Southern District of Texas

BROWNSVILLE, Texas – A 40-year-old resident of Brownsville has been ordered to federal prison following his role in trafficking more than 1000 kilograms of cocaine involving $26 million in drug proceeds, announced Acting U.S. Attorney Jennifer B. Lowery.

The jury deliberated for less than three hours before convicting Rafael Villanueva Jan. 28, following a six-day trial.

Today, U.S. District Judge Fernando Rodriguez Jr., who presided over the trial and sentencing, ordered Villanueva to serve the rest of his life in federal prison. The court also ordered Villanueva to pay a $1,193,070 money judgment as repayment for the drug money he illegally laundered.

“This sentencing is the result of a long-term complex investigation lead by federal, state and local law enforcement agencies who continue to serve and protect our public and national security said Deputy Special Agent in Charge Timothy Tubbs of Homeland Security Investigations (HSI). “HSI and our counterparts will continue to protect our nation from transnational criminal organizations that seek to bring harm to our communities and our nation.”

“The sentencing of Villanueva demonstrates how we focus investigative resources against drug trafficking organizations that import large shipments of hard drugs from Mexico then deliver them to cities throughout the United States,” said Special Agent in Charge Daniel C. Comeaux of the Drug Enforcement Administration (DEA). “DEA and our partners remain determined to identify, dismantle and destroy drug trafficking organizations that import and spread their poison in cities across our nation.”

During trial, the jury heard from approximately 21 witnesses. They detailed Villanueva’s role as head of a drug transportation group that moved cocaine from the Rio Grande Valley and on to cities throughout the United States. He had customers in Mexico who needed transportation for cocaine to areas throughout the United States, including Houston; Chicago, Illinois; Jackson, Mississippi; as well as locations in South and North Carolina, Virginia and Georgia.

He also provided transportation for drug proceeds sold throughout the United States back to the Rio Grande Valley. The commercial vehicles were outfitted with special compartments to hide the cocaine and drug proceeds.

Several witnesses testified Villanueva hired them to move the cocaine north and the drug proceeds south. Villanueva paid them by the kilogram to transport the drugs and a percentage of the drug money coming south. Fellow drug traffickers also testified Villanueva borrowed their line of transport for the cocaine when commercial drivers he hired got arrested with loads of cocaine.

One of the witnesses was a young male who was only 16 when he started working for Villanueva.

The jury also heard about the search of Villanueva’s house where authorities found five guns and numerous documents showing his lavish lifestyle as well as several Lone Star cards. 

The defense attempted to convince the jury the witnesses were all liars and authorities did poor work.

The jury ultimately found him guilty as charged for possession with intent to distribute five kilograms or more of cocaine and conspiracy to do so, conspiracy to launder monetary instruments, bulk cash smuggling and international money laundering.

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

Several others have also been convicted for their respective roles.

HSI and DEA conducted the Organized Crime Drug Enforcement Task Force (OCDETF) operation known as La Camelia. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.

Assistant U.S. Attorneys Karen Betancourt, Jody Young and Paul Marian prosecuted the case. 

BROWNSVILLE, Texas – A 40-year-old Weslaco attorney has entered guilty pleas to conspiracy to commit bribery and bribery of a public official, announced Acting U.S. Attorney Jennifer B. Lowery.

Roel Alaniz admitted he paid immigration detention employees for “alien detainee roster lists.” The lists were provided to him or his sister - Cynthia Alanis - who is also an attorney in the Rio Grande Valley.

The detainee lists were from the EL Valle Detention Center-Raymondville and the Port Isabel Detention Center-Los Fresnos. They contained names, dates of birth, country of origin and A-numbers of alien detainees. The attorneys would then visit them, or instruct others to do so, in order to solicit them to hire his law firm for representation in immigration proceedings.

U.S. District Judge Fernando Rodriguez accepted the plea and set sentencing for Aug. 2. At that time, Roel Alaniz faces up to 15 years in federal prison for the bribery conviction and up to five for the conspiracy. Both convictions also carry a maximum $250,000 fine.

He was permitted to remain on bond pending that hearing.

Benito Barrientez, 43, Lyford, and Damian Ortiz, 31, Weslaco, were two employees of the Willacy County Regional Detention Center who sold the lists to Roel Alaniz. They also pleaded to conspiracy and bribery of a public official. They are set for sentencing May 11 before U.S. District Judge Rolando Olvera Jr.

Cynthia Alaniz, 28, Weslaco, pleaded guilty to making a false statement in a bribery investigation and is set for sentencing May 5.

Barrientez, Ortiz and Cynthia Alaniz were also permitted to remain on bond.

Immigration and Customs Enforcement – Office of Internal Affairs conducted the investigation with assistance from the Department of Homeland Security-Office of the Inspector General and Homeland Security Investigations-Harlingen. Assistant U.S. Attorney Oscar Ponce is prosecuting the case.

BROWNSVILLE, Texas – An 18-year-old Brownsville man has admitted to possessing thousands of images and videos of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.

Irbenis Mederos Jr. pleaded guilty today to possession of child pornography.

On Sep. 28, 2020, authorities discovered the sexual exploitation of a minor child via social media. It was determined she was an eight-year-old U.S. citizen residing in Panama.

The investigation led to an IP address in Brownsville belonging to Mederos. Law enforcement conducted a search at his residence and seized a cellphone. Forensic analysis resulted in the discovery of 1,229 images and 110 videos of child pornography, approximately 55 of which were of the minor female in Panama. Several others also depicted child pornography involving infants and toddlers.

U.S. District Judge Fernando Rodriguez accepted the plea and set sentencing for Aug. 2. At that time, Mederos faces up to 20 years in federal prison and a possible $250,000 maximum fine.

He has been and will remain in custody pending sentencing.

Homeland Security Investigations (HSI) in Panama conducted the investigation along with HSI-Rio Grande Valley Child Exploitation Investigation Task Force.

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.  

CORPUS CHRISTI, Texas – A 42-year-old Corpus Christi resident has been ordered to federal prison for possession of a firearm as a convicted felon, announced Acting U.S. Attorney Jennifer B. Lowery.

Mark Villarreal pleaded guilty Jan. 13.

Today, U.S. District Judge Drew B. Tipton ordered him to serve an 85-month sentence to be immediately followed by three years of supervised release.

On Sep. 30, 2020, authorities observed a vehicle stalled on the roadway in Corpus Christi and pulled over to help. As they moved the vehicle out of the road and into a parking lot, authorities noticed it had two different license plates and no registration sticker.

They identified Villarreal and discovered an active warrant for his arrest. As they took him into custody, they found a .40 caliber Smith and Wesson SD40, semi-automatic pistol in his waistband.

Villarreal was previously convicted of multiple felonies to include assault of a family member. As such, he is prohibited per federal law of possessing firearms or ammunition.

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

The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorney Joel Dunn prosecuted the case.

HOUSTON –  The final Houston area man charged with the assault and robbery of undercover agents during a drug operation in early 2019 has been ordered to federal prison, announced Acting U.S. Attorney Jennifer B. Lowery.

Morgan Kanu-Bradley, 20, Spring, pleaded guilty Nov. 18, 2019, as did Avery James, 22, and DeAnthony Doucet, 23, both of Baytown. They were each convicted on two counts of assaulting federal agents, three counts of robbery - including a conspiracy count - and one count of possession of a firearm during and in furtherance of a crime of violence. All are identified members of a gang in Baytown known as the “Gas Gang.”

Today, Chief U.S. District Judge Lee H. Rosenthal ordered Kanu-Bradley to serve a total of 144 months in federal prison to be immediately followed by three years of supervised release. Doucet and James were previously sentenced to respective terms of 130 and 120 months in prison to be followed by three years of supervised release.

The court heard that Kanu-Bradley was the most violent of the group and had a lack of remorse for his actions. The defense disagreed and asked for a lower sentence. Judge Rosenthal said she could not do that because of the extremely violent nature of the offense, noting that Kanu-Bradley had punched and beat the victim.

“The blatant disregard for human life that was shown when Kanu-Bradley beat and held an undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) special agent at gunpoint while robbing him deserves nothing less than the maximum allowable sentence,” said ATF Special Agent in Charge Fred Milanowski. “While our agent suffered severe injuries, the community is safer with this criminal off the street.”

On Feb. 17, 2019, undercover federal agents had arranged to purchase narcotics from Doucet at a hotel in Houston. There, Kanu-Bradley, James and Doucet held the agents at gunpoint and stole the money they had for the transaction as well as and one of their firearms and phone. The men also beat and stomped on one of agents while he was held at gunpoint.

Afterwards, Kanu-Bradley, James and Doucet all fled the scene. Other authorities on the scene pursued and arrested them.

One of the undercover officers received bruises and a laceration to his face which required stitches. 

Kanu-Bradley, James and Doucet have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

ATF conducted the Organized Crime Drug Enforcement Task Force (OCDETF) operation with the assistance of the Drug Enforcement Administration, Texas Department of Public Safety and police departments in Baytown and Houston.  OCDETF identifies, disrupts and dismantles the highest-level drug traffickers, money launderers, gangs and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.

Assistant U.S. Attorneys Richard Bennett and Jimmy Leo prosecuted the case.

LAREDO, Texas – A 47-year-old resident of Guanajuato, Mexico, has entered a guilty plea to conspiracy to possess with intent to distribute meth, announced Acting U.S. Attorney Jennifer B. Lowery.

From August 2015 to March 2018, Jose Domingo Ibarra Martinez and other co-conspirators imported large quantities of meth through the ports of entry in Laredo to be distributed through the United States.

Ibarra admitted to smuggling over 150 vehicle batteries and other drug-laden items into the country during the course of the conspiracy. The investigation revealed the batteries originated from Michoacán, Mexico. Each was loaded with approximately 7.5 kilograms of meth.

During the plea. Ibarra admitted the organization as a whole imported more than 1,000 drug-laden items. 

U.S. District Judge Diana Saldana accepted the plea and will set sentencing at a later date. At that time, Ibarra faces up to life in prison and a possible $10 million maximum fine. He has been and will remain in custody pending that hearing.  

