Southern District of Texas

HOUSTON – Four Houston-area gang members are in custody following the return of a federal indictment on allegations of human trafficking, announced Acting U.S. Attorney Jennifer B. Lowery.

Clarence Chambers aka Chris, 29, is expected to appear today before U.S. Magistrate Judge Peter Bray at 2 p.m. Also charged are Javon Opoku aka Glizzy, 20, Damarquis McGee aka Lil Blue, 23, and Andres Portillo aka Andro, 20. Portillo is set for an initial appearance on July 1 at 2 p.m., while McGee and Opoku are set for their initial appearances on July 6 at 10 a.m.

The defendants are charged with trafficking young runaway girls on what it known as the “Blade” or the Bissonnet Track. This is an area near Southwest 59 Freeway and Bissonnet Street in Houston where traffickers commonly place their victims, according to the charges.

According to the indictment, the defendants worked to recruit underage teenage girls and forced them to engage in sex acts for money in cars and hotels around the Blade. They allegedly passed around or reassigned victims amongst one another, taught each other “the pimp game” and required the young girls to walk the Blade and sell their bodies. They also kept the proceeds, according to the charges.

The indictment further alleges if any of the girls wanted to switch between pimps, they would have to pay an exit fee or get “beat out” to do so.

Some of the defendants also allegedly required daily quotas each night from their victims. If the victims failed to meet their daily quotas, they were severely punished through beatings and humiliation, according to the indictment.   

If convicted, Chambers and the others face a minimum of 15 years and up to life in federal prison.

The Houston Police Department initiated the investigation and later partnered with Homeland Security Investigations and the Harris County District Attorney’s Office as  part of the Human Trafficking Rescue Alliance (HTRA). Established in 2004, the U.S. Attorney’s office in Houston formed HTRA to combine resources with federal, state and local enforcement agencies and prosecutors, as well as non-governmental service organizations to target human traffickers while providing necessary services to those that the traffickers victimized. Since its inception, HTRA has been recognized as both a national and international model in identifying and assisting victims of human trafficking and prosecuting those engaged in trafficking offenses.

Assistant U.S. Attorneys Richard Bennett and Kate Suh are prosecuting the case.

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

HOUSTON – Ascent Aviation Solutions LLC and its owner have been ordered to pay nearly $240,000 in penalties for violating safety regulations, announced acting U.S. Attorney Jennifer B. Lowery.

Michael King had been operating the Webster-based company as a direct air carrier without the necessary Federal Aviation Administration (FAA) certification. A direct air carrier is one who provides, or offers to provide, air transportation and who maintains control over the operational functions performed in providing the transportation. In order to operate as a direct air carrier, one must hold an FAA-issued certificate after demonstrating they meet the requisite requirements.

The jury heard that Ascent used what is known in the industry as a “dry lease” to circumvent the FAA requirements for direct air carriers. Under such lease, the lessee simply leases the equipment and is responsible for all aspects of operational control of the plane.

Authorities learned of the illegal charter operation and checked one of the flights. At that time, they found evidence of a sham lease agreement between themselves and an unsuspecting third party.

That party did not have operational control of the plane. Testimony revealed he only paid Ascent to fly him from one city to another. The jury heard Ascent retained operational control of the aircraft meaning Ascent, not the passenger, handled all flight logistics including hiring the pilots.

Further investigation revealed King and Ascent had operated 14 unregulated charter flights which all had the potential to endanger public safety.

The jury ultimately found King and his company liable for violating 14 FAA regulations, including one for the careless and reckless operation of a plane. They were ordered to pay $239,872.

The FAA conducted the investigation. Assistant U.S. Attorneys Ariel N. Wiley, Julie Redlinger and Keith Wyatt represented the United States during the proceedings.  

HOUSTON – A 38-year-old Cuban citizen who resided in the Houston area is set to appear in federal court on charges of willfully injuring or committing any depredation exceeding $1000 against U.S. property, announced Acting U.S. Attorney Jennifer B. Lowery.

Authorities took Nestor Mariano Vidal Batista into custody after allegedly damaging the FBI office in Houston. He is set to make his initial appearance before U.S. Magistrate Judge Frances H. Stacy at 2 p.m. today.

The criminal complaint alleges that on June 23, Batista stole a Dodge Ram 2500 pick-up truck shortly before attempting to lodge an in-person complaint at the FBI office in Houston. Upon his arrival, security alleged referred him to local authorities.

According to the charges, Batista then re-entered the truck, circled the area and tried to force entry. He allegedly sped toward, and crashed the truck into, the front security gates of the FBI building. The complaint alleges, he caused considerable damage.

Shortly thereafter, he was allegedly able to exit the truck and enter the visiting area in the lobby. Authorities then subdued him and took him into custody.

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

The FBI conducted the investigation with the assistance of the Houston Police Department. Assistant U.S. Attorney Joe Porto is prosecuting the case.

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

HOUSTON – A 46-year-old California resident has been charged in a nationwide ticket scam that included a Texas A&M football game, announced Acting U.S. Attorney Jennifer B. Lowery.

A Houston federal grand jury returned a five-count indictment against Derrick Langford April 1, on charges of conspiracy, wire fraud and aggravated identity theft. Authorities arrested him in California yesterday. He is set to make his initial appearance before U.S. Magistrate Judge Donna M. Ryu in Oakland, California, at 1 p.m. (PST) today.

According to the indictment, Langford used email to obtain stolen credit card information from victims across the United States. He then allegedly used that data and false identities to buy tickets for sporting events, concerts and other entertainment venues across the United States which he then re-sold on internet-based ticket resale sites like Ticket Liquidator. 

One such event tied to Langford was the Texas A&M football game against Clemson on Sept. 8, 2018, according to the charges. As part of the scheme, Langford had allegedly created false buyer accounts and used stolen credit card numbers to buy tickets to that game. According to the indictment, Langford then resold the fraudulently-purchased tickets on ticket resale sites to unsuspecting buyers. 

Texas A&M discovered the fraud and invalidated the tickets, according to the charges. However, some had already been allegedly 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, according to the charges.

If convicted of wire fraud or conspiracy to do so, Langford faces carries a penalty of up to 20 years in federal prison and a possible $250,000 maximum fine. The identity theft carries an additional two years which must be served consecutively to any other prison term imposed.

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 are prosecuting the case.

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

LAREDO, Texas – A 53-year-old Laredoan has been ordered to federal prison after he admitted to wire fraud and extortion under color of official right, announced Acting U.S. Attorney Jennifer B. Lowery.

Rito Salomon Palacios pleaded guilty Sept. 9, 2020.

Today, U.S. District Judge Diana Saldana ordered Palacios to serve a 57-month sentence to be immediately followed by three years of supervised release. At the hearing, the court heard additional information including testimony and evidence detailing the fraud scheme and the emotional and fiscal damage Palacios caused the victims. Four of them appeared in court and detailed the harassment and threats Palacios committed and the resultant ill effect on their lives.

In handing down the sentence, Judge Saldana noted how heartless Palacios was in relation to his victims as well as his history of thefts and lies and the unfortunate lack of real punishment in previous cases.

The court upwardly departed and raised his criminal history category by two levels to adequately reflect his criminal history. Judge Saldana also mentioned his threats and aggression and considered Palacios a threat to the community. 

Palacios masqueraded at varying times as an officer or employee of Customs and Border Protection, an immigration officer or another federal officer or employee. At the time of his plea, the court also heard he delivered receipts in documents bearing the seal of the Department of Transportation and Customs and Border Protection.

Palacios defrauded and extorted members of the public who were not citizens or nationals of the United States. He took money or property by false and fraudulent pretenses, representations and promises to deliver immigration visas, permits or residency in the United States. As part of the scheme, he utilized the internet to set appointments for his victims to be fingerprinted.

Palacios admitted as part of the plea that he demanded and obtained more than $72,000 from the fraud and extortion scheme.

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

Immigration and Customs Enforcement’s Office of Professional Responsibility and Homeland Security Investigations conducted the investigation with the assistance of the Laredo Police Department. Assistant U.S. Attorney José Angel Moreno prosecuted the case.

BROWNSVILLE, Texas – A 27-year-old Brownsville resident has been ordered to federal prison for possession of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.

Alvaro Vega-Rodriguez pleaded guilty Feb. 4, 2020.

Today, U.S. District Judge Rolando Olvera Jr. ordered him to serve a 78-month sentence to be immediately followed by 20 years of supervised release during which he will have to comply with numerous requirements designed to restrict his access to children and the internet. He has also been ordered to register as a sex offender. 

“These investigations serve as a reminder and warning to those who engage in perverse online behavior involving child exploitation,” said Deputy Special Agent in Charge Timothy Tubbs of Homeland Security Investigations (HSI). “This illegal activity will not be tolerated and those who are participating in it will be found and brought to justice.”

In May 2019, authorities launched an investigation targeting child pornography sharing on the internet. That led them to Vega-Rodriguez. The following month, they conducted a search at the residence and seized his computer. Forensic analysis on the computer later revealed approximately 1,488 images and 121 videos of child pornography.

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

HSI’s Rio Grande Valley Child Exploitation Task Force conducted the investigation.

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

LAREDO, Texas – Two Houston men have been ordered to federal prison for their involvement in a conspiracy to import meth into the United States, announced Acting U.S. Attorney Jennifer B. Lowery.

Denzel Holloway, 29, and Joshua Guerra, 27, pleaded guilty June 9, 2020.

