Western District of Texas

El Abogado de los Estados Unidos John F. Bash junto con Steve A. Borak, Interino Agente Especial en Cargo de la  Administración para el Control de Drogas (DEA por sus siglas en inglés) de la División de El Paso anunciaron un doctor loacalizado en El Paso fue denunciado de cargos federales de traficante de drogas.

La semana pasada, el gran jurado de acusación regresó con la denuncia de 12 cargos contra el Dr. Thomas Glenn Easter, II y su codemandada Elizabeth Lightfoot, también de El Paso, con dos cargos de conspiración de distribución de Xanax y otras substancias controladas fuera de la capacidad de la práctica profesional. El Dr. Easter fue denunciado con 10 cargos adicionales de distribución de Xanax y otras substancias controladas fuera de la capacidad de la práctica profesional. Autoridades alegan que el Dr. Easter, con asistencia de la Sra. Lightfoot, fue responsable de dispensar prescripciones numerosas de varias medicamentos en cambio de favores.

“El abuso de prescripciones se ha aumentado agresivamente en la comunidad,” dijo el Abogado de los Estados Unidos John F. Bash. “Vamos a tomar medias enérgicas sobre los médicos licenciados que violan la ley – y sus obligaciones profesionales – en dispensar substancias controladas ilegalmente.”

Si se condenan, cada demandado/a puede recibir a lo máximo cinco años en la prisión federal. Los dos demandados están libre bajo una fianza.

“Dr. Thomas Glenn Easter, II, y su codemandada Elizabeth Lightfoot contribuyeron al epidémico de la distribución de substancias controladas que plaga nuestra sociedad,” dijo el Interino Agente Especial en Cargo Steve Borak. “Su comportamiento puso vidas al riesgo y no será tolerada. La DEA, junto con nuestros socios, continuaremos de seguir los que buscan perpetuar y lucrarse de la diversión de las drogas recetadas.”

La División de Diversión Táctico de la Administración para el Control de Drogas en El Paso, junto con el Departamento de Seguridad Pública de Tejas, conducieron ésta investigación. Michael Rose Whyte es el abogado fiscal de parte del gobierno.         

Una denuncia simplemente es un cargo y no debería ser considerada como evidencia de culpabilidad. Los demandados son inocentes hasta comprobados culpables antes un tribunal.

In El Paso, a local physician faces federal drug trafficking charges, announced United States Attorney John F. Bash and Drug Enforcement Administration (DEA) Acting Special Agent in Charge Steve A. Borak, El Paso Division.

A twelve–count federal grand jury indictment returned last week charges 66–year-old Dr. Thomas Glenn Easter, II, and his co-defendant, 28-year-old Elizabeth Lightfoot of El Paso, with two counts of conspiracy to distribute Xanax and other controlled substances outside the scope of professional practice. Dr. Easter is charged with an additional ten counts of distributing Xanax and other controlled substances outside the scope of professional practice.  Authorities allege that Dr. Easter, with assistance from Ms. Lightfoot, was responsible for doling out numerous prescriptions involving a variety of medications in exchange for favors.

“Prescription drug abuse has become increasingly prevalent in the community,” stated United States Attorney John F. Bash.  “We are going to crack down hard on licensed medical professionals who violate federal law — not to mention their professional obligations — in illegally dispensing controlled substances.”

Upon conviction, each defendant faces up to five years in federal prison.  Both defendants are currently out on bond.

“Dr. Thomas Glenn Easter, II, and his co-defendant Elizabeth Lightfoot contributed to the controlled substance abuse epidemic plaguing our society,” said Acting Special Agent in Charge Steve Borak.  “Their conduct put lives at risk and won’t be tolerated. DEA, along with our law enforcement partners, will continue to pursue those who seek to perpetuate and profit from the diversion of prescription drugs.”

The Drug Enforcement Administration’s Tactical Diversion Squad in El Paso along with Texas Department of Public Safety conducted this investigation.  Assistant United States Attorney Michael Rose Whyte is prosecuting this case on behalf of the Government.  

An indictment is merely a charge and should not be considered as evidence of guilt.  The defendants are innocent until proven guilty in a court of law.

In Austin today, authorities dismissed a federal charge pending against Mark Conditt of Pflugerville, TX, in connection with a string of bombing incidents in the city of Austin and surrounding areas last month, stated Austin Police Chief Brian Manley, FBI Special Agent in Charge Christopher Combs, ATF Special Agent in Charge Fred J. Milanowski, Travis County District Attorney Margaret Moore and United States Attorney John F. Bash, Western District of Texas.

A federal criminal complaint signed by U.S. Magistrate Judge Mark Lane on March 20, 2018, charged Conditt with one count of unlawful possession and transfer of a destructive device.  That complaint was signed, and an arrest warrant issued, just hours before Conditt detonated a destructive device as authorities were attempting to apprehend him in Round Rock, TX.  Conditt died during the incident.

The Travis County Medical Examiner, in connection with the Round Rock Justice of the Peace Dain Johnson, has officially positively identified the deceased as Mark Conditt and released the remains to his family.  The identification of Conditt was necessary before federal authorities could move to dismiss the criminal complaint.

This investigation continues as authorities are still reviewing evidence collected in this case, namely computer related information.

The Austin Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco Firearms and Explosives are investigating this case. The Texas Department of Public Safety, the Texas Rangers, the U.S. Postal Inspection Service, the United States Marshals Service, the Round Rock Police Department, the Schertz Police Department, the Pflugerville Police Department, and the Cedar Park Police Department are providing valuable assistance in this investigation. The Travis County District Attorney’s Office and the Austin Division of the U.S. Attorney’s Office for the Western District of Texas have collaboratively provided legal support during the investigation of these incidents.

In El Paso today, 39-year-old Michael Nedal Annabi and his wife, 34-year-old Perla Maldonado Annabi of Santa Teresa, NM, pleaded guilty to federal charges associated with a scheme to defraud multiple local banks and credit unions through applications for over $900,000 in personal loans and lines of credit, announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Emmerson Buie, Jr.

Appearing before Senior United States District Judge David Briones, both defendants pleaded guilty to one count of conspiracy to commit bank fraud and one count of wire fraud.  By pleading guilty, the defendants admitted to participating in a three-year scheme beginning in 2013 which defrauded 21 financial institutions nationwide. Throughout the scheme the defendants and others would obtain loans and lines of credit after providing the financial institutions with fraudulent personal and income information.  Sentencing for the Michael and Perla Annabi is scheduled for July 13, 2018. 

Yesterday, 25-year-old Jenzel Nash of El Paso; 26-year-old Terrance Yelder of El Paso; and, 30-year-old Miguel Munoz of Santa Teresa, all entered guilty pleas in connection with this investigation.  Nash pleaded guilty to one count of aiding and abetting making a false statement on a loan/credit application.  Yelder pleaded guilty to one count of conspiracy to commit bank fraud.  Munoz pleaded guilty to one count of making a false statement on a loan application.  Sentencing for Yelder and Nash is scheduled for July 12, 2018.  Sentencing has yet to be scheduled for Munoz.

On March 14, 2018, 34-year-old Basem Elgelda of Petaluma, CA, pleaded guilty to three counts of making a false statement on a loan application.  Elgelda is scheduled to be sentenced on June 6, 2018.

“These guilty pleas are a big win for the people of El Paso. The fraudulent actions of a few bad actors can make it much harder for our local financial institutions to serve the community," stated U.S Attorney John F. Bash.

Litigation is still pending against the remaining co-defendant in this case, 21-year-old Daniel Munoz of Santa Teresa.  Munoz is charged with one count of conspiracy to commit bank fraud and making a false on a loan application.  Jury selection is currently set for June 4, 2018, in El Paso before Judge Briones.

All of the defendants remain on bond.  Each defendant faces up to 30 years in federal prison upon final conviction.

It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt.  The defendants are innocent until proven guilty in a court of law.

This case was investigated by the Federal Bureau of Investigation with assistance from the El Paso Police Department.  Assistant United States Attorneys Rifian S. Newaz, Robert Almonte and Debra Kanof are prosecuting this case on behalf of the Government.

United States Attorney John F. Bash has announced changes to his supervisory staff within the District.

Effective Monday, April 2, Ashley Hoff will serve as the First Assistant United States Attorney.  Hoff, who currently serves as the City Chief overseeing the Austin Division, will supervise both the Criminal Division and the Civil Division.  Hoff began her federal service in 2000, when she left her position as a prosecutor in the Harris County District Attorney’s Office to become a Special Assistant United States Attorney for the Southern District of Texas.  In that role, Hoff prosecuted federal firearms offenses as part of the Texas Exile program, which was established in partnership with the Texas Attorney General’s Office and the United States Department of Justice.  Hoff became an Assistant United States Attorney in the Southern District of Texas in June 2001 and joined that office’s Counterterrorism Section after the September 11th attacks.  In late 2003, Hoff began her service in the Austin Division of the Western District of Texas, where she prosecuted a variety of federal offenses in the areas of violent crime, narcotics, immigration enforcement, and financial fraud. She was twice recognized with the Western District of Texas James DeAtley Award for an exceptionally complex, difficult, or significant prosecution.  Hoff was promoted to Chief of the Austin Division in 2012.  Hoff graduated from Baylor University School of Law in 1994 and from Texas Christian University in 1991.

Also effective Monday, April 2, Kristy Callahan will serve as the Executive Assistant United States Attorney, a newly created position in the District.  In that role, Callahan will supervise the Administrative Division, the Legal Support Division, and a new Asset Recovery Division, which will comprise the Asset Forfeiture Unit and the Financial Litigation Unit (FLU).  Callahan began her service in the District in August 2008 as an Assistant United States Attorney assigned to handle border-fence condemnation cases and defensive civil litigation.  In June 2012 she was promoted to Chief of the FLU, leading its mission to aggressively enforce criminal judgments by recovering losses sustained by victims of crime.  In that role, Ms. Callahan has worked to restructure the FLU with the Nation’s largest caseload into a more productive and efficient team capable of enhancing criminal prosecutions.  As a result of those efforts, earlier this year she received the Director’s Award for Excellence in Management from the Executive Office for United States Attorneys.  She is a member of the national FLU Working Group and a regular instructor at the National Advocacy Center, which trains federal attorneys and support staff throughout the United States.  Callahan graduated cum laude from the University of Mississippi Law School in 2003 and summa cum laude from the University of North Texas in 1996.

“Ashley Hoff and Kristy Callahan are brilliant and experienced attorneys.  Critically, they each have thrived in leadership roles within the District and will bring exceptional management skills to their new positions,” stated United States Attorney Bash.  “Ms. Hoff and Ms. Callahan will be essential to achieving my priorities in the District, including strengthening border security, slashing violent crime, and enhancing the integrity of our public institutions.”

