary returns and ownership in local development projects in exchange for large investment deposits into Ternion, according to the charges.

Potential investors would allegedly become “hubs” associated with Ternion which would have a Ternion name and the investor’s address as its physical location. According to the indictment, investors would make monetary payments and were supposed to receive millions of dollars in return. The charges allege they actually never received anything in exchange for their payments.

As part of the indictment, Ternion owners convinced a then 92-year-old World War II veteran to form a hub, telling him he would receive $13 million in return if he invested $300,000. The money was supposedly to be used to build a vocational school and to purchase 100 homes, according to the allegations.

The charges allege Evans actually drew a salary from the money the victim transferred from his retirement account. 

In furtherance of the scheme, Halvorson also allegedly caused the victim to enter into a new will which gave Evans successor rights and power of attorney over the victim’s property (including his hub), bank accounts and contracts as well as a medical power of attorney he used to execute a do-not-resuscitate form for the victim.  

The victim has not received any monies in return for the $300,000 he invested nor heard from anyone from Ternion since 2020, according to the charges. The indictment also alleges the location they had told the victim would be the site of the project is privately owned and not for sale.   

If convicted, each faces up to 20 years in federal prison and a possible $250,000 maximum fine for each count.

The FBI conducted the investigation. Assistant U.S. Attorney Adam Laurence Goldman is prosecuting the case.

The case is brought as part of the Elder Justice Initiative. Its goal is to support and coordinate the Department of Justice’s enforcement and programmatic efforts to combat elder abuse, neglect and financial fraud and scams that target our nation’s older adults.

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

HOUSTON – A 68-year-old Houston resident has been sentenced for distribution and possession of child pornography, announced U.S. Attorney Alamdar S. Hamdani.

Stephen Broussard pleaded guilty Oct. 26, 2022, admitting he possessed over 6000 images.

U.S. District Judge Lee H. Rosenthal has now sentenced Broussard to 130 and 120 months for the distribution and possession of child pornography convictions, respectively. They will run concurrently for a total 130-month term of imprisonment. In handing down the prison terms, the court noted that distribution and possession of child pornography are egregious crimes and are not victimless. Broussard was further ordered to pay $36,000 in restitution to the victims and will serve the rest of his life 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. Broussard will also be ordered to register as a sex offender.

Broussard came to the attention of law enforcement after he made child pornography files available for download through a peer-to-peer network. Authorities obtained a search warrant for Broussard’s residence and seized his electronic devices. 

A forensic examination of his devices revealed Broussard possessed 6215 images and 109 videos of child pornography. The material includes sadistic or masochistic conduct involving children under the age of 12.

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

Homeland Security Investigations conducted the investigation.

Assistant U.S. Attorney Sherin Daniel 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 link on that page.

McALLEN, Texas – A 31-year-old Mexican citizen who resided in Edinburg has been sent to prison for coercion and enticement of a minor, announced U.S. Attorney Alamdar S. Hamdani.

Santos Emilio Marcial-Castro pleaded guilty Aug. 29, 2023.

U.S. District Judge Drew B. Tipton has now ordered Marcial-Castro to serve 120 months in prison. The sentence will be immediately followed by five years on supervised release during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender. Not a U.S. citizen, he is expected to face removal proceedings following his sentence. At the hearing, the court noted that despite the likelihood of his removal from the country, he still needed to follow all the conditions imposed on him and not re-enter the country illegally.

In April 2023, law enforcement had discovered numerous conversations between Marcial-Castro and a then 15-year-old minor. The investigation revealed he had been communicating with the victim from May 2021 to April 2023 via Snapchat.

Marcial-Castro was aware the victim was a minor. During their initial conversations, the child told him about her upcoming 14th birthday. Over the course of the next two years, Marcial-Castro sent sexually explicit messages to the victim and enticed the minor to send nude images on multiple occasions. He also told her about his desire to have sex with minors and specifically requested nude photos of the victim’s genitals.

Marcial-Castro will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations – Rio Grande Valley Child Exploitation Investigations Task Force conducted the investigation.

Assistant U.S. Attorney M. Alexis Garcia 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.

CORPUS CHRISTI, Texas – A 35-year-old man has been sentenced for possession with intent to distribute more than four kilograms of cocaine, announced U.S. Attorney Alamdar S. Hamdani.

Elias Garcia pleaded guilty Nov. 30, 2023.

U.S. District Judge David S. Morales has now ordered Garcia to serve 82 months in federal prison to be immediately followed by four years of supervised release.

On Oct. 4, 2023, Garcia attempted to drive a Jeep Cherokee SUV through the primary inspection lane of the Falfurrias Border Patrol (BP) checkpoint. Soon thereafter, an X-ray of the vehicle showed the presence of an anomaly inside the vehicle’s battery compartment located beneath the driver’s seat. Authorities searched the vehicle and discovered four bundles of cocaine concealed within the battery.

The weight of the cocaine was over four kilograms and had an estimated street value of more than $200,000.

Garcia will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

BP and the Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorney John Marck prosecuted the case.

McALLEN, Texas – A 35-year-old Virginia resident has been sentenced for the sexual exploitation of children in the McAllen area, announced U.S. Attorney Alamdar S. Hamdani.

Michael Tienping Tang pleaded guilty May 22, 2019.

Chief U.S. District Judge Randy Crane has now ordered Tang to serve 600 months in federal prison. At the hearing, the court heard additional evidence including how victims of these schemes frequently feel deep fear and shame and often delay in reporting the conduct. In this case, however, Judge Crane heard how two minor victims ultimately came forward and exposed Tang’s crimes.

The court handed down the prison term, noting Tang’s prior sex convictions and the fact that Tang committed this current scheme while under supervision for those prior cases. In addition, the court noted Tang’s use of social media to stalk his victims, their friends and family, as well as Tang’s use of multiple accounts to coerce over 50 victims into engaging in sexually explicit acts at his request. Tang will serve the rest of his life on supervised release following completion of his prison term. During that time, he will be required to comply with numerous requirements designed to restrict his access to children and the internet. Tang will also be ordered to register as a sex offender.

“Tang, a child predator, weaponized Facebook to serve his sick and depraved desires,” said Hamdani. “He used the common social media app to target, exploit and extort our most precious and vulnerable asset, our children. Today’s sentence shrinks Tang’s social circle shaped by the vastness of an online world to the restrictive confines of a federal penitentiary.”

“The abuse and exploitation of children is deeply cruel and violates the trust and safety of the victims. It generates trauma that may not heal. We hope today’s sentence provides some measure of justice to those he harmed,” said Special Agent in Charge Craig S. Larrabee, Homeland Security Investigations (HSI) San Antonio. “Fortunately, he will spend the next 50 years in prison where he cannot harm another child. We will seek the same lengthy sentence for anyone who seeks to take advantage of children in our communities.”

The investigation revealed Tang utilized Facebook to coerce and entice minor children to produce child pornography. Tang’s requests frequently included bestiality and would demand minor victims with younger siblings to produce images and videos engaging in sexually explicit conduct with their younger siblings.

The investigation began in May 2017 when authorities learned about the possible online sexual exploitation of two minor victim students within a local school district. Law enforcement discovered Tang coerced them into producing and sending images and videos depicting themselves engaging in sexually explicit conduct to his Facebook profile. When the victims blocked Tang on Facebook, he created new accounts, communicated and interacted with the victim’s Facebook friends and contacts and regained access to them. After regaining access, Tang coerced both victims to engage in a list of sexual activities by threatening to disseminate their images and videos.

A federal search warrant of Tang’s Facebook account revealed over 50 potential minor victims who had sent and/or received child pornography.

Authorities identified a third minor victim who Tang coerced to produce and send images and videos depicting themselves engaging in sexually explicit conduct. Tang further coerced this minor victim to produce a video using a younger fourth victim’s hand for sexually explicit conduct. When the minor victim did not meet Tang’s deadline to produce an additional video engaging in oral sex with the younger minor victim, Tang distributed the minor victim’s video.