The Drug Enforcement Administration led the Organized Crime and Drug Task (OCDETF) operation known as Gelo Podre with the assistance of the Laredo Police Department and sheriff’s offices in Victoria and Williamson Counties. It is part of Project Python, a nationwide operation announced in March 2020. The operation targeted the Cártel de Jalisco Nueva Generación and has resulted in more than 600 arrests, 350 indictments and significant seizures of money and drugs across the United States.

Assistant U.S. Attorney Anthony J. Evans is prosecuting the case.

HOUSTON – A 30-year-old Houston bounty hunter has been ordered to prison following his convictions of sex trafficking, conspiracy to commit visa fraud and international money laundering, announced Acting U.S. Attorney Jennifer B. Lowery.

Luis de Jesus Rodriguez aka Htown Hunter pleaded guilty July 8, 2020.

Today, U.S. District Judge Lynn N. Hughes sentenced Rodriguez to a total of 180 months in federal prison for leading an international sex trafficking ring. At the hearing, the court heard a statement from a victim and considered other victim letters detailing the emotional, physical and financial impact of Rodriguez’s sex trafficking scheme. He must also serve 10 years on supervised release and be required to register as a sex offender. 

“This case sends a strong message to those who benefit from the exploitation of vulnerable women,” said Lowery. “To those criminal organizations that engage in human trafficking, whether international or domestic, we will combine forces with our local, state and foreign counterparts to find you, arrest you and bring you to justice.”

In 2016, Rodriguez and his international criminal network targeted, recruited and exploited young women in Colombia and the United States by making false promises of a better life. Rodriguez directed them to watch YouTube videos portraying him as a bounty hunter in order to assure the women he was affiliated with law enforcement and could be trusted.

However, once here, the women had to work at Michael’s aka Chicas Locas, a Houston strip club located at 6440 Southwest Freeway. Rodriguez and others forced the victims to sign debt bondage contracts with debts ranging from $13,200 to $25,000. They also had to make daily payments of approximately $250. 

During the conspiracy, Rodriguez threatened victims and their families in Colombia, constantly monitored them, tracked their cellphones and ultimately forced them into engaging in commercial sex acts.

When a victim wanted to leave or was non-compliant, Rodriguez resorted to violent methods and claimed it was useless to try to get help due to his purported connections with law enforcement.

Rodriguez also engaged in widespread visa fraud to facilitate the international transportation of the victims. He created fictitious background and occupations to increase the likelihood that visa applications would be approved.

Rodriguez 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 Department of State’s Diplomatic Security Service, Houston Police Department and IRS-Criminal Investigation led the investigation as part of the Human Trafficking Rescue Alliance (HTRA) with the assistance of Harris County District Attorney’s Office, Texas Alcoholic Beverage Commission, Department of Labor and its Wage and Hour Division along with police departments in Memorial Village and Los Angeles, California. The Attorney General’s Office of Colombia also provided significant assistance. 

Assistant U.S. Attorneys Eun Kate Suh and Sebastian Edwards are prosecuting the case along with Trial Attorney Kate Hill from the Department of Justice’s Human Trafficking Prosecution Unit.

HTRA law enforcement also includes members of the FBI, Homeland Security Investigations, Texas Attorney General’s Office, Texas Department of Public Safety, Department of Homeland Security – OIG, Social Security Administration – OIG and Sheriff’s Offices in Harris and Montgomery counties in coordination with District Attorney’s offices in Montgomery and Fort Bend Counties.

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.

HOUSTON – A Texas tax preparer has entered a guilty plea to aiding and assisting in the preparation of a false U.S. Individual Income Tax Return, announced Acting U.S. Attorney Jennifer B. Lowery.

Tiffany Phenix prepared income tax returns for others at Phenix Tax Service in Alice. Asa part of her plea today, she stipulated she prepared a total of 37 false income tax returns for clients and four false income tax returns for herself, resulting in an intended tax harm to the IRS of over $284,000.

Specifically, Phenix admitted preparing a false 2015 income tax return for a taxpayer which included creating a false form W-2. She also claimed on the return false wage amounts, a false Earned income Tax Credit and a false income tax refund. 

As part of her plea agreement, Phenix agreed to pay restitution to the IRS.

U.S. District Judge David S. Morales accepted the plea and set sentencing for July 22. At that time, Phenix faces up to three years in prison and a possible  $250,000 maximum fine. She was permitted to remain on bond pending that hearing. 

IRS-Criminal Investigation conducted the investigation. Assistant U.S. Attorney Charles J. Escher is prosecuting the case. 

HOUSTON – A 41-year-old Houston-area man has been ordered to federal prison for 40 years after producing videos of his sexual abuse of a minor, possession of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.

Miguel Rivera pleaded guilty Oct. 30, 2020, to production, receipt and possession of child pornography.

Today, U.S. District Judge Charles Eskridge ordered him to serve a 480-month sentence. The court also heard additional information today including a statement from the victim detailing how Rivera’s heinous acts affected her childhood and to this day. In handing down the sentence, the court noted the seriousness of the offense, promoting respect for the law and deterrence of such criminal conduct. Rivera will serve the rest of his life 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. He will also be ordered to register as a sex offender.

In June 2019, law enforcement located an IP address with a folder containing child pornography using a publicly available peer-to-peer file-sharing network. The IP address was linked to Rivera and his residence.

Forensic analysis resulted in the discovery of 56,250 images of child pornography on his electronic devices. Approximately 412 videos were over five minutes in length, the longest of which was nearly an hour.  

Rivera also produced 3,200 images and over 160 videos of sexually abusing a minor while the child was unconscious. 

He admitted he had been downloading child pornography for at least a decade.

Rivera 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 Zahra Jivani Fenelon 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 – Four executives of Continuum Healthcare and its various health centers have been ordered to federal prison for a massive scam perpetrated in the Houston area, announced Acting U.S. Attorney Jennifer B. Lowery.

Bobby Rouse, 81, and Steven Houseworth, 47, both of Houston; Jeffery Parsons, 62, Crockett; and David Edson, 72, Palm Harbor, Florida, had all pleaded guilty to their respective roles in the scam.

On April 22, U.S. District Judge Gray Miller sentenced Rouse to 120 months in prison. Edson received a 48-month-term of imprisonment, while Parsons and Houseworth each received 30 months in prison.  

Rouse, Houseworth, Edson and Parsons were part of the executive team for Continuum Healthcare LLC, which owned Westbury Community Hospital in Houston as well as community mental health centers in the Houston area known by their locations as Hornwood, Baytown and Missouri City.

Each location operated a partial hospitalization program (PHP). The PHP was supposed to be a treatment program for individuals with mental illness, intended to closely resemble a highly structured, short-term hospital inpatient program. However, while it was a distinct and organized intensive treatment program, it offered less than 24-hour daily care.

In 2010, Continuum opened Westbury Community Hospital with Hornwood and Baytown becoming outpatient centers and continuing to operate their existing PHPs under the Westbury name. Westbury also opened a PHP.

The four men were responsible for the day-to-day operation of Continuum/Westbury and were involved in the implementation of the various kickback programs. Numerous people were referred for treatment in exchange for payment. However, the vast majority did not qualify for PHP services, because they were not experiencing an acute psychotic episode or were actually suffering from mental retardation, dementia or Alzheimer’s.

In total, Continuum billed Medicare approximately $189 million in total for fraudulent PHP services and Medicaid paid approximately $66 million on those clams.

The convictions of all 14 charged in the case were announced in 2019.

The FBI, Department of Health and Human Services - Office of the Inspector General, Texas Attorney General's Medicaid Fraud Control Unit and IRS - Criminal Investigation participated in the joint investigation. Assistant U.S. Attorneys Tina Ansari and Special Assistant U.S. Attorney Justin Blan are prosecuting the case.

BROWNSVILLE, Texas – A 33 year-old Mexican citizen residing in Matamoros, Mexico, has been ordered to federal prison for possessing 43 kilograms of meth, announced Acting U.S. Attorney Jennifer B. Lowery.

Leonardo Banuelos-Garcia pleaded guilty Sept. 27, 2019.

Today, U.S. District Judge Fernando Rodriguez handed Banuelos-Garcia a 96-month sentence. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. At the hearing, the court noted the quantity of narcotics involved in the crime.

On March 28, 2019, Banuelos-Garcia arrived at the Gateway Port of Entry in Brownsville driving a Jeep Liberty. Authorities noticed the sport utility vehicle was clean and had only one key and referred him to secondary inspection. 

Law enforcement noticed Banuelos-Garcia was sweating profusely and appeared nervous. An X-ray examination indicated anomalies in some of the tires.

Banuelos-Garcia was ultimately found in possession of 18 packages of meth welded to three tires of his Jeep Liberty. He admitted he was going to be paid $1000 to transport the narcotics.

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.

Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Joe Esquivel prosecuted the case.

HOUSTON – A 63-year-old Houston resident has been ordered to federal prison after attempting to obtain sexual images of a young boy, announced Acting U.S. Attorney Jennifer B. Lowery.

Mark Wayne Cottrell pleaded guilty Dec. 12, 2019.

Today, U.S. District Judge Gray Miller ordered Cotrell to serve a total of 121 months in prison. He was further ordered to pay $3000 to a victim who’s image appeared in the child pornography found in Cottrell’s possession. He must also register as a sex offender and serve 15 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.

At the time of Cotrell’s plea, he admitted to engaging in conversations via the Kik application with an individual whom he believed had access to a 10-year-old boy. Cottrell had engaged in sexually-charged conversations and requested an image of the boy’s genitals. He also sent links that contained over 1000 image files and 300 video files of child pornography. 

Cottrell admitted he discussed travelling to New York to meet with the fictious boy and to possessing child pornography on his phone. Authorities also found child pornographic images on a laptop in Cottrell’s possession.

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 Sherri L. Zack 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.

BROWNSVILLE, Texas – A 33-year-old Brownsville resident has been taken into custody after being on the run from law enforcement for the past year, announced Acting U.S. Attorney Jennifer B. Lowery.

Authorities found William Garcia allegedly living illegally in Mexico April 21. He is expected to make his initial appearance today at 9 a.m. in Brownsville before U.S. Magistrate Judge Ignacia Torteya III.

Garcia is charged in a nine-count indictment unsealed today with conspiracy and possessing with intent to distribute cocaine and heroin, money laundering and operating an unlicensed money transmitting business. Garcia allegedly operated a drug trafficking conspiracy which moved cocaine and heroin from Mexico into the United States since 2016. Garcia is also accused of returning the illegal drug proceeds from the sale of heroin and cocaine back to Mexico, according to the charges.