Current First Assistant United States Attorney Richard Durbin will serve as a Senior Litigation Counsel for the District.  In that role, he will mentor other attorneys and bring his vast experience and knowledge to bear on significant matters within the District.  “Richard Durbin has an unrivaled record of distinguished service in the U.S. Attorney’s Office,” stated United States Attorney Bash.  “He has humbly served the people of Central and West Texas for close to 40 years, including as United States Attorney, First Assistant United States Attorney, and Chief of the Criminal Division.  He is quite simply a legend.  I am grateful for his continued service to this District and the Department of Justice.”

This morning, federal, state and local authorities arrested 18 individuals without incident on federal drug charges stemming from a narcotics trafficking investigation announced United States Attorney John F. Bash; Drug Enforcement Administration (DEA) Special Agent in Charge Will Glaspy, Houston Division; Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, San Antonio Division; Acting IRS-Criminal Investigation Special Agent in Charge Andy Tsui; Texas Department of Safety Director Steven McCraw; Austin Police Chief Brian Manley, Hays County Sheriff Gary Cutler; and, Cedar Park Police Chief Sean Mannix. 

A federal grand jury indictment unsealed today charges those defendants, and ten other individuals who were already in custody prior to today, with conspiracy to possess with intent to distribute a controlled substance.  Count one involves methamphetamine, count two involves cocaine and count three involves heroin.  Count four of the indictment is a money laundering charge.  A complete list of defendants is below.

During the course of the conspiracy, Luis Villagrana and Carlos Garcia-Duark, were leaders of the distribution cells operating in Austin, TX.  Authorities allege that members of the organization utilized a local mechanic’s shop to unload, distribute, and ship drugs to sales and distribution points in Texas, Oklahoma, Georgia, Minnesota, Arkansas, Tennessee, and Mississippi.

During this investigation, law enforcement agents in several jurisdictions seized a combined total of approximately 148 pounds of crystal methamphetamine, some 56 gallons of liquid methamphetamine, 62 pounds of cocaine, 13 pounds of heroin, and $400,000 in U.S. currency.

Upon conviction, the defendants face sentences of between five and 40 years in federal prison or up to life in federal prison depending on the amount of controlled substances involved.  Defendants face up to 20 years imprisonment upon conviction for money laundering.

The DEA Austin Resident Office, FBI Austin, IRS-Criminal Investigation, Texas Department of Public Safety, Austin Police Department, Hays County Sheriff’s Office, and Cedar Park Police Department investigated this case.  Agencies providing assistance during this investigation include: Round Rock Police Department; Georgetown Police Department; Lakeway Police Department; Williamson County Sheriff’s Office; Travis County Sheriff’s Office; Rockwall Police Department; Bastrop County Sheriff’s Office; Travis County District Attorney’s Office; Bell County District Attorney’s Office; Williamson County District Attorney’s Office, Bastrop County District Attorney’s Office, DEA (McAllen, Milwaukee Field Office, Brownsville, Eagle Pass, Dallas Division, Houston Division and Houston SRT); FBI (McAllen); Homeland Security Investigations (Austin); U.S. Border Patrol (Del Rio Sector) and U.S. Customs and Border Protection.  Assistant United States Attorneys Dan Guess and Matt Harding are prosecuting this case on behalf of the Government.

An indictment is merely a charge and should not be considered as evidence of guilt.  The defendants are presumed innocent until proven guilty in a court of law.

U.S. v. Luis Villagrana-Martinez, et al.
Case #: A18cr91            

Name                                                   Age      Residence                    Count(s)           Statutory Maximum Penalty

Luis Villagrana                                     32        Leander, TX                 1 - 4                 life imprisonment
Furqan Rashid Sunka                            34        Austin, TX                   2, 4                  life imprisonment
Lauro Toledo                                       30        Austin                          2                      life imprisonment
**Blanca Davila-Puente                         35        Mission                        2, 4                   life imprisonment
**Silvia Cerda-Gonzalez                      49        Michoacán, MX           2, 3, 4               life imprisonment
**Daniel Hernandez                             30        Austin                          2, 4                  life imprisonment
**Anthony Taylor                                45        Pflugerville, TX            2                      40 years imprisonment
**Victor Vargas-Osorio                        25        Austin                          2                      40 years imprisonment
Juan Vasquez                                       69        Brownsville, TX           2                      life imprisonment
Maria Del Pilar Barcenas                      47        Brownsville                 2                      life imprisonment
Lauro Jaimes                                        32        Llano, TX                    1                      life imprisonment
**Rigoberto Vences Bautista                39        Austin                          2                      life imprisonment
Martin Benitez                                     38        Austin                          2                      life imprisonment
**Francisco Gonzalez                           30        Mission                        2                      40 years imprisonment
Esperanza Gerardo                               40        Mission                        2                      life imprisonment
Albert Villagrana                                  19        Leander                       2, 4                  life imprisonment
Jesus Ocampo                                      33        Austin                          2, 4                  40 years imprisonment
Mike Vertacnik                                    30        Austin                          2                      life imprisonment
**Marques Taylor Nunley                    27        Austin                          2                      40 years imprisonment
Rebecca Anaya                                    26        Austin                          2, 3                  40 years imprisonment
Claudia Lara-Escalante                         26        Houston, TX                4                      20 years imprisonment
Leovigildo Martinez                             27        Austin                          2, 3                  life imprisonment
Carlos Garcia-Duarte                            40        Dale, TX                      1, 2, 3               life imprisonment
**Arturo Juarez-Osorio                        36        Austin                          2                      life imprisonment
**Eduardo Flores-Parra                        27        Austin                          1, 2                  life imprisonment
Rafael Garcia-Duarte                            27        Dale                             1                      life imprisonment
Jose DeJesus Gonzalez                         27        Austin                          1, 2                  life imprisonment
Gerardo Arroyo                                     29        Pflugerville                  2                      40 years imprisonment

** Already in custody prior to today

In Del Rio today, a federal judge sentenced former Val Verde County Precinct 1 Commissioner Ramiro V. Ramon to 18 months in federal prison for underreporting his total income on three separate federal Income Tax Returns, announced United States Attorney John F. Bash, FBI Special Agent in Charge Christopher Combs and Acting IRS-Criminal Investigation Special Agent in Charge Andy Tsui.

In addition to the prison term, United States District Judge Alia Moses ordered that Ramon pay $10,780 restitution to the Internal Revenue Service and be placed on supervised release for a period of one year after completing his prison term.  Ramon remains on bond pending notification by the U.S. Bureau of Prison as to where to report to begin serving his prison term.

On April 27, 2017, Ramon pleaded guilty to three counts of false statements on Income Tax Returns.  According to court records, since 2005, the defendant managed a Val Verde County real estate project called “the Ranch.”  Between 2005 and 2012, Ramon accepted approximately $47,000 in payments from a San Antonio developer; approximately $10,500 from a group of New Braunfels business owners; and $5,000 from a California businessman, to manage the property.  Ramon, admittedly, failed to report the total income he received from managing ‘The Ranch” on his electronically filed federal income tax returns for 2010, 2011 and 2012.

“Rooting out public corruption remains one of the IRS-CI’s highest priorities,” said Acting Special Agent in Charge Andy Tsui, San Antonio Field Office. “Today’s sentencing of Ramiro Ramon further illustrates no public official gets a free pass to ignore the tax laws.”

The Federal Bureau of Investigation (FBI) and the Internal Revenue Service-Criminal Investigation (IRS-CI) investigated this case.   Assistant United States Attorney William R. Harris prosecuted this case on behalf of the Government.

(Austin, TX) – Austin Police Chief Brian Manley, Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge Fred J. Milanowski, Travis County District Attorney Margaret Moore and United States Attorney for the Western District of Texas John F. Bash announced that a federal criminal complaint and an arrest warrant were filed last night against 23–year-old Mark Conditt of Pflugerville, TX, in connection with the recent series of bombings in Austin.  Those filings occurred before Conditt detonated a destructive device early this morning as authorities were attempting to apprehend him in Round Rock, TX.  Conditt died during the incident.

“Hundreds of federal, state and local law enforcement officers worked together to identify and locate Conditt.  I was awed by their professionalism, collaborative spirit, and indefatigable commitment to protecting the public,” stated United States Attorney John F. Bash.  “I send my deepest condolences to the families of Anthony Stephan House and Draylen Mason, and I pray for the recovery of the surviving victims of these monstrous crimes.”

The federal criminal complaint charged Conditt with one count of Unlawful Possession and Transfer of a Destructive Device.  The complaint affidavit remains under seal at this time.    The investigation continues at this time.  Because it is possible that further destructive devices were planted or mailed, residents of Austin and surrounding areas should call 911 if they see any suspicious package, bag, or backpack, or any other item that looks out of place.

“I appreciate all the hard work of the men and women of the Austin Police Department and our Federal partners for their tireless work in restoring peace to our community,” said Austin Police Chief Brian Manley.  “My thoughts and prayers continue to be with those victimized by these criminal acts committed.”

“I am grateful for the extraordinary leadership demonstrated by Chief Manley during this complex and challenging investigation.  He inspired an amazing team of law enforcement professionals and prosecutors who worked together and with members of the public to restore peace in our community,” stated FBI Special Agent in Charge Christopher Combs, San Antonio Division.

“Thank you to the City of Austin and the surrounding communities for coming together and remaining vigilant over the past three weeks.  By doing so, we were able to restore a sense of calm to the community,” stated ATF Special Agent in Charge Fred J. Milanowski, Houston Field Division.

The Austin Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco Firearms and Explosives are investigating this case.  The Texas Department of Public Safety, the Texas Rangers, the U.S. Postal Inspection Service, the United States Marshals Service, the Round Rock Police Department, the Schertz Police Department, the Pflugerville Police Department, and the Cedar Park Police Department are providing valuable assistance in this investigation.  The Travis County District Attorney’s Office and the Austin Division of the U.S. Attorney’s Office for the Western District of Texas have collaboratively provided legal support during the investigation of these incidents.

El Abogado de los Estados Unidos John F. Bash junto con Emmerson Buie, Jr., Agente Especial en Cargo de la Oficina de Investigaciones Federales (FBI por sus siglas en inglés) anunciaron en El Paso que el tribunal de jurados federal condenaron Norma Juarez Taha (Taha), 36 años, de cargos federales en conexión con la secuestración de una mujer de El Paso de 20 años en febrero.

El tribunal de jurados federal condenaron Taha de un cargo de secuestración y un cargo de posesión de una arma de fuego durante crimen de violencia. Evidencia presentada durante la tribuna reveló que la Demandada, conocida a la víctima como Hermana Norma, fue a la casa de la víctima aproximadamente a las 3:30 de la mañana y la engañó fuera de la casa por medio de que su familia estaba en riesgo y las autoridades inmigratorias atentaban de deportarlos. Taha llevó la víctima a una residencia lejana en el este de El Paso pertenecida a la madre de la Taha. Llegando a la residencia la víctima vió que Taha estaba en posesión de una arma de fuego. Seguido, Taha situó la víctima en la camioneta de su madre y la inyectó con una mezcla de drogas. La madre de Taha cruzó la frontera y llevó la víctima a una residencia en Juarez. La madre de Taha la dejó en la residencia y nunca regresó. Dos personas llegaron a la residencia el 13 de febrero, 2017 a las 10:30 de la noche y transportaron la víctima a la Puerte de Entrada Paso del Norte.  La víctima fue transportada a un hospital en El Paso, donde recibió asistencia médica.