Tang was previously convicted in 2012 of two separate child exploitation offenses including attempted indecent liberties with a child and two counts of possession of child pornography in Virginia.

Tang will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

HSI Rio Grande Valley Child Exploitation Investigations Task Force conducted the investigation. Assistant U.S. Attorneys James Sturgis and Alexa D. Parcell 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.

McALLEN, Texas – Several California residents have received significant sentences for their roles in a South Texas murder-for-hire scheme, announced U.S. Attorney Alamdar S. Hamdani.

The jury deliberated for less than two hours before convicting Viola Elizabeth, Garcia, 53, following a four-day trial in November 2022. Christopher Andrade, 33, also proceeded to trial and was convicted in July 2023. Two others - Noah Solis, 25, and Ronaldo Gallegos, 25, had previously pleaded guilty. All four are from Oxnard, California. Diego Morales, 38, was incarcerated at the time, but also pleaded guilty to his role in the crime prior to trial.

Chief U.S. District Judge Randy Crane has now ordered Garcia, Andrade and Gallegos to each serve 120 months in federal prison, while Morales received a 60-month-term of imprisonment. All sentences will be immediately followed by three years of supervised release.

Solis will be sentenced at a later date.

“The Mexican Mafia, a deadly criminal enterprise that traffics in fear and terror, imported a mother and son duo - Garcia and Andrade - from California to murder a local man for $20,000,” said Hamdani. “Garcia and Andrade thought the scheme would raise their family’s fortunes, but thanks to the work of law enforcement, there won’t be any family reunions for years to come.”

“These four individuals crossed state lines to carry out senseless acts of violence,” said Special Agent in Charge Aaron Tapp of the FBI's San Antonio Field Office. “We want to thank the Hidalgo County Sheriff’s Office, Mission Police Department, Oxnard Police Department and California Department of Corrections for their continued partnership in keeping our communities safe.”

The jury heard that in 2018, Mexican Mafia gang members arranged for the murder of a male residing in Mission.

Morales was in California State prison serving a sentence for attempted murder when he recruited others to commit the murder via a contraband cell phone in his possession. Andrade was a Colonia Chiques gang member who recruited and conspired with the others, including his mother - Garcia - to execute the murder in exchange for $20,000. Evidence showed Mexican Mafia members ordered the murder.

On Aug. 30, 2018, Garcia and co-conspirators attempted to forcibly enter the victim’s residence near Mission. The murder attempt was unsuccessful. They then tried to flee from the scene. At that time, Garcia led responding law enforcement officers on a high-speed chase until she crashed the vehicle.

At Andrade’s trial, the jury heard testimony regarding text messages and phone calls he had made from his phone coordinating the murder attempt.

The jury also heard that in July 2018, they attempted to murder the same victim.

At her trial, Garcia admitted she traveled to Texas in July and August 2018 with the co-conspirators while they were in possession of firearms. She also admitted to being present and witnessing gunshots fired in the July 2018 murder attempt.

However, she attempted to convince the jury she was unaware of any agreement or attempt to commit murder. She claimed the purpose of the trip was to transport the individuals to visit family members and to look at potential real estate for her daughter who resided in Arizona.

Andrade said he was not in fact the user of the phone and was unaware of any agreement or attempt to commit murder.

The jury did not believe either claims and found both guilty as charged. 

All have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

The FBI conducted the investigation with the assistance of the California Department of Corrections and Rehabilitation and police departments in Mission and Oxnard, California. Assistant U.S. Attorneys Roberto Lopez Jr., Cahal P. McColgan and Sarina S. DiPiazza prosecuted the case. 

BROWNSVILLE, Texas – A 22-year-old U.S. citizen residing in Matamoros, Mexico, has been sentenced for conspiracy to possess and possession with intent to distribute 6.16 kilograms of cocaine, announced U.S. Attorney Alamdar S. Hamdani.

Javier Eduardo Vicencio pleaded guilty Aug. 24, 2023.

U.S. District Judge Fernando Rodriguez Jr. has now ordered Vicencio to serve 48 months in federal prison to be immediately followed by three years of supervised release. In handing down the sentence, the court noted that while Vicencio had some character references, the court needed to consider the seriousness of the offense, protecting the public and a deterrence to criminal conduct because Vicencio had committed at least five prior successful drug crossings.

On May 2, 2023, Vicencio drove into the United States through the Gateway Port of Entry in Brownsville. He was the sole occupant of a Chevy Cobalt bearing Mexican license plates. Upon initial inspection, Vicencio denied possessing alcohol, weapons, drugs or other items. However, authorities noticed he appeared nervous and referred him to secondary inspection.

There, they observed anomalies in the side passenger fire wall which resulted in the discovery of 35.4 pounds of cocaine.

Vicencio claimed his family had owned the vehicle for about 10 years and he was trying to “help” them. He believed he was crossing the border with cocaine and would receive payment of $1,000 per trip for delivery to others in Brownsville.

Vicencio will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Oscar Ponce prosecuted the case.

HOUSTON – A Mexican national residing in the United States has made an appearance in federal court on allegations of fraud in foreign labor contracting, false statements and mail fraud, announced U.S. Attorney Alamdar S. Hamdani.

The indictment alleges Angel Reyes Isidro aka Angel Reyes or Lucas Isidro Reyes, 41, operated and managed J&G Concessions LLC in Houston. In 2019, Reyes allegedly submitted falsified temporary employment applications to the United States to obtain H-2B visas for foreign seasonal workers. Upon the workers arrival, Reyes charged them illegal fees, paid them below what was required and made threats of deportation and loss of future employment opportunities to cause them to work despite horrible working conditions, according to the charges.

During the hearing, Judge Bryan heard Reyes poses a serious flight risk, risk of obstructing justice and is a danger to the community. The court heard Reyes also possessed a firearm, which he allegedly used to threaten workers. Testimony further alleged Reyes sexually harassed his female temporary workers, assaulted one of them and threatened and retaliated against the victimized workers.

From 2022 to the time of his arrest April 28, Reyes allegedly continued to operate his carnival business with unauthorized workers.

Reyes faces up to 20 years in federal prison for mail fraud and a maximum of 10 if convicted of visa fraud. He could also be ordered to $250,000 in fines for each conviction. The remaining counts carry a five-year-maximum term of imprisonment.

The Department of State-Diplomatic Security Service conducted the investigation with the assistance of the Department of Labor-Office of Inspector General and Homeland Security Investigations as part of the Document and Benefit Fraud Task Force.

Assistant U.S. Attorneys Christine Lu and Khoa Tran are prosecuting the case.

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

HOUSTON – A 29-year-old Houston man is charged with orchestrating a scheme to steal more than 25 vehicles worth over $1 million, announced U.S. Attorney Alamdar S. Hamdani.

Kenneth Dwayne Westbrook is set to make his initial appearance before U.S. Magistrate Christina Bryan at 2 p.m.

According to the charges, Westbrook recruited individuals through Instagram by promising to pay them money to rent vehicles for him. Instead of returning the vehicles, he allegedly picked up the vehicles, had them driven to Mexico and ignored renters’ calls and messages imploring him to return them. The charges allege Westbrook repeated this scheme with more than 25 vehicles causing a loss of over $1 million.

If convicted, Westbrook faces up to 20 years in federal prison and a possible $250,000 maximum fine for each count in the indictment.

The FBI conducted the investigation. Assistant U.S. Attorneys Tyler White and Michael Chu are prosecuting the case.

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

HOUSTON – A 25-year-old Houston resident has been sentenced for conspiracy to possess with the intent to distribute meth, announced U.S. Attorney Alamdar S. Hamdani.

Jesus Alfredo Palacios pleaded guilty Jan. 30.

U.S. District Judge Andrew Hanen has now ordered Palacios to serve 150 months in federal prison to be immediately followed by five years of supervised release.

The investigation began in January 2020 when law enforcement learned Palacios was selling kilogram quantities of meth in the Houston area.

On March 30, 2021, authorities observed Palacios leaving his apartment carrying a beige colored backpack and a large box. He then placed the box in the back seat of a gray 2011 Nissan Sentra. Law enforcement conducted a traffic stop and immediately noticed a strong odor of marijuana emitting from his vehicle.