The indictment also alleges Garcia used the United States banking system to collect his drug money. 

If convicted, Garcia is up to life in prison and up to a $10 million possible fine.

Homeland Security Investigations, Drug Enforcement Administration and IRS-Criminal Investigation conducted the Organized Crime Drug Enforcement Task Force (OCDETF) investigation La Camelia. Customs and Border Protection and Cameron County District Attorney’s Office also provided assistance. Assistant U.S. Attorney Karen Betancourt is prosecuting the case.

OCDETF identifies, disrupts and dismantles the highest-level drug traffickers, money launderers, gangs and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.

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

A Texas man was sentenced today to 27 months in prison for his role in a conspiracy at the Merida Group, a chain of hospice and home health agencies throughout Texas, to falsely convince thousands of patients with long-term incurable diseases they had less than six months to live in order to enroll the patients in hospice programs for which they were otherwise unqualified, thereby increasing revenue to the company. 

According to court documents, Jose Garza, 44, of Harlingen, was the operations manager for the Merida Group and responsible for carrying out the business’s day to day operations, including overseeing the recruitment of patients at certain locations throughout the Rio Grande Valley. Garza, and others working at his direction, recruited patients at hospitals and other medical practices by touting that the Merida Group offered “hospice that you don’t have to die to use,” pursuant to the Merida Group’s corporate marketing strategy.

At the trial of co-defendants Rodney Mesquias and Henry McInnis, witnesses testified that from 2009 to 2018, the vast majority of hospice and home health patients at the Merida Group did not qualify for services. Rather, physicians were bribed with illegal kickbacks, under the pretense of medical directorships, to falsely certify unqualified patients for services. Employees were instructed to falsify medical records, making non-terminal patients appear to be terminally ill and declining. Garza admitted to participating in the scheme, facilitating kickback payments to physicians, and directing employees to falsify medical records.

Garza pleaded guilty to one count of conspiracy to commit health care fraud on Sept. 9, 2019. Garza was charged along with three others who were convicted by a federal jury in Brownsville, Texas, in one of the largest criminal hospice fraud cases tried to a jury. Mesquias, 50, the owner of the Merida Group, was sentenced to 20 years in prison in December 2020. McInnis, 50, the CEO of the Merida Group, was sentenced to 15 years in prison in February 2020.

In addition to the prison sentence, Garza was ordered to pay $4,700,000 in restitution.

Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; Acting U.S. Attorney Jennifer Lowery of the Southern District of Texas; said Special Agent in Charge Christopher Combs of the FBI’s San Antonio Field Office made the announcement.

The Department of Health and Human Service – Office of Inspector General (HHS-OIG); FBI and Texas Health and Human Services Commission conducted the investigation.

Assistant Chief Jacob Foster and Trial Attorney Kevin Lowell of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Andrew Swartz of the Southern District of Texas are prosecuting the case. 

The Fraud Section leads the Health Care Fraud Strike Force. Since its inception in March 2007, the Health Care 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, HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

HOUSTON – A former deputy constable and her husband have been ordered to federal prison after admitting to conspiracy to possess with intent to distribute heroin, announced Acting U.S. Attorney Jennifer B. Lowery. 

Betty Jean Molina, 58, pleaded guilty Oct. 21, 2020, while her husband - Henry Molina, 60 - entered his plea July 28, 2020. Both reside in Houston.

Today, U.S. District Judge George C. Hanks Jr. ordered Betty and Henry Molina to serve 87 and 80 months in federal prison, respectively. Each was also ordered to serve three years of supervised release following their imprisonment and must pay a $29,000 fine. At the hearing, the court heard how they used their experience, resources and Betty Molina’s law enforcement credentials to help traffic drugs and money from the sale of those drugs for what they believed to be a large-scale drug trafficking organization. In handing down the sentence, Judge Hanks noted the potential harm to the community of trafficking heroin and other illegal drugs, the couple’s disregard of those potential harms and Betty Molina’s abuse of her public trust.

“The FBI Houston Law Enforcement and Border Corruption Task Force is uniquely qualified to ensure that law enforcement officers who blatantly betray their sworn oath for personal gain are rooted out,” said FBI Special Agent in Charge Perrye K. Turner. “As a result of today's sentencing, the Molinas will be held accountable for their actions. The task force especially appreciates those who are willing to come forward to share knowledge of these crimes."

The couple admitted to transporting what they believed to be approximately a half-million dollars in drug trafficking proceeds on multiple occasions. They had also agreed to transport what they believed was two kilograms of heroin.

At the time of the offense, Betty Molina was a deputy constable with Harris County Precinct 5 Constable’s Office. As part of her plea, she admitted to using her law enforcement credentials when stopped for speeding on one of their trips.   

As part of the pleas, the couple admitted to obtaining several thousand dollars of what they believed to be drug proceeds and brought it back to Houston. On at least one occasion, they also transported a significant amount of narcotics.

In return, they received approximately $30,000 combined for all of their criminal actions.

Both were 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 Houston Law Enforcement and Border Corruption Task Force, which includes the Houston Police Department, Texas Department of Public Safety and the Department of Homeland Security – Office of Inspector General conducted the investigation with the assistance of Harris County Constable Precinct 5. Assistant U.S. Attorneys Alamdar S. Hamdani and Arthur R. Jones prosecuted the case.  

LAREDO, Texas – A 33-year-old undocumented Honduran national has been ordered to federal prison for assaulting a Border Patrol (BP) agent in the performance of his official duties, announced Acting U.S. Attorney Jennifer B. Lowery.

On Jan. 29, U.S. District Judge Marina Garcia Marmolejo rendered her guilty verdict against Walter Yobani Ordones-Chavez following a one-day bench trial that concluded Jan. 27.

Today, Judge Marmolejo ordered him to serve a 33-month-term of imprisonment. Not a U.S. citizen, he is expected to face removal proceedings following the sentence. At the hearing, the court heard additional evidence detailing how Ordones-Chavez had multiple aliases, convictions for resisting arrest in the states of Colorado and Massachusetts and been previously deported 11 times.

The court also noted that authorities had acted with great experience and restraint in apprehending Ordones-Chavez. At the conclusion of the hearing, the court thanked the agents for their service to the United States.

In the early morning hours of Dec. 31, 2019, law enforcement responded to possible illegal activity near Headen Avenue and Ventura Street in the El Tonto neighborhood of Laredo. They had discovered a group who had illegally crossed the Rio Grande River and attempted to hide inside a storage shed located at a private residence.

At trial, the court heard Ordones was one of those individuals. Testimony revealed he violently resisted efforts to apprehend him, striking at authorities and ignoring multiple commands to halt.

Law enforcement was ultimately able to physically detain him, but not before causing injury to an agent. Two BP agents were subsequently treated for injuries at a medical facility.

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

FBI and Customs and Border Protection conducted the investigation. Assistant U.S. Attorneys Francisco J. Rodriguez and Courtney Nix prosecuted the case.

CORPUS CHRISTI, Texas - A 40-year-old felon from Florida has been sentenced for conspiracy to distribute nearly 10 kilograms of cocaine in the Coastal Bend area, announced Acting U.S. Attorney Jennifer B. Lowery. 

Terrance Collins, Tallahassee, Florida, pleaded guilty Nov. 10, 2020.

Today, U.S. District Judge Nelva Gonzales Ramos ordered Collins to serve a 120-month sentence to be immediately followed by five years of supervised release. In handing down the sentence, the court noted his extensive criminal history including 27 prior convictions totaling nearly 100 months of confinement. 

“This sentence sends a clear message that drug traffickers will be held accountable for their crimes,” said Special Agent in Charge Daniel C. Comeaux of the Drug Enforcement Administration (DEA). “This investigation is another example of our collective efforts to attack drug trafficking organizations at every level.” 

On or about July 4, 2020, Collins arrived from Florida to attend a purported music festival in the South Padre Island area. He left a few days later via bus.

However, during a routine inspection at a checkpoint along the way, a service K-9 alerted to luggage linked to Collins.

Law enforcement ultimately discovered 10 concealed bundles containing cocaine, weighing approximately 9.134 kilograms. The drugs had an approximate street value of $250,000.

He admitted he was to transport the narcotics back to Florida and was to be paid $1,000.

Previously released on bond, Collins was ordered into custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

DEA and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Reid Manning is prosecuting the case.  

CORPUS CHRISTI, Texas – A 37-year-old local Corpus Christi resident and member of the Texas Syndicate gang has been ordered to federal prison for his role in a cocaine trafficking conspiracy, announced Acting U.S. Attorney Jennifer B. Lowery.

Adan Rivera pleaded guilty Jan. 7.

Today, U.S. District Judge Nelva Gonzales Ramos ordered him to serve a 135-month sentence to be immediately followed by five years of supervised release. At the hearing, the court heard additional statements that described Rivera's role during the cocaine trafficking conspiracy and membership in the dangerous Texas Syndicate gang. Before handing down the sentence, Judge Ramos considered Rivera's previous criminal conduct which included felony convictions for aggravated robbery, aggravated assault as well as possession of heroin and cocaine. His continued criminal conduct included an arrest in March for possession with intent to distribute heroin while on bond.

The investigation revealed that in in July 2020, Rivera was involved in a conspiracy with others to possess with intent to distribute nearly 20 kilograms of cocaine. He helped coordinate or protect cocaine or currency with other co-conspirators. 

Law enforcement ultimately seized over $250,000 during the course of the investigation.

Previously released on bond, Rivera was taken into custody in March following the heroin trafficking arrest. He will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.  

Homeland Security Investigations conducted the investigation with assistance from Drug Enforcement Administration, U.S. Marshals Service, Nueces County District Attorney's Criminal Interdiction Unit, Texas Department of Public Safety and Corpus Christi Police Department. Assistant U.S. Attorney Reid Manning prosecuted the case.

BROWNSVILLE, Texas - A 32-year-old former officer with the Primera Police Department (PPD) has admitted to possessing child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.

Joel Alex Sandate pleaded guilty today.

The investigation revealed that from September 2019 to March 2020, Sandate had installed hidden cameras to capture recordings of a minor female. He saved the recorded videos onto various computer media devices such as his cellphone, a sim card and a USB drive.