Fue revelado durante de la investigación por los agentes de la FBI que Taha estaba de acuerdo de secuestrar la víctima porque su moda de vida era una vergüenza para la familia. Durante la busca de la camioneta y la residencia, los autoridades encontraron la arma de fuego y la medicina usada por Taha para inyectar la víctima durante la secuestración.

Taha puede recibir la pena de cadena perpetua por el cargo de secuestración y un mínimo de cinco años en prisión federal por el cargo de arma de fuego durante un crimen de violencia. Taha está bajo custodia federal. Su audiencia para recibir su condena está citada frente el Juez Frank Montalvo de El Paso el 22 de mayo, 2018.

El FBI investigaron éste caso. Patricia Acosta y Shane Wagman son las abogadas fiscales de parte del gobierno.

In El Paso today, a federal jury convicted 36–year-old Norma Juarez Taha on federal charges in connection with the kidnapping of a 20-year-old female in El Paso in February 2017, announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Emmerson Buie, Jr.

The jury convicted Taha on one count of kidnapping and one count of possession of a firearm during a crime of violence.  Evidence presented during trial revealed that on February 13, 2017, the defendant, known to her victim as Sister Norma, went into the victim’s house at approximately 3:30 A.M. and lured the victim out of the house by telling her that her family was in danger and that immigration authorities were attempting to deport them.  The defendant drove the victim to a remote residence on the east side of El Paso that belonged to Taha’s mother.  At the residence, the victim saw that Taha was in possession of a firearm.  Subsequently, Taha placed the victim in her mother’s truck and injected her with a mixture of drugs.    Taha’s mother then drove the victim across the border to a residence in Juarez.  Taha and her mother left the victim at that residence and never returned.  At approximately 10:30 P.M. on February 13, 2017, two individuals at the residence transported the victim to the Paso Del Norte Port of Entry.  The victim was then transported to an El Paso hospital where she received medical attention.

Further investigation by FBI agents revealed that Taha agreed to kidnap the victim on the ground that her lifestyle brought embarrassment to her family.  During a search of the defendant’s vehicle and residence, authorities discovered the firearm possessed by Taha, as well as the medication used by Taha to inject the victim during the kidnapping.

Taha faces up to life in federal prison on the kidnapping charge and a minimum of five years in federal prison on the firearms charge.  She remains in federal custody pending sentencing scheduled for May 22, 2018, before United States District Judge Frank Montalvo in El Paso.

The FBI investigated this case.  Assistant United States Attorneys Patricia Acosta and Shane Wagman are prosecuting this case on behalf of the Government.

Today, federal, state and local authorities arrested eleven individuals in connection with a crystal methamphetamine trafficking operation in the Waco area, announced United States Attorney John F. Bash; Drug Enforcement Administration (DEA) Special Agent in Charge Will Glaspy, Houston Division; Texas Department of Public Safety Director Steven McCraw; McLennan County Sheriff Parnell McNamara; and, Waco Police Chief Ryan Holt.

A federal grand jury this week returned two related indictments charging those individuals, as well as four individuals who were previously arrested, with one count of conspiracy to possess with intent to distribute more than 500 grams of methamphetamine.  The defendants include Darris Thompson, who was the ringleader of the trafficking operation.  Below is a complete list of defendants.

The indictments allege that since at least October 2016, the defendants have been responsible for a crystal methamphetamine supply network based in Hesperia, California, and a methamphetamine distribution network based in Waco. 

During this investigation, authorities seized over 26 pounds of crystal methamphetamine, over 330 pounds of marijuana, and approximately 1,000 tabs of Xanax.

Given the drug quantity charged, if the defendants are convicted they will be subject to significant sentencing ranges--between ten years and life in federal prison for some defendants, and between five years and 40 years for others.  All but two of the defendants will remain in federal custody pending detention hearings anticipated for next week in Waco.

These indictments resulted from an Organized Crime Drug Enforcement Task Force (OCDETF) investigation conducted by the McLennan County Sheriff’s Office, the Texas Department of Public Safety Criminal Investigation Division, the Waco Police Department, the Waco office of the DEA, and the United States Marshals Service.   In addition, the Ft. Worth and Riverside offices of the DEA and the Riverside Sheriff’s Office provided valuable assistance with this investigation.  Assistant United States Attorney Stephanie Smith-Burris is prosecuting this case on behalf of the Government.

The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering operations, and those primarily responsible for the nation’s illegal drug supply.

It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt.  The defendants are presumed innocent until proven guilty in a court of law.

#####

U.S. v. Thompson, et al. (W18cr093) defendants

Name                                                               Age     Residence                    Statutory Max. Penalty
*Darris Kinita Thompson (aka “Piru”)        41        Waco, TX                    10 years to life imprisonment
*Sedric Barshea Thompson                          49        Waco                           10 years to life imprisonment
*Meagan Anaise Keel                                     32        Waco                           10 years to life imprisonment
*Christopher Derric Blount                           46        Waco                           5 – 40 years imprisonment
*Darrell Wayne Moore                                   50        Waco                           5 – 40 years imprisonment
*Ulis Howard Alexander                                27        Waco                           10 years to life imprisonment
*Chelsea Laine Early Graves                         30        Waco                           5 – 40 years imprisonment
*Lamont Alexander Taylor                            41        Waco                           5 – 40 years imprisonment
*Ruby Clara Williams                                     55        Waco                           5 – 40 years imprisonment
*Joe Angel Gayton                                          27        Waco                           10 years to life imprisonment
*Johnny Perez, Jr.                                           38        Wichita Falls, TX       10 years to life imprisonment

 

U.S. v. Casillas, et al. (W18cr072) defendants

Name                                                   Age     Residence        Arrested          Statutory Max. Penalty
*Johnny Casillas                                 36        Waco               2.28.18            10 years to life imprisonment
**Francisco Resendiz-Martinez       25        Hesperia, CA  3.1.18              10 years to life imprisonment
*Patricia Ferrer                                   53        Hesperia, CA  2.28.18            10 years to life imprisonment
**Veronica Barraza Real                   40        Hesperia, CA  3.1.18              10 years to life imprisonment

 

* Remains in federal custody
**Resendiz-Martinez and Real are currently on bond--$100,000 and $50,000, respectively.          

In Midland today, a federal judge sentenced Andrews County electrician Randall Varian Hanks to 97 months in federal prison for a false billing scheme that resulted in more than a $1.5 million loss to local businesses and for failing to file tax returns, announced United States Attorney John F. Bash, Federal Bureau of Investigation (FBI) Special Agent in Charge Emmerson Buie, Jr., El Paso Division, and Acting Internal Revenue Service-Criminal Investigation (IRS-CI) Special Agent in Charge Andy Tsui. 

In addition to the prison term, United States District Judge David Counts ordered that Hanks pay $1,786,559.68 restitution and be placed on supervised release for a period of three years after completing his prison term.  Judge Counts also ordered that Hanks forfeit to the Government his Andrews County residential property, agreeing that it was proceeds generated from the defendant’s fraudulent scheme.  At the end of today’s sentencing hearing, Judge Counts remanded Hanks into the custody of the U.S. Marshals Service to begin serving his prison term.

On November 9, 2017, a federal jury convicted the 46-year-old, who once owned and operated Sandhills Electric, Inc., of four counts of mail fraud and three counts of failure to file a tax return.

Evidence presented at trial revealed that from June 2013 to May 2016, Hanks, while working for two area oilfield services companies, generated fraudulent service tickets and invoices in excess of $1.5 million for parts and services that he fraudulently claimed to have provided to the two companies’ customers.  Both oilfield service companies paid Hanks and then billed the respective customers for parts and services Hanks claimed to have provided.

Furthermore, testimony revealed that Hanks received more than the applicable threshold in personal income each year, yet failed to file income tax returns with the Internal Revenue Service for the calendar years 2013, 2014, and 2015, resulting in tax losses to the U.S. Government of nearly $500,000.

The FBI Oilfield Theft Task Force and IRS-CI agents investigated this case.  Assistant United States Attorney Glenn Harwood prosecuted this case on behalf of the Government.  

El Abogado de los Estados Unidos John F. Bash junto con Shane Folden, Agente Especial en Cargo del Servicio de Inmigración y Control de Aduanas (ICE, por sus siglas en inglés) y la Oficina de Investigaciones de Seguridad Nacional (HSI, por sus siglas en inglés) anunciaron ésta tarde en San Antonio que Pedro Silva Segura, 47 años,  puede recibir la pena de cadena perpetua despues de declararse culpable de ser participante en transportar contrabando humano donde 10 personas fallesieron el año pasado.

Presentandose antes del Juez Majistrado Henry Bemporad, Silva se declaró culpable de un cargo de conspiración de transportar contrabando de humanos resultando en muerte. En declararse culpable, Silva admitió que mantieniba una casa in Laredo, Tejas para guardar los inmigrantes indocumentados mientras esperaban su tranportación a su último destino en los E.E.U.U. Más, Silva declaró que aproximadamente cinco inmigrantes indocumentados se despedieron de la casa el 22 de junio, 2017, y fueron entregados al camión de carga conducido por James Matthew Bradley, Jr., 61 años, destinado a San Antonio.

Conforme con los archivos de la corte, quales Silva y Bradley admitieron que son factualmente corectos, el Departamento de Policía de San Antonio (SAPD, por sus siglas en inglés) respondieron a la llamada del Wal-mart localizado en 8538 Carretera 35 después de medianoche el domingo, 23 de junio, 2017. El Oficial de Policía encontró el camion de carga detrás de la tienda, y encontó varias personas parados y acostados encima del camión de carga, y el conductor Bradley en el cabina. Los oficiales descubrieron 39 inmigrantes indocumentados. De los 39 inmigrantes indocumentados, 10 fallecieron, ocho fallecieron en el remolque y dos fallecieron en hospitales localizados en San Antonio. En en grupo transportados por Bradley, cuatro eran jóvenes de menor de edad desde 14 – 17 años sin compañeros adultos. Los archivos de la corte establecen que el remolque conteniba dentro de 70 inmigrantes indocumentatos, y desde 180 – 200 personas durante el transporte. Los archivos proveen las recompensas variables para ser transportado.

En el 16 de octubre, 2017, Bradley se declaró culpable a los cargos federales en conexión con ésta investigación. Bradley permanece en custodia federal mientras espera su audencia frente el Mayor Juez David A. Ezra para recibir su condena el 26 de marzo, 2018. Bradley enfrenta la pena de cadena perpetua, y esta de acuerdo de pérdida del camión de carga, el remolque,  aproximadamente $5,600 en efectivo y una pistola de .38 que fue recuperada de la cabina. Silva también está bajo custodia federal con su audencia para recibir su condena citado el 29 de junio, 2018.