Upon searching the Nissan, authorities also observed two boxes in the back seat with three plastic containers that contained a crystalized substance. Laboratory analysis revealed it was 5,768 grams of meth and had a purity level of 88%.

Palacios will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

The Drug Enforcement Administration conducted the Organized Crime Drug Enforcement Task Forces (OCDETF) operation with the assistance of Precinct 3 Harris County Constable’s office. 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 A. Burns prosecuted the case.

HOUSTON – The Justice Department has filed a lawsuit against the Texas Department of Criminal Justice (TDCJ) related to its denial of a religious accommodation for a former administrative employee.

The complaint alleges a woman worked as a non-uniformed clerk in an administrative building at the Pam Lychner Unit of TDCJ and requested to wear a head covering as an expression of her Ifa faith. The complaint asserts that rather than accommodating her request, TDCJ indefinitely suspended her without pay when she would not remove her head covering, impermissibly questioned the sincerity of her faith and ultimately terminated her employment.

The suit alleges TDCJ’s refusal to accommodate her religious practice violated Title VII of the Civil Rights Act of 1964.

“Religious discrimination in the workplace will not be tolerated in our district,” said U.S. Attorney Alamdar S. Hamdani. “TDCJ, like any other employer, must reasonably accommodate employees under Title VII of the Civil Rights Act of 1964.”

“Employers cannot require employees to forfeit their religious beliefs or improperly question the sincerity of those beliefs,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This lawsuit is a reminder to all employers of their clear legal obligation to offer reasonable religious accommodations. In our country, employers cannot force an employee to choose between their faith and their job.” 

Assistant U.S. Attorney Elizabeth Karpati is handling the matter along with Trial Attorney Vendarryl Jenkins of the Civil Rights Division’s Employment Litigation Section

Title VII is a federal statute that prohibits employment discrimination based on race, color, national origin, sex and religion. Title VII also prohibits retaliation against employees who have made a charge, assisted or participated in an investigation, proceeding or hearing under Title VII. Employees with complaints of religious discrimination can report them to their local EEOC office or their state or local fair employment practices agencies. The contact information for each local EEOC office can be found at www.eeoc.gov/field-office.

The full and fair enforcement of Title VII is a top priority of the Justice Department’s Civil Rights Division. More information about the Civil Rights Division and its work is available on its websites at www.justice.gov/crt and www.justice.gov/crt/employment-litigation-section.

The claims asserted in this case are allegations only, and there has been no determination of liability.

The Justice Department filed a lawsuit today against the Texas Department of Criminal Justice (TDCJ) for denying an employee’s religious accommodation request to wear a head covering as an expression of her Ifa faith. The lawsuit, filed in the U.S. District Court for the Southern District of Texas, alleges that TDCJ’s refusal to accommodate the employee’s religious practice violated Title VII of the Civil Rights Act of 1964 (Title VII).

“Employers cannot require employees to forfeit their religious beliefs or improperly question the sincerity of those beliefs,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This lawsuit is a reminder to all employers of their clear legal obligation to offer reasonable religious accommodations. In our country, employers cannot force an employee to choose between their faith and their job.” 

“Religious discrimination in the workplace will not be tolerated in our district,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “TDCJ, like any other employer, must reasonably accommodate employees under Title VII of the Civil Rights Act of 1964.”

The department’s complaint alleges that Franches Spears, who worked as a non-uniformed clerk in an administrative building, requested to wear a head covering in accordance with the tenets of her religion. The complaint alleges that even though TDCJ allowed other employees to wear hats and other non-religious head coverings and could have accommodated Spears’ request it refused to do so. Instead, TDCJ indefinitely suspended Spears without pay when she would not remove her head covering, impermissibly questioned the sincerity of her faith and ultimately terminated her employment.   

The department’s lawsuit seeks to require TDCJ to implement lawful religious accommodation policies and compensate Spears for lost wages and other damages.

Title VII is a federal law that prohibits employment discrimination based on race, color, national origin, sex and religion. Title VII also prohibits retaliation against employees who have made a charge, or assisted or participated in an investigation, proceeding or hearing under Title VII. Employees with complaints of religious discrimination or retaliation can report them to their local Equal Employment Opportunity Commission (EEOC) office or their state or local fair employment practices agencies. The contact information for each local EEOC office can be found at www.eeoc.gov/field-office.

The full and fair enforcement of Title VII is a top priority of the Justice Department’s Civil Rights Division. More information about the Civil Rights Division and its work can be found at www.justice.gov/crt and www.justice.gov/crt/employment-litigation-section.

Trial Attorneys Vendarryl Jenkins and Cheyenne Chambers of the Civil Rights Division’s Employment Litigation Section and Assistant U.S. Attorney Elizabeth Karpati for the Southern District of Texas are handling the case.

LAREDO, Texas - A 42-year-old resident of Laredo is in custody for allegedly committing bank robbery, announced U.S. Attorney Alamdar S. Hamdani.

Arturo Limon III has made his initial appearance before U.S. Magistrate Judge Diana Song Quiroga. Originally arrested on related state charges, authorities have now transferred him to federal custody.

The criminal complaint, filed April 29, alleges Limon entered Falcon International Bank located at 10511 McPherson Road April 27. He allegedly approached the bank tellers, handed them an empty camouflage backpack and demanded they put money in it. The charges allege that during the robbery he said, “yes this is happening.”  

Limon allegedly stole a large amount of cash from the teller’s drawer, exited through the main lobby entrance and drove away in blue Ford Mustang.

Authorities responded, reviewed bank surveillance footage and issued a “be on the lookout” for an individual matching Limon’s description, according to the complaint.

He allegedly entered the Arena Gun Club shortly after the robbery with a green camouflage backpack and attempted to purchase a firearm by handing the employee a large amount of cash. The charges allege he left the club while employees conducted the mandatory background checks. They alerted law enforcement due to his suspicious behavior, according to the complaint.

Authorities allegedly arrested Limon at his residence as he arrived driving a blue Mustang. At that time, they found marked currency in his vehicle and a green camouflage backpack, according to the charges.  

If convicted, Limon faces up to 20 years in federal prison and a possible $250,000 maximum fine.

The FBI conducted the investigation. Assistant U.S. Attorney Mike Makens is prosecuting the case.

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

McALLEN, Texas – Three local sisters have pleaded guilty to conspiracy to aid and assist in the preparation of filing fraudulent tax returns to the IRS, announced U.S. Attorney Alamdar S. Hamdani.

Maria Lourdes Campos was the owner and operator of Campos Tax Service (CTS) located in the Rio Grande Valley for over 10 years. Employed at Campos Tax Service were Campos’s two sisters, Elizabeth Romo and Gloria Romo.

With the sisters’ assistance, most CTS clients fraudulently applied for and claimed either residential energy credits, business expenses or childcare credits. CTS employees did this to earn larger tax refunds for its clients. Once CTS employees completed the tax returns, they did not review the completed documents with their clients and only provided them with refund amounts or incomplete documents.

From 2018 to 2020, Campos Tax Service filed approximately 6,501 federal income tax returns which included over $5 million of residential energy credits.

The false and fraudulent filings between Campos, Elizabeth Romo and Gloria Romo resulted in a total sustained tax harm of $3,672,472.

U.S. District Judge Drew B. Tipton accepted the plea and set sentencing for Aug. 27. At that time, Campos and Elizabeth Romo face up to five years in federal prison while Gloria Romo faces up to three years in federal prison. Each also face a possible $250,000 maximum fine.

All were permitted to remain on bond pending sentencing.

IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorneys Eric D. Flores and Cahal P. McColgan are prosecuting the case. 

HOUSTON – A 56-year-old Houston resident has been arrested following her indictment in a fraud scheme with her son in which they allegedly tricked an elderly couple out of over $1 million, announced U.S. Attorney Alamdar S. Hamdani.

Authorities have arrested Regina Lynn Thomas aka Nikki Laday. She made her initial appearance before U.S. Magistrate Judge Dena Hanovice Palermo who ordered her into custody pending a detention hearing May 6.