Another PPD officer had discovered the images and reported it to authorities.

U.S. District Judge Fernando Rodriguez Jr. accepted the plea today and set sentencing for July 20. At that time, Sandate faces up to 10 years in federal prison as well as a $250,000 fine.

He has been and will remain in custody pending sentencing.

Homeland Security Investigations - Rio Grande Valley Child Exploitation Task Force conducted the investigation with the assistance of PPD, Texas Rangers and the Cameron County District Attorney’s Office.

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.

BROWNSVILLE, Texas - A 49-year-old Austin man has been ordered to federal prison following his conviction of coercion and enticement of a minor to engage in sexual activity, announced Acting U.S. Attorney Jennifer B. Lowery.

Jeffrey Charles Hyde Jr. pleaded guilty Nov. 1, 2018.

Today, U.S. District Judge Rolando Olvera Jr. ordered him to serve 121 months in federal prison. Hyde was further ordered to pay restitution to the victim and will serve 25 years on supervised released following completion of his prison term, 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.

“Child exploitation investigations continue to be one of our highest priorities,” said Deputy Special Agent in Charge Timothy Tubbs of Homeland Security Investigations (HSI). “No crime affects us more deeply than the exploitation of innocent children. HSI will continue to identity, arrest and prosecute those who traumatize and victimize children.”

On or about Sept. 9 to Nov. 28, 2017, Hyde utilized a cell phone to attempt to persuade and entice a minor to engage in unlawful sexual activity. During this time, Hyde was residing in Austin and communicating with a minor female  n the Rio Grande Valley area.

During these texts, Hyde actively attempted to persuade the minor to engage in unlawful sexual activity. He also sent sexually-explicit videos to the minor.

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

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

HOUSTON – A 41-year-old Houstonian has entered guilty pleas to coercion and enticement of a minor as well as sexual exploitation of a child, announced Acting U.S. Attorney Jennifer B. Lowery.

Thomas Douglas Butler had met a 14-year-old female on a social media/video chat site. After grooming her through their communications, he traveled to San Antonio to pick her up and bring her to his residence in a Houston hotel. While there, the victim reported Butler engaged in sex acts with her, provided her with alcohol on numerous occasions and gave her very little food.

Authorities located the victim Aug. 18, 2020, reunited her with her family and arrested Butler.  

Law enforcement searched Butler’s hotel residence and seized several documents and electronic devices. This led to the discovery of a second minor female victim who resided out of state. Butler had groomed her to perform sexually illicit behavior such as exposing her genitals in a lewd and lascivious manner during Skype video sessions, some of which he recorded.

Butler then coerced her into continuing to engage in sexually charged chats. If she failed to comply, he would threaten to notify her parents or others of their relationship and potentially distributing the videos he created from the Skype chats.

U.S. District Judge Alfred Bennett accepted the plea and set sentencing for June 24. If convicted, Butler faces up to life in prison for the coercion and enticement as well as another minimum of 15 and up to 30 years for sexual exploitation of a child. Both charges also carry potential fines up to $250,000. He could also be ordered to pay thousands of dollars in special assessments and restitution.

Found to be a danger to the community and a flight risk, Butler has been and will remain in custody pending that hearing.  

The FBI conducted the investigation.

Assistant U.S. Attorney Sherri L. Zack 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.

LAREDO, Texas – A 35-year-old Laredo resident has been ordered to federal prison after conspiring to possess with the intent to distribute 1,261.5 kilograms of marijuana, announced Acting U.S. Attorney Jennifer B. Lowery.

Jose Luis Villalba, pleaded guilty in October 2020 as did Hector Gonzalez, 35, also of Laredo.

Today, U.S. District Judge Nelva Gonzalez Ramos ordered Villalba to serve a 120-month sentence to be immediately followed by five years of supervised release. At the hearing, the court heard additional information including evidence detailing his role in the offense as a manager and supervisor for the drug-trafficking organization.

Gonzalez received his sentence April 7. U.S. District Judge Marina Garcia Marmolejo ordered him to 132 total months in prison to be immediately followed by five years of supervised release.

On July 9, 2016, Villalba and Gonzalez coordinated the transportation of a large load of marijuana inside a tractor-trailer past the Border Patrol checkpoint north of Laredo. Law enforcement intervened and recovered approximately 2,775 pounds of marijuana.

The marijuana had an approximate street value of $4 million.

Villalba was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future, while Gonzalez is in custody.

The Drug Enforcement Administration and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Francisco J. Rodriguez prosecuted the case.

HOUSTON – Authorities have executed a court-authorized operation to copy and remove malicious web shells from hundreds of vulnerable computers in the United States. They were running on-premises versions of Microsoft Exchange Server software used to provide enterprise-level email service. 

Through January and February 2021, certain hacking groups exploited zero-day vulnerabilities in Microsoft Exchange Server software to access email accounts and place web shells for continued access. Web shells are pieces of code or scripts that enable remote administration. Other hacking groups followed suit starting in early March after the vulnerability and patch were publicized.

Many infected system owners successfully removed the web shells from thousands of computers. Others appeared unable to do so, and hundreds of such web shells persisted unmitigated. This operation removed one early hacking group’s remaining web shells which could have been used to maintain and escalate persistent, unauthorized access to U.S. networks. The FBI conducted the removal by issuing a command through the web shell to the server, which was designed to cause the server to delete only the web shell (identified by its unique file path).

“Today’s court-authorized removal of the malicious web shells demonstrates the Department’s commitment to disrupt hacking activity using all of our legal tools, not just prosecutions,” said Assistant Attorney General John C. Demers for the Justice Department’s National Security Division. “Combined with the private sector’s and other government agencies’ efforts to date, including the release of detection tools and patches, we are together showing the strength that public-private partnership brings to our country’s cybersecurity. There’s no doubt that more work remains to be done, but let there also be no doubt that the Department is committed to playing its integral and necessary role in such efforts.”

“Combatting cyber threats requires partnerships with private sector and government colleagues,” said Acting U.S. Attorney Jennifer B. Lowery of the Southern District of Texas. “This court-authorized operation to copy and remove malicious web shells from hundreds of vulnerable computers shows our commitment to use any viable resource to fight cyber criminals. We will continue to do so in coordination with our partners and with the court to combat the threat until it is alleviated, and we can further protect our citizens from these malicious cyber breaches.”

“This operation is an example of the FBI’s commitment to combatting cyber threats through our enduring federal and private sector partnerships,” said Acting Assistant Director Tonya Ugoretz of the FBI’s Cyber Division. “Our successful action should serve as a reminder to malicious cyber actors that we will impose risk and consequences for cyber intrusions that threaten the national security and public safety of the American people and our international partners. The FBI will continue to use all tools available to us as the lead domestic law enforcement and intelligence agency to hold malicious cyber actors accountable for their actions.”

On March 2, Microsoft announced that a hacking group used multiple zero-day vulnerabilities to target computers running Microsoft Exchange Server software.  Various other hacking groups also have used these vulnerabilities to install web shells on thousands of victim computers, including those located the United States. Because the web shells the FBI removed each had a unique file path and name, they may have been more challenging for individual server owners to detect and eliminate than other web shells.

Throughout March, Microsoft and other industry partners released detection tools, patches and other information to assist victim entities in identifying and mitigating this cyber incident. Additionally, the FBI and the Cybersecurity and Infrastructure Security Agency released a Joint Advisory on Compromise of Microsoft Exchange Server on March 10. Despite these efforts, by the end of March, hundreds of web shells remained on certain United States-based computers running Microsoft Exchange Server software.

This operation was successful in copying and removing those web shells. However, it did not patch any Microsoft Exchange Server zero-day vulnerabilities or search for or remove any additional malware or hacking tools that hacking groups may have placed on victim networks by exploiting the web shells. The Department strongly encourages network defenders to review Microsoft’s remediation guidance and the March 10 Joint Advisory for further guidance on detection and patching.

The FBI is attempting to provide notice of the court-authorized operation to all owners or operators of the computers from which it removed the hacking group’s web shells. For those victims with publicly available contact information, the FBI will send an e-mail message from an official FBI e-mail account (@FBI.gov) notifying the victim of the search. For those victims whose contact information is not publicly available, the FBI will send an e-mail message from the same FBI e-mail account to providers (such as a victim’s ISP) who are believed to have that contact information and ask them to provide notice to the victim.

If you believe you have a compromised computer running Microsoft Exchange Server, please contact your local FBI Field Office for assistance. The FBI continues to conduct a thorough and methodical investigation into this cyber incident.

CORPUS CHRISTI, Texas – A Corpus Christi federal jury has convicted a 42-year-old legal permanent resident of Houston for transporting an illegal alien, announced Acting U.S. Attorney Jennifer B. Lowery.

The jury deliberated for one hour before convicting Ivis Orestes Irias-Romero following a two-day trial.

On Nov. 14, 2020, at approximately 11:00 p.m., Irias-Romero drove a truck into the primary inspection area at the Border Patrol (BP) checkpoint near Sarita. He had a female riding as passenger.

Irias-Romero said he was from Honduras and produced his immigration card. However, the female did not respond when asked about her status. Instead, Irias-Romero claimed she was his wife and produced a copy of a marriage license certificate.

Authorities then asked the woman again, this time in Spanish. She admitted she was a Honduran citizen unlawfully living in Houston. She testified at trial and said she met Irias-Romero four years prior while on Facebook. She added that she had unsuccessfully tried several times to enter the United States, but finally made it in November 2020. She then contacted Irias-Romero who agreed to travel to Brownsville to pick her up and bring her to Houston.

After his arrest, Irias-Romero admitted the woman was not his wife and that he knew she was in the United States illegally. However, at trial, he contended that he was saving her from a hostage situation. The jury was not convinced and convicted him as charged.

U.S. District Judge David Morales presided over trial and set sentencing for July 14. At that time, Irias-Romero faces up to five years of imprisonment and a possible $250,000 maximum fine.

Irias-Romero was permitted to remain on bond pending that hearing.  

BP conducted the investigation. Assistant U.S. Attorneys Michael Hess and Patrick Overman prosecuted the case.

HOUSTON – An investigator with the Waller County District Attorney’s Office has been charged with attempting to possess with the intent to distribute heroin as well as attempting to launder drug proceeds, announced Acting U.S. Attorney Jennifer Lowery.

