Southern District of Texas

CORPUS CHRISTI, Texas – Two Corpus Christi brothers have been ordered to federal prison for manufacturing and distributing tens of thousands of fentanyl-laced pills disguised as legitimate pharmaceutical-grade pain medications, announced U.S. Attorney Alamdar S. Hamdani.

Chad Williams Wesevich, 40, and his brother Jamie Wesevich, 41, pleaded guilty in August 2023 to conspiracy to manufacture and possess with intent to distribute fentanyl, possession of a firearm in furtherance of a drug trafficking crime and conspiracy to commit money laundering.

U.S. District Judge David S. Morales has now ordered both men to serve a total of 35 years in prison - 360 and 240 months concurrently on the drug and money laundering charges, respectively as well as a consecutive 60 months on the firearm charge. In imposing the sentence, the court noted the brothers possessed a network of friends and family who had said supportive and loving things in letters requesting leniency, but that those letters must be tempered against the facts that people had overdosed on these pills. “We can’t get those people back,” said Judge Morales.

“Synthetic opioids, like fentanyl, account for almost 70% of drug overdose deaths in the United States, and Corpus Christi is no stranger to this new epidemic,” said Hamdani. “The dismantling of this deadly drug trafficking organization, including the seizure of two industrial fentanyl pill presses, has made Corpus Christi a better and safer place to live.”

“There were several overdose/fentanyl poisoning deaths tied to the Wesevich Drug Trafficking Organization,” said Drug Enforcement Administration (DEA) Special Agent in Charge Daniel C. Comeaux of the Houston Division. “The exemplary work of DEA agents alongside our federal and state partners sought justice for the families of victims who lost their lives due to the poison spread by Chad Wesevich and his co-conspirators.”

Between 2017 and 2021, Chad and Jamie Wesevich acquired equipment and materials from foreign sources, which were used to manufacture pills disguised as legitimate medications such as hydrocodone. The equipment included two industrial pill presses capable of producing 9,000 pills per hour.

The fraudulent hydrocodone was distributed through a network of trusted associates throughout Corpus Christi and the surrounding areas. The pills the Wesevich brothers manufactured were linked to several overdoses, both fatal and non-fatal.

As a result of this investigation, authorities seized tens of thousands of

counterfeit hydrocodone pills containing over 1,500 grams of fentanyl as well as pill presses, pill dies, vacuums, separators and other tools used in the illicit production of fentanyl-laced pills. In addition, law enforcement seized seven vehicles, five houses, seven guns and $350,000 in cryptocurrency and bulk cash.

The brothers have been in custody since their arrests in May 2022 and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

The DEA led the Organized Crime Drug Enforcement Task Forces (OCDETF) investigation along with IRS Criminal Investigation, Homeland Security Investigations, Corpus Christi Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance of the Texas Department of Public Safety. OCDETF identifies, disrupts and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach leveraging the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage. Assistant U.S. Attorneys Brittany Jensen and Tyler Foster prosecuted the case.

CORPUS CHRISTI, Texas – A 46-year-old man has been convicted of unlawfully transporting undocumented aliens, announced U.S. Attorney Alamdar S. Hamdani.

A federal jury deliberated for 15 minutes following a one-day trial before convicting Deibi Ramos on Nov. 14, 2023.

U.S. District Judge David S. Morales has now ordered Ramos to serve 18 months in federal prison to be immediately followed by two years of supervised release. In handing down the sentence, the court noted the number of aliens and manner of transportation was concerning.

On April 19, 2023, Ramos drove a tractor-trailer to the Border Patrol checkpoint near Sarita. The jury heard that a K-9 soon alerted to the sleeper area of the vehicle. Upon further inspection, law enforcement discovered 10 illegal aliens concealed beneath the bed compartment and in the cabinets of the tractor.

The jury saw evidence of phone calls on Ramos’ phone between him and one of the illegal aliens as well as a voice message from a smuggling coordinator. The message included pickup and drop-off instructions.

At the trial, the defense attempted to convince the jury that Ramos’ knowledge was not proven beyond a reasonable doubt. The jury did not believe those claims and found him guilty as charged.

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

Customs and Border Protection conducted the investigation. Assistant U.S. Attorneys Tyler Foster, Liesel Roscher and Yasmine Tucker prosecuted the case.

LAREDO, Texas – A 35-year-old Laredo man has admitted to illegally possessing a loaded 9-millimeter handgun, announced U.S. Attorney Alamdar S. Hamdani.

On Dec. 8, 2023, Bruce James Lyles arrived at the Border Patrol (BP) checkpoint on IH-35 just north of Laredo. At that time, a K-9 alerted to his van. Upon further inspection, authorities discovered a 9-millimeter pistol with a magazine loaded with 12 rounds of ammunition in Lyles’ backpack.

Lyles admitted he knew he was prohibited from possessing firearms, that the weapon had been purchased at a pawn shop in Anchorage, Alaska, and had placed the pistol in his backpack.

Lyles had been convicted for two felony convictions in Minnesota – for robbery and for second-degree assault – which resulted in prison sentences of 23 and 30 months, respectively. As a convicted felon, he is prohibited from possessing a firearm or ammunition per federal law. 

U.S. District Judge Diana Saldaña will impose sentencing at a later date. At that hearing, Lyles faces up to 15 years in federal prison and a possible $250,000 maximum fine.

He will remain in custody pending sentencing which will be set at a later date.

The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation with the assistance BP.

Assistant U.S. Attorney Homero Ramirez is prosecuting 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.

LAREDO, Texas – A 47-year-old man has pleaded guilty to possessing over 800 grams of cocaine, announced U.S. Attorney Alamdar S. Hamdani.

The investigation began in September 2022, when law enforcement learned Homero Flores was selling cocaine in the Laredo area. They later located several clear plastic baggies in in his trash that were consistent with the size and shape of how narcotics would be stored for street-level sale. Authorities also found multiple handwritten notes on paper towels that contained weights, prices and terminology - all consistent with the sale of street-level quantities of cocaine.

A search of his home resulted in the discovery of a plastic bag containing what was determined to be 850 grams of cocaine as well as two firearms.  

Flores has a 2012 conviction for conspiracy to possess with intent to distribute 500 grams or more of cocaine. As a convicted felon, he is prohibited from possessing firearms or ammunition per federal law.

U.S. District Judge Diana Saldaña will impose sentencing at a later date. At that time, Flores faces up to 40 years in federal prison and a possible $5 million maximum fine.

Flores will remain in custody pending that hearing.

The Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives and the Laredo Police Department’s Narcotics Division conducted the investigation with assistance from Homeland Security Investigations and Border Patrol. Assistant U.S. Attorney Brian Bajew is prosecuting the case.

This case is being prosecuted as part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF is the largest anti-crime task force in the country. 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.

HOUSTON – Three men have been indicted on multiple crimes in relation to violent armed robberies of local restaurant chains, announced U.S. Attorney Alamdar S. Hamdani.

Christopher Djuan Roberts, 27, and Xavier Edward Jones, 28, both of Houston, are set to appear for their detention hearings at 10 a.m. before make their initial appearances before U.S. Magistrate Judge Peter Bray. Wesley James Thomas, 29, currently in custody in another jurisdiction, will make his initial appearance in Houston in the near future.

The indictment, returned Jan. 24, alleges interference with commerce by threat or force, brandishing of a firearm in relation to a crime of violence and felon in possession of a firearm.

In the early morning hours of Oct. 15, 2023, the three men allegedly robbed a Waffle House located at 635 Rankin Road. Immediately after the robbery, the trio proceeded to rob a Denny’s located at 11320 North Freeway, according to the charges. During both robberies, the men allegedly brandished handguns while taking money from Waffle House employees and both employees and customers of Denny’s.

Roberts and Thomas are both convicted felons and are prohibited from possessing a firearm per federal law.

If convicted of brandishing of a firearm in relation to a crime of violence, the men face up to life imprisonment while the interference with commerce by threat or force carries a possible sentence of up to 20 years. Additionally, Roberts and Thomas face up to 15 years in prison if convicted for being felons in possession of a firearm. All charges also carry a possible penalty of up to $250,000.

The Bureau of Alcohol, Tobacco and Firearms (ATF) through the collaborative efforts of the ATF Strike Force conducted the investigation along with the Harris County Sheriff’s Office and Houston Police Department. Assistant U.S. Attorney Brian J. Hrach 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.

CORPUS CHRISTI, Texas – A 31-year-old Mexican national has been sentenced for conspiring to traffic cocaine across the border, announced U.S. Attorney Alamdar S. Hamdani.

Juan Andres Rodriguez-Murillo pleaded guilty Nov. 1, 2023, to conspiring with others to smuggle narcotics into the United States by concealing the drugs inside car batteries.

U.S. District Judge Nelva Gonzales Ramos has now ordered Rodriguez-Murillo to serve 60 months in federal prison. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. In handing down the sentence, the court noted the consequences for individuals who choose to get involved in drug smuggling.

Mikeal Jovany Phillips, 36, Huffman, and Christopher Sheffield, 39, Crosby, were previously sentenced to 40 and 48 months in federal prison, respectively, both to be immediately followed by four years of supervised release.

On Jan. 6, 2023, Sheffield drove a gold SUV to the Border Patrol (BP) checkpoint near Sarita. Upon inspection, authorities discovered approximately 2.8 kilograms of cocaine hidden inside the battery compartment. The battery shell contained a smaller battery to power the vehicle and three bundles of cocaine.

The investigation revealed numerous text and Facebook messages between Sheffield and Phillips discussing the trip.

Subsequently, authorities learned Phillips had coordinated the trip and arranged for Sheffield to travel from the Houston area to Brownsville to retrieve the cocaine. While in Brownsville, Sheffield met Rodriguez-Murillo who then provided the cocaine-filled car battery and installed it in the vehicle.

Rodriguez-Murillo 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 and BP conducted the investigation.

Assistant U.S. Attorney Ashley Martin prosecuted the case.

CORPUS CHRISTI, Texas – A 23-year-old Corpus Christi man has been sentenced for conspiracy to traffic firearms, specifically machine gun conversion devices (MCDs), in interstate commerce, announced U.S. Attorney Alamdar S. Hamdani.

Rene Saldana pleaded guilty Sept. 14, 2023.

U.S. District Judge Nelva Gonzales Ramos has now handed Saldana a 36-month term of imprisonment to be immediately followed by two years of supervised release.

“MCDs, commonly known as “Glock switches,” present a unique and insidious threat to our communities – criminals can conceal something as small as a paperclip, install it in a legal gun, quickly converting the legal handgun into a machinegun, capable of firing hundreds of rounds of ammunition per minute,” said Hamdani. “This case involved an individual making MCDs in his home and then selling them to the highest bidder, without regard to where or how those MCDs would be used. From 2017 to 2021, the number of MCDs seized by law enforcement rose 570%. And with MCDs often ending up in the hands of dangerous criminals, gang members and cartel assassins, the Southern District’s prosecutors are doing everything they can to keep these types of weapons off the streets.”

“The illegal manufacturing of MCDs present a great danger to our communities,” said Acting Special Agent in Charge Francisco Ortega of the Houston Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). “Holding illegal firearm possessors accountable through federal prosecution is one of our highest priorities and ATF will continue to pursue those who endanger the public with the illegal possession or use of conversion devices.”

In May and June 2023, Saldana was discussing selling firearms and MCDs – devices that can be attached to existing legal firearms to turn them into machine guns. The attachments alter the firing mechanism of the guns so they can fire multiple shots automatically. These MCDs are considered machine guns under the law and are illegal to possess.

Saldana agreed to make and sell six MCDs for $1000 total. Saldana tested the MCDs to ensure they worked as intended and made the firearm function as an automatic weapon. He then arranged for a co-defendant to deliver the MCDs to a person he believed was smuggling them to another state. Saldana confirmed the sale via Snapchat and made plans for another, larger sale in the future.

Authorities recovered all six MCDs Saldana sold. At the time of his arrest, they also recovered a 3-D printer he was using to make the devices, as well as thirteen more MCDs in various stages of completion.

Saldana was permitted to remain on bond pending sentencing.

ATF conducted the investigation. Assistant U.S. Attorneys Ashley Martin and John Marck prosecuted the case.

HOUSTON – A 43-year-old woman has been sentenced for providing false information in order to access the state database to print illegal tags and then sell them to other sellers on the internet, announced U.S. Attorney Alamdar S. Hamdani.

Leidy Hernandez Lopez pleaded guilty May 10, 2023, to conspiring with others residing in the Southern District of Texas and elsewhere, to buy and sell thousands of fraudulent Texas-issued temporary buyer tags for cars in and outside of Texas without a legitimate vehicle purchase.

U.S. District Judge George C. Hanks Jr. has now ordered Lopez to serve 30 months in federal prison to be immediately followed by three years of supervised release. The court also ordered Hernandez Lopez to pay restitution to the Texas Department of Motor Vehicles in the amount of $316,820. 

At the hearing, the court heard how she and others engaged in a widespread fraud to use fictitious car dealerships to generate and sell Texas temporary buyer tags without actually selling cars. In handing down the sentence, the court noted that while Lopez may not have known what the consequences of her actions were, she nonetheless placed peoples’ lives at risk by providing fake tags that were used in crimes such as drive by shootings. 