Regina Thomas and her son Isaiah Thomas, 38, Houston, are both charged with one count of conspiracy to commit wire fraud and 67 counts of wire fraud. 

The indictment alleges Regina Thomas pretended to be a nurse and assisted a couple with caring for an elderly parent. The couple allegedly allowed her to live at their home while they were out of the country for work. 

Regina Thomas then told the couple federal authorities wanted them in connection for Federal Emergency Management Agency (FEMA) fraud and provided them with whom she claimed was an attorney, according to the charges. That individual was allegedly not a real attorney.

The indictment alleges the couple believed they were paying for the attorney’s services. However, the money was allegedly deposited into Isaiah Thomas’ account who shared the funds with his mother.    

If convicted, both face up to 20 years in federal prison and a possible $250,000 maximum fine for each count.

The FBI conducted the investigation. Assistant U.S. Attorney Adam Laurence Goldman is prosecuting the case.

The case is brought as part of the Elder Justice Initiative. Its goal is to support and coordinate the Department of Justice’s enforcement and programmatic efforts to combat elder abuse, neglect and financial fraud and scams that target our nation’s older adults.

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

GALVESTON, Texas – A 36-year-old Alvin resident has been ordered to federal prison for distribution, receipt and possession of child pornography, announced U.S. Attorney Alamdar S. Hamdani.

Keenan Edward Howe pleaded guilty Oct. 24, 2022.

U.S. District Judge Jeffrey Vincent Brown has now sentenced Howe to 300 months each for the distribution and receipt convictions in addition to 120 months for possession of child pornography, respectively. They will run consecutively for a total 720-month-term of imprisonment. In handing down the prison terms, the court noted the egregious nature of Howe’s conduct. He will serve the rest of his life 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. Howe will also be ordered to register as a sex offender. In handing down the sentence, Judge Brown reiterated the need for Howe’s sentence to reflect the offensive nature of his conduct.

In August 2022, authorities identified Howe through an undercover online investigation in which Howe communicated with someone he believed to be a father with access to minor children. Throughout the conversation, Howe expressed his desire to drug and violently sexually abuse the children. He also discussed purchasing the younger minor child for the purpose of sexually abusing her.

Further communication revealed Howe also admitted to sexually abusing multiple minor victims. Law enforcement subsequently arrested Howe prior to a scheduled meeting with the “father.”

Two months before the conversations, Howe was previously released from prison for offenses involving the sexual abuse of a minor.

Howe will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

The FBI conducted the investigation.

Assistant U.S. Attorney Luis Batarse 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.

McALLEN, Texas – A 32-year-old Mexican man residing in Donna has been sentenced for using peer-to-peer (P2P) applications to download child pornography, announced U.S. Attorney Alamdar S. Hamdani.

Angel DeJesus Torres pleaded guilty Jan. 19.

Chief U.S. District Judge Randy Crane has now ordered Torres to serve 72 months in federal prison. At the hearing, the court heard additional information that Torres used numerous P2P applications to download child pornography. Torres was found in possession of 43 videos child pornography which equated to 3,225 images including prepubescent children aged four to nine as well as minors subjected to acts of bondage. Torres was further ordered to pay $45,000 in restitution to the victims. He will also serve five years on supervised release following completion of his prison term. Torres will also be ordered to register as a sex offender and as a non-U.S. citizen, he is expected to face removal proceedings.

In October 2018, authorities conducted an investigation identifying persons using P2P software to traffic in child pornography. During that time, they identified an IP address in Donna offering to participate in the distribution of images and child pornography.

In May 2019, authorities executed a federal search warrant at the address in Donna and identified Torres as one of the occupants. At that time, law enforcement seized two cellphones including Torres’ personal phone. Forensic analysis of Torres’ phone revealed 43 videos of child pornography including prepubescent minors under the age of 12.

Torres admitted to frequently downloading, receiving and possessing child pornography.

Torres will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations Rio Grande Valley Child Exploitation Investigations Task Force conducted the investigation. Assistant U.S. Attorney Alexa D. Parcell 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.

LAREDO, Texas – Three Laredo residents are charged with purchasing firearms for the cartel and transporting them to Mexico, announced U.S. Attorney Alamdar S. Hamdani.

A federal grand jury has returned a four-count indictment against Angela Ruby Ponce, 18, Oscar Axel Flores, 22, and Mario Alberto Tovar, 28. They are expected to appear for their arraignment before U.S. Magistrate Judge Diana Song Quiroga May 2.  

The indictment alleges from Jan. 1 through on or about April 2, Ponce, Flores and Tovar conspired with each other in trafficking firearms for the Cartel del Noreste (CDN).

Each are charged with conspiracy, smuggling goods from the United States, trafficking firearms and straw purchasing firearms for the CDN.

On April 2, the trio allegedly went to a federal firearms licensee in Laredo to purchase a semi-automatic rifle. After the purchase, U.S. authorities stopped them, recovering the just purchased rifle intended for the CDN, according to the charges.

The criminal complaint originally filed in the case alleges the group was working on behalf of the CDN. The three are believed to have purchased and transported at least 12 firearms to the CDN over the course of several months. The weapons included a variety of handguns and rifles, according to the charges.

The indictment alleges the CDN is a Mexican criminal organization that engages in transnational crime including kidnapping, extortion, vehicle theft, human trafficking, drug trafficking, and money laundering. It is headquartered in Nuevo Laredo, Tamaulipas, Mexico, and allegedly has influence over other Mexican cities. The CDN uses firearms of various calibers and capabilities to carry out and protect its operations, according to the charges.

For the conspiracy, each faces up to five years in federal prison, while smuggling goods from the United States carries a possible 10-year prison sentence. If convicted of trafficking firearms, they all also face additional sentences of up to 15 years as well as another 25 years for straw purchasing. The latter two are new charges under the Bipartisan Safer Communities Act, which Congress enacted and the President signed in June 2022. The Act is the first federal statute specifically designed to target the unlawful trafficking and straw purchasing of firearms. All charges also carry potential fines of up to $250,000.

The Bureau of Alcohol, Tobacco, Firearms and Explosives and Laredo Police Department conducted the investigation.

Assistant U.S. Attorney Bryan L. Oliver is prosecuting the case.

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

McALLEN, Texas – The leader of a smuggling organization and five others have been sentenced for conspiring to smuggle undocumented individuals, announced U.S. Attorney Alamdar S. Hamdani.

Saul Torres-Martinez aka Cobra, 42, Houston; Ernesto Mata Pioquinto, 32, Mexico; Marcelino Navarro Sanchez, 31, Mexico; Robert Hernandez, 26, Fresno; Noemi Silva, 39, Wimauma, Florida; and Luis Esteban Martinez, 41, Alamo, pleaded guilty July 6, 2021.

Chief U.S. District Judge Randy Crane found Torres-Martinez to be a leader or organizer of the smuggling operation and imposed a 110-month sentence. Pioquinto and Sanchez received 52 months, while Hernandez, Silva and Martinez received 39, 87 and 87 months in federal prison, respectively. Hernandez, Silva, and Martinez will serve three years of supervised release following their terms of imprisonment. Not U.S. citizens, Torres-Martinez, Pioquinto and Sanchez are expected to face removal proceedings following the completion of their respective sentences. In handing down the sentence, Judge Crane noted the seriousness of the offense and expressed concern regarding the harm Torres-Martinez caused to the community.

“Human smuggling organizations simply don’t care,” said Hamdani. “They do not see the migrants they transport as human beings but rather as currency. As a result, when you put yourselves in these criminals’ hands you risk exposing yourself to extreme danger or even death.”

As a part of an approximately two-year investigation into human smuggling in the Rio Grande Valley, law enforcement identified and apprehended six members of the “Cobra” human smuggling organization.

According to law enforcement, the smuggling network was responsible for more 100 undocumented individuals from the Mexican border to Houston from 2018 to 2019.

During the investigation, further evidence revealed that members of the human smuggling organization were responsible for a smuggling fatality as well as an alleged sexual assault of another smuggled individual.