Today, U.S. District Judge Nelva Gonzales Ramos ordered Holloway to serve a 78-month sentence to be immediately followed by three years of supervised release.

Guerra was sentenced previously to a 96-month term of imprisonment.

On Nov. 28, 2019, Holloway attempted to enter the United States at the Juarez–Lincoln Port of Entry in Laredo. Authorities conducted an X-ray inspection and noticed anomalies in the tires of his pickup truck.

They ultimately found 24 bundles containing a total of 53.4 kilograms of meth in hidden compartments within the truck’s tires. During their investigation, law enforcement discovered Guerra had helped coordinate the smuggling attempt.

The drugs had an estimated street value of about $300,000.

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

Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney David Fawcett prosecuted the case.

CORPUS CHRISTI, Texas – A former Coahuila, Mexico, governor has been ordered to federal prison for his role in a money laundering scheme that includes offenses against a foreign nation involving bribery of a public official, announced Acting U.S. Attorney Jennifer B. Lowery.

Jorge Juan Torres-Lopez, 67, pleaded guilty June 16, 2020.

Today, U.S. District Judge Nelva Gonzalez Ramos handed Torres-Lopez a 36-month sentence. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. At a previous hearing, the court heard additional evidence from two witnesses who described their relationship with Torres-Lopez and detailed some of the financial transactions and illegal payments.

Torres-Lopez worked for the Mexican government from 1994 to 2011. His roles included general director of Promotion and Development while secretary of Finance for the state of Coahuila, municipal president of Saltillo as well as interim governor of Coahuila. In approximately December 2005, Hector Javier Villarreal-Hernandez was appointed as undersecretary of Program and Budget for the state of Coahuila. At the time, Torres-Lopez was his supervisor. In July 2008, Villarreal-Hernandez was appointed as secretary of Finance for Coahuila, where he remained until his resignation in August 2011.

Torres-Lopez admitted that during some of his time in office, he conducted financial transactions in the United States to conceal the bribes he received in return for road-building contracts for the State of Coahuila. As part of his plea, he agreed to forfeit a piece of property in the United States associated with the payments.

Law enforcement took Torres-Lopez into custody in Mexico Feb. 5, 2019, where he remained until his extradition to the United States Oct. 29, 2019. He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Villarreal-Hernandez, 50, of Saltillo, Coahuilla, Mexico, has also been convicted in the Southern and Western Districts of Texas for money laundering offenses and currently pending sentencing.

The multi-agency investigation dubbed Operation Politico Junction included Drug Enforcement Administration, IRS - Criminal Investigation, Homeland Security Investigations, FBI and U.S. Marshals Service. This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. 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.

The Prosecutor General of the Republic of Mexico provided significant assistance. The Department of Justice’s Office of International Affairs of the Department’s Criminal Division also assisted.

Assistant U.S. Attorneys Jon Muschenheim and Lance A. Watt prosecuted the case.

BROWNSVILLE, Texas – A 23-year-old south Texas  man has been ordered to federal prison for possession of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.

Gene Surf Silva pleaded guilty March 24.

Today, U.S. District Judge Rolando Olvera sentenced him to 121 months in federal prison. He will also  serve 20 years on supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. Silva was further ordered to pay $15,000 in restitution to five known victims and will also be ordered to register as a sex offender.

In September 2018, authorities learned Silva was addicted to child pornography. The investigation revealed he had possibly acted on his impulses and victimized a child. 

Law enforcement executed a warrant on his residence and obtained his computer. Forensic analysis revealed 600 images and 11 video files of a minor from Sugar Land in his possession as well as 800 additional images of child pornography.

Silvah 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’ Rio Grande Valley Child Exploitation Task Force conducted the investigation.

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

VICTORIA, Texas – A federal jury has convicted a 31-year-old Houston man for conspiring to smuggle undocumented citizens within the United States, announced Acting U.S. Attorney Jennifer B. Lowery.

The jury deliberated for less than two hours before convicting Francisco Javier Lapop aka Chico following a two-day trial.

During the trial, jurors heard testimony that Lapop arranged multiple trips to transport non-citizens who illegally crossed into the United States. During each transportation, Lapop’s associates drove the individuals in a box truck bearing counterfeit commercial logos. They traveled from a south Texas stash house to Houston where Lapop paid his associates.

The jury also heard he recruited others, including his brother, to assist in the crime. The investigation revealed the conspiracy spanned November 2019 to April 2021 and involved dozens of undocumented individuals.  

The defense attempted to convince the jury the evidence was insufficient to prove Lapop was a member of the conspiracy. They ultimately did not believe those claims and convicted him as charged.  

U.S. District Judge Drew B. Tipton presided over trial and set sentencing for Sept. 16. At that time, Lapop faces up to 10 years in federal pison and a possible $250,000 maximum fine.

Lapop was permitted to remain on bond pending that hearing.

Homeland Security Investigations conducted the investigation with assistance from Kleberg County Attorney’s Task Force. Assistant U.S. Attorneys Yifei Zheng and Dennis E. Robinson are prosecuting the case.

McALLEN, Texas – A compound pharmacy owner, three marketers, a referring physician and two clinic office staff have been taken into custody in connection with a multi-million dollar health care fraud and kickback scheme, announced Acting U.S. Attorney Jennifer B. Lowery.

A federal grand jury sitting in McAllen returned a 15-count indictment charging John Ageudo Rodriguez, 51, Mohammad Imtiaz Chowdhury, 40, his father Dr. Tajul Shams Chowdhury, 71, and Alex Flores Jr., 51, all of McAllen; Hector DeLaCruz, Jr., 50, Edinburg; Araceli Gaona, 35, Mission; and Erika Hernandez Salinas, 38, Donna.

All are expected to have their initial appearances tomorrow before U.S. Magistrate Judge J. Scott Hacker.

The indictment includes charges of conspiracy to commit health care fraud, health care fraud, conspiracy to pay and receive illegal kickbacks and conspiracy to commit money laundering.

Rodriguez was the owner of Pharr Family Pharmacy (PFP), according to the indictment. From May 2014 to September 2016, PFP allegedly billed various federal health care programs more than $110 million, including claims that were false, fraudulent and the result of illegal kickbacks.

According to the indictment, Mohammad Chowdhury, Flores and DeLaCruz were purported marketers for PFP who were the conduits for several million dollars in kickbacks relating to the referral of prescriptions for high-reimbursing compound drugs to the pharmacy. In numerous instances, the marketers allegedly received kickbacks from Rodriguez, which they shared with referring physicians.

Dr. Chowdhury is a physician with a medical practice in Edinburg known as Center for Pain Management, according to the charges, while Gaona and Salinas were employees at the clinic. The indictment alleges Mohammad Chowdhury paid kickbacks to his father for referring prescriptions to PFP, including prescriptions for high-reimbursing compound drugs that were not medically necessary nor what the patients wanted. Gaona and Salinas are charged with conspiring to pay and receive kickbacks and conspiracy to commit money laundering in connection with their alleged receipt of kickbacks to help coordinate the flow of prescriptions from the medical clinic to the pharmacy.

The indictment alleges Rodriguez and his co-conspirators targeted specific health care benefit programs known to pay high reimbursements for compound drugs, such as Federal Employee’s Compensation Program, TRICARE, Medicare and various private insurance plans.

As part of the scheme, Rodriguez allegedly provided PFP marketers with pre-filled prescription pads intended to be given to physicians. The charges allege these included compound drugs and other prescription items that would yield the highest possible reimbursement to PFP, without regard to medical necessity.

If convicted of health care fraud and conspiracy to commit health care fraud, they face up to 10 years in prison and a maximum $250,000 possible five. The penalty for conspiracy to pay and receive illegal kickbacks is five years with a $25,000 maximum fine. Those charged and convicted of conspiracy to commit money laundering face up to 20 years in prison and fine of up to $500,000.

The U.S. Postal Service-Office of Inspector General (OIG), FBI, Defense Criminal Investigative Service, Department of Labor-OIG, Veterans Affairs-OIG, Texas Health and Human Services—OIG, Department of Health and Human Services-OIG, and Texas Attorney General, Medicaid Fraud Control Unit conducted the investigation.

Assistant U.S. Attorneys Andrew Swartz and Asha Natarajan are prosecuting the case.

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

CORPUS CHRISTI, Texas – A Corpus Christi federal jury has convicted a 41-year-old man for attempted robbery and discharging a firearm in the commission of the crime, announced Acting U.S. Attorney Jennifer B. Lowery.

The jury deliberated for an less than two hours before convicting Eric Richard Garza, Corpus Christi, following a three-day trial.

On Dec. 14, 2018, Garza drove to Central Watch and Clock Repair in Corpus Christi with Christopher Rangel-Musial. Both were wearing masks. The jury heard that Garza gave Rangel-Musial a loaded firearm and told him to point the it at the shop owner while he robbed the business of money and goods.

Rangel-Musial did so, but the shop owner refused to get on the ground as told. Garza instructed Rangel-Musial to shoot him, at which time he fired three shots, hitting the victim twice. The shop owner managed to get his revolver and chased the two men out of the store, shooting Rangel-Musial twice as they fled.  

The defense attempted to convince the jury that a female passenger in the getaway vehicle committed the crime. They did not believe those claims and found him guilty as charged.

U.S. District Judge Nelva Gonzales Ramos presided over trial and set sentencing for Sept. 15. At that time, Garza faces up to 30 years of imprisonment and a possible $500,000 maximum fine. He will remain in custody pending that hearing.