Authorities took Mohamed Ahmed “Alex” Kassem, 46, Houston, into custody today. He is expected to make his initial appearance before U.S. Magistrate Judge Peter Bray at 2 p.m. tomorrow.

A Houston grand jury returned the three-count indictment April 7. It alleges Kassem was involved in laundering of what he believed was $200,000 in drug proceeds in August 2019.

If convicted of attempting to possess with the intent to distribute heroin, Kassem faces up to life in prison as well as a possible $10 million maximum fine. Upon conviction of either of the two counts of money laundering, he also faces up to 20 years of federal imprisonment. The money laundering charges also carry up to a $500,000 fine or twice the value of the property involved in the transaction.

The FBI conducted the investigation with the assistance of the Drug Enforcement Administration and Waller County District Attorney’s Office. Assistant U.S. Attorneys Alamdar Hamdani and Carolyn Ferko are prosecuting the case.  

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

HOUSTON ‐ A 60-year-old Richmond man is now in custody on charges of making false statements in his scheme to defraud Medicare, announced Acting U.S. Attorney Jennifer B. Lowery.  

Paul Njoku is expected to make his initial appearance before U.S. Magistrate Judge Peter Bray at 2 p.m.

The five-count indictment, returned Feb. 3, alleges Njoku made false statements relating to health care matters by copying and pasting doctor and nurse signatures onto patient paperwork.

According to the charges, Njoku owned and operated Opnet Healthcare Services Inc. doing business as P&P Healthcare Services. Medicare had made several requests to them seeking supporting documentation for billed claims. In response, Njoku allegedly falsified patient treatment notes and home health certification paperwork by copying and pasting the signatures of a doctor and a nurse.

Each conviction of making false statements relating to health care matters carries a possible five-year term of imprisonment and a maximum $250,000 fine.

The Department of Health and Human Services ‐ Office of Inspector General, FBI and Texas Attorney General’s Medicaid Fraud Control Unit conducted the investigation. Special Assistant U.S. Attorney Abdul Farukhi is prosecuting the case.

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

HOUSTON – The former superintendent of Houston Gateway Academy has been ordered to federal prison after taking more than a ¼ million dollars, announced Acting U.S. Attorney Jennifer B. Lowery.

Richard Garza, 61, Houston, pleaded guilty Sept. 20, 2019.

Today, U.S. District Judge Ewing Werlein Jr. sentenced him to serve 60 months in prison to be immediately followed by three years of supervised release. He was further ordered to pay a $20,000 fine and restitution in the amount of $191,292 to the Texas Education Agency (TEA). At the hearing, the court noted Garza led a double life and had a desire for taking money from others which got him into trouble and led him to his situation today.  

Houston Gateway Academy is a charter school located in the Gulfgate area of Houston. While superintendent, Garza awarded a contract to a company whose owner then sent funds back to Garza.

As part of his plea, Garza admitted he awarded a $280,000 no-bid contract to Ahmed Bokaiyan. Bokaiyan was an IT employee at the school who also owned  a business called Hot Rod Systems. Bokaiyan, through his company, was to provide IT equipment and services to a new school not yet constructed. 

An audit revealed Garza paid three checks totaling approximately $252,757 to Hot Rod Systems before it completed any work. Shortly after Bokaiyan received the payments, he sent approximately $164,381 via wire transfer to Garza’s personal bank account. Garza then used some of the funds to purchase a New Nissan Armada SUV and a condominium located on Gentryside Drive in Houston.   

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

Bokaiyan, 58, Houston, had also pleaded guilty for his role in the scheme and was ordered to pay $156,595 in restitution.

The Department of Education-Office of Inspector General conducted the investigation with the assistance of the TEA. Assistant U.S. Attorney Quincy L. Ollison is prosecuting the case.

McALLEN, Texas – With the guilty plea of a 42-old Donna man, five individuals have now admitted to their roles in a conspiracy to harbor illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.

Abel Cavazos pleaded guilty today, while Jesus Valdez, 21, Jonathan Romero, 19, and Darrell Palomares, 21, all of Donna, and Mexican national Rodrigo Acevedo, 21, admitted to their roles in the conspiracy earlier this year.

The investigation led authorities to a barn in Donna believed to be used to harbor illegal aliens. On Dec. 3, 2020, they arrived at the location and saw multiple individuals fleeing from the scene. Law enforcement was eventually able to apprehend Cavazos, Valdez, Romero, Palomares and Acevedo as well as 12 others determined to be illegally present in the United States.

Some claimed they had been physically assaulted and forced to call family members to demand payment for their release.

At their respective pleas, Cavazos, Valdez, Romero, Palomares and Acevedo admitted they knew the aliens had no legal status to remain in the United States, but still willfully joined in the harboring  conspiracy.

U.S. District Judge Micaela Alvarez has set sentencing for April 15 for Valdez and Romero. Palomares and Acevedo will be sentenced April 22, while Cavazos is set for July 21. At their respective hearings, each faces up to 10 years in federal prison and a possible $250,000 maximum fine.

Valdez, Romero, Palomares and Cavazos were permitted to remain on bond pending those hearings, while Acevedo is currently in custody.

Homeland Security Investigations conducted the investigation with the assistance of Border Patrol, Texas Department of Public Safety and Hidalgo County Sheriff’s Office. Assistant U.S. Attorney Jongwoo Chung is prosecuting the case.

HOUSTON – Another member of the violent international street gang Mara Salvatrucha (MS-13) is set to appear in federal court for his alleged role in a 2018 murder, announced Acting U.S. Attorney Jennifer B. Lowery.

Carlos Elias Henriquez-Torres, 20, an El Salvadorian national who illegally resided in Houston, was previously in state custody on related charges. He is set to appear at 2 p.m. today before U.S. Magistrate Judge Andrew Edison on the charges in the superseding indictment returned March 31.

Previously indicted were Wilson Jose Venture-Mejia, 24, Jimmy Villalobos-Gomez, 24, Angel Miguel Aguilar-Ochoa, 35, Walter Antonio Chicas-Garcia, 24, and Marlon Miranda-Moran, 21, all El Salvadorian nationals. Villalobos-Gomez is a legal permanent resident but the remaining men unlawfully resided in Houston. The charges against all of them remain pending.  

Also named in the indictment is Franklin Trejo-Chavarria, 23. He is currently in custody in El Salvador.

The indictment alleges they committed a 2018 murder in furtherance of the MS-13 enterprise. The victim was allegedly beaten to death with machetes in order for the defendants to further their positions in the enterprise.

All are charged with conspiracy and murder in aid of racketeering. 

If convicted, they face a potential death sentence.

The FBI, Homeland Security Investigations and Houston Police Department conducted the investigation. Assistant U.S. Attorneys Britni Cooper and John Michael Lewis are prosecuting the case along with Trial Attorneys Julie A. Finocchiaro, Gerald Collins and Matthew Hoff from the Department of Justice’s Organized Crime and Gang Section

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 – A 37-year-old Mexican citizen has been ordered to prison following his conviction of harboring aliens within the United States, announced Acting U.S. Attorney Jennifer B. Lowery.

Juan Garcia-Garcia pleaded guilty Sept. 3, 2019.

Today, U.S. District Judge Micaela Alvarez ordered him to serve a 108-month term of imprisonment. In handing down the sentence, the court noted her concern that Garcia-Garcia is in the country illegally and chose to violate the law and engage in criminal conduct. Judge Alvarez said there was no excuse for his actions and that he needed to set a better example for his son. Not a U.S. citizen, Garcia-Garcia is expected to face removal proceedings following the sentence.

On June 10, 2019, law enforcement approached a suspected stash house in Edinburg where they encountered Garcia-Garcia. He admitted to being the owner of the residence. A search of the trailer led to the discovery of 37 undocumented aliens. Authorities also found three firearms and three ledgers containing over 100 names.

Garcia-Garcia admitted to harboring 14 to 21 undocumented aliens per week since February 2019. He was paid $50 per undocumented alien and was responsible for providing food and water.

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

Customs and Border Protection conducted the investigation. Assistant U.S. Attorney M. Alexis Garcia prosecuted the case.

CORPUS CHRISTI, Texas – A 29-year-old legal permanent resident of Cuba residing in Houston has been convicted of transporting illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.

A federal jury sitting in Corpus Christi deliberated for three hours before finding Ciro Yasel Castillo guilty after a two-day trial. 

The jury heard that on March 15, 2020, Castillo drove an SUV into the primary inspection area at the Border Patrol (BP) checkpoint near Falfurrias. He claimed he and his three passengers were Cubans and produced a temporary driver’s license as identification. However, no one could provide proof of legal immigration status.

Authorities referred them to secondary inspection where they determined two of the passengers were minors from Guatemala illegally present in the United States. The other was an illegal alien from Cuba. During this inspection, Castillo became combative with law enforcement, resisting arrest for several minutes and inflicting minor injuries on some of the agents.

Upon further investigation, authorities determined the Cuban passenger – Lazaro Fidel Lopez - Torres, 30 - was part of a conspiracy to transport the two minor aliens. He eventually pleaded guilty for his role in that crime.

The defense attempted to convince the jury Castillo was an unofficial Uber driver. He claimed he accepted $500 via Western Union from an unknown person to pick up the two teenagers from the Valley in the middle of the night and take them to Houston. The just did not believe those claims and found him guilty.  

U.S. District Judge Drew B. Tipton presided over the trial and set sentencing for July 1. At that time, Castillo faces up to 10 years of imprisonment and a possible $250,000 maximum fine. He was permitted to remain on bond pending that hearing.

BP conducted the investigation. Assistant U.S. Attorneys Amanda L. Gould and Molly Smith are prosecuting the case.

LAREDO, Texas – A 32-year-old man has entered a guilty plea to conspiracy to transport illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.

On Jan. 12, Brodrick Keith Rhodes arrived at the Freer Border Patrol checkpoint driving a semi-truck and refrigerated trailer. He claimed he was hauling lettuce, but authorities noticed discrepancies with his bill of lading. They also noted he appeared nervous and that the trailer was set to 30 degrees but with an internal temperature of 68.

At secondary inspection, law enforcement ultimately found 119 aliens in the trailer’s cargo area.