“The harm in this case was more than monetary,” said Hamdani. “In selling fake vehicle tags to other sellers, Lopez provided criminals with the means to create ghost cars that were invisible to law enforcement which were used to commit crimes that posed a hazard to the public ranging from driving without insurance to committing robberies and drive-by shootings.”

Lopez and co-conspirators used the internet to buy and sell the fraudulent state-issued buyer tags and exchange proceeds from the illegal tag sales.

At the time of her plea, Lopez acknowledged she and her co-conspirators communicated via email where she would deliver fraudulent buyer tags to sellers who then re-sold them to purchasers all over the United States, including New York, Florida and Washington, D.C.

She also admitted she received fraud proceeds via electronic payment services such as Cash App and Zelle.

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

Emmanuel Padilla Reyes aka Christian Hernandez Bonilla or Noel Rivera is still a fugitive in this case. The FBI is offering a $5,000 reward to anyone providing information that directly leads to his arrest. Those with information about the fugitive’s location should call 1-800-CALL-FBI or email www.TIPS.FBI.GOV

The FBI conducted the investigation with assistance of Travis County Precinct 3 Constable’s Office, Houston Police Department, Texas Department of Public Safety, Texas Department of Motor Vehicles, Harris County Sheriff’s Office, New York State Police and New York City Police Department. Assistant U.S. Attorneys Belinda Beek and Adam Goldman prosecuted the case.

HOUSTON – A Texas man has been ordered to federal prison for evading his taxes by not reporting income he earned while working overseas.

Peter Joseph Tignini pleaded guilty Aug. 21, 2023.

U.S. District Judge George C. Hanks has now ordered him to serve 41 months in prison and to pay a $150,000 fine as well as $1,169,348.60 in restitution to the United States.

According to court records, from 2013 to 2018, Tignini worked in the United Arab Emirates and Qatar, earning over $4,750,000 in income. However, for tax years 2013 through 2017, Tignini filed false returns that claimed his income was only approximately $100,000 each year. The amount Tignini reported each year was near or below the amount that U.S. citizens who live and work abroad for most of a year can exclude from their taxable income on their U.S. tax return. Tignini did not file a return for 2018. As a result, Tignini caused a tax loss to the IRS of $1,169,348.

Following an interview with federal law enforcement, Tignini altered his employment contract and payroll documents to make it appear his former employer, not Tignini himself, was responsible for failing to report the income and pay the tax. Tignini then caused his attorneys to provide the false documents to the Department of Justice’s Tax Division and the IRS. After investigators asked a witness about the online program Tignini used to create the phony documents, Tignini attempted to delete the documents from his account.

IRS Criminal Investigation conducted the investigation.

Assistant U.S. Attorney Adam Goldman prosecuted the case along with Senior Litigation Counsel Sean Beaty and Trial Attorney Brian Flanagan of the Tax Division.

CORPUS CHRISTI, Texas – A 46-year-old Corpus Christi resident has pleaded guilty to distributing child pornography, announced U.S. Attorney Alamdar S. Hamdani.

The investigation into Jonathan Follis began when authorities discovered he was participating in chat rooms involving discussions of child pornography. Follis conducted the majority of these conversations using a cellular phone kept in his office at work.

Law enforcement later conducted a search at that office where they discovered a phone hidden under his keyboard. Follis admitted to using the phone to distribute child pornography.

Law enforcement conducted a forensic analysis of the phone. It confirmed Follis had been engaging in chat rooms discussing child pornography utilizing the username “frickenwierdo.” In addition to those rooms, Follis was participated in distributing child pornography in private chats.

The investigation revealed Follis distributed a video of child pornography as recently as April 5, 2023, approximately one month before law enforcement executed the search warrant leading to his arrest.

U.S. District Judge David Morales will impose sentencing May 1. At that time, Follis faces up to 20 years in federal prison and a possible $250,000 maximum fine.

He will remain in custody pending that hearing.

Homeland Security Investigations conducted the investigation with assistance of the Corpus Christi Police Department’s Internet Crimes Against Children task force.

Assistant U.S. Attorneys Patrick Overman and John Marck 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 – The United States has filed a complaint under the False Claims Act against Rick Nassenstein, a resident of Florida and formerly the president, chief financial officer and co-owner of Illinois-based Cardiac Imaging Inc. (CII), a provider of mobile cardiac positron emission tomography (PET) scans.

The complaint alleges Nassenstein knowingly played a central role in a scheme whereby CII paid doctors exorbitant, above-fair market value fees who referred patients to CII for cardiac PET scans in violation of the Physician Self-Referral Law, also known as the Stark Law. It prohibits health care providers from billing Medicare for certain designated health services referred by a physician with whom the provider has a financial relationship, including a compensation arrangement, that does not meet any statutory or regulatory exception. Congress enacted the Stark Law to protect Medicare patients from financial arrangements that can adversely impact physicians’ decision making and lead to unnecessary services. Claims knowingly submitted to Medicare in violation of the Stark Law also violate the federal False Claims Act (FCA).

“Improper compensation arrangements unnecessarily drive-up healthcare costs and cloud a physician’s medical judgment,” said U.S. Attorney Alamdar S. Hamdani. “This complaint alleges that in an effort to increase profits, Nassenstein caused CII to enter into improper compensation arrangements with cardiologists who referred patients for cardiac PET scans. We are committed to enforcing the Stark Law and protecting Medicare from these types of improper financial relationships.”

“Financial relationships between healthcareproviders and referring physicians can undermine the objectivity of medical treatment decisions and increase the cost of care,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Justice Department will enforce provisions designed to prevent prohibited financial conflicts to ensure that taxpayers and patients can have confidence that decisions about patient care are driven by the medical needs of patients rather than the financial interests of physicians or providers.” 

Cardiac PET scans are nuclear medicine tests that doctors use to help assess heart function and diagnose cardiac disease. The United States’ complaint alleges CII provided cardiac PET scans on a mobile basis and paid the referring physicians, usually cardiologists, to provide the physician supervision required under Medicare rules. The United States alleges that from at least 2017 through June 2023, Nassenstein caused CII to enter into compensation arrangements with referring cardiologists, under which the cardiologists were paid as if they were fully occupied supervising CII’s scans, even though the cardiologists were actually providing care to other patients in their offices or were not even on site. The complaint alleges CII’s fees also purportedly compensated the cardiologists for additional services beyond supervision that were not actually provided. 

The lawsuit was originally filed under the qui tam or whistleblower provisions of the FCA by Lynda Pinto, a former billing manager at CII. Under the FCA, private parties, known as relators, can file an action on behalf of the United States and receive a portion of the recovery. The FCA permits the United States to intervene in and take over the action, as it has done here. If a defendant is found liable for violating the FCA, the United States may recover three times the amount of its losses plus applicable penalties.

The Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the Southern District of Texas (SDTX) are handling the matter with assistance from the Department of Health and Human Services (HHS) Office of Inspector General. The case is captioned U.S. ex rel. Pinto v. Nassenstein, No. 18-cv-2674 (S.D. Tex.). CII and its current owner, Sam Kancherlapalli, previously settled related claims arising from the conduct described above. See “Mobile Cardiac PET Scan Provider and Founder to Pay $85 Million to Resolve Allegedly Unlawful Payments to Referring Doctors.”

SDTX Assistant U.S. Attorney Melissa M. Green and Trial Attorneys Samuel  Lehman and Jake M. Shields of the Justice Department's Civil Division are handling the matter.

The investigation and prosecution of this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the FCA. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the HHS at 800-HHS-TIPS (800-447-8477).

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

The United States has filed a complaint in the U.S. District Court for the Southern District of Texas under the False Claims Act (FCA) against Rick Nassenstein, a resident of Florida and formerly the president, chief financial officer, and co-owner of Illinois-based Cardiac Imaging Inc. (CII), a provider of mobile cardiac positron emission tomography (PET) scans.

The complaint alleges Nassenstein knowingly played a central role in a scheme whereby CII paid exorbitant, above-fair market value fees to doctors who referred patients to CII for cardiac PET scans in violation of the Physician Self-Referral Law, also known as the Stark Law. It prohibits health care providers from billing Medicare for certain designated health services referred by a physician with whom the provider has a financial relationship, including a compensation arrangement, that does not meet any statutory or regulatory exception. Congress enacted the Stark Law to protect Medicare patients from financial arrangements that can adversely impact physicians’ decision making and lead to unnecessary services. Claims knowingly submitted to Medicare in violation of the Stark Law also violate the federal FCA.

“Financial relationships between healthcare providers and referring physicians can undermine the objectivity of medical treatment decisions and increase the cost of care,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Justice Department will enforce provisions designed to prevent prohibited financial conflicts to ensure that taxpayers and patients can have confidence that decisions about patient care are driven by the medical needs of patients rather than the financial interests of physicians or providers.” 

“Improper compensation arrangements unnecessarily drive-up healthcare costs and cloud a physician’s medical judgment,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “This complaint alleges that in an effort to increase profits, Nassenstein caused CII to enter into improper compensation arrangements with cardiologists who referred patients for cardiac PET scans. We are committed to enforcing the Stark Law and protecting Medicare from these types of improper financial relationships.”

Cardiac PET scans are nuclear medicine tests that doctors use to help assess heart function and diagnose cardiac disease. The United States’ complaint alleges CII provided cardiac PET scans on a mobile basis and paid the referring physicians, usually cardiologists, to provide the physician supervision required under Medicare rules. The United States alleges that from at least 2017 through June 2023, Nassenstein caused CII to enter into compensation arrangements with referring cardiologists, under which the cardiologists were paid as if they were fully occupied supervising CII’s scans, even though the cardiologists were actually providing care to other patients in their offices or were not even on site. The complaint alleges CII’s fees also purportedly compensated the cardiologists for additional services beyond supervision that were not actually provided.  

The lawsuit was originally filed under the qui tam or whistleblower provisions of the FCA by Lynda Pinto, a former billing manager at CII. Under the FCA, private parties, known as relators, can file an action on behalf of the United States and receive a portion of the recovery. The FCA permits the United States to intervene in and take over the action, as it has done here. If a defendant is found liable for violating the FCA, the United States may recover three times the amount of its losses plus applicable penalties.

The Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the Southern District of Texas (SDTX) are handling the matter with assistance from the Department of Health and Human Services (HHS) Office of Inspector General. The case is captioned U.S. ex rel. Pinto v. Nassenstein, No. 18-cv-2674 (S.D. Tex.). CII and its current owner, Sam Kancherlapalli, previously settled related claims arising from the conduct described above.

Trial Attorneys Samuel R. Lehman and Jake M. Shields of the Justice Department's Civil Division and Assistant U.S. Attorney Melissa M. Green for the Southern District of Texas are handling the matter.

The investigation and prosecution of this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the FCA. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the HHS at 800-HHS-TIPS (800-447-8477).

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

Complaint

HOUSTON – A 26-year-old citizen of Niger has been sent to federal prison on firearms charges related to his status in the United States, announced U.S. Attorney Alamdar S. Hamdani.

The jury deliberated for approximately one hour following a one-day trial before returning guilty verdicts March 14, 2023, against Moctar Ahmadou Gouroudja Ahmadou.

U.S. District Judge Alfred H. Bennett has now ordered Ahmadou to serve 78 months in federal prison. He is also expected to lose his status in the country and face removal proceedings following his imprisonment. At the hearing, the court heard additional evidence concerning his discussions with the individual associated with the attack on Naval Air Station Corpus Christi, about Ahmadou’s downloading of jihad videos including beheadings and that he discussed the possibility of traveling to Palestine to commit jihad. In handing down the sentence, the court noted Ahmadou had been invited to this country to study under a student visa and had violated that privilege.

“Moctar Ahmadou, like thousands every year, traveled to the United States under an F-1 visa in search of an American education,” said Hamdani. “But when he took that quest for knowledge to a gun range, picked up a gun, handled the ammo and fired it, he went from student to criminal. This sentence sends a strong message to those like Ahmadou--stay in the classroom and away from the gun range otherwise your American education will come not from a University but from the prison library.”

Even though Ahmadou was lawfully present in the United States on a nonimmigrant visa, he violated the terms of that status by illegally using a firearm and ammunition.

Ahmadou entered the United States March 24, 2016, from Niger. At the time, he had a nonimmigrant F1 visa, or student visa, to study at the North American University in Stafford. Under that status, he was not permitted to possess or use firearms or ammunition. 

However, the jury heard that on or around May 17, 2021, Ahmadou participated in handling and firing a handgun at a Texas-based gun range. He purchased a course called “First Shot” which provided training on pistol shooting and range time. Immediately after completing the course, Ahmadou rented a Glock 45. He was seen at the firing line at the gun range holding a pistol and shooting down range towards a target.  

On May 18, 2021, Ahmadou returned to the same gun range to participate in handling and firing a rifle. The course consisted of firearms safety, manipulation and shooting a rifle. He also possessed and shot a Smith & Wesson, model MP15, .223 caliber rifle and purchased and possessed four boxes of Fiocchi .223 caliber ammunition which he used with the rifle.