Rangel-Musial pleaded guilty in 2019. He has been and will remain in custody until his sentencing, set for June 30.

The Bureau of Alcohol, Tobacco, Firearms and Explosives and Corpus Christi Police Department conducted the investigation. Assistant U.S. Attorneys Joel Dunn and Christopher Marin are prosecuted the case.

LAREDO, Texas – Two soldiers are set to make appearances in federal court today on allegations they attempted to smuggle two undocumented Mexican citizens to San Antonio, announced Acting U.S. Attorney Jennifer B. Lowery.

Emmanuel Oppongagyare, 20, and Ralph Gregory Saint-Joie, 18, are set to make their initial appearances before U.S. Magistrate Judge Diana Song Quiroga at 1:30 p.m. today.

Saint-Joie is an active duty member of the U.S. Army, while Oppongagyare is from the Pennsylvania National Guard.

According to the charges, Oppongagyare approached the Hebbronville Border Patrol (BP) Checkpoint driving a sedan on the morning of June 13. Saint-Joie was allegedly riding as passenger. Both men were wearing their uniforms, according to the complaint. During primary inspection, Oppongagyare allegedly told authorities they were traveling from Zapata to San Antonio.

Law enforcement referred them to secondary inspection, where they discovered two undocumented Mexican citizens in the trunk of the vehicle, according to the charges.   

The complaint alleges they expected to receive an undetermined amount of money to pick up the individuals in McAllen and transport them to San Antonio. They were allegedly told to wear their U.S. Army uniforms in order to avoid questioning from authorities.

If convicted, Oppongagyare and Saint-Joie face up to 10 years in federal prison and a possible $250,000 maximum fine.

BP and Homeland Security Investigations are conducting the investigation.

Assistant U.S. Attorney Brian Bajew is prosecuting the case.

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

McALLEN, Texas – A 73-year-old has been charged for selling illegally manufactured and unregistered firearms suppressors destined for a Mexican drug cartel, announced Acting U.S. Attorney Jennifer Lowery.

A federal grand jury returned a three-count indictment today against William Scott Simms. He made his initial appearance May 28 following his arrest, at which time he was ordered into custody pending further criminal proceedings. He is expected to appear again in the near future before a U.S. magistrate judge on the charges contained in the indictment.

Simms is charged with aiding and abetting the attempt to illegally export a silencer, possession of 11 unregistered machine and possession of an unregistered silencer.

Simms allegedly planned to sell illegally manufactured and unregistered firearm suppressors. The alleged recipients were members of a Mexican drug cartel seeking to purchase weapons to be illegally exported into Mexico. The charges further allege Simms illegally manufactured 11 fully-automatic firearms to be sold for $10,000 each.

Simms manufactured the machine guns without any identifying serial numbers, according to the criminal complaint originally filed in the case. Such firearms are commonly known as “ghost guns” because they are more difficult to trace their origins.

If convicted, Simms faces up to 10 years in prison and up to a $10,000 fine for each charge.

The Department of Justice launched Operation Guardian which targeted firearms and illegal export of firearms in November 2019. On April 8, President Biden issued executive orders specifically targeting the manufacturing and transfer of ghost guns.

Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorney Robert L. Guerra 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 24-year-old San Antonio resident has been charged with importing 9.6 kilograms of cocaine, announced Acting U.S. Attorney Jennifer Lowery.

A Laredo federal grand jury returned a two-count indictment June 15 against Jonathan Nunez-Gamboa. He is set to appear before U.S. Magistrate Judge Diana Song Quiroga in the near future for his arraignment.

The indictment alleges that on May 26, Nunez-Gamboa applied for entry into the United States from Mexico at the Lincoln-Juarez bridge Port of Entry in Laredo. Authorities observed Nunez-Gamboa nervously shaking and sweating, according to the charges. He also allegedly gave inconsistent travel itineraries. The charges allege authorities then referred him and his truck to secondary inspection.

There, an X-ray scan of the pickup truck revealed anomalies in the rear axle, according to the charges. The indictment further alleges there were 14 packages of narcotics stuffed inside a hollowed-out rear axle. These packages were full of a white powdery substance that field tested positive for cocaine, according to the criminal complaint originally filed in the case.  

The cocaine allegedly weighed 9.6 kilograms with an estimated street value of $230,400.

If convicted, Nunez-Gamboa faces up to life in prison as well as a possible $10 million maximum fine.

Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul A. Harrison is prosecuting the case.  

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

McALLEN, Texas – Two men will now serve substantial prison sentences for possession with intent to distribute more than 500 grams of meth, announced Acting U.S. Attorney Jennifer B. Lowery.

Jose Guadalupe Lopez, 41, Weslaco, pleaded guilty in October 2020.  

Today, U.S. District Judge Randy Crane imposed a 67-month sentence to be followed by three years of supervised release. At the hearing, the court heard how Lopez had a prior federal drug trafficking conviction for marijuana and that he had now advanced to kilogram quantities of meth. In handing down the sentence, the court held Lopez responsible for the co-defendant’s firearms, noting that guns and drugs are tools of the trade.

Johnathan Ivan Torres, 22, Mercedes, also had pleaded guilty and was sentenced in January also to 120 months in prison. At that time, the court found Torres was in possession of two firearms in connection with his distribution of approximately 6.5 kilograms of meth. 

Beginning in May 2019, law enforcement discovered Torres was a source of supply for meth in Hidalgo County. The investigation revealed Lopez and Torres had been communicating and actively discussing the sale and distribution of the narcotics. Authorities ultimately discovered both men in possession of several kilograms of meth.

An additional search of the location where Torres had been residing yielded an additional half a kilogram of meth and two firearms in close proximity to the drugs. 

The investigation revealed the meth had been imported from Mexico with a 98% purity level.

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.

The Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorneys Alejandra Andrade and Matthew Redavid prosecuted the case.

LAREDO, Texas – A 44-year-old physician from Laredo has paid $340,437.68 to resolve allegations he falsely billed Medicare for the use of electro-acupuncture devices, announced Acting U.S. Attorney Jennifer B. Lowery.

Dr. Marte A. Martinez Jr. is an anesthesiologist and pain management physician who practices in Laredo. Marte A. Martinez M.D. PLLC is an entity Martinez used to conduct his medical practice. 

From Aug. 23, 2019, to Feb. 12, 2020, Martinez billed Medicare for the implantation of neurostimulator electrodes. These are surgical procedures usually requiring use of an operating room. Medicare pays thousands of dollars per procedure. 

Neither Martinez nor his staff performed surgery. Instead, patients received devices used for electro-acupuncture. This involves inserting needles into patients’ ears with the neurostimulator taped behind them with an adhesive. 

To date, the Southern District of Texas has resolved four other settlements with a Katy anesthesiologist, a Houston pain doctor, a Rockport chiropractor and a Houston chiropractor involving similar allegations of false billing.

The FBI and Department of Health and Human Services – Office of Inspector General conducted the investigation with the assistance of Qlarant, the Unified Program Integrity Contractor for Medicare. 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 – The former controlling manager of Lone Star Shredding’s parent company has pleaded guilty to defrauding his employer, announced Acting U.S. Attorney Jennifer B. Lowery.

Lone Star Shredding is a local subsidiary in Mercedes. Its parent company is located in Tennessee.

Brian Janish, 44, admitted to using an unauthorized access device and engaging in other fraudulent activity to steal $403,293.19 between July 2013 and December 2017.

As part of his responsibilities, Janish was in charge of establishing bank accounts and approving expenses for the company. When the company switched banks, Janish failed to close the company’s previous bank account or destroy the corporate credit card issued in his name.

In fact, he charged personal expenses on the company credit card, including travel and online goods. Janish also wrote checks from the company account and withdrew cash for personal use. He attempted to cover his fraud by emailing fake bank statements to the company. 

The Morristown, Tennessee, resident also increased his payroll without authorization.

U.S. District Judge Randy Crane accepted the plea and set sentencing for Aug. 19. At that time, Janish faces up to 10 years in prison and a possible $250,000 maximum fine. He was permitted to remain on bond pending that hearing. 

The FBI conducted the investigation. Assistant U.S. Attorneys Rodolfo Ramirez and Stephanie Bauman are prosecuting the case.

HOUSTON – A 46-year-old chiropractor and her medical group have agreed to pay in order to resolve allegations of fraudulent billing, announced Acting U.S. Attorney Jennifer B. Lowery. 

Suhyun An owns and manages Campbell Medical Group PLLC and Johnson Medical Group PLLC dba Campbell Medical Clinic in the Spring Valley area of Houston. 

In March 2021, the United States filed a civil complaint against An alleging she fraudulently obtained over $3.9 million from the Medicare and TRICARE programs by billing for the implantation of neurostimulator electrodes. These are surgical procedures usually requiring use of an operating room for which Medicare pays thousands of dollars An’s staff did not perform surgery. In fact, nurses at the clinic were trained to use the devices in part by watching YouTube videos. 

An knew the devices were not billable or recklessly disregarded that fact. She and her staff ignored warnings and specific guidance from Medicare contractors and her own outside billing companies, including warnings that the devices were being labeled as “possible fraud.”  

In addition to the $2.6 million financial settlement, An and her medical entities have agreed to a 10-year-period of exclusion from participation in any federal health care programs. 

To date, the Southern District of Texas has resolved three other settlements with a Katy anesthesiologist, a Houston pain doctor and a Rockport chiropractor involving similar allegations of false billing.

The Department of Health and Human Services – Office of Inspector General and Defense Criminal Investigation Service 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.