Rhodes claimed he worked for a business in La Porte, but the bill of lading indicated he was transporting lettuce from a Laredo produce company to a location in Sugar Land. The business indicated Rhodes had never been employed with them nor do they even transport outside the Houston area. The other two companies confirmed they had no record of the shipment.

The aliens told authorities they had been taken to a truck and told to get in the trailer. It soon departed and did not stop until it reached the checkpoint.

U.S. District Judge Marina Garcia Marmolejo will impose sentencing July 27. At that time, Rhodes faces up to 10 years in federal prison and a potential fine of up to $250,000. He was permitted to remain on bond pending that hearing. 

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

CORPUS CHRISTI, Texas – The chief financial officer of Rockport Physical Medicine PA has agreed to pay $273,000 to resolve allegations she falsely billed Medicare for the use of acupuncture devices, announced Acting U.S. Attorney Jennifer B. Lowery.

Stacy Hawkins, 54, is a licensed chiropractor in Rockport.

From Sep. 1, 2016, to Dec. 27, 2018, the company billed Medicare for the implantation of neurostimulator electrodes. Medicare pays thousands of dollars for this surgical procedure that requires the use of an operating room.  

However, Hawkins and the clinic’s staff did not perform 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. 

Medicare does not reimburse for electro-acupuncture devices as implantable neurostimulators.

To date, there have been two other settlements in this district - with a Katy anesthesiologist and a Houston pain doctor - involving similar allegations of false billing.

The Department of Health and Human Services – Office of Inspector General conducted the investigation with the U.S. Attorney’s Office. 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.

LAREDO, Texas – A 43-year-old Laredo native has been ordered to federal prison for possessing with intent to distribute a large quantity of meth, announced Acting U.S. Attorney Jennifer B. Lowery. 

Daniel Marco Garcia pleaded guilty Sept. 4, 2020.

Today, U.S. District Judge Marina Garcia Marmolejo ordered him to serve 168 months in prison to be immediately followed by five years of supervised release.

At the hearing, the court heard that Garcia is currently serving a 57-month sentence for an unrelated firearms case, has a prior alien smuggling conviction and is a convicted sex offender. In handing down the sentence, Judge Marmolejo noted his extensive criminal record.

“Methvis a vicious poison that continues to cause horrific and long-term damage to the quality of life in many of our communities across our Nation,” said Drug Enforcement Administration (DEA) Special Agent in Charge Daniel C. Comeaux. “In Laredo, and all across the Southwest Border, DEA and our partners continue to target drug traffickers and shut down their operations at all levels.”

On July 11, 2018, Garcia planned to transport meth within Webb County. However, authorities stopped him for a traffic violation during his trip, at which time they conducted a search of his vehicle. They soon found six bundles of meth hidden inside a black bag within the vehicle weighing approximately six kilograms.

The drugs had an estimated street value of $37,000.

He has been and will remain in custody.

The DEA conducted the Organized Crime Drug Enforcement Task Force (OCDETF) investigation dubbed Crystal Monkey with the assistance of Homeland Security Investigations, Texas Department of Public Safety, Webb County Sheriff’s Office and the Laredo Police Department. Assistant U.S. Attorney (AUSA) Jennifer Day and former AUSA Chris dos Santos prosecuted the case.

OCDETF is the largest anti-crime task force in the country. Its mission is to disrupt and dismantle the most significant drug trafficking and transnational criminal organizations that threaten the United States through prosecutor-led, intelligence-driven, multi-agency task forces that leverage the authorities and expertise of federal, state and local law enforcement.

CORPUS CHRISTI, Texas – A 22-year-old Houston man has been ordered to federal prison after stealing a large load of electronics originally set for delivery to a local college, announced Acting U.S. Attorney Jennifer B. Lowery. 

Maksims Klopovs pleaded guilty Jan. 4.

Today, U.S. District Judge Nelva Gonzales Ramos ordered Klopovs to serve a 30-month sentence to be immediately followed by three years of supervised release. At the hearing, the court heard Klopovs had entered the United States less than 60 days before his arrest. However, in that short time, he had already been involved in at least three similar freight hijackings in the Houston area. As part of the scheme, Klopovs created and used at least 12 fraudulent ID cards and rented multiple storage units to store the hijacked goods until they could be sold. The court determined the value of the goods involved in the four hijackings was in excess of $400,000. In handing down the sentence, Judge Ramos noted the extent and nature of the criminal conduct in this case justified the sentence.

“This individual brazenly hijacked an interstate freight shipment of computer and electronic equipment that was destined for students at a local university,” said Assistant Special Agent in Charge Brad Scott of Homeland Security Investigations (HSI). “Using the unique investigative authorities that HSI possesses we were able to disrupt his scheme and work with prosecutors to put him in federal prison.”

On June 17, 2019, authorities suspected a shipment of approximately $100,000 worth of computers and other electronics might be stolen. They were bound for Del Mar College in Corpus Christi. 

After the shipment left the warehouse in Illinois, someone had changed the delivery instructions using an online system. Rather than deliver it directly to Del Mar College, the shipping company was asked to hold the load at their Corpus Christi warehouse for pickup.

Del Mar College did not request the change.

Klopovs arrived at the warehouse driving a rented U-Haul truck. He presented a fraudulent Texas driver’s license bearing his photo, but with the name Martin Smith. He also showed what was determined to be a fraudulent Del Mar College ID card with the title of Operations Manager also bearing his photograph and with the Smith name. He also had a Del Mar College business card in the name of Martin Smith.

Authorities arrested him after he claimed the shipment and began to load the electronics into the rental truck.

Klopovs 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. Assistant U.S. Attorney Robert D. Thorpe Jr. is prosecuting the case.

HOUSTON – A Harris County deputy constable has been charged with conspiring with his girlfriend to possess with the intent to distribute cocaine, announced Acting U.S. Attorney Jennifer Lowery.

A federal grand jury returned a three-count indictment April 1 against Alexsander S. Reyes, 47, and his girlfriend, Priscilla Yvette Cervantes, 44, both of Huffman. They were taken into custody today and are expected to make their initial appearances before U.S. Magistrate Judge Andrew M. Edison tomorrow at 2 p.m.

The indictment alleges Reyes laundered what he believed was $350,000 in drug proceeds over a four-month-period. At the time of the offense, Reyes was a deputy constable with Harris County Precinct 1 Constable’s Office.

Reyes and his girlfriend are charged with one count of conspiracy to possess with the intent to distribute cocaine. If convicted, they face a minimum of 10 years and up to life in prison as well as a possible $10 million maximum fine. Reyes also faces up to 20 years if convicted of either of the two counts of money laundering.

The FBI conducted the investigation with Harris County Constable Precinct 1 as part of the FBI Houston Law Enforcement and Border Corruption Task Force, which includes the Houston Police Department and the Texas Department of Public Safety. 

Assistant U.S. Attorneys Carolyn Ferko and Heather Winter 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 39-year-old Robstown gang member and convicted felon has been ordered to federal prison for conspiring to traffic 17 kilograms of cocaine, announced Acting U.S. Attorney Jennifer B. Lowery.

Rudy Reyna pleaded guilty Jan. 7.

Today, U.S. District Judge Nelva Gonzales Ramos sentenced him to serve a 121-month sentence to be immediately followed by five years of supervised release. At the hearing, the court heard additional statements that described Reyna's role during the cocaine-trafficking conspiracy and membership in the dangerous Texas Syndicate gang. In imposing the sentence, Judge Ramos noted Reyna's previous violent criminal conduct.

In July 2020, Reyna was involved in a conspiracy with others to possess with intent to distribute nearly 20 kilograms of cocaine. He helped protect or transport cocaine or currency with others. During the course of the conspiracy, authorities seized over $250,000.

Reyna 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 assistance from U.S. Marshals Service, Nueces County District Attorney’s Criminal Interdiction Unit, Texas Department of Public Safety and Corpus Christi Police Department. Assistant U.S. Attorney Reid Manning prosecuted the case.

McALLEN, Texas - A man and woman have entered guilty pleas to production of child pornography and coercion and enticement of a minor, announced Acting U.S. Attorney Jennifer B. Lowery.

Reid Etheridge, 41, McAllen, admitted he filmed himself committing the sexual abuse and assault of two minor children from on or about Jan. 1, 2020, to approximately Oct. 1, 2020. As part of her guilty plea, Alicia Cronkhite, 29, Edinburg, admitted she took photographs of one minor victim’s exposed genitals and transmitted those photographs to Etheridge at his request.

Etheridge and Cronkhite pleaded guilty to two counts and one count of production of child pornography, respectively. Etheridge also admitted to coercion and enticement of a minor, while Cronkhite entered her plea to aiding and abetting the coercion and enticement of a minor.

The investigation led authorities to an IP address in McAllen that had uploaded images and videos depicting minor children engaged in sex acts. On Oct. 2, 2020, law enforcement executed a search warrant and encountered Etheridge at the residence. He soon admitted he had filmed himself sexually assaulting one minor victim.

Further investigation revealed communication between Etheridge and Cronkhite detailing the sexual exploitation of another minor victim. Authorities searched her residence, at which time she admitted she produced multiple images of a minor victim and transmitted the images to Etheridge.

U.S. District Judge Randy Crane will impose sentencing June 15. At that time, both Etheridge and Cronkhite face a mandatory minimum of 15 years and up to life in federal prison and a possible $250,000 maximum fine.

They have been and will remain in custody pending that hearing.

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

Assistant U.S. Attorney Michael Mitchell 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.

LAREDO, Texas – A 59-year-old Laredo man has entered a guilty plea to conspiracy to transport illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.

On Jan. 22, Barry Terence Harvin arrived at the I-35 Border Patrol checkpoint driving a semi-truck and trailer. A K-9 alerted to the presence of contraband in the cargo area of the vehicle which prompted authorities to refer him to secondary inspection.

Further investigation showed anomalies in the trailer. Law enforcement then opened it and discovered 104 aliens, including four unaccompanied minors.

Harvin admitted he had agreed to smuggle aliens to San Antonio for $1,000 per individual. He claimed a friend had offered him the job. He had parked the truck and trailer near some brush when several illegal aliens emerged from the brush and entered the trailer. His friend closed the trailer doors, and Harvin drove north towards San Antonio.

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

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

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

HOUSTON – Four Houston-area residents have been charged with sex trafficking and conspiracy to do so, announced Acting U.S. Attorney Jennifer B. Lowery.