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

The FBI led the investigation with the assistance of Bureau of Alcohol, Tobacco, Firearms and Explosives; Department of State - Diplomatic Security Service; Homeland Security Investigations; Customs and Border Protection; U.S. Customs and Immigration Service; and Texas Department of Fish and Wildlife conducted the investigation. Assistant U.S. Attorneys Steven Schammel and Richard Bennett prosecuted the case along with Trial Attorney Michael Dittoe of the Justice Department’s Counter Terrorism Section.

HOUSTON – A 57-year-old Nigerian national has pleaded guilty 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 helped orchestrate a scam in which fraudsters abroad lured victims with false promises of millions in investment funding and inheritances.

Diuno and others 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.            

U.S. District Judge Alfred H. Bennett accepted the guilty plea and has set sentencing for May 9. At that time, Diuno faces up to 20 years in federal prison for each charge and a possible maximum fine of either $500,000 or up to twice the value of the victims’ losses.

Diuno will remain in custody pending sentencing.

The FBI and Department of State – Office of Inspector General conducted the investigation. Assistant U.S. Attorney Christian Latham and Trial Attorney Philip Trout of the Criminal Division’s Fraud Section are prosecuting the case.

LAREDO, Texas – A 43-year-old Mexican man has been sentenced following another conviction for illegally re-entering the United States, announced U.S. Attorney Alamdar S. Hamdani.

Gabino Escamilla pleaded guilty Nov. 8, 2023.

U.S. District Judge Micaela Alvarez has now ordered Escamilla to serve 40 months in federal prison. Not a U.S. citizen, Escamilla is again expected to face removal proceedings following his imprisonment. At the hearing, the court heard about Escamilla’s conviction in 2016 for conspiracy to distribute more than five kilograms of cocaine in Columbus, Ohio. Escamilla had already been removed from the United States six times prior to his conviction for drug trafficking.

On Aug. 30, 2023, law enforcement encountered Escamilla near Laredo. Escamilla was first ordered removed Jan. 25, 2010, and has subsequently been removed by authorities seven times from 2010 to 2019. 

Escamilla 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. Special Assistant U.S. Attorney Terence A. Check Jr. prosecuted the case.

HOUSTON – A December 2023 court-authorized operation has disrupted a botnet of hundreds of U.S.-based small office/home office (SOHO) routers hijacked by People’s Republic of China (PRC) state-sponsored hackers.

The hackers, known to the private sector as “Volt Typhoon,” used privately-owned SOHO routers infected with the “KV Botnet” malware to conceal the PRC origin of further hacking activities directed against U.S. and other foreign victims. These further hacking activities included a campaign targeting critical infrastructure organizations in the United States and elsewhere that was the subject of a May 2023 FBI, National Security Agency, Cybersecurity and Infrastructure Security Agency (CISA), and foreign partner advisory. The same activity has been the subject of private sector partner advisories in May and December 2023, as well as an additional secure by design alert released today by CISA.

The vast majority of routers that comprised the KV Botnet were Cisco and NetGear routers that were vulnerable because they had reached “end of life” status; that is, they were no longer supported through their manufacturer’s security patches or other software updates. The court-authorized operation deleted the KV Botnet malware from the routers and took additional steps to sever their connection to the botnet, such as blocking communications with other devices used to control the botnet.

“The Justice Department has disrupted a PRC-backed hacking group that attempted to target America’s critical infrastructure utilizing a botnet,” said Attorney General Merrick B. Garland. “The United States will continue to dismantle malicious cyber operations – including those sponsored by foreign governments – that undermine the security of the American people.”

“China’s hackers are targeting American civilian critical infrastructure, pre-positioning to cause real-world harm to American citizens and communities in the event of conflict” said FBI Director Christopher Wray. “Volt Typhoon malware enabled China to hide as they targeted our communications, energy, transportation, and water sectors. Their pre-positioning constitutes a potential real-world threat to our physical safety that the FBI is not going to tolerate.  We are going to continue to work with our partners to hit the PRC hard and early whenever we see them threaten Americans.”

“In wiping out the KV Botnet from hundreds of routers nationwide, the Department of Justice is using all its tools to disrupt national security threats – in real time,” said Deputy Attorney General Lisa O. Monaco. “Today’s announcement also highlights our critical partnership with the private sector – victim reporting is key to fighting cybercrime, from home offices to our most critical infrastructure.”

“Today, the FBI and our partners continue to stand firmly against People's Republic of China cyber actors that threaten our nation's cyber security,” said FBI Deputy Director Paul Abbate. “We remain committed to thwarting malicious activities of this type and will continue to disrupt and dismantle cyber threats, safeguarding the fabric of our cyber infrastructure.” “This operation disrupted the efforts of PRC state-sponsored hackers to gain access to U.S. critical infrastructure that the PRC would be able to leverage during a future crisis,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The operation, together with the release of valuable network defense guidance by the U.S. government and private sector partners, demonstrates the Department of Justice’s commitment to enhance cybersecurity and disrupt efforts to hold our critical infrastructure at risk.”

“Using traditional law enforcement tools to disrupt state-of-the-art technologies, the U.S. Attorney’s Office for the Southern District of Texas protected Americans from PRC government-sponsored cyber-criminals who used U.S. based routers to hack into American targets,” said U.S. Attorney Alamdar S. Hamdani. “This case demonstrates my office’s ongoing commitment to defending our critical infrastructure from PRC initiated cyber-attacks. We thank the FBI and the Justice Department’s National Security Division for its work, and we will continue to work shoulder to shoulder with them to shield our country from state-sponsored hackers.”

“The FBI’s dismantling of the KV Botnet sends a clear message that the FBI will take decisive action to protect our nation’s critical infrastructure from cyber-attacks,” said Special Agent in Charge Douglas Williams of the FBI Houston Field Office. “By ensuring home and small-business routers are replaced after their end-of-life expiration, everyday citizens can protect both their personal cyber security and the digital safety of the United States. We need the American public’s vigilance and support to continue our fight against malicious PRC-sponsored cyber actors.”

As described in court documents, the government extensively tested the operation on the relevant Cisco and NetGear routers. The operation did not impact the legitimate functions of, or collect content information from, hacked routers. Additionally, the court-authorized steps to disconnect the routers from the KV Botnet and prevent reinfection are temporary in nature. A router’s owner can reverse these mitigation steps by restarting the router. However, a restart that is not accompanied by mitigation steps similar to those the court order authorized will make the router vulnerable to reinfection.

The FBI is providing notice of the court-authorized operation to all owners or operators of SOHO routers that were infected with the KV Botnet malware and remotely accessed pursuant to the operation. For those victims whose contact information was not publicly available, the FBI has contacted providers (such as a victim’s internet service provider) and has asked those providers to provide notice to the victims.

FBI’s Houston Field Office and Cyber Division, the U.S. Attorney’s Office for the Southern District of Texas and the National Security Cyber Section of the Justice Department’s National Security Division led the disruption effort. The Justice Department’s Criminal Division Computer Crime and Intellectual Property Section and Office of International Affairs provided valuable assistance. These efforts would not have been successful without the partnership of numerous private-sector entities.

If you believe you have a compromised router. Please visit the FBI’s Internet Crime Complaint Center or report online to CISA. The remediated routers remain vulnerable to future exploitation by Volt Typhoon and other hackers, and the FBI strongly encourages router owners to remove and replace any end-of-life SOHO router currently in their networks.

The FBI continues to investigate Volt Typhoon’s computer intrusion activity.

Note: Since the publication of this press release, U.S. Government and foreign partner agencies have issued additional cybersecurity advisories (CSAs), and completed a Volt Typhoon Malware Analysis Report. Click to view the February 2024 CSAs on:

• PRC State-Sponsored Actors Compromise and Maintain Persistent Access to U.S. Critical Infrastructure
• Identifying and Mitigating Living Off the Land Techniques
• PRC State-Sponsored Cyber Activity: Actions for Critical Infrastructure Leaders

A December 2023 court-authorized operation has disrupted a botnet of hundreds of U.S.-based small office/home office (SOHO) routers hijacked by People’s Republic of China (PRC) state-sponsored hackers.

The hackers, known to the private sector as “Volt Typhoon,” used privately-owned SOHO routers infected with the “KV Botnet” malware to conceal the PRC origin of further hacking activities directed against U.S. and other foreign victims. These further hacking activities included a campaign targeting critical infrastructure organizations in the United States and elsewhere that was the subject of a May 2023 FBI, National Security Agency, Cybersecurity and Infrastructure Security Agency (CISA), and foreign partner advisory. The same activity has been the subject of private sector partner advisories in May and December 2023, as well as an additional secure by design alert released today by CISA.

The vast majority of routers that comprised the KV Botnet were Cisco and NetGear routers that were vulnerable because they had reached “end of life” status; that is, they were no longer supported through their manufacturer’s security patches or other software updates. The court-authorized operation deleted the KV Botnet malware from the routers and took additional steps to sever their connection to the botnet, such as blocking communications with other devices used to control the botnet.

“The Justice Department has disrupted a PRC-backed hacking group that attempted to target America’s critical infrastructure utilizing a botnet,” said Attorney General Merrick B. Garland. “The United States will continue to dismantle malicious cyber operations – including those sponsored by foreign governments – that undermine the security of the American people.”

“In wiping out the KV Botnet from hundreds of routers nationwide, the Department of Justice is using all its tools to disrupt national security threats – in real time,” said Deputy Attorney General Lisa O. Monaco.  “Today’s announcement also highlights our critical partnership with the private sector – victim reporting is key to fighting cybercrime, from home offices to our most critical infrastructure.”

“China’s hackers are targeting American civilian critical infrastructure, pre-positioning to cause real-world harm to American citizens and communities in the event of conflict,” said FBI Director Christopher Wray. “Volt Typhoon malware enabled China to hide as they targeted our communications, energy, transportation, and water sectors. Their pre-positioning constitutes a potential real-world threat to our physical safety that the FBI is not going to tolerate. We are going to continue to work with our partners to hit the PRC hard and early whenever we see them threaten Americans.”

“Today, the FBI and our partners continue to stand firmly against People's Republic of China cyber actors that threaten our nation's cyber security,” said FBI Deputy Director Paul Abbate. “We remain committed to thwarting malicious activities of this type and will continue to disrupt and dismantle cyber threats, safeguarding the fabric of our cyber infrastructure.”

“This operation disrupted the efforts of PRC state-sponsored hackers to gain access to U.S. critical infrastructure that the PRC would be able to leverage during a future crisis,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The operation, together with the release of valuable network defense guidance by the U.S. government and private sector partners, demonstrates the Department of Justice’s commitment to enhance cybersecurity and disrupt efforts to hold our critical infrastructure at risk.”

“Using traditional law enforcement tools to disrupt state-of-the-art technologies, the U.S. Attorney’s Office for the Southern District of Texas protected Americans from PRC government-sponsored cyber-criminals who used U.S. based routers to hack into American targets,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “This case demonstrates my office’s ongoing commitment to defending our critical infrastructure from PRC initiated cyber-attacks. We thank the FBI and the Justice Department’s National Security Division for its work, and we will continue to work shoulder to shoulder with them to shield our country from state-sponsored hackers.”

“The FBI’s dismantling of the KV Botnet sends a clear message that the FBI will take decisive action to protect our nation’s critical infrastructure from cyber-attacks,” said Special Agent in Charge Douglas Williams of the FBI Houston Field Office. “By ensuring home and small-business routers are replaced after their end-of-life expiration, everyday citizens can protect both their personal cyber security and the digital safety of the United States. We need the American public’s vigilance and support to continue our fight against malicious PRC-sponsored cyber actors.”

As described in court documents, the government extensively tested the operation on the relevant Cisco and NetGear routers. The operation did not impact the legitimate functions of, or collect content information from, hacked routers. Additionally, the court-authorized steps to disconnect the routers from the KV Botnet and prevent reinfection are temporary in nature. A router’s owner can reverse these mitigation steps by restarting the router. However, a restart that is not accompanied by mitigation steps similar to those the court order authorized will make the router vulnerable to reinfection.

The FBI is providing notice of the court-authorized operation to all owners or operators of SOHO routers that were infected with the KV Botnet malware and remotely accessed pursuant to the operation. For those victims whose contact information was not publicly available, the FBI has contacted providers (such as a victim’s internet service provider) and has asked those providers to provide notice to the victims.

FBI Houston Field Office and Cyber Division, U.S. Attorney’s Office for the Southern District of Texas, and National Security Cyber Section of the Justice Department’s National Security Division led the disruption effort. The Justice Department’s Criminal Division’s Computer Crime and Intellectual Property Section and Office of International Affairs provided valuable assistance. These efforts would not have been successful without the partnership of numerous private-sector entities.

If you believe you have a compromised router, please visit the FBI’s Internet Crime Complaint Center or report online to CISA. The remediated routers remain vulnerable to future exploitation by Volt Typhoon and other hackers, and the FBI strongly encourages router owners to remove and replace any end-of-life SOHO router currently in their networks.