Homeland Security Investigations and Border Patrol conducted the investigation. Assistant U.S. Attorney Matthew Phelps prosecuted the case.

BROWNSVILLE, Texas – A federal jury has returned a guilty verdict against a Mexican citizen residing in the Brownsville area for conspiracy with intent to deliver cocaine, heroin and fentanyl, announced U.S. Attorney Alamdar S. Hamdani.

The jury deliberated for approximately three hours before finding Gilberto Almaraz-Muniz, 55, guilty on one count of conspiracy and three counts of possession with intent to distribute various controlled substances following a five-day trial.

Law enforcement conducted a narcotics seizure in Klegberg County on March 10, 2022. At that time, authorities arrested co-conspirator Pedro Venegas Jr., 24, Brownsville. Once law enforcement noticed tampering within the engine, they took his truck to a secure location to remove the engine’s manifold and other components. The exposed internal workings of the engine revealed 23 bundles of heroin, cocaine and fentanyl. The truck’s 6-cylinder engine had modifications to appear as an 8-cylinder to keep the drugs hidden within those areas.

Further evidence showed co-conspirator Jetzrael Saldana, 25, Brownsville, recruited Venegas as driver on behalf of Almaraz-Muniz who was a law enforcement official in Mexico and operated as the drug supplier. At trial, witnesses testified that Almaraz-Muniz would ask Saldana to recruit drivers to take drug loads past the immigration checkpoint for distribution in Houston and other areas. Almaraz would then arrange for the vehicles to be titled in the drivers’ names and have them do “dry runs” crossing the port of entry several times before hiding drugs within the vehicle.

The jury also heard evidence on two other drug seizures where Almaraz-Muniz hired drivers to deliver narcotics. The seizures included 83 kilograms of liquid meth at the Gateway International bridge in Brownsville on July 17, 2022, and a 24-kilogram seizure of black tar heroin in Robstown Sept. 26, 2022.

“This case removed over 100 kilograms off our streets,” said Hamdani. “My office will continue to prosecute not only those individuals caught transporting dangerous drugs but also those that provide and involve others in the illicit drug trade.”

Venegas and Saldana pleaded guilty June 1, 2022, and July 26, 2023, respectively, and their sentencing hearings are set for May 1 and May 8. 

U.S. District Judge Rolando Olvera presided over the trial and has set sentencing for July 17 for Almaraz-Muniz. At that time, he faces up to life imprisonment and a possible fine of up to $10 million. 

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

The Drug Enforcement Administration conducted the investigation with the assistance of the South Texas Narcotics Task Force in Kingsville and Homeland Security Investigations. Assistants U.S. Attorneys Oscar Ponce and Victoria Aranda are prosecuting the case.

McALLEN, Texas – A 52-year-old resident of Channelview has been sentenced for attempting to smuggle thousands of rounds of ammunition in spare tire, announced U.S. Attorney Alamdar S. Hamdani.

Maria Tapia-Aguilar pleaded guilty Feb. 28, 2022.

Chief U.S. District Judge Randy Crane has now ordered Tapia-Aguilar to serve 51 months in federal prison to be immediately followed by three years of supervised release.

“3,500 rounds and seven different calibers – not child’s play,” said Hamdani. “We have laws in place for a reason, and we can never know in whose hands these items may be at any given time if people try to circumvent those rules. Exporting ammunition can be just as dangerous as the weapons themselves as it not only endangers U.S. citizens, but also puts the lives of those on both sides of our border at risk, especially if in the arms of criminals.”

On Nov. 6, 2019, law enforcement observed Tapia-Aguilar purchasing large amounts of ammunition at a local Edinburg store. Afterwards, she engaged in strange driving behavior and committed a traffic violation. Authorities then conducted a traffic stop which resulted the discovery of ammunition hidden in the vehicle’s spare tire.

Tapia-Aguilar admitted to possessing 3,580 rounds of ammunition, including seven different calibers, for transport to Mexico. She also informed law enforcement that this was not the first time she exported ammunition to Mexico.

Tapia-Aguilar as permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations conducted the investigation with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives and Texas Department of Public Safety.

Assistant U.S. Attorney Cahal P. McColgan prosecuted the case as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.  

CORPUS CHRISTI, Texas - A 67-year-old Sandia resident has pleaded guilty to one count of wire fraud as part of a scheme to defraud the Nueces County Junior Livestock Show (NCJLS), announced U.S. Attorney Alamdar S. Hamdani.

Sara Rene Chapman worked for NCJLS as a secretary from 2010 until 2023. As part of her plea, she admitted that from approximately 2018 to 2023, she used NCJLS bank accounts to pay her own personal credit card bills through the use of wire transfers. The scheme resulted in a loss of approximately $172,069.17.

As part of her job, Chapman had access to the NCJLS bank accounts and was responsible for paying authorized NCJLS expenses. In 2018, Chapman began using the bank accounts to pay her monthly credit card bill and continued for over four years.   

U.S. District Judge Nelva Gonzales Ramos has set sentencing for July 23. At that time, Chapman faces up to 20 years in federal prison and a possible $250,000 maximum fine as well as full restitution to the NCJLS.

Chapman was permitted to remain on bond pending sentencing.

FBI conducted the investigation. Assistant U.S. Attorney Ashley Martin is prosecuting the case.

HOUSTON – A 33-year-old Houston resident has pleaded guilty to being a felon in possession of a firearm, announced U.S. Attorney Alamdar S. Hamdani.

Tomas Rodriguez pointed a loaded .22 caliber pistol at a local police department officer who was in the course of their normal duty.

On Sept. 5, 2021, the officer had responded to a report of an assault in a parking lot near Houston bar. Witnesses directed him to Rodriguez who had fled towards an injured female lying face down on the ground. Rodriguez fell as he ran, and the officer commanded him to remain on the ground.

However, Rodriguez got up and pointed the firearm at the officer who responded by discharging his duty weapon in self-defense. Not struck, Rodriguez proceeded to flee and discarded the weapon. Authorities apprehended Rodriguez following a foot pursuit and subsequently recovered his loaded firearm.

Rodriguez has multiple prior felony convictions. As such, he is prohibited from possessing firearms and ammunition per federal law.

U.S. District Judge Alfred H. Bennett accepted the plea and set sentencing for Aug. 8. At that time, Rodriguez faces up to 10 years in federal prison and a possible $250,000 maximum fine.

Rodriguez has been and will remain in custody pending sentencing.

The Houston Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorney Byron H. Black prosecuted the case. 

GALVESTON, Texas – A federal judge has returned a guilty verdict against a Brazoria man for sending obscene photos and messages to a minor, announced U.S. Attorney Alamdar S. Hamdani.

U.S. District Judge Jeffrey Brown found George Jimenez, 45, guilty of coercion and enticement of a minor following a one-day trial that commenced April 3. Judge Brown entered the order late April 23. Prior to trial, Jimenez pleaded guilty to two counts of transfer of obscene material to a minor.

In April 2019, law enforcement discovered Jimenez had sent pictures of his genitals to a 13-year-old girl and other contacts in his phone. Five were the minors’ 12 and 13-year-old classmates.

Authorities executed a federal search warrant and discovered Jimenez was using the TextNow application to disguise himself as a teenage boy to engage in sexually explicit conversations with minors.

From March until April 2019, Jimenez engaged in those communications, including sending at least five pictures of his genitals to the 13-year-old child. In approximately 17 communications, Jimenez asked the minor victim for pictures of either her breasts, buttocks or genital area.

In a text exchange, the minor shared information with Jimenez that she shaved her genital region. Jimenez then sent messages asking to see images of it.

At the trial, the defense attempted to convince the court the messages he sent to the minor did not arise to the level of attempting to persuade the minor to send him sexually explicit photos of herself. He did not believe those claims and found Jimenez guilty as charged. In his ruling, the court stated, “these requests were direct, specific and unambiguous. They were not shrouded in innuendo or bashfulness. Simply put, there is no question that Jimenez repeatedly asked [the minor] to take and send him pictures of her genitals and pubic area.”