Maria Botello, 54, her son - Edgar Botello, 28, her nephew - Arian Botello, 23 and her daughter - Yudy Lucatero, 31, are expected to make their initial appearances before U.S. Magistrate Judge Frances Stacy at 2 p.m. tomorrow.

The criminal complaint, filed March 30, alleges that from 2007 to 2020, the family members coerced waitresses working at the Houston bar Puerto Alegre to engage in commercial sex acts. The victims allegedly included adults and at least one minor.

The charges allege Maria Botello coordinated “dates” with clients who paid $70 for every 15 minutes with the girls. Edgar and Arian Botello were the enforcers who used weapons, threats and intimidation to keep the victims compliant, according to the complaint. The investigation also revealed Lucatero and Maria Botello discussed the rules and procedures in relation to the sex trafficking.

Authorities ultimately identified another victim who was brought to the United States specifically to work at Puerto Alegre, according to the allegations. While there, she was allegedly forced to engage in commercial sex. The charges allege she was only 17 at the time.

If convicted, the family members each face a minimum of 10 years and up to life in federal prison.

The Texas Alcoholic Beverage Commission (TABC) initiated the investigation with the assistance of the Houston Police Department (HPD) and Homeland Security Investigations (HSI).  

Public cooperation is critical in the successful investigation of suspected human trafficking. Anyone victimized by suspected traffickers, or who has information about potential victims, may contact TABC’s Victims Services office at 1-713-494-5869 to make a report. Spanish speakers may contact HSI at 1-866-347-2423.

TABC, HPD and HSI are part of the Human Trafficking Rescue Alliance (HTRA) along with the FBI, Texas Attorney General’s Office, IRS-Criminal Investigation, Department of Labor (DOL), DOL – Wage and Hour Division, Department of State, 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 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. Attorney Sherri Zack 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 26-year-old Houston man has been ordered to prison following his convictions of sex trafficking of a minor and conspiracy to do so, announced Acting U.S. Attorney Jennifer B. Lowery.

Trevien Thomas aka Triggah pleaded guilty Jan. 6.

Today, U.S. District Judge Nancy F. Atlas handed Thomas a 300-month sentence. At the hearing, the court heard a statement from the victim’s mother and sister as well as letters from the victim and others detailing the emotional, physical and financial impact of what Thomas did. In handing down the sentence, the court noted the aggravating factor that Thomas lured an obviously emotionally-injured girl to Houston to engage in prostitution. The court further noted the victim suffered substantially during the time Thomas held her. He was further ordered to serve 15 years on supervised release following completion of his prison term, during which time he will have to comply with requirements restricting his access to children and the internet. Thomas will also be ordered to register as a sex offender.

On March 23, 2016, Thomas picked up a 14-year-old girl in Dallas and brought her to Houston. After pistol whipping her when she tried to leave the first day, Thomas held the victim at several motels in the Houston area against her will and created commercial sex advertisements of her. He then forced the minor to engage in commercial sex acts with multiple adult men over the course of five days.

Thomas collected and kept all the proceeds. 

He consistently watched her or had others do so. However, on March 28, 2016, he left her alone in a motel room, at which time she was able to escape.

Thomas 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 Houston Police Department conducted the investigation with assistance from the FBI Organized Crime Task Force. The Dallas Police Department also assisted with the investigative effort. 

Assistant U.S. Attorneys Sebastian Edwards and Eun Kate Suh prosecuted this case.

McALLEN, Texas – A 58-year-old Palmhurst resident has been ordered to federal prison for being a felon in possession of a firearm and conspiring to distribute more than 500 grams of meth, announced Acting U.S. Attorney Jennifer B. Lowery. 

Roberto Trevino-Mendoza pleaded guilty Oct. 7, 2019.

Today, U.S. District Judge Micaela Alvarez ordered Trevino-Mendoza to serve a 262-month sentence to be immediately followed by five years of supervised release. In handing down the sentence, the court noted instances of Trevino-Mendoza selling firearms and involvement in the sales of kilogram quantities of meth. Judge Alvarez also referenced his prior convictions of aggravated robbery and burglary.

The investigation revealed Trevino-Mendoza had agreed to sell a kilogram of meth in February 2018. An individual came to his residence and provided $4,000 to in exchange for the drugs.

He later negotiated with that same individual in the purchase a firearm. They again met at Trevino-Mendoza's residence to exchange a Taurus, Model PT-111 Millennium Pro 9mm pistol. Trevino-Mendoza received $500 in return for the weapon.

Trevino-Mendoza was previously convicted of a felony. As such, he is prohibited from possessing a firearm or ammunition per federal law.  

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 lead the Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF is the largest anti-crime task force in the country and its mission is to disrupt and dismantle the most significant drug trafficking and transnational criminal organizations that threaten the United States through prosecutor-led, intelligence-driven, multi-agency task forces that leverage the authorities and expertise of federal, state, and local law enforcement.

Assistant U.S. Attorney Robert Wells Jr. prosecuted the case.

McALLEN, Texas – A 29-year-old man from McAllen has been ordered to federal prison following his conviction for attempting to import approximately 220 grams of meth, announced Acting U.S. Attorney Jennifer B. Lowery.

Juan Torres Jr. pleaded guilty Feb. 4, 2020.

Today, U.S. District Judge Micaela Alvarez ordered Torres to serve a 130-month sentence to be immediately followed by four years of supervised of release. In handing down the sentence, the court considered the seriousness of importing such a quantity of meth into country, his role in the offense and his criminal history.

“We will do everything in our power to bring to justice those who distribute meth,” said Deputy Special Agent in Charge Timothy Tubbs of Homeland Security Investigations (HSI). “This sentence not only holds Torres accountable for his crimes but serves as a warning that HSI and its federal partners will work diligently to keep this highly addictive drug off the streets of south Texas.” 

Torres arrived at the Hidalgo Port of Entry Oct. 28, 2019, and applied for admission into the United States from Mexico. Torres was referred to a secondary inspection where authorities found a package wrapped in brown tape concealed in the area of his groin. Inside was 220 grams of meth.

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

HSI and Customs and Border Protection conducted the investigation. Assistant U.S. Attorneys Peter Brostowin and Frances E. Blake prosecuted the case.

HOUSTON – A 41-year-old former International Bank of Commerce (IBC) employee has been ordered to federal prison after she admitted to defrauding her former employer, announced Acting U.S. Attorney Jennifer B. Lowery.

Lori Nan Dean, of Houston, pleaded guilty Aug. 26, 2019, to bank fraud.

Today, U.S. District Judge Gilmore imposed a 15-month sentence to be immediately followed by two years of supervised release. Dean was further ordered to pay a total $91,748.56 in restitution.

Dean was employed as a Marketing Manager at IBC in Houston from Jan. 2, 2016, through Aug. 2, 2017. At the time of her plea, she admitted she had defrauded the bank of $144,300. She did so by making unauthorized withdrawals through the submission of fraudulent debit general ledger tickets. Dean openly revealed she used the money she obtained for her own benefit. 

She 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. Assistant U.S. Attorney John Braddock is prosecuting the case.

CORPUS CHRISTI, Texas – A 20-year-old man has been found guilty for conspiracy to transport an illegal alien and attempting to smuggle a Peruvian national within the United States, announced Acting U.S. Attorney Jennifer B. Lowery.

U.S. District Judge David S. Morales found Kevin E. Ramos-Alvarenga guilty today on both counts following a one-day bench trial Friday, March 26. Ramos-Alvarenga is a citizen of El Salvador who illegally resided in Houston.

On March 9, 2020, Ramos-Alvarenga drove a white Toyota Camry into the primary inspection lane at the Falfurrias checkpoint in an attempt to smuggle a Peruvian national past authorities. The court heard he had concocted a story with the illegal alien to try and fool law enforcement into thinking they had forgotten his wallet in the valley.

They did not believe their story and took both into custody.

During the trial, the defense attempted to convince the court that a friend had duped Ramos-Alvarenga into transporting the Peruvian National.

Judge Morales did not believe the claims either and found Ramos-Alvarenga guilty as charged.  

Ramos-Alvarenga is set for sentencing April 12. At that time, he faces up to 10 years in prison.

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

Border Patrol conducted the investigation with the assistance Homeland Security Investigations. Assistant U.S. Attorney Christopher Marin and Yifei Zheng prosecuted the case.

HOUSTON – A man is set to appear in federal court on charges he evaded the payment of income tax and committed bankruptcy fraud, announced Acting U.S. Attorney Jennifer B. Lowery.

David Felt is expected to make his initial appearance at 2 p.m. today before U.S. Magistrate Judge Sam Sheldon.

The federal grand jury returned the eight-count indictment March 25. It alleges that beginning in 1998, Felt evaded payment of over $1.2 million in income taxes he owed for select years in the 1980s and 1990s. He also allegedly failed to pay substantial amounts of income taxes he owed from 2010 to 2013.

According to the charges, Felt also used the debtor-in-possession bank account of an entity in bankruptcy proceedings to pay personal expenses for himself, his family members and to pay non-creditor businesses. He also allegedly embezzled, spent and transferred over $353,000 of property of a bankruptcy debtor’s estate. The charges allege he made the payments and transferred the property after the court had ordered the approved Chapter 11 payment plan, in violation of federal law.

Each count of tax evasion or bankruptcy fraud carries a potential penalty of up to five years in federal prison as well as a possible $250,000 maximum fine.

IRS-Criminal Investigation and the FBI conducted the investigation. Assistant U.S. Attorneys Charles J. Escher and Quincy L. Ollison 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.

McALLEN, Texas – Two men from Pharr have been ordered to federal prison for their roles in a conspiracy to harbor illegal aliens, announced Acting U.S. Attorney Jennifer B. Lowery.

Baylee Bret Lugo, 21, and Florentino Trevino II, 27, pleaded guilty Nov. 2, 2020, and Oct. 20, 2020, respectively.

Today, U.S. District Judge Micaela Alvarez handed Lugo a 46-month term of imprisonment, while Trevino was ordered to serve 33 months in prison. Each sentence will be immediately followed by three years of supervised release. At the hearing, the court found Lugo and Trevino responsible for involuntarily detaining, threatening and brandishing a firearm at four undocumented aliens at a hotel in Pharr during the course of the conspiracy on July 9, 2020. 