Servicio de Inmigración y Control de Aduanas (ICE) y la Oficina de Investigaciones de Seguridad Nacional (HSI) junto con la Oficina de Detención y Deportación (ICE ERO por sus siglas en inglés), el Departamento de Policía de San Antonio (SAPD por sus siglas en ingles), el Departamento de Bomberos de San Antonio (SAFD por sus siglas en inglés) investigaron éste caso. El Alguacil de Policía del Condado de Bexar (BCSO por sus siglas en inglés) y la Oficina de Aduanas y Protección Fronteriza de los Estados Unidos (CBP, por sus siglas en inglés) ayudaron con la investigación. Christina Playton y Matthew Lathrope son los abogados fiscales de parte del gobierno.

In San Antonio, 47–year-old Pedro Silva Segura faces up to life in federal prison after pleading guilty this afternoon to his role in an undocumented alien smuggling operation that resulted in ten deaths last year, announced United States Attorney John F. Bash and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Special Agent in Charge Shane Folden.

Appearing before United States Magistrate Judge Henry Bemporad, Silva pleaded guilty to one count of conspiracy to transport undocumented aliens resulting in death.  By pleading guilty, Silva admitted to operating a stash house in Laredo, TX, used as a holding area for undocumented aliens awaiting transportation to final destinations in the U.S.  Silva further admitted that approximately five undocumented aliens left the stash house on the night of July 22, 2017, and were delivered to a truck driven by 61-year-old James Matthew Bradley, Jr., that was bound for San Antonio.

According to court records, which Silva and Bradley admitted in court were factually correct, San Antonio Police Department (SAPD) officers responded to a call at the Wal-Mart store located at 8538 Interstate 35 in San Antonio shortly after midnight on Sunday, July 23, 2017.  An officer encountered a tractor-trailer behind the store, finding a number of people standing and lying in the rear of the trailer, and the driver, Bradley, in the cab.  At the scene, law enforcement officers discovered 39 undocumented aliens.  Of the 39 aliens found at the scene ten (10) died, eight (8) died in the trailer and two (2) died later in area hospitals.  There were four juveniles, aged 14-17 years old, within the group of aliens in Bradley’s trailer who were unaccompanied by an adult.  Court records further state that the undocumented aliens estimated the trailer contained between 70 and 180 to 200 people during transport.  They also described differing fees for being transported. 

On October 16, 2017, Bradley pleaded guilty to federal charges in connection with this investigation.  He remains in federal custody awaiting sentencing scheduled for March 26, 2018, before Senior United States District Judge David A. Ezra.  Bradley, who faces up to life in federal prison, also agreed to forfeit to the Government his tractor-trailer rig, plus approximately $5,600 in U.S. currency and a .38 caliber pistol recovered from inside the cab.  Silva also remains in federal custody pending sentencing scheduled for June 29, 2018.

The U. S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) investigated this case together with ICE Enforcement and Removal Operations (ERO), the San Antonio Police Department and the San Antonio Fire Department.  The Bexar County Sheriff’s Office and the U.S. Customs and Border Protection’s Border Patrol assisted in this investigation.  Assistant United States Attorneys Christina Playton and Matthew Lathrop are prosecuting this case on behalf of the Government.

In San Antonio today, a federal judge sentenced 24–year-old Paul Martinez to 12 years in federal prison for distributing child pornography, announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division.

Senior United States District Judge David A. Ezra also ordered that Martinez pay $5,000 restitution to any identified victim and be placed under supervised release for a period of five years after completing his prison term.

Martinez pleaded guilty to the charge in October of last year.  By pleading guilty, Martinez admitted he exchanged child pornography using the Internet in January 2016. 

In September 2016, federal authorities executed a search warrant at the location where Martinez was residing and seized his desktop and laptop computers as well as his cellular telephone.  A forensic examination of the computers and phone revealed numerous video and image files depicting prepubescent children engaged in sexually explicit conduct.

The FBI investigated this case.  Assistant United States Attorney Tracy Thompson prosecuted this case on behalf of the Government.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.  Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

In San Antonio this afternoon, a federal judge sentenced 31-year-old Nicholas Andreas Gonzalez-Malven to 45 years in federal prison for production of child pornography, announced United States Attorney John F. Bash and Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, San Antonio Division. 

In addition to the prison term, Senior United States District Judge David A. Ezra ordered that Gonzalez pay a $3,000 fine and be placed on supervised release for ten years after completing his prison term.

On June 14, 2017, Gonzalez pleaded guilty to two counts of production of child pornography.  According to court records, Gonzalez took photographs of a child on two separate occasions in 2016 that depicted sexually explicit conduct.  FBI agents recovered the photographs from a phone seized during a separate investigation.

The FBI and the Bexar County Sheriff’s Office conducted this joint investigation.  Assistant U.S. Attorney Tracy Thompson prosecuted this case on behalf of the Government.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice.  Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

In San Antonio this afternoon, 23–year-old Bradley Ahearn admitted to shooting a U.S. Mail carrier last year in Spring Branch, TX, announced United States Attorney John F. Bash; Inspector in Charge Adrian Gonzalez, U.S. Postal Inspection Service, Houston Division; and, San Antonio Police Chief William McManus.

Appearing before United States Magistrate Judge Elizabeth S. Chestney, Ahearn pleaded guilty to a total of seven federal charges including aiding and abetting carjacking; aiding and abetting use of a firearm during a crime of violence; aiding and abetting robbery of U.S. Mail; and, four counts of aiding and abetting assault on a federal officer.  He faces 20 years in federal prison.

By pleading guilty, Ahearn admitted that on February 11, 2017, he shot a female U.S. Mail carrier as she was delivering mail to a cluster of mailboxes in Spring Branch, TX, because the victim would not would not give him her cell phone.  The victim is still recovering from the gunshot that pierced both of her legs.  Ahearn left the scene in the victim’s pickup truck while it still contained the victim’s purse and personal effects as well as a considerable amount of U.S. Mail.  According to court records, Ahearn’s co-defendant, 27-year-old Sarah Richford, followed Ahearn in a maroon/brown colored Toyota Venza as he left the scene.

Two days after the shooting, a U.S. Postal Inspector spotted the Toyota Venza at a restaurant near the location of the shooting.  The Postal Inspector attempted to initiate an investigative stop, but was unsuccessful as Ahearn fired a handgun in the direction of the federal officer.   Ahearn admitted to firing his weapon at the U.S. Postal Inspector and another federal agent during a subsequent 19-mile-long, high-speed pursuit.  Ahearn and Richford managed to avoid capture.

According to court records, on February 14, 2017, employees of a local motel notified investigators of the presence of a large amount of U.S. Mail and a handgun case in one of the motel rooms.  Much of the discovered mail, originating from locations across the country, was destined for addresses in the Spring Branch, TX area.  That same day, not far from the motel, investigators recovered the abandoned Toyota Venza.  From motel surveillance footage, investigators discovered Ahearn, Richford and 41-year-old Piper Lee leave the motel in Lee’s yellow Volkswagen and requested San Antonio police to initiate a stop of the vehicle.  While failing to yield to SAPD officers, Ahearn began shooting at the police officers and another high-speed pursuit ensued.  Ultimately, the defendants abandoned their vehicle inside a parking garage of a local mall and managed to elude capture by law enforcement. 

On February 15, 2017, San Antonio police officers, acting on information provided to investigators, arrested Ahearn, Richford and Lee without incident in a parking lot of a different local motel.  All three remain in custody.

Richford is scheduled to have a re-arraignment hearing tomorrow at 2:30pm before Judge Chestney in San Antonio.  She faces federal charges of aiding and abetting carjacking; aiding and abetting use of a firearm during a crime of violence; aiding and abetting robbery of U.S. Mail; and, two counts of aiding and abetting assault on a federal officer. 

Lee is charged with two counts of aiding and abetting the assault of a federal officer; one count of aiding and abetting use of a firearm during a crime of violence; and, one count of possession of stolen mail.  He is currently set for jury selection on August 20, 2018, before Chief U.S. District Judge Orlando L. Garcia.

It is important to note that an indictment is merely a charge and should not be evidence of guilt.  A defendant is considered innocent until proven guilty in a court of law.

The U.S. Postal Inspection Service together with the San Antonio Police Department, Texas Department of Public Safety, Texas Rangers, Comal County Sheriff’s Office, Bulverde Police Department, Federal Bureau of Investigation, U.S. Marshals Service and Homeland Security Investigations (HSI) investigated this case.  Assistant United States Attorneys Bettina Richardson and Christina Playton are prosecuting this case on behalf of the Government.

In San Antonio today, a federal jury convicted San Antonio attorney and District 19 Texas State Senator Carlos I. Uresti and his business partner, Gary L. Cain, on all charges for their roles in a Ponzi scheme that defrauded investors out of millions of dollars, announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio. 

Following a four-week-long trial, jurors convicted Uresti and Cain of one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering.  Jurors also convicted Uresti of five substantive counts of wire fraud, two counts of securities fraud, one count of engaging in monetary transactions with property derived from specified unlawful activity, and one count of being an unregistered securities broker.  Jurors also convicted Cain of seven counts of engaging in monetary transactions with property derived from specified unlawful activity.  Prior to jury selection, former FourWinds Logistics, Inc. (FourWinds) Chief Executive Officer Stanley P. Bates pleaded guilty to eight separate federal charges including securities fraud and money laundering.

“Today’s verdict powerfully reaffirms the core American belief in equal justice under law—a belief so important to our system of government that it is engraved on the front of the U.S. Supreme Court.  No matter who you are, no matter your title or status or position in the community, you will be held accountable for your actions, particularly when you inflict harm on your fellow citizens. I could not be prouder of this Office’s prosecution team and our law-enforcement partners in achieving justice for the victims of the fraudulent investment scheme at the heart of this case,” stated United States Attorney John F. Bash.

“At the same time, this is in many ways a somber day for our community. A man who long held a position of public trust was found to have deceived those who placed their trust in him—for mere personal enrichment.  So while I am deeply gratified that justice has been done in this case, I am concerned that the criminality revealed by today’s verdict could further erode the public’s faith in our democracy.  For that reason, the public should know that this Office will relentlessly fight fraud and corruption by public officials,” Bash added.

Evidence presented during trial revealed that from February 2014 to December 2015, the defendants developed an investment Ponzi scheme to buy and sell hydraulic fracturing (fracking) sand for oil production.  Evidence showed that the defendants made false statements and representations while soliciting investors in FourWinds.  Collected funds were then used to pay earlier investors and for personal expenses including gifts, travel, luxury automobiles, controlled substances, and to hire prostitutes. 

Evidence also showed that Uresti recruited investors under false pretenses by lying about investing his own money in FourWinds as well as failing to disclose his receipt of a commission and a percentage of the profits resulting from investments in FourWinds.  Evidence also revealed that Uresti was not registered as a broker with the Securities and Exchange Commission (SEC).

Evidence and testimony also revealed that Uresti and Cain engaged in money laundering with the proceeds of wire fraud.