The FBI continues to investigate Volt Typhoon’s computer intrusion activity.

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CORPUS CHRISTI, Texas – A 32-year-old Corpus Christi woman has been sentenced for trafficking narcotics, announced U.S. Attorney Alamdar S. Hamdani.

Melissa Rendon pleaded guilty Aug. 4, 2023.

U.S. District Judge Drew B. Tipton has now ordered Rendon to serve 120 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court heard evidence regarding Rendon’s aggravated role in the offense, her efforts to obstruct the investigation and her use of her minor daughter to hide evidence from authorities. 

After conducting surveillance for a month, on July 7, 2022, law enforcement executed a search warrant at a residence in Corpus Christi where they found several people, but not Rendon. Authorities also found meth, cocaine, heroin, cocaine base (crack) and fentanyl – some packaged for sale – throughout the residence. 

The investigation revealed Rendon distributed narcotics from the residence and had recruited a woman to live at the residence and to distribute drugs for her. Law enforcement additionally found a digital scale, baggies and latex gloves within the residence.

On March 2, 2023, authorities witnessed Rendon leaving the residence with four children and drop them off at school. They then conducted a second search. At that time, they recovered cocaine, cocaine base (crack), Ziploc baggies, a digital scale, latex gloves and several pieces of mail addressed to Rendon. 

The investigation also revealed Rendon made calls from the jail asking her juvenile daughter to go to her residence, find a white cell phone, change the password and delete everything including all of the pictures, Facebook, texts and Snapchat from the phone.

Rendon 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 Nueces County District Attorney’s Office Criminal Investigation Unit. Assistant U.S. Attorney Amanda L. Gould prosecuted the case.

McALLEN, Texas – A 36-year-old federal agent from Houston has been charged with theft of personal and government property and providing false statements, announced U.S. Attorney Alamdar S. Hamdani.

Authorities have arrested Nicholas Anthony Williams. He is set to make his initial appearance before U.S. Magistrate Judge Christina Bryan at 2 p.m.

According to the indictment, returned Jan. 31, Williams has been an FBI special agent in the Houston Field Office since 2019. He allegedly served in both the criminal violent gang and counterterrorism squads.

The charges allege that from March 2022 to July 2023, Williams took money or property from multiple residences while executing search warrants as an FBI special agent and then allegedly converted the money or property to his personal use.

Williams also stole multiple cell phones which were FBI property and provided false statements with regard to several fraudulent charges on his government-issued credit card, according to the indictment.  

If convicted, he faces up to 10 years in federal prison and a possible $250,000 maximum fine.

The Department of Justice Office of Inspector General is conducting the investigation. Assistant U.S. Attorney Laura Garcia and Sarina DiPiazza prosecuted 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 68-year-old man has pleaded guilty in a $6 million Medicaid fraud and kickback scheme, announced U.S. Attorney Alamdar S. Hamdani.

Rene Gaviola was the operator of Floss Family Dental Care clinic located in Houston. From 2018 until April 2021, Gaviola admitted to submitting fraudulent claims to Medicaid for pediatric dental services, including numerous cavity fillings, that Floss did not provide.

Gaviola admitted he employed one individual to practice dentistry without a license on Medicaid-insured children. He also operated Floss, on occasion, without any dentists at all. Floss billed Medicaid for these dental services as if licensed dentists provided them.

Gaviola also admitted to paying kickbacks to marketers and caregivers of Medicaid-insured children to bring them to Floss for dental services. Ultimately, he admitted to laundering Medicaid monies from the Floss business bank account to his personal bank account in several transactions exceeding $100,000.

From 2019 to 2021, the dental clinic billed Medicaid nearly $6.9 million in claims for pediatric dental services. Medicaid paid approximately $4.9 million on those claims.

“These precious Medicaid funds were intended to provide necessary dental services to low-income children in our community, not line Gaviola’s pockets,” said Hamdani. “This conviction is a reminder to all who attempt to defraud our healthcare system that we are committed to stamping out fraud and protecting the integrity of Medicaid and other federal programs.”

“Gaviola took advantage of the system, and he took advantage of the children to defraud the system,” said Special Agent in Charge Douglas Williams of the FBI Houston field office. “Not only that, he also jeopardized the young patients' healthcare by putting them in the hands of unlicensed practitioners, all in the name of his greed. This case is a perfect example that healthcare fraud is not a victimless crime, and the FBI will continue to follow and uncover the fraud.”

Chief U.S. District Judge Randy Crane accepted the guilty plea and has set sentencing for April 16. At that time, Gaviola faces up to 10 years for conspiracy to commit health care fraud, each of five substantive health care fraud counts, three counts of payment of kickbacks and six counts of money laundering as well as five years for conspiracy to pay and receive kickbacks. The convictions also carry as possible punishment hundreds of thousands in potential fines.

Gaviola was permitted to remain on bond pending sentencing.

FBI, Texas Attorney General’s Medicaid Fraud Control Unit and the Department of Health and Human Services - Office of Inspector General conducted the investigation. Special Assistant U.S. Attorney Kathryn Olson and Assistant U.S. Attorney Lauren Valenti are prosecuting the case.

CORPUS CHRISTI, Texas – A 36-year-old man has been sentenced for possession with intent to distribute meth, announced U.S. Attorney Alamdar S. Hamdani.

Phil Cuellar III aka Tex pleaded guilty Aug. 7, 2023. 

U.S. District Judge David S. Morales has now sentenced him to 168 months in federal prison to be followed by five years of supervised release. Cuellar had been on supervised release for a previous felon in possession of a firearm charge at the time of his drug arrest. As such, the court ordered him to serve an additional 20 months in federal prison, 10 months to be served concurrently and 10 months to be served consecutively for a total 178-month-term of imprisonment.   

During the hearing, the court heard additional evidence regarding Cuellar’s criminal history including Cuellar’s gang membership in Tango Blast, two prior felony drug possession convictions involving intent to deliver, evading arrest in a vehicle and felon in possession of a firearm. 

The investigation began after Cuellar attempted to sell narcotics after reaching out to someone on social media.

On May 24, 2023, law enforcement executed a search warrant on Cuellar’s residence. During the search, they found 389 grams of meth, over 27 grams of heroin, cocaine, marijuana, THC cartridges, almost $20,000 in cash and a loaded firearm that had been reported stolen.

Cuellar 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 assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives, FBI, Corpus Christi Police Department’s Gang Unit and Homeland Security Investigations. Assistant U.S. Attorneys Barbara J. De Pena and Brittany Jensen prosecuted the case.

CORPUS CHRISTI, Texas – A 40-year-old man has been sentenced to federal prison for illegally possessing a firearm while a convicted felon, announced U.S. Attorney Alamdar S. Hamdani.

Alonso Guerrero Garcia pleaded guilty Nov. 3, 2023.

U.S. District Judge David S. Morales has now ordered Garcia to serve 120 months in prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence that Garcia used the firearm to forcibly abduct two individuals at gunpoint before he was apprehended.

On Jun. 3, 2023, authorities encountered Garcia when they conducted a traffic stop on a vehicle traveling the wrong way down a one-way street at a high rate of speed. 

Garcia, a known Mexican Mafia gang member, was in the rear seat of the vehicle. During a search, authorities discovered a Springfield Armory Champion 9mm pistol with gold grips and Aztec markings under the driver’s seat of the vehicle. Authorities also discovered photographs of Garcia holding the distinctive firearm.

Further investigation revealed Garcia had been previously convicted of being a felon in possession of a firearm in addition to convictions for aggravated assault and manufacture and delivery of a controlled substance. As a convicted felon, he is prohibited from possessing a firearm per federal law.

Garcia 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 Corpus Christi Police Department. Assistant U.S. Attorneys John Marck and Liesel Roscher 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.

CORPUS CHRISTI, Texas – A 28-year-old Corpus Christi man has been sentenced following his conviction of drug trafficking, announced U.S. Attorney Alamdar S. Hamdani.

Arturo Bazan pleaded guilty Nov. 14, 2023.

U.S. District Judge David S. Morales has now ordered Arturo Bazan to serve 228 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court viewed evidence from the crime scene and reviewed Bazan’s gang activities on social media. In handing down the sentence, the court noted the seriousness of the crime and its negative impact on the community. 

In 2023, authorities began investigating a local heroin distributor which ultimately led authorities to Bazan and his associates operating out of a Corpus Christi residence.

On Aug. 9, 2023, law enforcement executed a search warrant at Bazan’s residence, at which time they discovered over a kilogram of meth, three kilograms of cocaine, over 900 grams of heroin and more than $20,000. They also found other controlled substances such as alprazolam pills, Xanax and marijuana. 

They also recovered multiple firearms throughout the residence, to include a Ruger 5.7 handgun and an Anderson Arms AM-15 in Bazan’s bedroom. Those two firearms were each loaded with a full magazine. 

Further investigation revealed Bazan was a local gang member who distributed narcotics on both an individual and large-scale basis.

Bazan 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 and Corpus Christi Police Department conducted the investigation. Assistant U.S. Attorney John Lamont prosecuted the case.

HOUSTON – A 49-year-old California resident has been sentenced for orchestrating a ticket scam across the United States that included a Texas A&M football game, announced U.S. Attorney Alamdar S. Hamdani.

Derrick Langford pleaded guilty Aug. 24, 2023.

U.S. District Judge Charles Eskridge has now ordered Langford to serve 24 months in federal prison to be immediately followed by one year of supervised release.

“For years, Langford engaged in a multi-level fraud,” said Hamdani. “In doing so, he victimized identity theft victims, unsuspecting internet buyers and, ultimately, the venues, from football stadiums to music arenas, who bore the monetary loss. But the perceived anonymity of the internet did not protect him. His scheme unraveled thanks to the efforts of the 12th Man Foundation at Texas A&M University.

At the time of his plea, Langford admitted he used email to obtain stolen credit card information from victims across the United States. He used that data and false identities to buy tickets for sporting events, concerts and other entertainment venues nationwide. He then re-sold the tickets on internet-based resale sites like Ticket Liquidator.

One such event tied to Langford was the Texas A&M football game against Clemson Sept. 8, 2018. At the time of the plea, Langford admitted he created false buyer accounts and used stolen credit card numbers to buy tickets to that game and then resold the fraudulently purchased tickets on resale sites to unsuspecting buyers.

Texas A&M discovered the fraud and invalidated the tickets. However, some tickets had already been sold to unsuspecting buyers which caused the university to incur a 100% loss on the fraudulent tickets.

As the scheme continued, Langford received stolen credit card information and personal identifying information of more than 75 victims in one of his email accounts.

Langford 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 FBI conducted the investigation with the assistance of the Texas A&M University Police Department. Assistant U.S. Attorneys Quincy Ollison and Belinda Beek prosecuted the case.

McALLEN, Texas – A 36-year-old Weslaco man has pleaded guilty to straw purchasing and possessing child pornography on his cellphone, announced U.S. Attorney Alamdar S. Hamdani.

From June 5, 2016, through May 9, 2022, Jose Angel Hinojosa Jr. engaged in firearms dealing by straw purchasing firearms from an online gun broker. He then arranged for the weapons to be exported into Mexico. Law enforcement was able to locate several weapons tied to Hinojosa.

As part of his plea, he admitted to attempting to smuggle more than 40 firearms.

During the firearms investigation, authorities also learned of possible crimes involving child pornography. They executed search warrants and found several videos on his phone showing minors engaging in sexual conduct. Hinojosa admitted to receiving child pornography on his cellphone from various third parties.

“Hinojosa not only illegally possessed dozens of firearms, with plans to send them to Mexico, he also possessed videos of children engaged in sexual conduct,” said Hamdani. “This case is an example of the multitude of crimes the Southern District’s prosecutors fight on a daily basis, and whether its transporting firearms or possessing child pornography, this office will seek to hold those like Hinojosa accountable.”

U.S. District Judge John D. Rainey accepted the plea and set sentencing for April 24. At that time, Hinojosa faces up to 20 years in federal prison and a possible $250,000 maximum fine.

Hinojosa was permitted to remain on bond pending sentencing.

The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation in conjunction with Homeland Security Investigations - Child Exploitation Task Force. Assistant U.S. Attorney Eric D. Flores is prosecuting the case.

HOUSTON – Hilcorp San Juan L.P., an oil and gas company with offices in Houston as well as Aztec, New Mexico, has agreed to resolve allegations it knowingly underpaid royalties owed on oil and natural gas produced from federal lands. The company has agreed to pay $34.6 million to resolve its False Claims Act and other liability for the conduct.

“Oil and gas production is a centerpiece of Houston and Texas’s economies, and for businesses to thrive it’s important that oil and gas companies play by the rules. That’s why my office will vigorously pursue those who deprive the United States of revenue,” said U.S. Attorney Alamdar S. Hamdani. “Royalties from oil and gas production on federal lands help support various public programs, and this settlement demonstrates my steadfast commitment to hold accountable those who fail to pay royalties in full accordance with the law.”

“U.S. taxpayers deserve a fair share of the revenues received by companies that extract natural resources from public lands” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department remains committed to ensuring that energy companies accurately report and pay to the United States the amount of royalties that are owed for their use of these resources.”