VICTORIA, Texas - A 20-year-old Bloomington man has admitted to assaulting a federal marshal, announced acting U.S. Attorney Jennifer B. Lowery.

Today, Jose Luis Vasquez Jr. also admitted he discharged a weapon and used a weapon during a crime violence.

On Feb. 3, Vasquez assaulted a U.S. deputy marshal as she and the other members of the Violent Crimes Fugitive Task Force attempted to arrest him. The marshal had to shield herself behind a truck for protection as Vasquez fired his weapon numerous times, striking the door of the vehicle.

Vasquez shouted “I’m not going back” as he fired a Smith and Wesson M7P40, .40 caliber semi-automatic pistol at authorities. The weapon’s magazine held at least 20 rounds of ammunition.

Senior U.S. District Judge John D. Rainey accepted the plea and has set sentencing for Sept. 7. At that time, Vasquez faces a sentence up to 20 years for the assault as well as a minimum of 10 years for the firearms conviction which must be served consecutively to the other sentence imposed.  

He has been and will remain in custody pending sentencing.

The FBI; Bureau of Alcohol, Tobacco, Firearms and Explosives; Texas Rangers and U.S. Marshals Service conducted the investigation with assistance from the Victoria County Sheriff ‘s Office and Victoria County District Attorney’s Office. Assistant U.S. Attorney Patti Hubert Booth is prosecuting the case.

HOUSTON – A local gang member has been ordered into custody on charges of child sex trafficking, announced Acting U.S. Attorney Jennifer Lowery.

Today, U.S. Magistrate Judge Sam Sheldon ordered Porter Bush, 44, Houston, into custody pending further criminal proceedings.

The indictment, returned May 13, alleges Bush trafficked a 14-year-old girl from February to June 2018.

On June 25, 2018, authorities allegedly found and recovered the young girl near the Bissonnet Track after she got into a car with a potential client. The charges allege law enforcement conducted a traffic stop of the vehicle, at which time Bush pretended to be the 14-year-old’s stepfather. 

The Bissonnet Track is a known area near 59 Southwest Freeway and Bissonnet Street where traffickers place minor and adult victims for commercial sex, according to the charges.

If convicted, Bush faces a minimum of 10 years and up to life in federal prison as well as a possible $250,000 maximum fine.

The Houston Police Department conducted the investigation as part of the Human Trafficking Rescue Alliance (HTRA).

HTRA law enforcement also includes members of the FBI, Homeland Security Investigations, Texas Attorney General’s Office, IRS-Criminal Investigation, Department of Labor (DOL), DOL – Wage and Hour Division, Department of State, Texas Alcoholic and Beverage Commission, Texas Department of Public Safety,  Department of Homeland Security – Office of Inspector General (OIG), Social Security Administration – OIG and Sheriff’s Offices in Harris and Montgomery counties in coordination with District Attorney’s offices in Harris, Montgomery and Fort Bend Counties.

Established in 2004, the United States Attorney’s office in Houston formed HTRA to combine resources with federal, state and local enforcement agencies and prosecutors, as well as non-governmental service organizations to target human traffickers while providing necessary services to those that the traffickers victimized. Since its inception, HTRA has been recognized as both a national and international model in identifying and assisting victims of human trafficking and prosecuting those engaged in trafficking offenses.

Assistant U.S. Attorney Kate Suh 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 53-year-old local man has been ordered to federal prison for conspiring to entice a minor to engage in sexually explicit conduct for the purpose of producing child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.

Santos Gonzalez pleaded guilty March 2.

Today, U.S. District Judge Drew B. Tipton sentenced Gonzalez to 420 months in prison. He will then have to serve the rest of his life on supervised release, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. Gonzalez will also be ordered to register as a sex offender.

At the time of his plea, Gonzalez admitted to soliciting co-defendant Diane Martinez to produce and send illicit photographs of a minor victim. In exchange, he provided Martinez money for groceries and medication.

Forensic analysis of Facebook accounts belonging to Gonzalez and Martinez revealed they communicated between Jan. 21, 2016, and May 20, 2020. Throughout the thousands of pages of communication, Gonzalez expressed wanting to have sexual intercourse with the minor victim. Gonzalez would offer food, groceries, gifts and other items of monetary value in exchange for Martinez sending nude photographs of the child.

Eventually, Gonzalez no longer used Martinez as an intermediary, directly soliciting the minor victim for sex.

Authorities received information about the abuse from a family acquaintance of the victim as well as a tablet used to commit the crimes.

Gonzalez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Martinez is scheduled to be sentenced July 28 before Judge Tipton.

Homeland Security Investigations, Corpus Christi Police Department’s Internet Crimes Against Children Unit and Texas Department of Public Safety conducted the investigation.

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

HOUSTON – Cloudgen LLC has pleaded guilty to conspiracy to commit H-1B visa fraud, announced Acting U.S. Attorney Jennifer B. Lowery.

Cloudgen LLC is a consulting and strategic solutions company located on South Dairy Ashford Road in Houston. Through its corporate representative, Cloudgen pleaded guilty to conspiring to commit visa fraud from on or about March 2013 to December 2020. During the plea, the company admitted to recruiting multiple Information Technology workers from India and falsely procuring H-1B visas for them to enter and work in the United States.  A H-1B visa permits the temporary employment of non-immigrants to fill specialized jobs in the United States.

Specifically, in this “bench and switch” scheme, the company would file documents with the Departments of Labor (DOL) and Homeland Security (DHS) containing fraudulent statements about the availability of work at third-party national employers. Cloudgen would then submit forged contracts stating each third-party company had a job for the individual Indian national. Next, based on those false documents, Cloudgen would submit paperwork to get an H-1B worker’s visa for the Indian nationals. When granted, they would use that visa to allow the Indian nationals to enter the United States. 

However, because the jobs were fake, they were housed in different locations across the country while Cloudgen obtained other employment for them. Such action gave Cloudgen a competitive advantage by having a steady “bench” or supply of visa-ready workers to send to different employers based on market needs when the true process actually takes some time. Once workers had obtained new employment, the “switch” would occur when the new third-party company filed immigration paperwork for the foreign workers. 

Cloudgen would also extend their visas, based on the original false ones, to allow them to stay and continue working in the United States. Cloudgen took a percentage of the worker’s salary as their fees, earning approximately $493,516.28 in profits during the course of the conspiracy.   

Chief U.S. District Judge Lee H. Rosenthal will impose sentencing Sept. 16. At that time, the company could have to pay up to $500,000 or the greater of twice the gross gain or twice the gross loss as well as a maximum five years of probation.

The Department of State's Diplomatic Security Service conducted the investigation with the assistance of DOL and DHS. Assistant U.S. Attorneys Richard W. Bennett and Jay Hileman are prosecuting the case. 

HOUSTON – Authorities are searching for two men indicted for using fictitious car dealerships to issue nearly 600,000 automobile paper tags and selling them on the internet without selling any cars, announced Acting U.S. Attorney Jennifer Lowery.

The charges allege the illegal tags pose a danger to the public and law enforcement because purchasers use them to avoid obtaining registration, safety inspections and liability insurance. They can also allegedly be used to hide their identities from law enforcement.

Houston resident Leidy Areli Hernandez Lopez, 39, is also charged in the scheme. She is in custody and expected to make her initial appearance before U.S. Magistrate Judge Sam Sheldon at 2 p.m.

Octavian Ocasio, 49, New York, and Emmanuel Padilla Reyes aka Christian Hernandez Bonilla, 31, city unknown, are considered fugitives and warrants remain outstanding for their arrests. Anyone with information about their whereabouts is asked to contact the FBI at 713-693-5000.

A federal grand jury in Houston returned the 15-count indictment May 20 charging all of them with conspiracy and various counts of wire fraud. 

According to the charges, the scheme involved the use of fictitious car dealerships to issue and sell hundreds of thousands of Texas temporary buyer tags without selling cars. The three also allegedly used email accounts to communicate with each other and to deliver the fraudulent tags to purchasers throughout the United States. 

In Texas, used car dealers must have an independent GDN license to buy, sell or exchange used vehicles, according to the charges. To obtain such a license, applicants must access the Texas Department of Motor Vehicles’ (TxDMV) online eLicensing application portal to apply. Once an applicant obtains a GDN license, they can buy, sell or exchange used cars and create temporary buyer tags for the transaction through the TxDMV’s online eTag portal. The portal is web-based and password protected, and only licensed GDN holders can access it, according to the indictment. However, the GDN holder can create other users on their account to allow access to the portal to create and issue buyer tags.

There is no restriction on the vehicle, buyer or vehicle identification number inputted into the portal, according to the indictment.

According to the charges, these three knowingly participated in the scheme to issue and sell more than 580,000 fraudulent tags to buyers across the United States. They allegedly provided false information such as fraudulent identities, drivers’ licenses, lease agreements and business signs in the online application portal to obtain GDN licenses for fictitious car dealerships. The indictment further alleges they advertised the sale of Texas buyer tags on social media platforms like Facebook and Instagram and used email to communicate and deliver fraudulently-obtained tags. They also received and shared proceeds from the fraudulent sale of Texas buyer tags via electronic payment services like Cash App and Zelle, according to the charges.  

If convicted each faces up to 20 years in prison and a potential $250,000 maximum fine.

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

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

BROWNSVILLE, Texas – The former vice president of the Brownsville Independent School District (BISD) Board of Trustees has been ordered to federal prison following her convictions of conspiracy and corruption, announced Acting U.S. Attorney Jennifer B. Lowery.