For each fraud related charge, the defendants face up to 20 years in federal prison upon conviction.  For each money laundering charge, the defendants face up to ten years in federal prison upon conviction.  Uresti faces up to 20 years in federal prison upon conviction of being an unregistered securities broker.  Uresti and Cain remain on bond pending sentencing scheduled for 1:00pm on June 25, 2018, before Senior U.S. District Judge David A. Ezra in San Antonio.

The FBI’s Public Corruption Task Force is conducting this investigation. The Task Force is comprised of investigators from the FBI, Internal Revenue Service-Criminal Investigation (IRS-CI), Texas Department of Public Safety (DPS) and the Peace Corps-Office of Inspector General.  Assistant United States Attorneys Joseph E. Blackwell, William R. Harris and Mark Roomberg are prosecuting this case on behalf of the Government.

In San Antonio today, a federal judge sentenced 33-year-old Ashak Victor Nasief Wesa to 150 months in federal prison followed by three years of supervised release for his role in a synthetic marijuana distribution scheme based in San Antonio, announced United States Attorney John F. Bash, Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, San Antonio Division, and Drug Enforcement Administration (DEA) Special Agent in Charge Will Glaspy, Houston Division.

On October 31, 2017, Wesa, an Egyptian National who was residing in Houston at the time of the offense, pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute controlled substance analogues.  By pleading guilty, Wesa admitted that from March 2013 to June 2013, he and others comprised the San Antonio-based Jaffer Drug Trafficking Organization (Jaffer DTO) that was responsible for the production and distribution of synthetic marijuana and bath salts in San Antonio, Houston, Austin, and Dallas as well as Tulsa, Oklahoma City, and Kansas City.  During the course of the enterprise, the Jaffer DTO manufactured, caused to be manufactured, attempted to manufacture, distributed and possessed with intent to distribute over 40,000 pounds (or 18,500 kilograms) of synthetic cannabinoids.

In June 2017, Wesa was extradited from Germany to the Western District of Texas.  He since has remained in federal custody.

Wesa is the last of 16 defendants to be convicted and sentenced in connection with this federal grand jury indictment. In April 2017, ringleader Muhammed Jaffer Ali was sentenced to 16 years in federal prison.  Other sentences imposed ranged from five months incarceration to 150 months incarceration.

This prosecution resulted from the efforts of the Federal Bureau of Investigation, the Drug Enforcement Administration and the San Antonio Police Department together with the Internal Revenue Service-Criminal Investigation, the Immigration and Customs Enforcement - Homeland Security Investigations, the U.S. Border Patrol, the Texas Department of Public Safety, and the Live Oak Police Department.  Assistant United States Attorney Mark Roomberg is prosecuting this case.

In San Antonio today, a federal judge sentenced 31–year-old David Lee Sartin to 121 months in federal prison for his role in five bank robberies and one attempted bank robbery during the summer of 2016, announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio. 

In addition to the prison term, United States District Judge Xavier Rodriguez ordered that Sartin pay $26,204  restitution and be placed on supervised release for a period of five years after completing his prison term.

According to the factual basis filed in this case, Sartin was responsible for robberies that occurred at: Comerica Bank in Helotes, TX, on July 21, 2016; Southwest Research Center Federal Credit Union in San Antonio on July 22, 2016; Chase Bank in San Antonio and Randolph-Brooks Federal Credit Union in Bulverde, TX, on July 29, 2016; Generations Federal Credit Union in San Antonio (*attempted) and Amegy Bank of Texas in San Antonio on August 8, 2016.  During all of the robberies, Sartin wore an olive green/tan suit, a baseball hat, sunglasses and a unique silicone “old man” mask. 

FBI agents arrested Sartin as he arrived at his residence following the Amegy Bank of Texas robbery on August 8, 2016.  At the time of Sartin’s arrest, agents recovered the money stolen from Amegy Bank along with the demand note used and the clothing and mask worn by the defendant during the robbery.

On January 30, 2017, Sartin’s roommate and co-defendant, Jason Lynn Hathorn, was sentenced to 78 months in federal prison for assisting Sartin in carrying out the bank robberies.

FBI agents investigated this case together with San Antonio, Helotes and Bulverde Police Departments.  Assistant United States Attorney Sarah Wannarka prosecuted this case on behalf of the Government.

In San Antonio this afternoon, a federal judge sentenced 59-year-old James Amos Headley of Universal City, TX, to one year confinement after Headley pleaded guilty to federal charges in relation to threatening the lives of a member of Congress and the member’s family, announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio. 

Appearing before U.S. District Judge Xavier Rodriguez, Headley pleaded guilty to two counts of influencing a federal official by threat of murder.  By pleading guilty, Headley admitted that on July 11, 2017, he left a message on the victim’s voicemail system in Washington, D.C. threatening to murder the member of Congress as well as the member’s family.  Following his arrest, Headley told agents that he was upset with the victim’s position on different policies and decided to call and leave a message demonstrating his intent to impede and intimidate the member of Congress.

Following today’s guilty plea, Judge Rodriguez ordered that Headley be confined for one year—six months in federal custody followed by six months of home confinement—with credit for time served.  Judge Rodriguez further ordered that Headley be placed on supervised release for a period of three years after completing his home confinement.  Headley has remained in federal custody since his arrest on July 13, 2017. 

FBI special agents investigated this case together with the U.S. Capitol Police.  Assistant United States Attorney Bettina Richardson is prosecuting this case on behalf of the Government.

In Austin today, a federal grand jury indicted 44-year-old Terry Allen Miles in connection with the kidnapping of two minors, announced United States Attorney John F. Bash, and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division.

The federal grand jury indictment charges Miles with two counts of kidnapping.  According to court records, on or about December 30, 2017, Round Rock (TX) Police (RRPD) officers conducted a welfare check at the residence of Tonya Ellen Bates because she had not shown up for work that day as expected.  The officers subsequently discovered Bates’s body inside the residence.  Bates appeared to have suffered from blunt force trauma.  Bates was the only individual at the residence at the time of the welfare check and Bates’s 2017 Hyundai Accent was missing.  Further investigation revealed Bates had two minor daughters and a roommate named Terry Allen Miles who lived with Bates. 

At approximately 1:00 a.m. on December 30, 2017, Miles’s mother received a text message from a phone that belonged to one of the daughters.  RRPD officers obtained cell phone information on the children’s two phones.  One of the phones was located in a heavily wooded area adjacent to a Wal-Mart store located in Round Rock.  Surveillance video from the Wal-Mart showed what appeared to be Miles purchasing numerous camping-related items and then leaving the store in a vehicle appearing to match Bates’s vehicle.  The vehicle and a cell phone belonging to one of the minors were subsequently traced heading to Colorado.

On January 3, 2018, deputies with the Las Animas County Sheriff’s Office arrested Miles during a traffic stop near La Vera, Colorado.    The two minors, ages 7 and 14, were found safe in the vehicle Miles was driving. 

Miles, who remains in federal custody, faces between 20 years and life in federal prison upon conviction.  His arraignment has yet to be scheduled. 

An indictment is merely a charge and should not be considered as evidence of guilt.  The defendant is innocent until proven guilty in a court of law.

The Federal Bureau of Investigation, United States Marshals Service – Lone Star Fugitive Task Force, and the Round Rock Police Department are conducting this investigation.  The Texas Rangers; Central Texas Violent Crimes Task Force; Williamson County (TX) District Attorney’s Office; United States Attorney’s Office – District of Colorado; New Mexico State Police Department; Las Animas County (CO) Sheriff’s Office; Southern Colorado Safe Streets Task Force; Colorado State Patrol; Trinidad (CO) Police Department; Colorado Bureau of Investigations; Huerfano County (CO) Sheriff’s Office; Archuletta County (CO) Sheriff’s Office; Pagosa Springs (CO) Police Department; Rio Grande County (CO) Sheriff’s Office; Federal Bureau of Investigation in Colorado; Durango (CO) Police Department; La Plata County (CO) Sheriff’s Office; Child Protective Services in Texas and Colorado; and, the National Center for Missing and Exploited Children are assisting in this investigation.  Assistant United States Attorney Matthew Devlin is prosecuting this case on behalf of the Government.

In Austin today, a federal judge sentenced two Austinites to federal prison for defrauding Dell, Inc. and the Internal Revenue Service, announced United States Attorney John F. Bash, Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio, and IRS-Criminal Investigation Acting Special Agent in Charge Andy Tsui, San Antonio. 

Senior United States District Judge Sam Sparks sentenced 50-year-old Kelly Burton Nunn and 55-year-old Bryan Dale Wallace to 40 months and 26 months in federal prison, respectively, followed by three years of supervised release.  Judge Sparks also ordered that Nunn pay $10,888,122 restitution; Wallace, $849,000 restitution--jointly and severally with Nunn.

“Today’s sentencing is a reminder that the Department of Justice takes fraud against the business community very seriously,” stated United States Attorney John F. Bash.  “Together with our law-enforcement partners, we will remain steadfast in our efforts to protect the American economy from those who seek to profit from deception and dishonesty.”

In November 2017, Nunn pleaded guilty to one count of conspiracy to commit wire fraud and one count of subscribing a false Income Tax Return.  Wallace pleaded guilty to the conspiracy charge. 

According to court records, Kelly Nunn and Bryan Wallace conspired from January 2007 to August 2012 to defraud Nunn’s employer, Dell, Inc. (Dell), by charging Dell for services Dell did not receive or excessive amounts for services that Dell did receive.  Nunn and Wallace submitted numerous fraudulent invoices under the business name of Bison Services (Bison) for computer-aided-design services related to management of Dell’s business locations.  The defendants admitted that they caused Dell to pay Wallace millions of dollars to which Wallace was not entitled.  Wallace subsequently paid over $1 million to Nunn during the course of their scheme.

“The defendants in this case carried out a lengthy scheme of fraud and deception for their own personal gain,” said FBI Special Agent in Charge Christopher Combs. “The message today is clear - those who seek to line their pockets by defrauding others will be held accountable.”

On November 8, 2017, Kelly’s wife--47-year-old Tobie R. Nunn--pleaded guilty to the same tax charge as her husband.  By pleading guilty, the Nunns admitted that in April 2011, they intentionally filed electronically a fraudulent 2010 Individual Income Tax Return with the IRS that substantially understated their actual income.

Tobie Nunn remains on bond pending sentencing scheduled for 9:00am on February 23, 2018, before Judge Sparks.  She faces up to three years in federal prison. 

FBI agents and IRS-Criminal Investigation agents investigated this case.  Assistant United States Attorney Alan Buie is prosecuting this case on behalf of the Government.

In Austin today, a federal judge sentenced two Nigerian citizens and a Houston man to federal prison for their roles in a money laundering conspiracy that collected millions of dollars from victims located across the country, announced United States Attorney John F. Bash; Special Agent in Charge Shane Folden, Homeland Security Investigations (HSI), San Antonio; Acting Special Agent in Charge Andy Tsui, Internal Revenue Service – Criminal Investigation (IRS-CI); and, Inspector in Charge Adrian Gonzalez, United States Postal Inspection Service, Houston Division.