Judge Brown has sentencing for June 12. At that time, Jimenez faces 10 years to life in federal prison and a possible $250,000 maximum fine.

He has been and will remain in custody pending sentencing.

FBI conducted the investigation.

Assistant U.S. Attorneys Karen M. Lansden and Sherin S. Daniel are 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.

HOUSTON – A Houston attorney and his former office manager are charged in federal court for conspiracy to commit mail fraud, announced U.S. Attorney Alamdar S. Hamdani.

Houston residents Clyde J. Moore, 62, and Mark A. Broussard, 63, made their initial appearances before U.S. Magistrate Judge Yvonne Ho at 2 p.m.

A federal grand jury returned the two-count indictment April 17 which was unsealed upon their arrests.

According to the indictment, Moore is an attorney who handles personal injury cases arising from car accidents. From approximately 2012 to 2021, he, Broussard and other employees at Clyde J. Moore Attorney at Law P.C. were allegedly involved in a scheme to defraud clients of settlement proceeds. The estimated amount of the fraud is $2.4 million.

Moore and his staff allegedly inflated the cost of medical expenses and misled injured clients to believe the firm paid certain medical providers more than they actually had, according to the charges. 

As a result, clients allegedly received a smaller share of their entitled settlement funds. The charges allege the skimmed funds were diverted to the law firm’s trust account from which Moore allegedly made personal expenditures. These allegedly included luxury sports cars and his children’s private school tuition. The indictment alleges Moore also split the stolen funds with Broussard and other members of his firm who helped to execute the scheme.

For conspiracy to commit mail fraud, Moore and Broussard face up to five years in federal prison and a possible $250,000 maximum fine. Moore is also charged with an additional count of mail fraud which carries a maximum prison sentence of up to 20 years and a possible $250,000 fine.

IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorney Robert S. Johnson is prosecuting this case.

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

HOUSTON – A 49-year-old former administrative assistant for the Katy Area Economic Development Council (KAEDC) has been sentenced for wire fraud, announced U.S. Attorney Alamdar S. Hamdani.

Janet Leigh Medrano aka Janet Jackson pleaded guilty Dec. 12, 2023.

U.S. District Judge Keith Ellison has now ordered Medrano to serve 27 months in federal prison to be immediately followed by three years of supervised release. Jackson was additionally ordered to pay restitution in the amount of $281,489.91. At the hearing, the court heard testimony from a KAEDC representative about how Medrano’s theft left the non-profit organization on the brink of bankruptcy. In handing down the sentence, Judge Ellison noted that this was not an appropriate case for leniency. Medrano attempted to excuse her conduct by claiming she had difficulty providing for her family. Judge Ellison dismissed the claim by stating he had heard from thousands of individuals with much more desperate financial situations.

From 2014 to 2019, Medrano worked as an administrative assistant for KAEDC. Beginning in 2016 until her termination in 2019, Medrano stole from the organization using four different schemes. When KAEDC confronted Medrano, she attempted to hide her crime by providing altered bank statements to cover the ongoing theft.

Further investigation revealed Medrano was not telling the truth and had stolen over $280,000 from KAEDC.

Medrano was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.

The U.S. Postal Inspection Service conducted the investigation. Assistant U.S. Attorney Christine Lu prosecuted the case.

HOUSTON – A federal jury has returned a guilty verdict against an Iraqi citizen who resided in Richmond for operating a money transmitting business without a license, announced U.S. Attorney Alamdar S. Hamdani.

The jury deliberated for less than one hour before finding Sameer Sami Rasheed Al Salman, 55, guilty on one count of unlicensed money remitting following a two-day trial.

During the trial, the jury heard evidence about Salman’s money transmitting business, which he operated at his residence in Richmond. Since 2020, Salman transferred and wired millions of dollars from bank accounts in the United States to ones all over the world including China, Indonesia and India. 

The jury heard testimony about how Salman offered his services locally and performed informal hawala transactions, a method of transferring money without using the banking system. Salman conducted these transfers which amounted to thousands of dollars from his driveway and required individuals to show their identification. Many transfers originated from Iraq and some transfers were up to $40,000. 

Authorities identified Salman’s illegal money transmitting operation after extensive surveillance and conducted a search of his residence. At that time, they discovered over $282,000 in cash stored within the house. 

At the trial, the defense attempted to convince the jury Salman had lawful authority to operate a money transfer business in Iraq. The jury did not believe those claims and found him guilty as charged.

“Money flowed from Iraq through Houston thanks to Rasheed Al Salman’s illegal money transmitting business, a business he conducted from his home’s driveway and without a license,” said Hamdani. “Hawala operators like Salman pose a real threat to banking systems because they undermine the oversight and regulation of significant money transfers - transfers that when unregulated, often end up in the coffers of international criminal organizations.”

U.S. District Judge Sim Lake presided over the trial and set sentencing for Aug. 16. At that time, Salman faces up to five years in federal prison and a possible $250,000 maximum fine. 

FBI conducted the investigation. Assistant U.S. Attorneys Heather Winter and Steven Schammel are prosecuting the case. 

HOUSTON – A 26-year-old woman is set to appear in federal court for conspiracy to commit wire fraud, announced U.S. Attorney Alamdar S. Hamdani.

Khalia Douglas is expected to make her initial appearance before U.S. District Judge Yvonne Ho at 2 p.m.

According to the criminal information filed April 16, from March 2020 until June 2021, Douglas allegedly submitted false and fraudulent applications to the Federal Emergency Management Agency (FEMA), Small Business Administration, the U.S. government and a bank for financial assistance. 

As part of the alleged scheme, Douglas gave instructions to co-conspirators on

how to fraudulently apply for FEMA assistance and allegedly assisted others in applying for FEMA rental assistance. Douglas allegedly received payment from co-conspirators for assisting them in filing fraudulent FEMA applications for assistance with rentals, critical needs and personal property assistance. Douglas also helped others in filing false applications for Paycheck Protection Payment loans, Economic Injury Disaster Loan assistance and bank loans, according to the charges.

Douglas allegedly assisted in filing the false applications causing an attempted loss of $514,415.

If convicted, Douglas faces up to five years in federal prison and a possible $250,000 maximum fine.

The Department of Homeland Security - Office of Inspector General conducted the investigation. Assistant U.S. Attorney Rodolfo Ramirez is prosecuting the case.

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

HOUSTON – A 57-year-old Prairie View woman has pleaded guilty to one count of embezzlement by a federal credit union employee, announced U.S. Attorney Alamdar S. Hamdani.  

Gloria Hall was employed at Prairie View Federal Credit Union (PVFCU). From 2017 through 2019, while acting as manager, she purposefully maintained an antiquated business practice which would not allow customers to access their accounts online. Hall admitted she was able to and did access at least two elderly customer accounts and misappropriated $211,563.12 of their funds for her own personal gain.

PVFCU was one of the oldest continually operational federal credit unions a historically black college or university had established in the United States. It did not survive Hall’s embezzlement. PVFCU existed for approximately 85 years prior to its failure and merger with the Cy-Fair Federal Credit Union in early 2022.

“Hall’s personal greed trumped the needs of her community,” said Hamdani. “These banks often form the bedrock of our society, and their failures can have devastating impacts on the people that rely on them. Her actions had severe consequences, actions that deserve a harsh yet just punishment.” 

U.S. District Judge Charles Eskridge accepted the plea has set sentencing for Aug. 22. At that time, Hall faces up to 30 years in federal prison and a possible $1 million maximum fine.

Hall was permitted to remain on bond pending sentencing.

The FBI – Bryan Resident Agency conducted the investigation. Assistant U.S. Attorneys Grace Murphy and Thomas Carter are prosecuting the case.

HOUSTON – The owner of a Houston-area mental health clinic has been sentenced for conspiracy to commit healthcare fraud, announced U.S. Attorney Alamdar S. Hamdani.

Gwendolyn Gibbs, 72, pleaded guilty Dec. 3, 2021.