A Brownsville federal jury returned guilty verdicts Nov. 4, 2020, against Sylvia P. Atkinson, 49, Brownsville, following an eight-day trial. She was convicted of one count of conspiracy, one count of bribery concerning programs receiving federal funds and six counts of Travel Act violations.

Today, U.S. District Judge Fernando Rodriguez Jr., who presided over the trial, ordered Atkinson to serve a total 80-month sentence to be followed by three years of supervised release. The Judge also imposed a $35,000 fine to be paid immediately.

In handing down the sentence, Judge Rodriguez noted how Atkinson’s crime took on great significance because of the abuse of the public trust and the need for a sentence that will deter others from engaging in similar conduct. The court specifically found Atkinson had lied extensively in her testimony at trial and assessed an obstruction of justice enhancement at sentencing. Judge Rodriguez further commented that Atkinson’s story on the stand unbelievable and clearly a lie.

Atkinson was elected to the BISD Board of Trustees Nov. 4, 2016, and appointed vice president in 2018. During her career in education, she has served as the superintendent of Socorro, Santa Rosa and Los Fresnos school districts, assistant superintendent of BISD and Rio Hondo ISD (RHISD) and the executive director of High School Programs and Community Outreach at Texas Southmost College. 

During trial, the jury heard from several witnesses including BISD Board of Trustees members and its attorney as well as officials of Texas Education Agency and Texas Association of School Boards. They detailed how Atkinson orchestrated a long-running criminal scheme to solicit bribes from vendors seeking to obtain contracts with BISD and RHISD.

From December 2018 through February 2019, Atkinson solicited and received a $10,000 bribe related to a film crew’s potential use of BISD facilities for filming a purported Hollywood movie. She also received illegal campaign contributions in 2014 and 2016 for her and another person.

The jury also heard how she had set up a shadow company with sales employees from potential educational and telehealth vendors who desired to do business with BISD and RHISD. Atkinson arranged both school meetings although she knew there was a conflict of interest in doing so. She also set up the company to hide her involvement and potential profit from any business those vendors obtained with BISD and RHISD. 

The defense attempted to convince the jury that she had been acting as a “consultant” when she accepted payment. The jury, however, found the payments were bribes and found her guilty as charged.

Atkinson 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 Cameron County District Attorney’s Office and Brownsville Police Department. Assistant U.S. Attorneys Jody Young and Robert S. Johnson prosecuted the case.

CORPUS CHRISTI, Texas – A 36-year-old Edinburg man has been ordered to federal prison after admitting to his role in a large cocaine trafficking conspiracy, announced Acting U.S. Attorney Jennifer B. Lowery.

Ray Anthony Almaroad pleaded guilty Jan. 26.

Today, U.S. District Judge David S. Morales ordered him to serve an 87-month sentence to be immediately followed by four years of supervised release. At the hearing, the court heard additional statements noting Almaroad’s use of a tractor-trailer hauling a legitimate truckload of limes. He used it as a decoy for the concealed compartment containing over 100 cocaine bundles.

On Nov. 27, 2020, at nearly midnight, Luis Elfego Ramirez drove a tractor-trailer to the Border Patrol checkpoint located near Sarita. Almaroad was the passenger and registered owner of the vehicle. Authorities noted weld marks on the diesel tank where and discovered a custom-made concealed compartment within the fuel tank. Authorities then found and seized 110 bundles of cocaine, with a total net weight of 109 kilograms.

The drugs have an approximate street value of over $3.2 million.

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

Ramirez, 49, Edinburg, had also pleaded guilty and previously received 120 months imprisonment.

The Drug Enforcement Administration conducted the investigation with assistance of Customs and Border Protection. Assistant U.S. Attorney (AUSA) Reid Manning and former AUSA David Paxton prosecuted the case. 

BROWNSVILLE, Texas - A 35-year-old local man has been sentenced following his conviction of attempting to deliver cocaine, announced Acting U.S. Attorney Jennifer B. Lowery.

Jose Isaac Martinez pleaded guilty June 2.

Today, U.S. District Judge Rolando Olvera ordered Martinez to serve an-84 month sentence to be immediately followed by four years of supervised release.

“Today’s sentence not only holds Martinez accountable for his crimes, but serves as a warning to those who are contemplating drug trafficking,” said Special Agent in Charge Shane Folden of Homeland Security Investigations (HSI). “HSI will continue to use every resource available to identify smugglers like Martinez, who distribute this poison to the citizens throughout the United States.”

On July 7, 2019, Luigui Ortiz-Rosales attempted entry into the United States from Mexico driving a Mercury Villager minivan at the Brownsville Veterans International Bridge. During inspection, authorities removed four rectangular packages of suspected narcotics from the natural void of the rear quarter panels.

The packages field tested positive for cocaine and weighed approximately 4.70 kilograms with an estimated street value of $94,000.

The investigation ultimately led law enforcement to Martinez. They had observed an F-150 pickup truck circling the parking lot of a shopping center location in Brownsville. Martinez was the driver. He stopped the vehicle, exited and approached the location where law enforcement had already arrested Ortiz-Rosales. The investigation revealed Martinez was to pick up the narcotics and deliver them to a grocery store parking lot in Brownsville.

Ortiz-Rosales, 38, of Mexico, ultimately pleaded guilty and was later sentenced to 30 months in federal prison to be followed by two years of supervised release.

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.

HSI and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney David Coronado prosecuted the case.

LAREDO, Texas – A federal grand jury has charged a 23-year-old non-citizen unlawfully residing in Laredo with conspiracy to transport 12 undocumented citizens resulting in death, announced Acting U.S. Attorney Jennifer B. Lowery.

Jesus Martinez-Villela is expected to appear for his arraignment before a U.S. magistrate judge in Laredo in the near future.

The criminal complaint originally filed in the case alleges Martinez-Villela attempted to flee authorities by driving off-road near Encinal April 22.

Law enforcement later located Martinez-Villela’s abandoned truck with an injured person on the ground, according to the charges. They also allegedly located another man who was unresponsive in the bed of the truck. He was pronounced dead at the scene, according to the allegations.  

Multiple other undocumented citizens were allegedly transported to a local hospital to be treated for their injuries.

If convicted, Martinez-Villelafaces up to life in prison and a possible $250,000 maximum fine. 

Homeland Security Investigations conducted the investigation with assistance from Border Patrol and Texas Department of Public safety. Assistant U.S. Attorney Yoona Lim 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 federal jury has convicted a 24-year-old non-citizen residing in Houston for attempting to transport an alien, announced Acting U.S. Attorney Jennifer B. Lowery.

The jury deliberated for less than four hours before convicting Bakunduwukize Desire following a two-day trial of attempting to transport an alien to Houston on Dec. 8, 2019. 

Testimony revealed Desire arrived at the Falfurrias Checkpoint claiming he had a fight with his girlfriend and needed a ride back to Houston. His friend offered him a vehicle in exchange for driving the alien to Houston. He also accepted $800 as payment.

The jury heard Desire picked up the alien at a stash house in the valley and coached him to act like he was asleep once they got to the checkpoint.

The defense attempted to convince the jury that he did not know the alien was illegally present in the United States. They did not believe those claims and found Desire guilty as charged.

U.S. District Judge Drew B. Tipton presided over trial and set sentencing for Aug. 12. At that time, Desire faces up to five years of imprisonment and a possible $250,000 maximum fine.

Desire was permitted to remain on bond pending sentencing.

Border Patrol conducted the investigation. Assistant U.S. Attorneys Barbara J. De Pena and Amanda Gould prosecuted the case.

McALLEN, Texas – A federal jury has convicted a 49-year-old Mission resident for conspiracy and possession with intent to distribute more than 500 grams of meth, announced Acting U.S. Attorney Jennifer B. Lowery.

The jury deliberated for approximately 40 minutes before convicting Eugenio Perez Jr. following a two-day trial which included three witnesses.

According to the testimony, authorities discovered 1.6 kilograms of meth while investigating a drag racing incident that resulted in a two-car collision.  

At trial, the jury heard from a local police officer who explained how Perez crashed into an SUV pulling out of a parking lot. The officer approached Perez after observing him pull a bag from his truck’s cab and place it into the bed of the truck. He instructed Perez not take anything from the vehicle.

Perez’s daughter arrived on the scene. At that time, she took the bag from the bed of the truck and placed it in her car, according to testimony.

The officer further testified that he stopped her from leaving the area and asked her to show him what was inside the bag. The daughter opened the bag which was found to contain approximately 1.6 kilograms of meth.

The defense attempted to convince the jury that law enforcement had rushed to judgment and did not perform an adequate and thorough enough investigation to convict Perez. The jury disagreed and found him guilty as charged.

U.S. District Judge Randy Crane presided over trial and set sentencing for July 27, 2021. At that time, Perez faces a minimum of 10 years and up to life in prison as well as a possible $10 million fine.

Previously released on bond, Perez was taken into custody following the sentencing today where he will remain pending that hearing.

The Drug Enforcement Administration conducted the investigation with the assistance of Palmview Police Department. Assistant U.S. Attorneys Michael Mitchell and M. Alexis Garcia prosecuted the case.

McALLEN, Texas – A federal grand jury has returned four indictments against non-citizen adults for falsely claiming they were under the age of 18, announced Acting U.S. Attorney Jennifer Lowery.