United States District Judge Sam Sparks sentenced:

• Nathaniel Itimi, a 46-year-old native of Nigeria and current U.S. citizen residing in Houston, to 97 months in federal prison and ordered him to pay, jointly and severally, $1,672,805.51 restitution;
• Lewis Akpomofune, a 41-year-old citizen of Nigeria residing in Houston, to 108 months in federal prison and ordered him to pay, jointly and severally, $1,672,805.51 restitution; and,
• Michael Omoh Okiki, a 37-year-old citizen of Nigeria residing in Houston, to 57 months in federal prison and ordered him to pay, jointly and severally, $1,213,354.94 restitution.

“Today’s sentencing reflects the commitment of the Department of Justice to destroy the money-laundering networks that facilitate fraud against the most vulnerable Americans, such as the elderly,” stated United States Attorney John F. Bash.

Last year, all three defendants pleaded guilty to a charge of conspiracy to commit money laundering.

Four other individuals received federal prison terms in connection with this investigation.  They are:

• Ayibatonye Bienzigha, a 23-year-old citizen of Nigeria residing in New Jersey, received 37 months in federal prison and was ordered to pay $51,307 restitution;
• Eghosa Obaretin, a 30-year-old citizen of Nigeria residing in Austin, received 40 months in federal prison and was ordered to pay $677,303.83 restitution and forfeit $222,000;
• Roland Imoe, a 37-year-old native of Nigeria and current U.S. citizen residing in Austin, ten months in federal prison and ordered to pay $25,632 restitution; and,
• Augustine Ikolo, a 41-year-old citizen of Nigeria residing in Austin, received 97 months in federal prison and ordered to pay $842,970 restitution.

Previously, Obaretin and Imoe pleaded guilty to one count of Passport Fraud; Bienzigha, to one count of conspiracy to commit money laundering; and, Ikolo to one count of conspiracy to commit money laundering.

In December 2017, co-defendant Ochuko Sylvester Eruotor, a 43-year-old resident of Canada and citizen of Nigeria, was extradited from Germany to the United States after being arrested with assistance from Interpol. Yesterday in Austin, Eruotor pleaded guilty to one count of conspiracy to commit money laundering.  He remains in federal custody awaiting sentencing.  No sentencing date has been scheduled.

Court documents showed that this investigation targeted a money laundering network that laundered the proceeds of various fraud schemes perpetrated against U.S. victims by scammers based in Canada, Nigeria, and the United States. The schemes included: “grandson-in-jail” frauds over the phone targeting elderly victims; fake investment scams; business email compromise scams; Stolen Identity Refund Fraud (SIRF) tax filing scams; and, romance victim scams.

The money launderers opened bank accounts, sometimes using fraudulent passports in fake identities, or hired others to open bank accounts in order to facilitate their scheme. Those U.S.-based bank accounts would receive the fraudulently obtained funds from the victims. The U.S.-based conspirators quickly withdrew the money from the bank accounts with a portion of the fraud proceeds kept as a fee. Then the remainder of the funds were sent to Canada or Nigeria. To date, law enforcement has identified in excess of $3.5 million dollars of fraud proceeds from hundreds of victims laundered by the conspiracy.

“Today’s actions will not only bring a sense of justice to the victims in this case, but this significant investigation will also help increase awareness of this type of fraud,” said Shane Folden, Special Agent in Charge, HSI San Antonio.  “To potential victims, we encourage you to be vigilant and if you feel like you are being scammed, please contact law enforcement to report the suspected scam before you make a payment. There are criminals who are always seeking to exploit the vulnerable in our communities for their own personal gain.”

“The defendants who perpetrated this scheme systematically defrauded innocent American citizens,” stated Andy Tsui, IRS Criminal Investigation, Acting Special Agent in Charge, San Antonio Field Office.  “Protecting taxpayer money is a matter we take very seriously.  IRS-Criminal Investigation will continue to vigorously pursue those who unjustly enrich themselves by creating elaborate money laundering schemes such as this one.”

Agents with HSI, IRS-CI, and U.S. Postal Inspection Service investigated this case.  The United States Marshals Service provided assistance with Eruotor’s extradition.  Assistant United States Attorney Michael C. Galdo prosecuted this case on behalf of the Government.

In San Antonio today, Senior U.S. District Judge Royce Lamberth sentenced Mark Antonio Pazmino, a 30–year-old former U.S. Army member assigned to Joint Base San Antonio—National Security Agency (JBSA-NSA), to 121 months in federal prison followed by 20 years of supervised release for attempting to have sex with a minor announced United States Attorney John F. Bash.

 

On May 16, 2017, Pazmino pleaded guilty to one count of attempted coercion and enticement of a minor.  According to court records, in 2016, Pazmino responded to a personal ad from an individual whom he believed was a 14-year-old female residing on Joint Base San Antonio-Lackland, TX (JBSA-Lackland).  Pazmino stated multiple times through the chat conversation, as well as a recorded telephone conversation, that he wanted to engage in sexual activity with the minor female.   Unbeknownst to Pazmino, the 14-year-old he was communicating with was actually an undercover agent with Air Force Office of Special Investigations (AFOSI).  Federal agents arrested Pazmino on July 5, 2016, when he showed up at a pre-arranged meeting location on JBSA-Lackland.  He has remained in federal custody since his arrest.

 

In a separate, but related matter, on January 24, 2018, Chief United States District Judge Orlando L. Garcia sentenced 28-year-old Mark Richard Hardin, an enlisted Navy member assigned to Joint Base San Antonio—Fort Sam Houston (JBSA-FSH), to 120 months in federal prison followed by five years of supervised release.  On October 12, 2017, the former U.S. Navy medical technician at San Antonio Military Medical Center (SAMMC) pleaded guilty to one count of attempted coercion and enticement of a minor.  By pleading guilty, Hardin admitted that in February 2016, he began text messaging with an individual he believed was a 14-year-old female residing on JBSA-Lackland for the purposes of meeting and ultimately engaging in sexual intercourse with her.  Unbeknownst to Hardin, the 14-year-old was an undercover AFOSI agent.  On February 25, 2016, federal agents arrested Hardin on JBSA-Lackland.  He has remained in federal custody since his arrest.

 

AFOSI, Naval Criminal Investigative Service (NCIS) and FBI special agents conducted this investigation.  Assistant United States Attorney Sarah Wannarka prosecuted both defendants on behalf of the Government.

 

These cases were brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

In San Antonio yesterday afternoon, a federal judge sentenced 46–year-old Reymundo Villarreal-Arelis (aka “Mundo”) of Mission, TX, to 20 years imprisonment followed by five years of supervised release for his role in a drug trafficking and money laundering conspiracy occurring in South Texas, Central Texas and Oklahoma announced United States Attorney John F. Bash, Western District of Texas; United States Attorney Ryan K. Patrick, Southern District of Texas; Acting Internal Revenue Service-Criminal Investigation Special Agent in Charge Andy Tsui, San Antonio Division; and, Drug Enforcement Administration Special Agent in Charge Will Glaspy, Houston Division.

 

On June 15, 2017, jurors convicted Villarreal-Arelis on one count of conspiracy to possess with intent to distribute five kilograms or more of cocaine and one count of conspiracy to commit money laundering.  Jurors found that Villarreal-Arelis and others, including 12 relatives, conspired to (1) engage in financial transactions using proceeds derived from the importation, receipt, concealment, purchase, and/or selling cocaine; and (2) transport or transmit monetary instruments to locations outside of the United States in an effort to conceal the source, ownership and control of proceeds derived from unlawful activity.

 

Evidence presented at trial revealed that the defendant was a member of a significant Rio Grande Valley cocaine trafficking family known as “Los Piojos” led by brothers Gilberto Villarreal-Arelis, Reymundo Villarreal-Arelis, and Juan Villarreal-Arelis (aka ”Juando”) along with their nephew, Jose Luis Villarreal-Gonzalez (aka “Nune”).  Beginning in 2000, this organization was responsible for the importation and distribution of thousands of kilograms of cocaine supplied by the Gulf Cartel and subsequently by Los Zetas.  This organization maintained control over smuggling routes stretching from Guatemala to Diaz Ordaz, Mexico, across from McAllen, TX.  Cocaine was smuggled into and kept in stash houses in McAllen before being transported to San Antonio, Houston, Dallas, New York, Chicago, Atlanta, Oklahoma, North Carolina and Florida.

 

Testimony during trial revealed that cocaine sales generated millions of dollars for this organization, some of which was used to purchase more than 50 quarter horses.  The defendants used the horse racing industry as one money laundering mechanism for their illegal proceeds.

 

During this investigation, authorities seized 280 kilograms of cocaine and between $15-20 million in assets attributed to the criminal activity of the defendants, including cash in various bank accounts, quarter horses, the Riverside Plaza shopping center in Mission, numerous residences and other real estate properties.

 

To date, 14 individuals and two companies have pleaded guilty to federal charges in connection with this investigation.  Terms for 13 individuals previously sentenced range from probation to 216 months incarceration.  Sergio Guadalupe Adame–Ochoa, Alan Land LP, and Alan Management LLC are scheduled to be sentenced on March 7, 2018.  On March 19, 2018, three additional defendant companies--Edison Commerical, LP; Edison Investments, LLC; and Antequera Partners, LP—are scheduled for jury selection and trial on money laundering conspiracy charges.  Defendant Gilberto Villarreal-Arelis (aka “Beto”, “Betito”) remains a fugitive. 

 

This investigation was conducted by the IRS-Criminal Investigation Waco Treasury Task Force, which is comprised of the IRS-CI, the Irving Police Department, the Woodway Public Safety Department and the McLennan County Sheriff’s Office, together with the Drug Enforcement Administration’s McAllen, San Antonio and Houston field offices, the Homeland Security Investigations and the United States Marshals Service.

In El Paso yesterday afternoon, a federal judge sentenced 21-year-old Reiquon Gaines of Evanston, IL, to 30 months in federal prison followed by three years of supervised release and ordered him to pay a combined $15,853 in restitution for two bank robberies in the Western District of Texas, announced United States Attorney John F. Bash, FBI Special Agent in Charge Emmerson Buie, El Paso Division, and FBI Special Agent in Charge Christopher Combs, San Antonio Division.

On September 1, 2017, Gaines pleaded guilty to two counts of aiding and abetting bank robbery by force or violence.  By pleading guilty, Gaines admitted to serving as the getaway driver following the robberies of the United Bank of El Paso Del Norte in El Paso on September 9, 2016, and the Texas Partners Federal Credit Union in Copperas Cove, TX, on November 15, 2016. 

On July 17, 2017, a federal judge sentenced Gaines’s co-defendant, 21-year-old Shawn Anthony Williams of El Paso, to 21 months in federal prison after pleading guilty to conspiring to commit the El Paso bank robbery.  Gaines’s other co-defendant, 23-year-old Jerrious Javonte Jackson of Killeen, TX, is currently in custody in Illinois facing federal charges in connection with two bank robberies in Illinois as well as the Copperas Cove bank robbery.

FBI special agents in El Paso and in Waco investigated this case.  Assistant United States Attorneys Shane Wagman in El Paso and Greg Gloff in Waco prosecuted this case.