“The obligation to properly pay mineral royalties to the American public and other mineral owners is essential to the responsible development of minerals from lands under federal jurisdiction, and along with the Office of Natural Resources Revenue and the Office of the Solicitor, the Office of Inspector General (OIG) is committed to working with the Department of Justice to ensure that companies meet their legal responsibilities,” said Special Agent in Charge Ron Gonzales for the OIG’s Energy Investigations Unit.

Congress allows federal lands to be leased for the production of oil and natural gas in exchange for the payment of royalties on the value of the oil and gas produced. Lessees are required to pay monthly royalties to the federal government for any oil and gas removed or sold from the lease. Although lessees may make estimated royalty payments the month following production, they are required to pay actual royalties at the end of the month following the month in which the estimated payment is made. Lessees are also expected to use a specific transaction code for estimated payments, so that the government can identify circumstances in which a company has temporarily submitted royalties based on estimates. The settlement resolves allegations that, when reporting and paying royalties from August 2017 through December 2018, Hilcorp San Juan knowingly made payments to the federal government based on estimated volumes and prices without indicating that the payments were based on estimates and without subsequently making payments in the following month based on actual volumes and values. This resulted in the underpayment of royalties to the United States. 

Hilcorp San Juan cooperated with the United States’ investigation by assisting in the determination of losses and received credit under the Department’s guidelines for taking disclosure, cooperation and remediation into account in False Claims Act cases.

The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, the U.S. Attorney’s Office for the Southern District of Texas, DOI’s Office of the Inspector General-Energy Investigations Unit, DOI’s Office of the Solicitor and DOI’s Office of Natural Resources Revenue.  Assistant U.S. Attorney Kenneth Shaitelman handled the matter along with Trial Attorney Jonathan Thrope.

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

Hilcorp San Juan L.P., an oil and gas company with offices in Aztec, New Mexico, and Houston, has agreed to resolve allegations that it knowingly underpaid royalties owed on oil and natural gas produced from federal lands. The company has agreed to pay $34.6 million to resolve its False Claims Act and other liability for the conduct.

“U.S. taxpayers deserve a fair share of the revenues received by companies that extract natural resources from public lands” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department remains committed to ensuring that energy companies accurately report and pay to the United States the amount of royalties that are owed for their use of these resources.”

“Oil and gas production is a centerpiece of Houston and Texas’s economies, and for businesses to thrive it’s important that oil and gas companies play by the rules. That’s why my office will vigorously pursue those who deprive the United States of revenue,” said U.S. Attorney for the Southern District of Texas. “Royalties from oil and gas production on federal lands help support various public programs, and this settlement demonstrates my steadfast commitment to hold accountable those who fail to pay royalties in full accordance with the law.”

“The obligation to properly pay mineral royalties to the American public and other mineral owners is essential to the responsible development of minerals from lands under Federal jurisdiction, and along with the Office of Natural Resources Revenue and the Office of the Solicitor, the Office of Inspector General is committed to working with the Justice Department to ensure that companies meet their legal responsibilities,” said Special Agent in Charge Ron Gonzales of the Department of the Interior Office of Inspector General’s (DOI-OIG) Energy Investigations Unit. 

Congress allows federal lands to be leased for the production of oil and natural gas in exchange for the payment of royalties on the value of the oil and gas produced. Lessees are required to pay monthly royalties to the federal government for any oil and gas removed or sold from the lease. Although lessees may make estimated royalty payments the month following production, they are required to pay actual royalties at the end of the month following the month in which the estimated payment is made. Lessees are also expected to use a specific transaction code for estimated payments, so that the government can identify circumstances in which a company has temporarily submitted royalties based on estimates. The settlement resolves allegations that, when reporting and paying royalties from August 2017 through December 2018, Hilcorp San Juan knowingly made payments to the federal government based on estimated volumes and prices without indicating that the payments were based on estimates and without subsequently making payments in the following month based on actual volumes and values, resulting in the underpayment of royalties to the United States.  

Hilcorp San Juan cooperated with the United States’ investigation by assisting in the determination of losses and received credit under the department’s guidelines for taking disclosure, cooperation and remediation into account in False Claims Act cases.

The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section; U.S. Attorney’s Office for the Southern District of Texas; and DOI-OIG’s Energy Investigations Unit, Office of the Solicitor, and Office of Natural Resources Revenue.  

Trial Attorney Jonathan Thrope of the Civil Division and Assistant U.S. Attorney Kenneth Shaitelman for the Southern District of Texas handled the case.

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

Settlement

HOUSTON – Two men have been ordered to prison for robbery and brandishing a firearm during crime sprees in two separate, unrelated, but similar cases, announced U.S. Attorney Alamdar S. Hamdani. 

Angel Servellon, 30, El Salvador, pleaded guilty Aug. 10, 2023, while DaVonte Williams, 29, Houston, entered his plea Aug. 29, 2023.

U.S. District Judge Alfred Bennett has now ordered Servellon to serve 24 months for the three robberies as well as an additional 168 months for the firearm charges which must be served consecutively. The total 233-month-term will be followed by three years of supervised release. In imposing the sentence, the court noted the fact Servellon would be removed from the United States.

In a separate, but similar case sentenced Jan. 17, U.S. District Judge Gray Miller imposed a 151-term of imprisonment for Williams for two robberies. He also received an additional 84 months for the firearm charge which must be served consecutively for a total of 235 months. The total 235-month sentence will also be followed by three years of supervised release.

“Although these men went on different crime sprees, targeting a drug store, convenience store and gas station, and while both were sentenced by different judges, the result was essentially the same - almost 20 years in prison,” said Hamdani. “As the son of an immigrant who donned a convenience store uniform every night at the conclusion of his morning shift as a taxi driver, I am hopeful that sentences like these will deter future gun toting would-be criminals and keep safe the clerks who work, often by the hour and late into night, serving our communities in stores large and small.”

On Feb. 16, 2020, Servellon walked into a Village Food Store located on Chimney Rock. He went behind the counter, pointed a firearm at a cashier and ordered her to open the register and give him the money. The clerk, fearing for her life, complied, and Servellon soon fled.

Less than two weeks later, he jumped the counter at an Exxon gas station on Fondren, pointed a gun at the cashier and demanded all the money from the register. His crime spree continued to March 3, 2020, when went to another Exxon, again pulled out a firearm and demanded cash from the cashier. After he fled with the money, law enforcement witnessed him pull into an apartment complex, exit the vehicle and attempt to run. However, authorities quickly caught him and found a firearm magazine in his pocket. An additional search of the area led to the discovery of a semi-automatic handgun Servellon had thrown in the bushes of the apartment complex. It matched the firearm brandished during the robberies.

In a separate case, Williams commenced his string of robberies Jan. 12, 2022, at an Exxon gas station located on the Eastex freeway which continued the same night at a CVS located on Tidwell. During his robberies, Williams would enter the commercial businesses and brandish a firearm at the employees, demanding money from the registers.  

Law enforcement had been searching for a specific vehicle after the Exxon robbery and saw a similar one leaving the CVS at a high rate of speed. They attempted to stop it, but the driver, later identified as Williams, accelerated and failed obey traffic laws.

The investigation led to Williams’ car and vehicle. At the time of his arrest, authorities recovered a firearm that matched the one used during both robberies. Williams also matched the person seen on the surveillance video, including having a distinct limp.

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

Bureau of Alcohol, Tobacco, Firearms and Explosives - Crime Gun Strike Force and the Houston Police Department handled both investigations. Assistant U.S. Attorney Jill Stotts prosecuted the cases.

LAREDO, Texas – Three individuals have pleaded guilty to their roles in a human smuggling conspiracy involving the Cartel del Noreste (CDN), announced U.S. Attorney Alamdar S. Hamdani.

Laredo residents Bernardo Aniceto Garza, 26, and Francisco Suarez, 19; and Mexican citizen Luis Daniel Segura Guzman, 25, each pleaded guilty to conspiracy to transport undocumented aliens.

“The cartels are increasing the use of social media as part of their illegal business model,” said Hamdani. “Applications, such as Facebook, allow these organizations to advertise human smuggling services to large audiences along the U.S. border. In this case, the Facebook ads helped facilitate the transportation of women and children by smugglers armed with dangerous weapons.”

On Aug. 23, 2023, authorities discovered a Facebook post that appeared to be advertising transportation services for undocumented aliens via sleeper cabs of tractor trailers. An undercover investigation revealed Segura coordinated the transportation of three undocumented aliens for approximately $8,000. Law enforcement learned Segura arranged for a black Ford Raptor to make the pickup in Laredo that afternoon.

Authorities spotted a black Ford Raptor arrive at the meet location. Garza was driving. Undercover law enforcement then contacted Segura to cancel the previously arranged pickup. Garza left and travelled to a nearby parking lot to pick up three other individuals. He then transported them to a truck yard and loaded the aliens into a parked tractor. Authorities stopped Garza’s vehicle minutes after he left the truck yard and located a firearm inside the Ford Raptor. 

Law enforcement approached the tractor and located two women and a 15-year-old minor inside the vehicle. All three were citizens of Mexico and El Salvador and illegally present in the United States.

On Sept. 16, 2023, authorities encountered Segura in Laredo and identified him as a citizen of Mexico, illegally present in the United States. Segura admitted the CDN had recruited him in Mexico to smuggle aliens and that he worked with Suarez to do so. Law enforcement located a cell phone in Segura’s possession that was still logged into the Facebook account used to advertise and coordinate the smuggling event.  

On Sept. 19, 2023, authorities apprehended Suarez in a separate smuggling attempt during which he was acting as a scout. Suarez admitted he worked for Garza and provided him with the three migrants he was caught transporting Aug. 23, 2023.

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

Suarez and Guzman will remain in custody pending that hearing, while Garza was permitted to remain on bond.

Laredo Police Department, Border Patrol and Homeland Security Investigations conducted the Organized Crime Drug Enforcement Task Forces (OCDETF) investigation with the assistance of Customs and Border Protection Air and Marine Operations and the Texas Department of Public Safety. 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 Jennifer Day is prosecuting the case.

The case is supported through Joint Task Force Alpha (JTFA). Attorney General Merrick B. Garland created JTFA in June 2021 in partnership with the Department of Homeland Security (DHS) to strengthen the Justice Department’s overall efforts to combat the rise in prolific and dangerous smuggling emanating from Central America and impacting our border communities. JTFA is comprised of detailees from southwest border U.S. Attorneys’ Offices, including the Southern and Western Districts of Texas, District of New Mexico, District of Arizona and Southern District of California. Numerous components of the Criminal Division are part of JTFA and provide dedicated support for the program which the Human Rights and Special Prosecutions Section leads. The Office of Overseas Prosecutorial Development, Assistance and Training; Narcotic and Dangerous Drug Section; Money Laundering and Asset Recovery Section; Office of Enforcement Operations; Office of International Affairs and Violent Crime and Racketeering Section also provide support. JTFA also relies on substantial law enforcement investment from DHS, FBI, Drug Enforcement Administration and other partners. To date, JTFA’s work has resulted in over 265 domestic and international arrests of leaders, organizers and significant facilitators of human smuggling; more than 200 convictions; significant jail sentences imposed; and substantial asset forfeiture. 

HOUSTON – A 37-year-old man has been sentenced for aggravated identity theft in connection with a scheme to fraudulently obtain and launder more than $500,000, announced U.S. Attorney Alamdar S. Hamdani.

Xiaofei Chen pleaded guilty Oct. 12, 2023.

U.S. District Judge Alfred H. Bennett has now ordered Chen to serve 24 months in federal prison to be immediately followed by one year of supervised release. At the hearing, Chen apologized for his criminal conduct and told the court he regretted his actions.

“The emergence of cryptocurrency has revolutionized finance, but has also provided a new playground for identity theft and financial fraud,” said Hamdani. “Whether the stolen money is counted in dollars or bitcoins, the Southern District’s prosecutors will aggressively prosecute identity thieves and fraudsters and not rest until the offenders are behind bars.”

Chen had obtained the name, driver’s license and banking account of a known victim. Chen then arranged a fraudulent wire of $520,000 from that person’s checking account and opened a Bitstamp cryptocurrency exchange account using the victim’s information without consent.

Bitstamp is an online currency exchange where individuals can covert monies into Bitcoin and other cryptocurrency. It is based in Luxembourg and headquartered in London, United Kingdom.

Chen used the Bitstamp and other cryptocurrency accounts to convert the proceeds into Bitcoin. He then laundered the Bitcoin through numerous transactions.   

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

FBI conducted the investigation. Assistant U.S. Attorneys Christian Latham and Belinda Beek prosecuted the case.

McALLEN, Texas – A 44-year-old Mexican citizen has been ordered to prison for possession with intent to distribute 98 kilograms of cocaine, announced U.S. Attorney Alamdar S. Hamdani.

Gabriel Alejandro Aguirre-Garcia pleaded guilty Aug. 18, 2023.