The separate, but similar indictments charge Fernando Antonio Flores-Galvez, 19, Jose Alfredo Sandoval-Hernandez, 23, Osmin Trochez-Miranda, 24, all from Honduras; and Sergio Galindo Chun-Cucul, 23, Guatemala. Originally charged by complaint and in custody, they are expected to make appearances before a magistrate judge in the near future.

Each of the charges indicate the men had illegally crossed the Rio Grande. They then allegedly claimed to be minors so they could be released into United States. The charges further allege each man had used false documents with incorrect birth dates in an attempt to convince authorities they were under the age of 18.

Flores-Galvan and Sandoval-Hernandez were arrested as they attempted to enter the United States April 21, while law enforcement took Trochez-Miranda and Chun-Cucul into custody April 28 and May 3, respectively.

If convicted, each face up to five years in prison as well as a possible $250,000 maximum fine.

Border Patrol conducted the investigation. Assistant U.S. Attorney E. Paxton Warner is prosecuting the cases.  

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

HOUSTON - The leader and manager of an eight-man conspiracy has been ordered to federal prison for his role in a scheme to steal over $726,000 from a South Korean company, announced Acting U.S. Attorney Jennifer B. Lowery.

Frankline Bate Okpu, 35, is a legal permanent resident of Houston and pleaded guilty Jan. 25.

Today, U.S. District Judge Lynn N. Hughes ordered him to serve 36 months in prison. He was also ordered to pay $350,938 in restitution. Not a U.S. citizen, he may face removal proceedings following his prison term.

Okpu had orchestrated a scheme to steal money from Daesang Corporation, a producer of consumer foods based in Seoul, South Korea. 

In the summer of 2017, Daesang sought to import frozen pork and chicken products from the United States for the upcoming Moon festival in South Korea. They contacted Trinity Food – a company who had held itself out to be a legitimate supplier of frozen food products.

Daesang communicated with Trinity via e-mail and whatsapp, ultimately entering into a contract with them. Daesang wired $726,000 into an account at a Bank of America in Houston that belonged to Okpu. Between September and December 2017, Okpu and his co-conspirators transferred the money to other accounts and converted it for their own use. 

Okpu recruited others to set up bank accounts and cash checks at various banks in Houston; Miami, Florida; and Los Angeles, California, for a share in the stolen money.

Daesang never received the product they paid for and sought help from U.S. authorities.

Previously released on bond, Okpu was taken into custody following the sentencing today where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Seven others have pleaded guilty for their roles in the scheme. A final man - Pascal Ayuk Ayuketta, 39, a citizen of Cameroon, is a fugitive and a warrant remains outstanding for his arrest. Anyone with information about his whereabouts is asked to contact the nearest U.S. Marshal’s office at 1-877-WANTED-2. 

The FBI and IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorney Edward Gallagher prosecuted the case.

LAREDO, Texas – A 40-year-old Laredo woman has entered a guilty plea to conspiracy to encourage or induce a foreign national to enter the United States, announced Acting U.S. Attorney Jennifer B. Lowery.

Walker was a Customs and Border Protection (CBP) officer at the time of the offense.

On Jan. 2, she improperly used another officer’s computer login information to help the Mexican woman enter the United States through the Laredo Port of Entry, scanning her immigration documents before entry. The woman had no legal status to reside or work in the United States. However, Walker intended for the woman to illegally enter the country and work for her as a housekeeper and nanny.

Walker also lied to authorities. She falsely stated Trevino was her biological aunt and denied processing her entry or employing her in her home.

U.S. District Judge Marina Garcia Marmolejo will impose sentencing Aug. 9. At that time, Walker faces up to 10 years in prison and a possible $250,000 maximum fine. She was permitted to remain on bond pending that hearing. 

CBP - Office of Professional Responsibility conducted the investigation. Assistant U.S. Attorney Francisco J. Rodriguez is prosecuting the case.

LAREDO, Texas - A 24-year-old Corpus Christi man has been ordered to federal prison for conspiring to transport illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.

Francisco Benavides pleaded guilty Dec. 18, 2020.

Today, U.S. District Judge Marina Garcia Marmolejo ordered him to serve a 48-month sentence to be immediately followed by three years of supervised release. In handing down the sentence, Judge Marmolejo noted his lengthy criminal history and the number of aliens he was hauling.

On Oct. 14, 2020, Benavides arrived at the US-83 Border Patrol checkpoint driving a semi-truck and trailer. A K-9 alerted to the presence of contraband in the trailer. Authorities cut the seal and found 74 illegal aliens, including an unaccompanied minor.

Benavides claimed he traveled to Laredo from Corpus Christi to work as a trucker, despite not having a commercial license or any training as a driver. He also said he thought the trailer was full of frozen meat and expected to be paid $250 to drive it to Eagle Pass.

At the time of his plea, Benavides admitted he knew aliens were inside the trailer.

Benavides 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 Border Patrol. Assistant U.S. Attorney Paul Harrison prosecuted the case.

McALLEN, Texas – A 46-year-old Alton man has been ordered to federal prison following his conviction of conspiracy to possess with intent to distribute more than five kilograms of cocaine, announced acting U.S. Attorney Jennifer B. Lowery.

A federal jury deliberated for approximately six hours before convicting Rosbel Garcia Jr. Jan. 14 following a one-day trial which included seven witnesses.  

Following his conviction, Garcia executed a signed statement admitting to his involvement in the offense and his knowledge of the controlled substances involved.  

Today, U.S. District Judge Micaela Alvarez took the statement into consideration and handed Garcia a 78-month sentence to be immediately followed by three years of supervised release. In imposing the sentence, the court also noted Garcia’s greedy motivation in committing the crime and his recruitment of another individual.

According to the testimony at trial, authorities learned of a possible 20-kilogram cocaine transaction that would be occurring in the Houston area in January 2018. 

The jury heard from Rene Ramos III, the person Garcia had recruited, who explained that he had been previously arrested in Houston while in possession of approximately 60 pounds of marijuana belonging to Garcia in 2012. He claimed that at the time of that arrest, he was also in possession of approximately $90,000 of Garcia’s drug trafficking proceeds.

In early January 2018, Ramos claimed Garcia contacted him and told him he had to begin working for him in order to reduce that drug debt. As part of that involvement, Ramos testified he directed his wife, Christy Leigh Wells, to deliver cocaine to individuals in Houston. 

Testimony revealed Garcia traveled to Houston from the Rio Grande Valley in January 2018 along with Luby Janet Luna. Wells also testified and admitted she delivered 10 kilograms of cocaine to Luna and others Jan. 30, 2018.  

The defense attempted to convince the jury that all involved were just cons who fabricated Garcia’s involvement in the scheme. The jury disagreed and found him guilty as charged.

Wells, 42, Cypress, admitted to her role in the conspiracy.

Luna, 34, Mission, is a fugitive and a warrant remains outstanding for her arrest. Anyone with information about her whereabouts is asked to contact the U.S. Marshals Service at 956-618-8025 or the Drug Enforcement Administration at 956-992-8400.

Garcia remains 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. Assistant U.S. Attorneys Roberto Lopez Jr. and M. Alexis Garcia prosecuted the case.

LAREDO, Texas – A businesswoman and her employee have admitted they were responsible for selling parts of a protected species, announced Acting U.S. Attorney Jennifer B. Lowery.

Cecilia Castaneda, 63, pleaded guilty today, while Maria Luisa Garza-Salazar, 57, entered her plea Jan. 22. The Laredo women admitted to illegally selling hummingbirds. Castaneda owned and operated Herbario Corpus Christi, a business specializing in herbs and spices. Garza-Salazar was her employee.

Both women were charged under the Lacey Act for selling dried or parts of more than 160 hummingbirds. The Lacey Act still protects the migratory birds although they are no longer an endangered species. The law makes it a crime to import, sell, receive or acquire any wildlife which have been possessed, transported or sold in violation of any law.

Dried hummingbirds, or parts of the birds, are illegally packaged and sold commercially as love charms together with prayer cards. The hummingbirds are typically packaged in a paper sleeve and surrounded with red threads or envelopes.

In a companion case, Maria Guadalupe Garcia, 55, Laredo, admitted to selling more than 200 hummingbirds Oct. 28. She owned and operated Herbario Lupita, an herbal shop located in Laredo. 

“These guilty pleas send a clear message to wildlife traffickers that we and our law enforcement partners are in the business of identifying and apprehending those who exploit protected species for commercial gain,” said Special Agent in Charge Phillip Land of the Fish and Wildlife Service (FWS-OLE.) “We thank the U. S. Attorney's Office for the Southern District of Texas for holding these individuals responsible for their actions.”

Castaneda is set for sentencing Aug. 10, while Garcia’s hearing is scheduled for June 22. At those times, they each face up to five years in federal prison and a possible $250,000 maximum fine.

The FWS – OLE conducted the investigation with the assistance of Texas Game Wardens. Assistant U.S. Attorney José Angel Moreno is prosecuting the case.

HOUSTON – A 46-year-old Houston resident has admitted to fraudulently obtaining more than $7,000 in disaster relief, announced Acting U.S. Attorney Jennifer B. Lowery.

Latoya Romar entered a guilty plea to a scheme to defraud the Federal Emergency Management Agency (FEMA) in connection with the severe storm that struck Houston May 4, 2015.

Romar applied for disaster relief, falsely claiming the storm damaged her residence and personal property. As part of her plea, she admitted she submitted forged documents to FEMA to substantiate her false claims.

As a result of her fraudulent claims, FEMA paid Romar $7,124.33 in disaster relief that she was not entitled to receive.