In Del Rio today, a federal judge sentenced two former U.S. Customs and Border Protection officers at the Eagle Pass Port of Entry for participating in a marriage fraud scheme announced United States Attorney John F. Bash; Special Agent in Charge Javier Enriquez, Customs and Border Protection Office of Professional Responsibility (CBP-OPR), El Paso Field Office; and, U.S. Citizenship and Immigration Services (USCIS) District Director Mario Ortiz.

 

United States District Judge Alia Moses sentenced 46-year-old Isabel Metzler to six months in federal prison followed by three years of supervised release.  Judge Moses also sentenced Metzler’s husband, 37-year-old Luis Morales, to five years probation.  Furthermore, Judge Moses ordered that Metzler and Morales pay fines of $7,500 and $5,000, respectively.

 

On July 27, 2017, Judge Moses sentenced a co-defendant in this case, Nancy Chan, to 12 months imprisonment. On January 19, 2017, a federal jury convicted Chan, a citizen of the United Kingdom and former City of Austin employee, of one count of conspiracy to commit marriage fraud and one count of conspiracy to commit mail fraud.  During Chan’s two-day trial Metzler pleaded guilty to conspiracy to commit marriage fraud; Morales pleaded guilty to one count of making a false statement to a federal agent.

 

Testimony during trial revealed that after discussing her immigration status with her friend, Isabel Metzler, Nancy Chan entered into a fraudulent marriage agreement with a person known to Metzler and Morales for the purpose of becoming a lawfully permanent resident.  On March 2, 2011, in Maverick County, Chan married the U.S. citizen.  In 2014, Chan and her legal spouse submitted false documentation to obtain Lawfully Admitted Permanent Resident (LAPR) status for Chan and to seek naturalization.  Chan and her spouse were subsequently interviewed separately by a USCIS officer to determine the validity of their marriage.  Their answers to questions posed by the officer contained numerous inconsistencies, which revealed that the marriage was a sham.

 

By pleading guilty, Metzler admitted to her role in setting up and attempting to conceal the fraudulent marriage scheme.  Morales admitted that on February 9, 2016, he lied to CBP-OPR investigators about his knowledge of the marriage fraud scheme and for convincing Chan’s spouse to maintain the marriage charade to authorities.

 

CBP-OPR, together with the USCIS, FBI and the Austin Police Department, investigated this case.  Assistant United States Attorneys Todd Keagle, Chris Blanton, and Patrick Burke prosecuted this case on behalf of the government.

In Austin, 47-year-old Charles McAllister, owner of Bullion Direct, Inc. (BDI), faces federal wire fraud and money laundering charges in connection with a scheme to defraud customers out of millions of dollars announced United States Attorney John F. Bash, Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, San Antonio Division; Internal Revenue Service-Criminal Investigation (IRS-CI) Acting Special Agent in Charge Andy Tsui; and, Texas State Securities Board Commissioner Travis J. Iles.

 

A federal grand jury indictment unsealed on Tuesday charges McAllister with two counts of wire fraud and one count of engaging in a monetary transaction with criminally derived property. 

 

The indictment alleges that from January 2009 through July 2015, McAllister perpetrated a scheme that falsely represented that funds obtained from individual customers would be used to purchase precious metals on behalf of the customer and either shipped directly to the customer or stored in BDI’s vault.  Instead of buying the precious metals with the customer’s funds, McAllister spent the money on BDI corporate expenses, on other investment activities, and for his own personal use and benefit.

 

The indictment also seeks a monetary judgment in the case totaling $16,186,212.56.  That sum represents the amount of proceeds obtained directly or indirectly from the defendant’s alleged scheme during the time of the indictment.

 

McAllister, who is currently on bond, has waived formal arraignment and entered a plea of not guilty to the indictment.  No further court dates have been scheduled.  Upon conviction, he faces up to 20 years in federal prison for each wire fraud count and up to ten years in federal prison for the money laundering charge.

 

Agents with the FBI, IRS-CI and the Texas State Securities Board conducted this investigation.  Assistant United States Attorney Dan Guess is prosecuting this case on behalf of the Government. 

 

It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt.  The defendant is presumed innocent until proven guilty in a court of law.

In Del Rio, 58-year-old James Edward Cox of Waxhaw, NC, admitted to conducting an advanced fee investment scheme through which he and others obtained in excess of $5 million from their victims announced United States Attorney John F. Bash and FBI Special Agent in Charge Christopher Combs, San Antonio.

 

Appearing before United States District Judge Alia Moses yesterday afternoon, Cox pleaded guilty to one count of conspiracy to commit wire fraud.  Last year, co-defendants Kelly Ray Coronado, 50, of Del Rio and Gordon Richard Moskowitz, 54, of Sarasota, FL, pleaded guilty to the same charge. 

 

By pleading guilty, the defendants admitted that from January 2010 to January 2017, they implemented a high-yield investment scheme to obtain money from multiple victims under false pretenses, promises and representations.  Furthermore, they preyed on vulnerable parties – most of whom operated international non-profits – by promising them large-scale financing in exchange for upfront payments.  Using a tapestry of deceit involving fake business entities, websites, and aliases, the defendants collected upfront payments from their victims, then worked together to frustrate law enforcement detection and victim redress.

 

All three defendants, currently on bond awaiting sentencing, face a maximum of 20 years in federal prison and restitution.  Sentencing for Cox has yet to be scheduled.  Sentencings for Coronado and Moskowitz are scheduled for March 14 and 19, respectively, in Del Rio before Judge Moses.  Cox and Coronado have also agreed to forfeit to the Government their respective residences that were used to conceal the illicit proceeds gained from the defendants’ scheme.

 

Federal Bureau of Investigation special agents in Del Rio, Tampa and Charlotte conducted this investigation.  Assistant United States Attorney Paul T. Harle and Daniel S. Lee are prosecuting this case on behalf of the Government. 

In Del Rio today, a federal judge sentenced a 21-year-old Guatemalan national to five years in federal prison for assaulting a U.S. Border Patrol agent in 2016 announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division. 

 

In addition to the prison term, United States District Judge Alia Moses ordered that Elias de Jesus Gregorio de Paz pay $5,767.28 restitution to his victim for medical expenses and lost wages. 

 

On March 9, 2017, Gregorio pleaded guilty to one count of assault on a federal officer.  By pleading guilty, Gregorio admitted that on November 19, 2016, he intentionally assaulted a U.S. Border Patrol agent while the agent was engaged in the performance of his duties.  According to court records, U.S. Border Patrol agents working in the Uvalde, TX, area encountered a two undocumented aliens on or around a stopped train.  One undocumented alien absconded.  The other, Gregorio de Paz, engaged in an altercation with the agent causing him to suffer a concussion.  Gregorio de Paz fled the scene, but was captured three days later by U.S. Border Patrol agents in the Del Rio area.

 

Gregorio de Paz has remained in federal custody since his arrest. 

 

“This case demonstrates the great sacrifice Border Patrol Agents make every day, often risking their lives to protect our nation. Violence against Border Patrol Agents will not be tolerated,” stated FBI Special Agent in Charge Christopher Combs, San Antonio Division.

The FBI investigated this case.  Assistant United States Attorney Paul Harle prosecuted this case.

The former chief financial officer (CFO) of ArthroCare Corporation, a publicly traded medical device company based in Austin, Texas, was sentenced today to ­­50 months in prison for his role in orchestrating a fraud scheme that resulted in shareholder losses of over $750 million.

 

Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney John F. Bash of the Western District of Texas and Special Agent in Charge Christopher Combs of the FBI’s San Antonio Field office made the announcement.

 

Michael Gluk, 59, of Austin, was sentenced by U.S. District Court Judge Sam Sparks of the Western District of Texas, who also ordered Gluk to pay a $50,000 fine and to forfeit $677,804. 

 

On June 14, 2017, Gluk pleaded guilty to a superseding information charging him with one count of conspiracy to commit wire and securities fraud.  As part of his guilty plea, Gluk admitted that he conspired with others to falsely inflate ArthroCare’s sales and revenue through a series of end-of-quarter transactions involving ArthroCare’s distributors.  He further admitted that he and other co-conspirators caused ArthroCare to file a Form 10-K for 2007 and Form 10-Q for the first quarter of 2008 with the U.S. Securities and Exchange Commission (SEC) that materially misrepresented ArthroCare’s quarterly and annual sales, revenues, expenses and earnings.  As part of his plea, Gluk further admitted that he provided false testimony in proceedings before the SEC and in federal district court.

 

The fraud scheme at ArthroCare began in 2005 and continued until 2009.  Gluk admitted that he and his co-conspirators determined the type and amount of product to be shipped to distributors based on ArthroCare’s need to meet Wall Street analyst forecasts, rather than distributors’ actual orders.  Gluk and others then caused ArthroCare to “park” millions of dollars’ worth of ArthroCare’s medical devices at its distributors at the end of each relevant quarter.  ArthroCare reported these shipments as sales in its quarterly and annual filings at the time of the shipment, enabling the company to meet or exceed internal and external earnings forecasts.

 

ArthroCare’s distributors agreed to accept shipment of millions of dollars of products in exchange for special conditions, including substantial, upfront cash commissions, extended payment terms and the ability to return products, allowing ArthroCare to falsely inflate revenue by tens of millions of dollars, Gluk admitted.  Gluk admitted that he and his co-conspirators caused ArthroCare to acquire its largest distributor, DiscoCare, specifically to conceal from the investing public the nature and financial significance of ArthroCare’s relationship with DiscoCare. 

 

Gluk’s earlier conviction was overturned by the U.S. Court of Appeals for the Fifth Circuit.  Gluk subsequently pleaded guilty and cooperated against co-conspirator, Michael Baker, the former CEO of ArthroCare, who was convicted at trial on Aug. 18, 2017 of one count of conspiracy to commit wire fraud and securities fraud, seven counts of wire fraud, two counts of securities fraud and two counts of making false statements.  On Nov. 3, 2017, Baker was sentenced to 240 months in prison.

 

Co-conspirators David Applegate and John Raffle, both former senior vice presidents of ArthroCare, pleaded guilty to multiple felonies in 2013 in connection with their participation in the scheme.  On Aug. 29, 2014, Raffle was sentenced to 80 months in prison and Applegate was sentenced to 60 months in prison.

 

This case was investigated by the FBI’s San Antonio, Austin Resident Agency Office.  The case is being prosecuted by Securities and Financial Fraud Unit Chief Benjamin D. Singer, Assistant Chief Henry P. Van Dyck and Trial Attorney Caitlin Cottingham of the Criminal Division’s Fraud Section. 

In Austin today, a federal complaint was unsealed charging Terrance “Terry” Allen Miles in the kidnapping of two minors, announced United States Attorney John F. Bash, and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division.

 

Yesterday, authorities in Colorado took 44–year-old Miles into custody without incident during a traffic stop.    The two minors, ages 7 and 14, were found safe in the vehicle Miles was driving.