U.S. District Judge Charles R. Eskridge has now ordered Gibbs to serve 84 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence Gibbs fraudulently billed Medicare for services provided to vulnerable adults with intellectual disabilities who did not require mental health services. In addition, Gibbs was ordered to pay $8,680,380.42 in restitution to Medicare. In handing down the sentence, the court noted Gibbs’ role as leader, the length of the fraud scheme and her long history in the medical field as evidence she knew what she was doing was wrong.

“Gwendolyn Gibbs exploited vulnerable adults with intellectual disabilities and residents of group homes in order to defraud Medicare of millions of dollars,” said Hamdani. “Public resources for mental health services should go to the patients that actually need them, not to enrich criminal actors like Gibbs.”

Gibbs was the owner of Daybreak Rehabilitation Center. From 2007 until 2016, she submitted fraudulent claims for partial hospitalization program (PHP) services to Medicare that were not provided or not medically necessary. A PHP is a form of intensive outpatient treatment for severe mental illness. Daybreak patients, including individuals with intellectual disabilities, did not need PHP services. Gibbs admitted to falsifying medical records to make it appear that patients were sicker than they actually were.

Gibbs also paid kickbacks to owners of group homes and patient recruiters in exchange for referring Medicare beneficiaries to Daybreak. The owners of the group homes required their residents to attend Daybreak and, in exchange, Gibbs and her co-conspirators provided transportation, supervision and meals to the group home residents.

Charles Guidry Jr., 70, Houston, a manager at Daybreak and Gibbs’ ex-husband, was previously sentenced to 70 months imprisonment followed by three years of supervised release.

Gibbs will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

FBI, Department of Health and Human Services - Office of the Inspector General, Texas Attorney General’s Medicaid Fraud Control Unit and the Railroad Retirement Board-OIG conducted the investigation. Assistant U.S. Attorneys Kathryn Olson and Michael Day prosecuted the case.

McALLEN, Texas – Two men have been sentenced for their roles in a cocaine smuggling operation, announced U.S. Attorney Alamdar S. Hamdani.

Argelio Chavero, 51, Alton, and Agustin Romero Jr., 41, U.S. citizen residing in Mexico, pleaded guilty April 24, 2023, and Dec. 19, 2022, respectively, to importing 12 kilograms of cocaine from Mexico.

Chief U.S. District Judge Randy Crane has now imposed a 188-month-term of imprisonment for Chavero, while Romero received 57 months. Both must also serve five and three years of supervised release, respectively, following their sentences. At the hearing, the court heard additional evidence of Chavero’s lengthy criminal history which includes a prior attempt to smuggle 14 kilograms of marijuana in a vehicles’ spare tires and gas tank through the Falfurrias Border Patrol checkpoint. In addition, the court heard that drug trafficking runs in the Chavero family as his brother is also in federal custody for a 2021 conviction of importing meth. In handing down the sentence, the court noted that Chavero has led a life crime.

On April 24, 2021, Romero drove to the Hidalgo Port of Entry attempting to enter the United States from Mexico. Upon an x-ray inspection of the vehicle, law enforcement noticed anomalies in the gas tank. Further inspection revealed, four kilograms of marijuana and 12 kilograms of meth concealed within 33 packages inside the gas tank.  

Chavero recruited Romero and provided him with a vehicle at the Mexican entrance to the Port of Entry. Chavero initially denied knowledge of Romero and the vehicle; however, authorities confronted Chavero with photographs of him driving the vehicle with Romero as passenger.

Both will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Laura Garcia prosecuted the case.

McALLEN, Texas – A 33-year-old San Juan resident has been ordered to federal prison for attempting to exit the country with three dozen AK-47 and AR-15 rifles and other weapons and ammunition, announced U.S. Attorney Alamdar S. Hamdani.

Jessica Alvarado pleaded guilty Jan. 25 to smuggling goods from the United States.

U.S. District Judge Micaela Alvarez has now ordered Alvarado to serve 46 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard how these types of weapons are typically those that end up in the hands of cartel members in Mexico and the dangers that are associated with their use. In handing down the sentence, the court noted the dangers associated with these firearms and the individuals they endanger. The court also heard that at the time of the offense, Alvarado admitted to dealing cocaine on several occasions.

“Alvarado tried to sneak dangerous weapons across our southern border which could have had devastating effects,” said Hamdani. “This sentence should serve as a warning - put guns in the hands of others illegally and pay a hefty price with your freedom. An AK-47 or AR-15 doesn’t belong in the hands of a criminal.”  

“Drugs and guns are a deadly combination,” said Special Agent in Charge Craig Larrabee, Homeland Security Investigations (HSI) San Antonio. “This sentencing serves as a warning to those who attempt to export weapons into Mexico and distribute highly addictive narcotics like cocaine. HSI will aggressively pursue violators and hold them accountable. This investigation demonstrates the strength of collaborative law enforcement efforts in the Rio Grande Valley and our strong partnership with the U.S. Attorney’s Office.”

On Jan. 31, 2023, Jessica Alvarado attempted to depart the United States via the Hidalgo Port of Entry driving a Ford F-150. At the time, she denied having any firearms.

However, authorities noticed the bed of the pickup truck was abnormally elevated and referred the vehicle to secondary inspection. A search resulted in the discovery of 33 AK-47 variant rifles, three AR-15 rifles, a .22 caliber long rifle, two .45 caliber handguns and 39 ammunition magazines. Alvarado did not possess a license to export firearms from the United States.

The investigation led to a search at her residence in San Juan where law enforcement also found approximately 499 grams of a packaged white powdery substance that tested positive for the characteristics of cocaine and more than $13,000 in bulk U.S. currency.

Alvarado was permitted to remain on bond and will surrender at a later date to serve her sentence.

HSI conducted the investigation with the assistance of Customs and Border Protection and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Lee Fry and Cahal P. McColgan prosecuted the case.

This case is being prosecuted as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions.

McALLEN, Texas – A 41-year-old man from Edinburg is the final man to be ordered to prison for fraudulently obtaining unemployment benefits from the Department of Labor (DOL), announced U.S. Attorney Alamdar S. Hamdani.

Jose Luis Gonzalez pleaded guilty March 21, 2023.   

Chief U.S. District Judge Randy Crane has now ordered him to serve a total of 74 months in federal prison to be immediately followed by three years of supervised release. He was also ordered to pay $531,161 in restitution. At the hearing, the court heard additional evidence and testimony that described how Gonzalez kept this fraud going on for a decade and caused substantial loss to the Department of Labor (DOL) and Texas Workforce Commission (TWC). The court also heard how he kept the money from the citizens in our community who qualified for the benefits and needed those benefits.

“Gonzalez and others committed substantial fraud against the taxpayers of Texas,” said Hamdani. “By creating fictitious companies, forging documents and ultimately cheating the TWC, Gonzalez kept money from people who truly needed it. Thanks to the work of law enforcement, Gonzalez will have to trade his fake companies for a real prison cell.”

Beginning in August 2008, Gonzalez devised a scheme in which he filed fraudulent unemployment insurance claims with the Texas Workforce Commission (TWC). He created and provided several fraudulent documents to file for unemployment benefits. He then advertised his scheme on Facebook where he recruited and assisted others to do the same. Several others paid Gonzalez to assist them in making fraudulent employment benefits claims.

Specifically, Gonzalez would create a fictitious employer account with the TWC to include an employer name, address and similar information. The address he created was his address or an address he controlled. TWC would mail a notice to the fictitious employer at that address, and Gonzalez would pretend to be the employer and respond to the TWC letter confirming the fictitious employment of the applicant. This caused TWC to generate and fund a debit card and mail it to a separate address Gonzalez or another individual controlled.

Ultimately, the scheme resulted in approximately 50 fraudulent unemployment claims totaling $531,161.

Nine others had also pleaded guilty and have already been sentenced.

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.

DOL - Office of the Inspector General conducted the investigation with the assistance of the FBI. Assistant U.S. Attorney (AUSA) Sarina S. DiPiazza prosecuted the case along with former AUSAs Steven Belt and Michael Mitchell.