U.S. District Judge Andrew S. Hanen accepted the plea and set sentencing for Aug. 16. At that time, Romar faces up to 30 years in federal prison and a $250,000 maximum possible fine. She was permitted to remain on bond pending that hearing.

The Department of Homeland Security - Office of Inspector General conducted the investigation. Assistant U.S. Attorney Justin R. Martin prosecuted the case.

LAREDO, Texas – A 37-year-old legal permanent resident (LPR) of Mexico has pleaded guilty to participating in a drug importation conspiracy, announced Acting U.S. Attorney Jennifer B. Lowery.

Jose Martinez Torres had been residing in Chicago.

On Feb. 2, Torres attempted to enter the United States at the Juarez–Lincoln Port of Entry in Laredo. An x-ray scan of his vehicle revealed some anomalies in the dashboard which prompted authorities to conduct a search. They ultimately found 13 hidden duct-taped bundles - 11 packages of heroin weighing 12.96 kilograms and two of fentanyl with a weight of 2.22 kilograms.

The narcotics had a combined estimated street value of $350,000.

U.S. District Judge Marina Garcia Marmolejo will impose sentencing Aug. 10. At that time, Torres faces up to life in prison. He has been in custody since his arrest where he will remain pending that hearing.

Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney David Fawcett prosecuted the case.

LAREDO, Texas – A 28-year-old Laredoan has been ordered to federal prison for conspiring to transport illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery. 

Jose Maria Ramirez pleaded guilty Nov. 24, 2020, while co-conspirator Eloy Martinez-Carranza entered a guilty plea Dec. 8, 2020.

Today, U.S. District Judge Marina Garcia Marmolejo ordered Ramirez to serve a 57-month sentence to be immediately followed by three years of supervised release. In handing down the sentence, the court noted how Ramirez has repeatedly broken the law and has had his supervised release revoked multiple times. Judge Marmolejo further explained there was sufficient evidence to show he was heavily involved in the conspiracy and was correctly held accountable for the aliens in the tractor-trailer as well as the stash house.

Martinez-Carranza, 35, of South Carolina, received his sentence April 30. Judge Marmolejo ordered him to 36 months in prison to be immediately followed by three years of supervised release.

On Oct. 1, 2020, Martinez-Carranza approached the US-83 Border Patrol checkpoint driving a semi-truck and trailer. Soon after his arrival, a K-9 alerted to the presence of contraband in the trailer.

Authorities cut the seal on the trailer and found 40 illegal aliens, including three unaccompanied minors. The inside temperature was approximately 109 degrees. Law enforcement also observed coffee grounds scattered around the trailer.

Martinez-Carranza claimed he was traveling to Laredo from South Carolina to work as a trucker. However, he did not have a commercial driver’s license or any training as such.  

Upon further investigation, authorities identified a location suspected to be the stash house for the illegal aliens. Law enforcement conducted surveillance and stopped a vehicle leaving the house with Ramirez as the driver.

Authorities searched the home and found a total of 22 illegal aliens, including more unaccompanied minors.

Ramirez 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 the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul Harrison prosecuted the case.

LAREDO, Texas – A 52-year-old Laredo resident has been ordered to federal prison for smuggling aliens, some of whom had lost consciousness, announced Acting U.S. Attorney Jennifer B. Lowery.

Juan Contreras pleaded guilty Feb. 3, 2020.

Today, U.S. District Judge Marina Garcia Marmolejo ordered Contreras to serve a 110-month sentence. At the hearing, the court heard additional information regarding the danger posed to the people trapped in the tractor-trailer Contreras drove as well as their attempts to escape. In handing down the sentence, Judge Marmolejo noted Contreras has been given multiple previous opportunities to not continue in criminal activity and that this was his third alien smuggling conviction.

Contreras had been on supervised release for a prior conviction of transporting an undocumented alien when he committed this crime. The court revoked the remainder of that term and ordered he serve and additional consecutive nine months. The total 119- month overall term of imprisonment will again be followed by three years of supervised release.

“The sentencing of Contreras sends a clear message that individuals who engage in criminal activity with disregard for human life will be located, arrested, convicted and sentenced for their actions said Deputy Special Agent in Charge Timothy Tubbs from Homeland Security Investigations (HSI). “Criminals who illegally smuggle people into and throughout the United States place personal profit ahead of public safety. HSI will continue to utilize its broad authorities to dismantle human smuggling organizations.”

On June 19, 2019, authorities found Contreras with an inoperable tractor-trailer on the side of Interstate Highway 35 near Laredo. The trailer was sealed shut, but they saw a person stuck between the trailer doors attempting to escape. 

They soon rescued a total of 35 undocumented aliens who were trapped inside the trailer.

The investigation revealed the aliens had been banging on the walls while the vehicle was on the side of the highway. They also tried to reach through holes they made with a crowbar. Multiple individuals even lost conscious due to lack of oxygen and high temperatures.

Contreras 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 Border Patrol. Assistant U.S. Attorney Brandon Scott Bowling prosecuted the case.

LAREDO, Texas - A 37-year-old local man has been ordered to federal prison for conspiring to import more than 50 kilograms of marijuana, announced Acting U.S. Attorney Jennifer B. Lowery.

Francisco De Luna pleaded guilty Aug. 3, 2020.

Today, U.S. District Judge Marina Garcia Marmolejo ordered him to serve a 70-month sentence to be immediately followed by three years of supervised release. At the hearing, the defense argued for a lesser sentence due to De Luna’s poor health condition. Judge Marmolejo explained that his health problems were no excuse, noting they were apparently not serious enough to prevent him from continuing criminal conduct. In handing down the sentence, she considered his previous convictions of drug distribution and being a felon illegally in possession of firearm.

On Feb. 12, 2020, co-conspirator Antonio de Jesus Cadena-Rodriguez applied for entry into the United States at the Lincoln-Juarez port of entry in Laredo. A K-9 alerted to contraband in the silver Dodge Grand Caravan he was driving where authorities ultimately found 57.38 kilograms of marijuana.

Cadena-Rodriguez admitted to being a part of a smuggling operation, noting he was supposed to take the vehicle to a pre-arranged location. Law enforcement continued the investigation by delivering the marijuana as expected. A white Kia Rio soon arrived with De Luna riding as passenger. Another passenger entered Cadena-Rodriguez’s vehicle and attempted to start it.

Authorities took everyone into custody. De Luna admitted he smuggled marijuana and was at the location to pick up the load for further distribution.

Law enforcement also conducted a search of De Luna’s bedroom where they found a scale, marijuana, plastic wrap and an AR-15 style rifle with high-capacity magazines.

The drugs had an estimated street value of $27,830.

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

Mexican national Cadena-Rodriguez, 36, had also pleaded guilty and previously received his sentence for his role in the scheme.

Homeland Security Investigations conducted the investigation with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives and Customs and Border Protection. Assistant U.S. Attorney Paul Harrison prosecuted the case.

HOUSTON – A 36-year-old resident of Sugar Land has been ordered to federal prison following his conviction arising out of a mail fraud conspiracy, announced Acting U.S. Attorney Jennifer B. Lowery.

Mark Ricky Mitchell pleaded guilty Jan. 16.

Today, U.S. District Judge Kenneth M. Hoyt handed Mitchell a 33-month sentence to be immediately followed by three years of supervised release. The court included a condition of supervised release that prohibits Mitchell from engaging in any machine repair business without prior approval. He was further ordered to pay $1,148,156.98 in restitution. 

At the time of his plea, Mitchell admitted he devised a scheme to defraud customers of his machine part repair shop located in Houston. He would make numerous false claims to his customers - that he had facilities in close proximity which would reduce turnaround time, how fast parts could be repaired and that he would provide a quote before beginning work.

Once he obtained possession of the victims’ parts, Mitchell demanded payment for fraudulent charges before he would return the parts. The charges were significantly more than Mitchell had originally quoted for work that was never performed nor authorized.

The victims suffered a loss of approximately $700,000 as a result of Mitchell’s scheme.

He 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 conducted the investigation. Assistant U.S. Attorney Justin R. Martin prosecuted the case.

McALLEN, Texas – Four U.S. citizens have been ordered to federal prison for conspiracy to harbor a Guatemalan woman and hostage taking, announced Acting U.S. Attorney Jennifer B. Lowery.

Alvaro Hernandez, 22, McAllen, Ramiro Basaldua II, 35, Pharr, Rebecca Arevalo, 22, Donna, and Sarai Elizondo, 22, Pharr, had previously pleaded guilty.

Today, U.S. District Judge Randy Crane ordered Hernandez and Basaldua to serve 60 and 110 months in prison, respectively. The sentences will be immediately followed by three years of supervised release. In handing down Basaldua’s sentence, Judge Crane considered his criminal history including prior felony convictions for aggravated robbery and possession of a controlled substance.

Elizondo and Arevalo were previously sentenced to 57 and 46 months, respectively.

In March 2017, a 19-year-old Guatemalan woman illegally entered the United States in hopes of reuniting with her brother in California. She had to stay in various alien stash homes in the Rio Grande Valley area. Eventually, Hernandez and Arevalo picked her up in Edinburg and took her to the Texas Inn hotel in McAllen.  

From March 22 to March 27, 2017, Hernandez, Basaldua, Elizondo and Arevalo held the victim in the hotel room against her will. During that time, the men threatened her life and made calls to her brother for a ransom to spare her. Elizondo and Arevalo also attempted to make the victim look more “American” by fixing her hair, eyebrows and nails.

The victim’s brother sent a total of $4,400 to pay the ransom for her release. The victim was later released at a park in McAllen.