Jesus Ricardo Garcia-Suarez, 48, a Mexican citizen who illegally resided in Mission, had also admitted guilt and was previously sentenced to a term of 18 months for his role in the offense. Not a U.S. citizen, he is expected to face removal proceedings following his incarceration.

From June 26 to July 9, 2020, Garcia-Suarez harbored four undocumented aliens at a residence in Mission. He then transported them to Trevino who was waiting at a local grocery store. Trevino subsequently drove the undocumented aliens to the Pharr hotel he had rented where he and Lugo held them against their will. During that time, Lugo brandished a firearm at them, confiscated their cell phones and money and demanded additional payment for their release. 

One managed to escape and flagged down a bystander for help. Law enforcement responded to the hotel where they found Lugo and the others, as well as firearm hidden in the room. Authorities subsequently arrested Trevino as he was attempting to drive away from the hotel. 

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

Homeland Security Investigations, Border Patrol and Pharr Police Department conducted the investigation. Assistant U.S. Attorney Matthew Redavid prosecuted the case.

LAREDO, Texas – A coordinated law enforcement effort has resulted in the arrest of multiple individuals for conspiring to distribute narcotics and firearm violations, announced Acting U.S. Attorney Jennifer B. Lowery.

On March 24, a federal grand jury sitting in Corpus Christi returned three separate sealed indictments charging Martin Perez Jr., 38, Mateo Roberto Alaniz, 46, Joaquin Maldonado, 38, Julio Nazario Torres, 46, Armando Mendoza Jr., 38, Federico Maldonado, 32,  Luis Alberto Agredano, 42, Roberto Gonzalez, 38, Alfredo Gonzalez, 35, Jesus Austin Farfan, 31, Antonio Mercado, 35, and Agustin Fuentes, 36.

All are expected to make their initial appearances before a U.S. magistrate judge in Laredo Monday, March 29.  

Their indictments allege varying charges relating to their involvement in trafficking narcotics in Laredo. With the exception of Fuentes and Mercado, the remaining 10 defendants are charged in one indictment with possession with the intent to deliver crack cocaine as well as maintaining a premises for drug trafficking within 1000 feet of a school, playground or public housing project. Perez and Farfan are also charged in the same indictment with possessing a firearm in relation to a drug trafficking crime as well as being a felon in possession of a firearm. Fuentes is further charged solely in a separate indictment for possession with intent to deliver heroin. The last indictment alleges Mercado also possessed heroin with the intent to deliver it.

If convicted, all but Fuentes and Mercado face up to life in prison. Then remaining charges carry varying term of imprisonment of up to 40 years.

The Drug Enforcement Administration, Laredo Police Department and FBI conducted the Organized Crime Drug Enforcement Task Force (OCDETF) operation dubbed Operation Sin Piso with the assistance of the Webb County Sheriff’s Office, Texas Department of Public Safety, Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found on the Department of Justice’s OCDETF webpage.

Assistant U.S. Attorney Brittany L. Jensen is prosecuting the case.  

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

HOUSTON - Two citizens of Ukraine have been sentenced after admitting they conspired to smuggle and distribute counterfeit cancer and hepatitis drugs into the United States.

Maksym Nienadov, 36, is the owner of the Ukrainian-based company Healthy Nation. He and his co-conspirator and employee – Volodymyr Nikolaienko, 34 – pleaded guilty to conspiracy, trafficking in counterfeit drugs and smuggling goods into the United States July 17, 2020. Nienadov also admitted to introducing misbranded medicine into the United States.   

Today, Nienadov and Nikolaienko were sentenced to respective terms of 71 and 33 months in federal prison. They are both expected to face removal proceedings following the prison terms.

“Those that traffic counterfeit drugs pose harm to our country’s most vulnerable citizens and will face consequences,” said Acting U.S. Attorney Jennifer B. Lowery. “Defenseless people need their medications for life-threatening illnesses. Schemes like these put patients at risk of not receiving the actual drugs required for treatment. This prosecution demonstrates the tremendous work by all our partners and our collaborative commitment to protecting our community and combatting counterfeit drug trafficking into the United States.” 

“The defendants sought to profit off the illnesses of others, selling false hope – including fake drugs with no active ingredient – and risking the health of vulnerable patients,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “This prosecution makes clear that we will hold accountable those who disregard the risks to patients by smuggling counterfeit drugs into the United States.”

In June 2018, undercover U.S. authorities began communicating with Nienadov about the illegal sale of Keytruda. This prompted a months-long exchange which also involved Nikolaienko and resulted in the unlawful sale of counterfeit or unapproved Keytruda, Abraxane and Epclusa. Neither Nienadov nor Nikolaienko are medical doctors, pharmacists or licensed pharmaceutical wholesalers in the United States and did not have authorization to sell the drugs.

Merck & Co. manufactures Keytruda, a medicine to treat cancer, while Gilead Sciences Inc. manufactures Epclusa, a prescription drug for the treatment of hepatitis-C. Celgene Corporation is a wholly-owned subsidiary of Bristol Myers Squibb and manufactures the oncology product Abraxane. In their legitimate form, the Food and Drug Administration (FDA) approved all three drugs for distribution in the United States.

During the undercover investigation, law enforcement received Nienadov’s banking information, which included the name “Maksim Nenadov” and his Ukrainian bank account number. Authorities transferred $2,400 to his bank account for the purchase of the purported Keytruda. Soon after, they received a shipment from “Maxim Nenadov” which contained two boxes represented to contain Keytruda. However, the items were sent to Merck for testing and determined to be counterfeit.

Authorities then negotiated the purchase of more Keytruda as well as an another medication, Abraxane. The online messaging and email conversations resulted in a $3,400 undercover payment to Nienadov for the purchase of both drugs. On July 30, 2018, “Maxim Nenadov” sent two boxes of 50 mg purported Keytruda and two boxes of supposed Abraxane 5 mg/ml to undercover agents. Merck and Celgene performed analyses and confirmed the packaging and medication to be counterfeit.

In late 2018, law enforcement also negotiated the undercover purchase of two boxes of purported Epclusa tablets from Nienadov and Nikolaienko for $6,000. Gilead identified the packaging and contents as counterfeit.

“Selling illegal prescription drugs in the U.S. marketplace puts consumers’ health at risk, but it is especially reprehensible when the drugs are intended for use with especially vulnerable populations, such as cancer patients,” said Special Agent in Charge Charles L. Grinstead of the Food and Drug Administration, Office of Criminal Investigations (FDA-OCI) - Kansas City Field Office. “We will continue to investigate and bring to justice those who sell illegal prescription drugs, knowing that they can jeopardize patients’ health.”

“We work tirelessly, alongside our federal partners and private sector stakeholders, to prevent counterfeit pharmaceuticals from infiltrating the American marketplace,” said Special Agent in Charge Mark Dawson of Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), Houston. “Today’s sentencing is another example of our relentless efforts to ensure consumers are receiving the life-saving pharmaceuticals that they need to treat their afflictions.”

Nienadov and Nikolaienko were taken into custody April 18, 2019, after they arrived in the United States from Ukraine to discuss future unlawful shipments of pharmaceuticals. They have 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 FD-OCI conducted the investigation.

Assistant U.S. Attorney Sebastian Edwards and Senior Trial Attorney Jeffrey Pearlman of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) prosecuted the case. Former CCIPS Senior Trial Attorney Kebharu Smith assisted in the prosecution. In addition, the Criminal Division’s Office of International Affairs provided substantial assistance.

Two citizens of Ukraine have been sentenced for trafficking in and smuggling into the United States counterfeit cancer and hepatitis drugs.

Maksym Nienadov, 36, was the owner of the Ukrainian-based company Healthy Nation. He and his co-conspirator and employee – Volodymyr Nikolaienko, 34 – pleaded guilty in July 2020 to both trafficking in and smuggling into the United States counterfeit drugs and conspiracy to do so. Nienadov also pleaded guilty to introducing misbranded drugs into the United States. 

Today, Nienadov and Nikolaienko were sentenced to respective terms of 71 and 33 months in federal prison. Each defendant is expected to face removal proceedings following his term in prison.

“The defendants sought to profit off the illnesses of others, selling false hope – including fake drugs with no active ingredient – and risking the health of vulnerable patients,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “This prosecution makes clear that we will hold accountable those who disregard the risks to patients by smuggling counterfeit drugs into the United States.”

“Those that traffic counterfeit drugs pose harm to our country’s most vulnerable citizens and will face consequences,” said Acting U.S. Attorney Jennifer B. Lowery of the Southern District of Texas. “Defenseless people need their medications for life-threatening illnesses. Schemes like these put patients at risk of not receiving the actual drugs required for treatment. This prosecution demonstrates the tremendous work by all our partners and our collaborative commitment to protecting our community and combatting counterfeit drug trafficking into the United States.” 

“Selling illegal prescription drugs in the U.S. marketplace puts consumers’ health at risk, but it is especially reprehensible when the drugs are intended for use with especially vulnerable populations, such as cancer patients,” said Special Agent in Charge Charles L. Grinstead of the Food and Drug Administration, Office of Criminal Investigations (FDA-OCI), Kansas City Field Office. “We will continue to investigate and bring to justice those who sell illegal prescription drugs, knowing that they can jeopardize patients’ health.”

“We work tirelessly, alongside our federal partners and private sector stakeholders, to prevent counterfeit pharmaceuticals from infiltrating the American marketplace,” said Special Agent in Charge Mark Dawson of Homeland Security Investigations (HSI), Houston. “Today’s sentencing is another example of our relentless efforts to ensure consumers are receiving the life-saving pharmaceuticals that they need to treat their afflictions.”

Nienadov and Nikolaienko were arrested in April 2019 after they arrived in the United States from Ukraine to discuss sales of future unlawful shipments of drugs. They have been and will remain in custody pending transfer to a Federal Bureau of Prisons facility to be determined.

HSI and FDA-OCI conducted the investigation.

Senior Trial Attorney Jeff Pearlman of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) and Assistant U.S. Attorney Sebastian Edwards of the Southern District of Texas prosecuted the case. Former CCIPS Senior Trial Attorney Kebharu Smith assisted in the prosecution.

The Justice Department’s Office of International Affairs and the Office of the Prosecutor General of Ukraine provided substantial assistance.