McALLEN, Texas – A 41-year-old man has been ordered to federal prison following his conviction of receipt of child pornography, announced U.S. Attorney Alamdar S. Hamdani.

A federal jury deliberated for less than 45 minutes before convicting Miguel Martinez Feb. 28, 2019, following a two-day trial.

Chief U.S. District Judge Randy Crane has now ordered Martinez to serve 168 months in federal prison. Martinez was further ordered to pay a total of $6,000 in restitution. Martinez will serve five 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. Martinez will also be ordered to register as a sex offender.

Martinez came to the attention of law enforcement following an investigation in the spring of 2012 into persons using the internet to traffic in child pornography. Authorities located and identified Martinez as a participant on a peer-to-peer network offering to distribute and receive videos of child pornography.

On Nov. 14, 2012, law enforcement executed a search warrant at Martinez's residence, at which time they seized a computer and various external storage media devices. A forensic examination of the devices revealed 123 videos and images of children under the age of 12 engaged in sexually explicit conduct including bondage and acts of violence against them. Some of the images are of known victims as identified through the National Center for Missing and Exploited Children.

In a subsequent interview, Martinez admitted to downloading the child pornography found on his computer and external storage media, which were stored in a folder labeled “Mike’s Stuff.”

At the time of the trial, Martinez denied any wrongdoing and testified that he could not remember any of the events that transpired at the time of the execution of the search warrant. 

Martinez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations conducted the investigation. Assistant U.S. Attorneys Kimberly Ann Leo and Laura Garcia 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.

CORPUS CHRISTI, Texas – A 36-year-old Corpus Christi resident has been sentenced for being a felon in possession of a firearm and possession with intent to distribute meth, announced U.S. Attorney Alamdar S. Hamdani.

Adolfo Tovar pleaded guilty Dec. 1, 2022.

U.S. District Judge Nelva Gonzales Ramos has now ordered Tovar to serve 200 months in federal prison to be immediately followed by five years of supervised release. In handing down the sentence, the court noted Tovar’s serious and significant criminal history, including his attempted robbery and second-degree robbery convictions. 

On the late evening of April 10, 2021, a concerned citizen reported a vehicle parked crooked in a parking space with a male driver who appeared to be unconscious at a local gas station.

Authorities approached the driver, later identified as Tovar. They asked him to exit the vehicle and to provide identification. When he did so, Tovar pulled out two blue baggies typically used as packaging for illegal narcotics which fell to the ground.

Further investigation resulted in the discovery of other drug paraphernalia visible inside Tovar’s SUV. Law enforcement searched his vehicle and found meth, scales and baggies in the center console and a firearm under the driver’s seat.

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

The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with assistance from Corpus Christi Police Department. Assistant U.S. Attorney Joel Dunn prosecuted the case.

McALLEN, Texas – A 26-year-old Edinburg man has been sentenced for drug charges and possession of a firearm during and in relation to a drug trafficking crime, announced U.S. Attorney Alamdar S. Hamdani.

Lauro Gonzalez Jr. pleaded guilty April 24, 2023.

Chief U.S. District Judge Randy Crane has now ordered Gonzalez to serve a total of 12 years in federal prison to be immediately followed by four years of supervised release. At the hearing, the court heard how Gonzalez had been dealing various narcotics within the community for years and was proud that he had historically been able to avoid apprehension. Judge Crane heard additional evidence of the dangers of meth due to the low cost and its addictiveness. In handing down the sentence, the court noted Gonzalez’s lengthy criminal history which includes extensive drug use and distribution.  

On Oct. 13, 2021, law enforcement arrived on the scene of a vehicle accident where witnesses reported the driver of a blue BMW had rear ended another vehicle and attempted to flee on foot. Authorities identified the driver as Gonzalez and arrested him for fleeing the accident.

In a subsequent search of Gonzalez’s vehicle, law enforcement located 250 grams of meth, psilocybin mushrooms, marijuana, cash, a digital scale and a 9mm pistol with an extended magazine. Gonzalez admitted to selling the drugs found in the vehicle and bragged about usually being able to evade law enforcement. Gonzalez also stated he would have shot at authorities if he was not able to get away and had his gun.

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

Drug Enforcement Administration conducted the investigation with the assistance of the Edinburg Police Department. Assistant U.S. Attorneys Lee Fry and Devin V. Walker prosecuted the case.

LAREDO, Texas – Two people residing in Laredo have been ordered to federal prison for conspiring to sell pistols, rifles and ammunition via social media, announced U.S. Attorney Alamdar S. Hamdani.

Joccelyn Jasmin Recio, 30, Laredo, and Mexican national Victor Martin Serrano Carrillo, 20, pleaded guilty Sept. 12, 2023, and May 11, 2023, respectively.

U.S. District Judge Diana Saldaña has now ordered Recio and Carrillo to serve respective sentences of 78 and 63 months. Recio must also serve three years of supervised release, while Carillo, not a U.S. citizen, is expected to face removal proceedings following his imprisonment. At the hearing, the court heard about Recio’s prior conviction for alien smuggling in 2016. In imposing the sentence, Judge Saldaña noted the drug war in Mexico in which Recio and Carrillo made a choice to become involved and how their involvement in the conspiracy operated as a well-oiled machine that resulted in the sale of an immeasurable number of firearms.

“Recio and Carillo potentially put lives at risk for their own personal gain - intending to profit by selling firearms and ammunition to be illegally smuggled out of the United States,” said Hamdani. “We remain vigilant in our efforts to combat this international issue. Try to take guns to Mexico through our district and pay for it with your freedom.”

As part of the conspiracy, Carrillo contacted sellers on WhatsApp to purchase firearms for Recio via private sales. Carrillo would then transport Recio and the firearms to the meeting places. Recio would use WhatsApp and other social media messaging to communicate with the buyers and then pay Carrillo a fee for each firearm following the sale.

As part of their pleas, both admitted that in February 2023, Recio had delivered a total of six pistols, two rifles and 123 rounds of ammunition along six pistol magazines in exchange for cash. Recio contacted a buyer and sent photos of the various firearms along with the prices for each.

The firearms included one loaded AR-15 type rifle.

Recio and Carrillo have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance of the U.S. Marshals Service, Laredo Police Department, Webb County Sheriff’s Department and Precinct 2 Webb County Constable’s Office.

Assistant U.S. Attorney Homero Ramirez prosecuted the case as part of the joint federal, state and local Project Safe Neighborhoods (PSN) Program. In May 2021, Attorney General Merrick B. Garland announced a new effort to reduce violent crime, including the gun violence that is often at its core. Integral to that effort was the reinvigoration of PSN, a two-decade old, evidence-based and community-oriented program focused on reducing violent crime. The updated PSN approach, outlined in the department’s Comprehensive Strategy for Reducing Violent Crime is guided by four key principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence, setting focused and strategic enforcement priorities and measuring the results of our efforts. The fundamental goal is to reduce violent crime, not simply to increase the number of arrests or prosecutions. 

HOUSTON – A local tax business owner has pleaded guilty to aiding and assisting in the preparation and filing of false income tax returns, announced U.S. Attorney Alamdar S. Hamdani.

Krystal Wright was the sole owner and only tax preparer at WW2F in Freeport for six years.

Most of Wright’s clients did not have a business nor did they discuss any business income or expenses with her. After Wright completed a tax return, she did not review the completed documents with clients and only provided them with the refund amount and first two pages of the return. This prevented her clients from identifying overstated or false items on their tax returns.

From 2017 through 2020, Wright prepared and filed approximately 83 federal income tax returns that contained false and fraudulent items. Some included qualified solar electric property costs, gifts by cash or check, business expenses, wages, salaries, tips and supplies.

The false and fraudulent filings resulted in a total sustained tax harm of $525,404.

U.S. District Judge Jeffrey V. Brown accepted the plea and set sentencing for June 26. At that time, Wright faces up to three years in federal prison and a possible $250,000 maximum fine.

She has been and will remain in custody pending sentencing.

IRS Criminal Investigation conducted the investigation. Assistant U.S. Attorneys Rodolfo Ramirez and James Hu are prosecuting the case.