All four 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. Attorney Laura Garcia prosecuted the case..

HOUSTON – A 58-year-old resident of Richmond has been ordered to prison for 25 years following her convictions of conspiracy and aiding and abetting health care fraud, announced Acting U.S. Attorney Jennifer B. Lowery.

A Houston jury returned guilty verdicts against Brenda Rodriguez in January 2019 following a three-day trial. 

Today, U.S. District Judge Lynn H. Hughes ordered her to serve a total of 300 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard additional evidence of her role in the scheme. In handing down the sentence, the court noted that as part of a larger conspiracy Rodriguez was responsible for all of the loss to taxpayers the scheme generated.

Brenda Rodriguez owned and operated the QC Medical Clinic in Richmond.

At trial, the jury heard Rodriguez paid doctors to approve patients for home health care regardless of whether it was medically necessary. Rodriguez then sold those approvals to various corrupt home health care providers. These providers then billed Medicare for services that were either unnecessary or never provided.    

During the trial, jurors were able to watch video that captured the fraud committed at Rodriguez’s clinic. Potential clients were given brief exams, often by unlicensed people posing as doctors, and then quickly approved for medical services that were unnecessary.   

As a result of the investigation and prosecution, several other doctors and administrators have also been convicted of crimes ranging from Medicare fraud to the payment of kickbacks.   

Ultimately, the providers billed Medicare for over $11 million as a result of patients Rodriguez provided. 

Rodriguez 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 Department of Health and Human Service (DHHS)-Office of Inspector General and FBI conducted the investigation. Assistant U.S. Attorneys Tina Ansari and Thomas Carter prosecuted the case along with Trial Attorney Scott Armstrong of the Fraud Section in the Department of Justice’s Criminal Division.

The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, DHHS Centers for Medicare & Medicaid Services, working in conjunction with DHHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

CORPUS CHRISTI, Texas - A 29-year-old Corpus Christi man has been ordered to federal prison after he admitted to devising a scheme to fraudulently misappropriate $255,052 in unemployment benefits meant for those suffering financial hardship due to the COVID-19 pandemic, announced Acting U.S. Attorney Jennifer B. Lowery.

William Cleveland Peck pleaded guilty Oct. 22, 2020.

Today, U.S. District Judge David S. Morales ordered him to serve a 41-month sentence to be immediately followed by three years of supervised release.

As part of his guilty plea, Peck admitted to misappropriating personally identifiable information, such as Social Security numbers and dates of birth, related to various individuals. Peck then used that information to file multiple false and fraudulent claims for Pandemic Unemployment Assistance (PUA) and general unemployment benefits between May and July 2020.

Peck admitted to committing mail fraud by using misappropriated identities to file false and fraudulent claims with the Texas Workforce Commission (TWC), causing TWC to mail debit cards to a P.O. Box Peck utilized. Peck then used the fraudulently-obtained debit cards to withdraw cash and make purchases. The individuals under whose identities Peck filed the false claims were not residents of Texas, not eligible for benefits through TWC and did not authorize Peck to file such claims.

PUA benefits were made available through the Coronavirus Aid, Relief and Economic Security (CARES) Act - a federal law enacted March 29, 2020, which provides emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic.

Previously released on bond, Peck 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 Department of Labor - Office of the Inspector General, U.S. Postal Inspection Service and TWC conducted the investigation. Assistant U.S. Attorneys Andrew Swartz and Asha Natarajan are prosecuting the case.

LAREDO, Texas – A 46-year-old Pharr man has entered a guilty plea to conspiracy to possess with intent to distribute 1.42 kilograms of meth, announced Acting U.S. Attorney Jennifer B. Lowery.

On Feb. 8, Eduardo Maldonado applied for entry into the United States from Mexico at the Lincoln-Juarez bridge port of entry in Laredo as a passenger on a commercial bus. During a routine X-ray examination of luggage and other items on the bus, authorities noted anomalies in a cardboard box belonging to Maldonado. A K-9 unit also positively alerted to the presence of contraband. A subsequent physical search revealed nine packages which tested positive for cocaine, meth and heroin.

Law enforcement weighed the narcotics and determined the packages contained 1.42, 2.04 and 4.16 kilograms of meth, heroin and cocaine, respectively. The collective street value of the drugs was approximately $162,820.

Maldonado admitted he was at a bar in Mexico with his girlfriend when he met a man who offered him $3,000 to transport the box to Birmingham, Alabama. He was to give it to someone waiting for him at the bus stop. The man paid for Maldonado’s bus ticket.

Maldonado claimed he did not know what was in the box and did not check, but admitted he knew “something” was in it based on the amount of money he was to be paid. He further acknowledged he did not ask the man many questions about the box.

U.S. District Judge Marina Garcia Marmolejo accepted the plea and set sentencing for Aug. 2. At that time, Maldonado faces up to life in prison and a possible $10 million maximum fine. He has been and will remain in custody pending that hearing. 

Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul A. Harrison is prosecuting the case.

LAREDO, Texas – A 24-year-old Houston woman has entered a guilty plea to conspiring to import $300,000 of meth into the country, announced Acting U.S. Attorney Jennifer B. Lowery.

On March 6, Yatziri Barboza arrived at the Juarez–Lincoln International Bridge in Laredo driving a Volkswagen Touareg. Law enforcement conducted an X-ray inspection of her vehicle and noticed an anomaly in the gas tank.

They removed the gas tank and found a compartment with 57.46 kilograms of meth in liquid form.

The narcotics have an estimated street value of approximately $300,000.

U.S. District Judge Marina Garcia Marmolejo will set sentencing for a later date. At that time, Barboza faces a minimum of 10 years and up to life in prison. She was taken into custody pending that hearing. 

Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney David Fawcett is prosecuting the case.

CORPUS CHRISTI, Texas - A 42-year-old Corpus Christi man has entered a guilty plea to possessing a semi-automatic handgun in furtherance of a drug-trafficking crime as well as possession with intent to distribute meth, announced Acting U.S. Attorney Jennifer B. Lowery.

On Nov. 18, 2020, authorities executed a federal arrest warrant Benjamin Govella, who was riding a bicycle near an apartment complex in Corpus Christi. At that time, he possessed a backpack containing a Ruger SR9C 9mm pistol and nearly 50 grams of pure meth as well as two loaded magazines and a scale.

U.S. District Judge Drew B. Tipton accepted the plea and set sentencing for July 29. At that time, Govella faces up to 20 years in prison and a possible $1 million maximum fine. He has been and will remain in custody pending that hearing.  

The Bureau of Alcohol, Tobacco, Firearms and Explosives and Corpus Christi Police Department (CCPD) conducted the investigation with the assistance of the CCPD Narcotics Vice Investigations Division. Assistant U.S. Attorney Reid Manning is prosecuting the case.

HOUSTON – Five individuals in the United States illegally have been taken into custody following the discovery of nearly 100 undocumented aliens in a suburban Houston residence, announced Acting U.S. Attorney Jennifer B. Lowery.

The criminal complaint charges Marina Garcia-Diaz, 22, El Salvador; Henry Licona-Larios, 31, Copan, Honduras; Kevin Licona-Lopez, 25, Santa Barbara, Honduras; Marco Baca-Perez 30, Michoacan, Mexico; and Marcelo Garcia-Palacios, 21, Oaxaca, Mexico. All are noncitizens of the United States residing here illegally. They are expected to make their initial appearances before U.S. Magistrate Judge Christina Bryan at 2 p.m. today.

The criminal complaint, filed Saturday, alleges all five harbored, concealed and shielded illegal aliens for the purpose of commercial advantage or private financial gain.  

The investigation began after authorities allegedly received a call from a woman reporting her brother had been kidnapped. She had paid several thousand dollars for him to be smuggled into the United States, according to the charges. However, the smugglers had allegedly demanded additional money before they would release her brother. They also threatened to kill him, according to the charges.

The investigation led to a residence on Chessington Drive in Southwest Houston, according to the complaint. Authorities ultimately found 97 undocumented noncitizens allegedly being held in two rooms of the residence. The charges allege the rooms had deadbolts on the doors facing the outside which prevented escape.

All of the male individuals were in their undergarments, according to the complaint.

The charges also allege at least one was told if the money was not paid, he would be put in “4 pieces of wood.”

Several of the held individuals allegedly identified Garcia-Diaz, Licona-Larios, Licona-Lopez, Baca-Perez and Garcia-Palacios as those conducting the smuggling operation.

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

Homeland Security Investigations conducted the investigation with the assistance of the Houston Police Department. Assistant U.S. Attorney Karen M. Lansden is prosecuting the case.    

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

LAREDO, Texas – A 37-year-old local man has been ordered to federal prison for his role in a conspiracy to possess with intent to distribute marijuana, announced Acting U.S. Attorney Jennifer B. Lowery.

Al Lopez pleaded guilty Feb. 8.

Today, U.S. District Judge Marina Garcia Marmolejo ordered him to serve a 60-month sentence to be immediately followed by five years of supervised release.

On March 5, 2019, Lopez arrived at the Border Patrol (BP) Checkpoint on Highway 83 north of Laredo, driving a truck with a trailer attached. After a K-9 alerted to the trailer, law enforcement conducted a searched and found 43 bundles wrapped in black tape hidden under the floor of the trailer.

The bundles contained a total of 465.5 kilograms of marijuana with a street value of approximately $300,000.

Lopez 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 BP. Assistant U.S. Attorney David Fawcett prosecuted the case.