U.S. District Judge Micaela Alvarez has now ordered Aguirre-Garcia to serve 108 months in federal prison. Not a U.S. citizen, Aguirre-Garcia is expected to face removal proceedings following his imprisonment. At the hearing, the court heard additional evidence that Aguirre-Garcia had been working for the drug trafficking organization for at least six months and during that that time, he received cocaine two to three times per week and stored it in a dresser in his daughter’s bedroom prior to delivering it to other individuals. In handing down the sentence, the court noted that he put his family in jeopardy by storing the drugs in his home and how lucky his family was that they were never victims of a home invasion by a rip crew. Judge Alvarez told Aguirre-Garcia that she would have hoped that it crossed his mind how dangerous his involvement this crime was.

On Dec. 6, 2022, law enforcement conducted a traffic stop on a Ford F-150 truck and identified the driver as Aguirre-Garcia. He granted consent to search his vehicle, and a K-9 alerted authorities to a toolbox in the truck for the odor of narcotics. A search of the toolbox revealed 20 bundles of cocaine.

Law enforcement arrived on scene and Aguirre-Garcia also gave consent to search his house located in McAllen. That search led to the discovery of 66 bundles of cocaine in a dresser drawer. Aguirre-Garcia stated he was being paid to store and transport the narcotics.

The 86 bundles of cocaine seized weighed approximately 98 kilograms and have a street value of $1,176,000.

Aguirre-Garcia 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 McAllen Police Department. Assistant U.S. Attorney M. Alexis Garcia prosecuted the case.

LAREDO, Texas – A 42-year-old Honduran man has been sentenced following another conviction for illegally re-entering the United States following an order of removal, announced U.S. Attorney Alamdar S. Hamdani.

Abner Jovani Castellanos pleaded guilty Oct. 4, 2023.

U.S. District Judge Marina Garcia Marmolejo has now ordered him to serve 30 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard about Castellanos’ previous conviction in 2008 for human smuggling, in which he worked as a brush guide in a smuggling operation. During that attempt, an El Salvadoran man obtained serious injuries and part of his leg had to be amputated after it was caught underneath a moving train – Castellanos and another brush guide ordered the man to jump off the train.

On June 10, 2023, law enforcement encountered Castellanos near Laredo. He was first ordered to be removed from the United States on June 5, 2001, with six subsequent removals from 2001 to 2020, along with prior convictions for illegal entry and illegal re-entry.

Castellanos 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. Special Assistant U.S. Attorney Terence A. Check Jr. and Assistant U.S. Attorney Brandon Scott Bowling prosecuted the case.

LAREDO, Texas – A 39-year-old has been sentenced following another conviction for transporting undocumented aliens, announced U.S. Attorney Alamdar S. Hamdani.

David Alberto Martinez, Laredo, pleaded guilty Oct. 12, 2023, to transporting and conspiring to transport undocumented non-citizens.

U.S. District Judge Marina Garcia Marmolejo has now ordered Martinez to serve a total of 42 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard about Martinez’s previous convictions for human smuggling.

On Aug. 4, 2023, Martinez drove a personal vehicle to the primary inspection lane at the Border Patrol (BP) checkpoint on Interstate Highway 35 north of Laredo. The vehicle contained eight occupants including Martinez, an undocumented citizen of Guatemala and five juvenile children not related to either Martinez or the others.

Martinez lied to authorities, stating the vehicle’s occupants were “all family,” attempting to pose as a familial unit to deceive law enforcement. One of the smuggled persons reported they had paid $8,500 to a human smuggling organization to be transported further into the United States.

Martinez’ prior conviction arose after law enforcement responded to a major accident in Duval County, during which the vehicle he used to transport 10 individuals had overturned. The crash ejected two of the occupants and an additional six others required emergency medical treatment and transportation to the hospital.

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

BP conducted the investigation. Special Assistant U.S. Attorney (AUSA) Terence A. Check Jr. and AUSA Brandon Scott Bowling prosecuted the case.

HOUSTON – The owners of a Richmond clinic have agreed to pay a total of up to $108,000 to settle allegations they submitted false claims, announced U.S. Attorney Alamdar S. Hamdani. 

Ijeoma Bethel, 43, Sugar Land, Yvonne Hernandez, 41, Houston, and Nick Bryant Villegas, 43, Pearland, are the owners of Texas Wellness Clinic PLLC in Richmond. Bethel and Villegas are nurse practitioners and Hernandez is a chiropractor. 

From Jan. 27, 2016, to Sept. 16, 2020, Bethel, Villegas, Hernandez and Texas Wellness Clinic billed Medicare for the surgical implantation of neurostimulator electrodes. These are invasive procedures usually requiring the use of an operating room. Medicare pays thousands of dollars per procedure. 

However, the government alleged that no surgery was involved. Instead, patients received devices used for electro-acupuncture, which only involves inserting needles into patients’ ears and taping the neurostimulator behind the ears with an adhesive. 

In addition to the financial settlement, Texas Wellness Clinic agreed to a five-year-period of exclusion from participation in any federal health care programs. 

Campbell Medical Clinic in Houston previously employed Bethel, Villegas and Hernandez before they decided to open Texas Wellness Clinic—where they continued to improperly bill Medicare. The owner of Campbell Medical Clinic, chiropractor Suhyun An, previously agreed to a $2.6 million settlement and a 10-year exclusion from federal health care programs. The claims resolved are allegations only, and there has not been an admission of wrongdoing. 

To date, this is the 11th case the Southern District of Texas has resolved for similar conduct. In addition to the settlement with An, the other matters included settlements with a Katy anesthesiologist, Houston pain doctor, Rockport chiropractor, Laredo pain doctor, The Woodlands pain doctor, Cypress marketing representative, Ohio coding consultant, and two separate settlements (linked here and here) with Cypress podiatrists.     

The Department of Health and Human Services – Office of Inspector General conducted the investigation.  Assistant U.S. Attorney Brad Gray handled the matter. 

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

McALLEN, Texas – A 24-year-old Edinburg resident has been sent to prison following his conviction for conspiracy to commit hostage taking, announced U.S. Attorney Alamdar S. Hamdani.

Gilbert John Montez pleaded guilty April 24, 2023.

U.S. District Judge Micaela Alvarez has now ordered Montez to serve 200 months in federal prison to be immediately followed by three years of supervised release. In handing down the sentence, the court noted that when an individual is involved in a criminal enterprise, he can be held accountable for the actions of all the participants involved. Judge Alvarez stated that ultimately you have a young child being removed from his mother, whether voluntarily or involuntarily, and handed from person to person which can be very traumatic for the child. The court further pointed out that the child was being used as a piece of property that had value and could be used for profit.

“Human smugglers have a bad habit of becoming human kidnappers. Montez targeted a vulnerable family and leveraged a young child’s safety and a parents’ love to extort as much money as possible,” said Hamdani. “He did not care that this child was passed from stranger to stranger, each time increasing the risk the child would be harmed. Instead, Montez put profit before people and only cared about making more money. Now, because of the Southern District’s prosecutors and investigators, Montez’s heartless business is “out of business.” 

“HSI is committed to aggressively targeting human smugglers and smuggling organizers that have no qualms about using threats and even violence to collect their smuggling fees,” said Special Agent in Charge Craig Larrabee of Homeland Security Investigations (HSI) - San Antonio. “We’ll continue to work jointly with our law enforcement partners to ensure that those who exploit people in these ruthless ways will themselves face serious consequences.”

Montez recruited and hired individuals to transport and hold a 4-year-old child for ransom.

On March 31, 2022, Jose Andres Romo-Torres took the young child from his mother at a Mission Texas house holding smuggled migrants and gave him to two strangers, Larissa Celena Gracia and Nichole Marie Garcia Tichacek to transport past the Falfurrias Border Patrol Checkpoint to Corpus Christi. The women then handed the child off to Michael Gee Ingram who transported the child to Houston. Once there, the child was given to Jonathan Orlando Ortiz-De Leon who took him to his apartment in Stafford.

During this time, Montez and Ortiz-De Leon contacted the young child’s father and informed him that his son would not be released until he paid $4,500. On April 3, 2023, Montez hired Carlos Oyervides to help Ortiz-De Leon collect the ransom payment and deliver the child to his father. Oyervides also spoke with the child’s father and told him he needed to pay the ransom to get his son back.

Authorities learned of the scheme and attempted to make arrangements with Oyervides and Ortiz-De Leon for the release of the child, but failed. They then tracked them down to an apartment complex in Stafford, took them into custody and located the child.

The others involved in the scheme all pleaded guilty to their varying roles and have also been ordered to prison.

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

HSI conducted the investigation with the assistance of the Mission Police Department. Assistant U.S. Attorney M. Alexis Garcia prosecuted the case.

McALLEN, Texas – Three men have been ordered to federal prison for their roles in the distribution of over 40 kilograms of cocaine, announced U.S. Attorney Alamdar S. Hamdani.

Legal permanent resident Luis Jaime Escamilla, 50, originally from Mexico and residing there, Joel Otoniel Medina, 35, Penitas, and Andres Montalvo Jr., 38, Mission, each pleaded guilty June 16, 2023, to possession with intent to distribute five kilograms or more of cocaine.

Chief U.S. District Judge Randy Crane has now sentenced Escamilla and Medina to serve 66 and 46 months in federal prison, respectively, while Medina received 12 months and one day. Medina and Montalvo will be on supervised release for three years following their sentences, while Escamilla could face the loss of his legal status to reside in the country. At the hearing, the court considered the number of occasions they each engaged in narcotics trafficking and the role they had in furthering the distribution of drugs into the county. The court also heard that although each of these individuals had no criminal history, the danger this volume of drugs posed to the local community merited significant sentences.

Rigoberto Beltran-Garza, 42, Hidalgo, previously received 46 months in federal prison.

On four separate occasions from October 2021 to January 2022, Escamilla entered the United States via the Pharr Port of Entry. He then met with another vehicle in a public parking lot to transfer a black bag containing bricks of cocaine on each occasion.

Law enforcement then stopped the vehicles and identified Medina, Montalvo and Beltran. The three men each admitted they were being paid to transport the cocaine. In total, law enforcement seized 41 bundles, weighing over 44 kilograms with an estimated street value of approximately $500,000.  

Escamilla has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility. Medina and Montalvo were permitted to remain on bond and voluntarily surrender at a later date.

Homeland Security Investigations conducted the investigation with the assistance of the Hidalgo County Sheriff’s Office. Assistant U.S. Attorney Lee Fry prosecuted the case.

McALLEN, Texas – A 53-year-old Mexican man has been sentenced following his conviction of importing cocaine, announced U.S. Attorney Alamdar S. Hamdani.

Juan Mendoza pleaded guilty April 11, 2023.

U.S. District Judge Micaela Alvarez has now ordered Mendoza to serve 62 months in federal prison. He also faces loss of his legal status and possible removal proceedings. At the hearing, the court heard additional evidence that Mendoza had smuggled illegal narcotics on other occasions as well. In handing down the sentence, the court noted Mendoza’s key role in smuggling narcotics into the United States for further distribution.

At the time of his plea, Mendoza admitted he attempted to smuggle approximately eight kilograms of cocaine through the Donna Port of Entry.

On Nov. 6, 2022, Mendoza stated he had no illegal drugs in his vehicle when he arrived at the checkpoint. Authorities referred him to secondary inspection where they found two car batteries in the back seat.

Law enforcement examined the batteries and found them to contain eight packages of a white powdery substance, later determined to be cocaine with an approximate weight of eight kilograms. The drugs had an estimated street value of $100,000.  

Mendoza 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. Attorneys Theodore Parran III and Daniel Chung prosecuted the case.

LAREDO, Texas – Two men have been sentenced to federal prison for importing over 900 pounds of meth, announced U.S. Attorney Alamdar S. Hamdani.

A federal jury convicted Noe De Jesus Martinez-Montelongo, 36, Nuevo Leon, Mexico, and Fidel Rodriguez-Saldana, 35, Nuevo Leon, Mexico, Aug. 23, 2023 following a three-day trial.

U.S. District Judge Diana Saldana has now imposed a 235-month term of imprisonment for Martinez-Montelongo and Rodriguez-Saldana received 235 months in prison as well. Both must also serve five years of supervised release following their terms of imprisonment. In handing down the sentence, the court noted the large amount of liquid narcotics that they were attempting to bring into the United States.

On Nov. 28, 2022, Martinez-Montelongo and Rodriguez-Saldana attempted to enter the United States at the Columbia Solidarity port of entry in Laredo, driving a tractor-trailer without a load. Authorities referred them to secondary inspection where a K-9 alerted to the tractor.

Law enforcement conducted a scope and discovered a secret compartment in each diesel tank of the tractor. They were then able to extract some of the liquid which tested positive for meth.

Authorities ultimately seized a total of 413 kilograms (910 pounds) of liquid meth which filled 22 buckets. The estimated wholesale value is approximately $1 million.

At trial, Martinez-Montelongo and Rodriguez-Saldana claimed no knowledge of the liquid. They said they were simply supposed to pick up a legitimate load in Laredo. The jury did not believe their defense and found them guilty as charged.

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

Homeland Security Investigations conducted the investigation. Assistant U.S. Attorneys Michael Makens and Brandon Bowling prosecuted the case.

CORPUS CHRISTI, Texas – A 28-year-old man has been sentenced for sexual exploitation of a minor and possession of child pornography, announced U.S. Attorney Alamdar S. Hamdani.

Adrian Vela pleaded guilty Feb. 2, 2023.

U.S. District Judge David S. Morales has now sentenced Vela to 300 and 240 months for the possession and production of child pornography convictions, respectively. They will run concurrently for a total 300-month-term of imprisonment. At the hearing, the court also heard additional information including letters from victims and statements made in court from family members detailing the impact Vela’s conduct has had on them. In handing down the prison terms, the court noted this was a very troubling case, stating “the pain, anguish, damage to the victims does not end… it will always exist.” Vela was further ordered to pay $27,000 in restitution to the victims and will serve 25 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. Vela will also be ordered to register as a sex offender.

Vela came to the attention of law enforcement after they discovered child pornography images and videos uploaded to the internet. The investigation led to Vela. Law enforcement then obtained a search warrant for his home, at which time Vela admitted he possessed and produced images and videos depicting child pornography.

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

Homeland Security Investigations conducted the investigation with assistance of the Corpus Christi Police Department’s Internet Crimes Against Children task force.

Assistant U.S. Attorneys Patrick Overman and John Marck 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.

VICTORIA, Texas – A 37-year-old man has been sentenced for aggravated assault of a federal officer with a deadly weapon, announced U.S. Attorney Alamdar S. Hamdani.

Mark Anthony Garcia Jr. pleaded guilty Sept. 28, 2023.

U.S. District Judge Drew B. Tipton has now ordered Garcia to serve 120 months in federal prison to be immediately followed by three years of supervised release.

On Dec. 1, 2022, at approximately 9 p.m., law enforcement approached the front door of Garcia’s residence and began to knock, loudly announcing their presence. After receiving no response, authorities attempted to force entry into the home through the front door, which was barricaded with a couch.

Law enforcement then broke the front glass window, made entry, announced their presence again and identified themselves as law enforcement with arrest warrants. They then began searching for Garcia inside of the home.

While in the hallway, authorities heard two gunshots coming from a back room and immediately exited the residence. At the time of the shots, there were a total of six law enforcement officer inside the residence. The shots were fired in close proximity to authorities, placing them in imminent danger of serious bodily injury or death.

They began negotiations which spanned several hours, during which Garcia admitted to having a firearm and threatening to use it. The negotiations failed, and Garcia fired at least five more gunshots from the back bedroom.

Authorities then deployed tear gas into the residence, removed Garcia and took him into custody.

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

FBI conducted the investigation. Assistant U.S. Attorney Patti Hubert Booth prosecuted the case.

LAREDO, Texas - A 49-year-old Houston woman has been ordered to federal prison for conspiring to import fentanyl, announced U.S. Attorney Alamdar S. Hamdani.

A federal jury deliberated for less than an hour before convicting Monica Mata Vasquez Aug. 25, 2023, following a two-day trial.

U.S. District Judge Diana Saldana has now ordered Vasquez to serve 136 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court emphasized the significance of this case noting that fentanyl is destroying our community and killing people across the country.

“It takes only a tiny amount of fentanyl to kill a loved one. Vasquez brought in 4.6 kilos of that dangerous drug from Mexico--enough to kill approximately 2 million people,” said Hamdani. “She routinely travelled to Monterrey, Mexico, to pick up narcotics and did it all for money. She prioritized her greed over the well-being of our community. Today’s sentence takes a callous drug transporter off the streets and away from the border and guarantees that Vasquez will no longer profit from the pervasive destruction of fentanyl.”

“Illicit fentanyl is one of the greatest dangers we’re facing as a country,” said Special Agent in Charge Craig Larrabee of Homeland Security Investigations (HSI) San Antonio. “The conviction and sentencing of Vasquez highlights the strength of our law enforcement partnerships who spend countless hours combating a poison that is harmful to many communities and families. HSI is steadfast in its efforts to disrupt and dismantle transnational criminal organizations and combat the flow of illicit opioids into the United States.”

On March 10, 2023, Vasquez arrived at the Juarez-Lincoln Port of Entry in Laredo and attempted to enter the United States. She had a suspicious travel itinerary which caused authorities to refer her to secondary inspection. There, authorities noticed anomalies in the battery of her car. Law enforcement removed the battery and found four bundles of fentanyl hidden inside it.

The total weight of the fentanyl was 4.6 kilograms, an amount with the approximate strength to kill more than two million people.

The jury also saw text messages from Vasquez’s phone which showed she had been coordinating “trips” with co-conspirators to and from Monterrey, Mexico, into the United States as far back as July 2022. The evidence showed Vasquez had driven to such locations as Alabama and had conversations about the purchase and installation of car batteries.

Further testimony indicated these messages showed Vasquez was part of an agreement to import and traffic narcotics.

The defense attempted to convince the jury that Vasquez did not know the drugs were inside the car. The jury did not believe those claims and found her guilty of engaging in a conspiracy to import fentanyl.

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

HSI conducted the investigation with the assistance of Customs and Border Protection and the Drug Enforcement Administration. Assistant U.S. Attorneys Leslie Cortez and Brian Bajew prosecuted the case.

#OnePillCanKill

LAREDO, Texas – Two Mexican citizens illegally present in the United States have been taken into federal custody on charges relating to conspiracies to forge I-551 stamps as part of human smuggling activities, announced U.S. Attorney Alamdar S. Hamdani.

Juan Francisco Reyna-Robles, 52, is set to make an initial appearance Jan. 11 at 9:40 a.m. before U.S. Magistrate Judge Diana Song Quiroga.

Authorities previously arrested Eugolio Araus Ocampo, 49, who has already made his appearance in federal court.

According to the two-count indictment returned Dec. 12, 2023, Reyna-Robles and Ocampo engaged in conspiracies dating back to 2022 to forge and distribute I-551 stamps as part of a broader human smuggling scheme.

The Department of Homeland Security (DHS) issues “ADIT” or I-551 stamps on foreign passports as temporary evidence of permanent resident status. Such stamps can be used as proof of status for travel, identity verification and employment authorization, according to the charges.

If convicted, they face up to five years for immigration document fraud conspiracy and up to 10 years for human smuggling charges. They could also be ordered to pay hundreds of thousands in fines.

DHS-Office of the Inspector General led the multi-agency investigation with assistance from Customs and Border Protection - Office of Professional Responsibility, Border Patrol, Homeland Security Investigations, Webb County Constable’s Office – 2nd and 4th Precincts and the Laredo Police Department.

Special Assistant U.S. Attorney Terence A. Check Jr. 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.

LAREDO, Texas – A federal grand jury has returned an indictment against a 31-year-old resident of Laredo for distributing fentanyl which caused the death of another person, announced U.S. Attorney Alamdar S. Hamdani.

Kevin Ramirez is set to make his initial appearance before U.S. Magistrate Judge Christopher dos Santos at 9:30 a.m. Authorities took him into custody Jan. 5.

The two-count indictment, returned Dec. 27, 2023, alleges Ramirez distributed fentanyl, a schedule II controlled substance, to another individual May 13, 2023. That person subsequently died after using the drug, according to the charges.

Ramirez is also charged with one count of possession with the intent to distribute fentanyl.

If convicted of the distribution resulting in death charge, Ramirez faces a minimum of 20 years and up life in federal prison. The other count carries a possible sentence of up to 20 years. He may also be ordered to pay a possible $1 million maximum fine.

The Drug Enforcement Administration, Laredo Police Department, Homeland Security Investigations, Customs and Border Protection, Border Patrol and Webb County Sheriff’s Office conducted the investigation. Assistant U.S. Attorney Brian Bajew is prosecuting the case.

This case is being prosecuted as part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF is the largest anti-crime task force in the country. 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.

More information on the dangers of fentanyl can be found on the DEA’s website. #OnePillCanKill

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

LAREDO, Texas –  A 22-year old resident of Laredo has admitted to providing fentanyl to a 15-year-old, announced U.S. Attorney Alamdar S. Hamdani.

Jose Antonio Carlos III aka Jose Carlos entered a guilty plea to distributing fentanyl resulting in death.

On May 17, 2023, authorities responded to an overdose call at a home in Laredo. Once on scene, they found the victim laying in his bed unresponsive and holding a rolled-up dollar bill with a white powder on it. The white powder later tested positive for fentanyl. A toxicology report and autopsy confirmed the cause of death to be fentanyl toxicity.

The investigation revealed text messages which showed the victim wanting to buy “pase” from Carlos. “Pase” was code for cocaine. Carlos indicated the price and provided an address off Longoria Loop.

On the evening of May 16, 2023, an individual drove the victim to that address. There, a person later identified as Carlos handed the victim a small baggie with a white powder inside it. The driver then dropped off the victim at his home, a home he shared with his aunt.

The next morning, the victim’s aunt heard her nephew’s phone ringing. She thought the victim overslept, so she knocked on his door but heard no response. She then tried to open the door to the victim’s bedroom but was unable to, so she climbed in through one of the bedroom windows.

Once inside the room, she noticed her nephew laying face down on the bed. When she touched him, his body was stiff and cold. Law enforcement responded to the residence and pronounced the victim dead on-scene. 

As part of his guilty plea, Carlos admitted to selling “pase” to the victim. He also acknowledged sending a text to the victim May 17, 2023, asking “What’s up was it good or no[?].”

“Carlos’ decision to sell illicit drugs caused the death of a 15-year-old child,” said Hamdani. “Tragically, this case illustrates that no person - regardless of age - is safe from fentanyl’s deadly grip. As long as drug dealers decide to ply their illicit trade, aunts, uncles, fathers and mothers everywhere will continue to discover the cold, lifeless bodies of the children they love and now have lost.”

U.S. District Judge Marina Garcia Marmolejo will impose sentencing at a later date. At that time, Carlos faces a minimum of 20 years and up to life in federal prison. He could also be ordered to pay up to a $1 million fine.

Carlos will remain in custody pending that hearing.

The Drug Enforcement Administration, Homeland Security Investigations, Customs and Border Protection, Border Patrol, Laredo Police Department and Webb County Sheriff’s Office conducted the investigation with assistance from the Webb County Medical Examiner. Assistant U.S. Attorneys Brian Bajew and Leslie Cortez are prosecuting the case.

This case is being prosecuted as part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF is the largest anti-crime task force in the country. 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.

More information on the dangers of fentanyl can be found on the DEA’s website. #OnePillCanKill

LAREDO, Texas – A Texas woman has pleaded guilty for her role in a scheme to illegally transport hundreds of foreign nationals within the United States and conspiracy to launder proceeds of illicit human smuggling, announced U.S. Attorney Alamdar S. Hamdani.

According to court documents, Erminia Serrano Piedra aka Irma and Boss Lady, 32, conspired with at least 14 other members of a human smuggling organization Piedra led that facilitated the unlawful transportation and movement of hundreds of migrants within the United States and harbored and concealed the migrants from detection by law enforcement authorities. The migrants were citizens of Mexico, Guatemala and Colombia, and they or their families paid members of the organization to help them travel illegally to and within the United States.

The organization used drivers to pick up migrants near the U.S.-Mexico border and transport them further into the United States, often harboring the migrants at “stash houses” along the way. Drivers for the human smuggling organization used various methods to transport migrants, including by hiding them in suitcases placed in pickup trucks and by cramming migrants into tractor-trailers, covered beds of pickup trucks, repurposed water tankers and wooden crates strapped to flatbed trailers. The methods the organization used to transport migrants placed their lives in danger as they were frequently held in confined spaces with little ventilation, which became overheated, and were driven at high speeds with no vehicle safety devices. Members of the organization commonly referred to the migrants as “boxes,” “packages” or “pieces.”

Typically, the fee paid to the organization was approximately $8,000, with $3,000 paid upfront to smugglers in Mexico and the remainder paid once the migrants entered the United States. Payments were routed through various accounts all over the United States, and the money from those accounts was then transmitted to the leaders of the organization. According to her plea agreement, Piedra admitted to stating during the course of the conspiracy that she made a lot of money from her involvement in human smuggling and was going to continue making a lot of money in the years to come. She also stated that she had been doing this “for a lifetime already” and was not planning to retire.

Piedra also pleaded guilty to conspiracy to engage in financial transactions designed to conceal the nature, location, source, ownership and control of ill-gotten proceeds of illicit human smuggling. The leaders of the organization recruited and utilized straw recipients to accept human smuggling proceeds in the recipients’ bank accounts and then transferred the proceeds to the leaders under the pretense of work payments. The others also incorporated businesses and opened business accounts to transfer the human smuggling proceeds. Additionally, co-conspirators recruited individuals in the construction industry who accepted human smuggling proceeds in the form of cash in exchange for checks from the recruited individuals’ business bank accounts.

The superseding indictment in this case also notices the criminal forfeiture of two properties belonging to Piedra with current estimated values of $2,275,000 and $515,000 that were purchased with the illicit proceeds of human smuggling. Serrano is also agreeing to a money judgment of $942,537.00.

Piedra is scheduled to be sentenced April 10 and faces a maximum of 20 years in prison.

Ten others previously pleaded guilty for their roles in the scheme. Kevin Daniel Nuber aka Captain, 42, and Laura Nuber aka Barbie, 41, pleaded guilty to conspiracy to transport aliens, placing in jeopardy the life of any person and conspiracy to harbor aliens for the purpose of commercial advantage and private financial gain. Christine Dangler aka Tinkerbell, 46, Lloyd Bexley, 53, Jeremy Dickens, 47, Juan Manuel Hernandez Cordova aka Tio, 46, David Scott Tallant, 54, Katie Ann Garcia aka Guera, 40, and Abraham Geber Lopez, 28, pleaded guilty to conspiracy to transport and move aliens, placing in jeopardy the life of any person. Oliveria Campuzano Piedra, 54, pleaded guilty to conspiracy to harbor an alien for profit. The co-conspirators are awaiting sentencing.

The indictments and convictions of these defendants are the result of the coordinated efforts of Joint Task Force Alpha (JTFA), which was established by Attorney General Merrick B. Garland in June 2021 to marshal the investigative and prosecutorial resources of the Department of Justice, in partnership with the Department of Homeland Security (DHS) to strengthen the Justice Department’s efforts to combat the rise in prolific and dangerous smuggling emanating from Central America and impacting our border communities. 

JTFA is comprised of detailees from U.S. Attorneys’ Offices along the southwest border, including the Southern and Western District of Texas, Districts of New Mexico, Arizona and Southern District of California. Numerous components of the Justice Department’s Criminal Division that are part of JTFA also provided dedicated support which the Human Rights and Special Prosecutions Section (HRSP) led. Also supporting the efforts are Office of Prosecutorial Development, Assistance and Training, Narcotic and Dangerous Drug Section, Money Laundering and Asset Recovery Section (MLARS), Office of Enforcement Operations, Office of International Affairs and Violent Crime and Racketeering Section.

JTFA also relies on substantial law enforcement investment from DHS, FBI, Drug Enforcement Administration and other partners. To date, JTFA’s work has resulted in over 260 domestic and international arrests of leaders, organizers and significant facilitators of human smuggling; over 180 convictions; significant jail sentences imposed; and substantial seizures and forfeitures of assets and contraband – including hundreds of thousands of dollars in cash, property, vehicles, firearms, ammunition and drugs.

HSI Laredo, along with Border Patrol - Laredo Sector and DHS Office of the Inspector General led U.S. investigative efforts and received substantial assistance from Homeland Security Investigations (HSI) offices in Austin, San Antonio, Waco and Corpus Christi, New Orleans, Louisiana, Gulfport, Mississippi, Mobile, Alabama, West Palm Beach, Florida, and its Human Smuggling Unit in Washington, D.C., along with Customs and Border Protection’s National Targeting Center; U.S. Marshals Service; Immigration and Customs Enforcement’s Enforcement and Removal Operations - Austin; Treasury Executive Office for Asset Forfeiture; Police Departments in Laredo, Killeen, Elgin, and Round Rock as well as Wiggins, Missouri, and Bogalusa, Louisiana; Webb County Constable’s Office; Webb County District Attorney’s Office; Sheriff’s Offices in Webb, Bastrop and Caldwell Counties, Harrison, George and Stone Counties, Mississippi, Mobile County, Alabama, and Jefferson and Washington Parishes in Louisiana; Mississippi Bureau of Narcotics; and Louisiana State Police. 

Assistant U.S. Attorney and JTFA Detailee for the Southern District of Texas Jennifer Day, HRSP Trial Attorneys Christian Levesque and Angela Buckner and MLARS Trial Attorney Daria Andryushchenko are prosecuting the case with substantial assistance from MLARS Financial Investigator Kelly O’Mara and the Department of Justice’s Electronic Surveillance Unit of the Office of Enforcement Operations. 

HRSP Trial Attorney Erin Cox previously provided significant assistance in this case.

LAREDO, Texas – Three siblings have admitted to buying, transporting and concealing ammunition intended to be smuggled into Mexico, announced U.S. Attorney Alamdar S. Hamdani.

Rolando Herrera, 26, pleaded guilty this morning in addition to another charge of conspiracy to smuggle ammunition with intent to promote a felony. His sisters, Ashley Herrera, 22, and Yamileth Herrera, 21, entered their guilty pleas Dec. 12, 2023. All are U.S. citizens and maintain residences in Laredo and in Nuevo Laredo, Tamaulipas, Mexico.

Between May 16, 2023, through May 24, 2023, the siblings placed orders at a local sporting goods store for 7,000 rounds of 5.56-millimeter ammunition. Ashley placed the first order of 3,000 rounds which she and Rolando picked up at the store. Ashley later placed a second order in another person’s name for 3,000 rounds who picked up that ammunition and delivered it to the Herreras’ parents’ home. Yamileth later ordered and picked up 1,000 rounds of ammunition.

Rolando admitted he intended to smuggle the ammunition to persons in Mexico, provided the funds for all purchases and requested his sisters order the ammunition for him.

Ashley transported cartons of 6,000 rounds of ammunition to her parents’ home where she and Yamileth moved them into a bedroom where it remained concealed until Rolando would pick it up to smuggle to Mexico.

Law enforcement intercepted Yamileth Herrera who was in possession of 1,000 rounds she had just purchased.

Authorities collected a total of 7,000 rounds of ammunition from the Herrera sibling’s smuggling operation.

U.S. District Judge Marina Garcia Marmolejo will impose sentencing in April. At that time, they each face up to 10 years in federal prison and a possible $250,000 maximum fine. Rolando also faces up to 15 years for the additional charge of conspiring to smuggle ammunition out of the United States to promote a felony.

All three have been permitted to remain on bond pending sentencing.

The Bureau of Alcohol, Tobacco, Firearms and Explosives, Department of Commerce and Bureau of Industry and Security’s Office of Export Enforcement conducted the investigation with the assistance of Homeland Security Investigations and the Laredo Police Department.

Assistant U.S. Attorney Homero Ramirez is prosecuting 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. 

LAREDO– A 35-year-old woman has pleaded guilty to false statements related to health care matters, announced U.S. Attorney Alamdar S. Hamdani.

Nora Nely Avila admitted that from January 2017 through December 2019, she impersonated a nurse and performed work she was not licensed to do at multiple hospitals and home health companies in the Laredo area.

These health care providers hired Avila after she fraudulently presented a nursing license of another individual. The patients and health care providers were part of the federally funded Medicaid and Medicare programs.

Avila also obtained employment as nurse trainer in the federally funded Job Corps program and was assigned to train future nurses.

In total, Avila received $52,241.66 in compensation for working as a licensed nurse when she was not licensed to do so.

U.S. District Judge Marina Garcia Marmolejo accepted the plea and has set sentencing for April 9. At that hearing, Avila faces up to five years in federal prison and a possible $250,000 fine.

Avila was permitted to remain on bond pending sentencing.

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. Special Assistant U.S. Attorney Kathryn Olson is prosecuting the case.

LAREDO, Texas – A 36-year-old Customs and Border Protection (CBP) officer previously charged with bribery and drug trafficking has now also been indicted for illegally smuggling four undocumented aliens into the United States, announced U.S. Attorney Alamdar S. Hamdani.

Emanuel Celedon remains in custody and is set to make his initial appearance on the new charges before U.S. Magistrate Judge Christopher dos Santos at 10 a.m., at which time the court will also hold his detention hearing. Two others - Homero Romero-Hernandez, 30, and Jose Osvaldo Zapata Vasquez, 24, both Mexican nationals illegally residing in the United States, are also expected to make appearances. The final person charged - Beatris Martinez, 20, Cotulla, is set for her initial appearance Jan. 4, 2024 at 9:40 a.m. before Judge dos Santos.

Celedon had previously worked at the Port of Entry (POE) in Laredo at the time of the offenses.  

The superseding indictment, returned Dec. 27, charges Celedon and Martinez with four counts of bringing an undocumented alien to the United States on two separate dates in September and November. Zapata and Romero are charged similarly in three counts.

Celedon was previously indicted Nov. 28 for two counts of bribery and two counts of attempted importation of cocaine. Those charges allege that, on separate two occasions in October, Celedon accepted U.S. currency in exchange for allowing an individual to transport a substance he believed to be several kilograms of cocaine into the United States from Mexico through the Laredo POE without inspection. 

If convicted of the new human smuggling charges, he faces up 40 years in federal prison. The previous bribery charges carry up to 15 years in prison each and a possible $250,000 maximum fine. A conviction on the cocaine importation charges carry a maximum sentence of up to 40 years and a possible maximum $5 million fine.

The Department of Homeland Security - Office of Inspector General, Drug Enforcement Administration, Homeland Security Investigations and CBP- Office of Professional Responsibility conducted the investigation with assistance from the Texas Department of Public Safety, Border Patrol, Webb County Constable Precinct 2 and CBP Laredo Joint Forensic Center. Assistant U.S. Attorneys Richard Bennett and Jennifer Day are prosecuting the case.

This investigation is related to an Organized Crime Drug Enforcement Task Forces (OCDETF) case. 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.

This case is also supported by Joint Task Force Alpha (JTFA). Attorney General Merrick B. Garland created JTFA in June 2021 in partnership with the Department of Homeland Security (DHS) to strengthen the Justice Department’s overall efforts to combat the rise in prolific and dangerous smuggling emanating from Central America and impacting our border communities. JTFA is comprised of detailees from southwest border U.S. Attorneys’ Offices, including the Southern and Western Districts of Texas, District of New Mexico, District of Arizona and Southern District of California. Numerous components of the Criminal Division are part of JTFA and provide dedicated support for the program which the Human Rights and Special Prosecutions Section leads. The Office of Overseas Prosecutorial Development, Assistance and Training; Narcotic and Dangerous Drug Section; Money Laundering and Asset Recovery Section; Office of Enforcement Operations; Office of International Affairs and Violent Crime and Racketeering Section also provide support. JTFA also relies on substantial law enforcement investment from DHS, FBI, Drug Enforcement Administration and other partners. To date, JTFA’s work has resulted in over 260 domestic and international arrests of leaders, organizers and significant facilitators of human smuggling; more than 170 convictions; significant jail sentences imposed; and substantial asset forfeiture. 

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 Missouri City couple has been indicted for orchestrating a fraudulent financing and refinancing mortgage loan scheme, announced U.S. Attorney Alamdar S. Hamdani.

Noreen Khan aka Noreen Khan-Mayberry, 50, and her husband Christopher Mayberry, 51, surrendered to federal authorities this morning. They are expected to make their initial appearances before U.S. Magistrate Judge Yvonne Ho at 2 p.m.

According to the indictment, returned Dec. 12, both are charged with one count of conspiracy to make false statements to mortgage loan businesses.

Beginning in 2016, Mayberry and Khan, while still employed at NASA, allegedly took out significant personal loans to fund the purchase of their luxury home before quickly defaulting on those loans. 

According to the charges, the couple allegedly attempted to eliminate and dispute the debts, claiming to be victims of identity theft. Khan allegedly filed a false police report, submitted a false report to the Federal Trade Commission and sent letters to the credit bureaus in order to have the loans removed from her credit. 

As part of the scheme, the couple allegedly signed three separate loan agreements with mortgage lenders related to the financing of their home from 2017 to 2021. 

As part of the loan application process, the couple provided false employment information and fake documents which included pay stubs, tax forms and account statements to lenders, according to the charges.

If convicted, they face up to five years in federal prison and a possible $250,000 maximum fine in addition to the possible forfeiture of their luxury home.

NASA’s Office of Inspector General-Office of Investigations conducted the investigation. Assistant U.S. Attorney Heather Winter 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.

HOUSTON – A 45-year-old Mexican citizen illegally residing in Houston has been sentenced following his conviction of possession with intent to distribute nearly 50 kilograms of various narcotics, announced U.S. Attorney Alamdar S. Hamdani.

Merbin Leodan Inestroza-Perez pleaded guilty Oct. 6.

U.S. District Judge David Hittner has now ordered Inestroza-Perez to serve 235 months in federal prison. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. At the hearing, Judge Hittner noted the large amount of drugs and questioned his family members on their knowledge of the extent of the quantity of narcotics. In handing down the sentence, the court noted the negative impact drugs have had on the community. The court emphasized that authorities seized 500 grams of fentanyl from Inestroza-Perez and its potential deadly effects.

The investigation revealed Inestroza-Perez was distributing meth out of a local barber shop in Houston.

On March 25, 2022, law enforcement conducted a controlled delivery of 111 grams of meth from him and subsequently conducted a search of his residence. At that time, authorities discovered 30 kilograms of cocaine, nearly 18 kilograms of meth, over 500 grams of fentanyl and eight firearms. The total amount of the narcotics had an estimated street value of $850,000.

The investigation further revealed Inestroza-Perez was in league with individuals located in South Texas. The other conspirators have since been convicted and are pending sentencing.

Inestroza-Perez 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 Texas Department of Public Safety and Montgomery County Sheriff’s Office

Assistant U.S. Attorney Jimmy Leo prosecuted the case.