 

According to the complaint, on or about December 30, 2017, the Round Rock, Texas Police Department (RRTPD) received a call for a welfare check on Tonya Ellen Bates because she did not show up for work on December 30, 2017, as expected.

 

According to court documents, upon conducting the welfare check at Bates’ residence, RRTPD located Bates’ deceased body.  Bates appeared to have suffered from blunt force trauma.  Bates was the only individual at the residence at the time of the welfare check and Bates’ 2017 Hyundai Accent was missing.  Investigation revealed  Bates had two minor daughters and a roommate named Terry Allen Miles who lived with Bates. 

 

On or about December 30, 2017, at approximately 1:00 a.m., Miles’ mother received a text message from a phone that belonged to one of the daughters.  RRTPD officers obtained cell phone information on the children’s two phones.  One of the phones was located in a heavily wooded area adjacent to a Wal-Mart store located in Round Rock, Texas.  Surveillance from the Wal-Mart store showed what appeared to be Miles purchasing numerous camping-related items and then leaving the Wal-Mart in a vehicle appearing to match Bates’ vehicle.

 

Authorities determined Bates’ missing Hyundai was in northern New Mexico near the Colorado state line.  Las Animas County Sheriff’s deputies arrested Miles near La Veta, Colorado, on the evening of January 3.

 

Miles is scheduled for an initial appearance today at 3:00 p.m. (CST) in Federal District Court in Denver, Colorado.  

  

This investigation is being conducted by the Federal Bureau of Investigation, United States Marshals Service – Lone Star Fugitive Task Force, and Round Rock, Texas Police Department.  Assistance also provided by the Texas Rangers; Central Texas Violent Crimes Task Force; Williamson County, Texas District Attorney’s Office; United States Attorney’s Office – Colorado; New Mexico State Police Department; Las Animas County, Colorado Sheriff’s Office; Southern Colorado Safe Streets Task Force; Colorado State Patrol; Trinidad, Colorado Police Department; Colorado Bureau of Investigations; Huerfano County, Colorado Sheriff’s Office; Archuletta County, Colorado Sheriff’s Office; Pagosa Springs, Colorado Police Department; Rio Grande County, Colorado Sheriff’s Office; Federal Bureau of Investigation in Colorado; Durango, Colorado Police Department; La Plata County, Colorado Sheriff’s Office; Child Protective Services in Texas and Colorado; and the National Center for Missing and Exploited Children.

 

A criminal complaint is merely a charge and should not be considered as evidence of guilt.  The defendant is presumed innocent until proven guilty in a court of law.

 

 

####

In San Antonio today, Rodney Lyle Roberts was sentenced to 18 months in federal prison for preparing false tax returns, announced United States Attorney John F. Bash, and Internal Revenue Service-Criminal Investigation (IRS-CI) Acting Special Agent in Charge Andy Tsui, San Antonio Field Office.

 

In addition to the prison term, Senior United States District Judge David A. Ezra ordered that Roberts pay $143,590 restitution to the Internal Revenue Service and be placed on supervised release for a period of one year after completing his prison term.

On October 4, 2017, Roberts was found guilty by a federal jury of four counts of making false tax returns.  According to court records, Roberts prepared false and fraudulent income tax returns by failing to report his income for tax years 2010, 2011, 2012, and 2013.  Roberts did business in San Antonio and the surrounding areas providing software consultant work under the name Rod Roberts.  Instead of reporting any income, Roberts said he received zero income, when in fact he had an income totaling over $380,000 for the tax years in question.

“At the IRS, protecting taxpayer money is a matter we take extremely seriously. An integral part of the agency’s mission involves detecting and catching fraudulent tax claims," stated Andy Tsui, IRS Criminal Investigation, Acting Special Agent in Charge, San Antonio Field Office.  “Today’s sentencing of Rodney Roberts demonstrates our unwavering commitment to protecting the interests of law-abiding taxpayers.”

Roberts currently is out on bond.  Judge Ezra ordered Roberts to report to federal authorities on or before February 6, 2018, to start his prison sentence.

This case was investigated by IRS-CI.  Assistant United States Attorney Gregory J. Surovic prosecuted this case on behalf of the Government.

 

#####

In El Paso today, a federal judge sentenced 24–year-old Arely Brigette Ruiz to 78 months in federal prison for shooting her husband inside their residence on Fort Bliss earlier this year announced United States Attorney John F. Bash and FBI Special Agent in Charge Emmerson Buie, El Paso Division.

 

In addition to the prison term, United States District Judge Kathleen Cardone ordered that Ruiz pay $500.00 fine and be placed on supervised release for a period of three years after completing her prison term.

 

On October 6, 2017, Ruiz pleaded guilty to one count of assault resulting in serious bodily injury.

 

According to court records, on January 16, 2017, Ruiz transported her husband to the William Beaumont Army Medical Center to receive emergency treatment for an abdominal gunshot wound.  Initially, both reported to hospital staff that the weapon, a 9mm pistol, had accidentally discharged during cleaning.  Ruiz’s husband underwent successful surgery and remained in a medically induced coma for the next three days.

 

On January 19, 2017, the victim regained consciousness and immediately told hospital staff that his wound was not self-inflicted, but rather, the defendant shot him with a pistol.  After initially denying involvement in the shooting, the defendant admitted to investigators that she, in fact, had shot her husband following an argument about their marriage.

 

Ruiz has remained in federal custody since her arrest on January 16, 2017. 

 

FBI agents conducted this investigation together with Army Criminal Investigative Command (CID).  Assistant United States Attorney Ian Hanna prosecuted this case on behalf of the Government.

In San Antonio today, a federal judge sentenced 54-year-old David Thayer Girard, formerly of San Antonio, to 15 years in federal prison for distribution of child pornography announced United States Attorney John F. Bash and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division.

 

In addition to the prison term, United States District Judge Fred Biery ordered that Girard pay $3,000 restitution and be placed on supervised release for the rest of his life after completing his prison term.

 

On August 2, 2017, Girard pleaded guilty to the charge.  By pleading guilty, Girard admitted that he uploaded numerous video and image files depicting child pornography to the Internet.  In December 2014, Girard gave the password to an electronic folder containing the child pornography to an FBI employee acting in an undercover capacity. 

 

The FBI conducted this investigation.  Assistant United States Attorney Tracy Thompson prosecuted this case on behalf of the Government. 

Today, federal authorities arrested 35-year-old Evelyn Gonzalez of Glendale Heights, IL, on federal drug trafficking charges, bringing the total number of those arrested over the past week in connection with this distribution operation to 14, announced United States Attorney John F. Bash and Special Agent in Charge Karen I. Flowers, U.S. Drug Enforcement Administration, El Paso Division.

 

The other 13 defendants include:

 

Name                                                                                                  Age                 Residence

Veronica Martinez Carrera-Perez (aka “Comadre,” “Luna”)             41                    El Paso

Sergio Serra (aka “Flaco”)                                                                  35                    Edinburg, TX

Fernando Chavez-Rolon (aka “Raco”)                                               24                    Woodstock, IL

Crystal Aguilar (aka “Betty”)                                                             33                    El Paso                       

Ricardo Martinez (aka “Richie”)                                                        32                    El Paso

Roberto Clemente                                                                               41                    El Paso

Esperanza Corpus de Escalona (aka “Espy”)                                     45                    Alton, TX

Cristal Glore-Guzman                                                                         33                    Mission, TX

Julio Ferreyra                                                                                      33                    Cicero, IL

Kevin Martinez                                                                                   24                    Clint, TX

Julio Mota (aka “Gordo,” “Gordito”)                                                 26                    Sunland Park, NM

Jesus Galindo                                                                                      29                    El Paso

Rene Alvarez                                                                                      19                    El Paso

 

A federal grand jury indictment, returned in El Paso, charges all of the defendants except Rene Alvarez with one count of conspiracy to distribute five kilograms or more of cocaine.  Carrera-Perez, Serra, Roberto Clemente, Corpus de Escalona, Glore-Guzman, Martinez, and Mota are charged with a conspiracy to distribute methamphetamine.  All but Jesus Galindo are charged with one or more substantive drug possession charges.  Carrera-Perez, Serra, Aguilar, Roberto Clemente, Corpus de Escalona, Ferreyra and Martinez are charged with one count of conspiracy to commit money laundering.

 

Authorities allege that these defendants were responsible for the smuggling into the United States of large amounts of cocaine, methamphetamine and heroin.  The narcotics would be transported to areas across the United States, including Atlanta, Georgia, Chicago, Illinois, and Wichita, Kansas, for further distribution.  Defendants would also collect, transport and launder cash proceeds derived from the sale of narcotics. 

 

During this investigation, authorities seized approximately 48 kilograms of cocaine, 25 kilograms of methamphetamine, two kilograms of heroin, and over $500,000 in U.S. currency attributed to this drug trafficking operation.

 

All of the defendants remain in federal custody pending detention hearings expected to occur in U.S. Magistrate Court in El Paso beginning this week.  Upon conviction on the drug charges, Veronica Martinez faces a mandatory life imprisonment sentence; Roberto Clemente and Sergio Serra face between 20 years and life imprisonment; Rene Alvarez faces up to 20 years imprisonment; and, the remaining defendants face between ten years and life imprisonment.  Defendants convicted of conspiracy to commit money laundering face up to 20 years imprisonment.

 

“The individuals arrested and charged in this indictment are allegedly responsible for distributing cocaine, methamphetamine and heroin without regard to the countless people suffering from drug addiction,” stated DEA El Paso Division Special Agent in Charge Karen I. Flowers.  “The Western Texas law enforcement community banded together to stop this organization from doing further harm and to save lives.”

 

These federal charges resulted from an Organized Crime Drug Enforcement Task Force (OCDETF) investigation conducted by the Drug Enforcement Administration together with the United States Border Patrol, El Paso Police Department, Socorro Police Department, El Paso County Sheriff’s Office, Norman (OK) Police Department and the Arkansas State Police.

 

The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering operations, and those primarily responsible for the nation’s illegal drug supply.

 

It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt.  The defendants are presumed innocent until proven guilty in a court of law.

In San Antonio, a federal grand jury indicted two prison employees at the Central Texas Detention Facility – GEO (GEO) for allegedly attempting to provide contraband to inmates inside the federal detention facility announced United States Attorney John F. Bash, Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division, and Drug Enforcement Administration Special Agent in Charge Will Glaspy, Houston Division.

 

In the first of two indictments returned last week, 37-year-old GEO guard Jewel Roberto Jefferson of San Antonio, 38-year-old GEO detainee Brian Keith Gonzalez of San Antonio and 36–year-old Stephanie Ann Villarreal of San Antonio are charged with one count of providing contraband in prison.  According to court records, Jefferson allegedly agreed to smuggle crystal methamphetamine, heroin and hydroponic marijuana into the facility and give it to Gonzalez in exchange for $1,000.  On November 21, 2017, agents arrested Jefferson immediately after he accepted payment but before he could smuggle in the contraband. DEA agents investigated this case. 

 

In the second indictment, 27-year-old GEO guard Abigail Jolynn Abrego and 55–year-old Leonard Belmares of San Antonio are charged with one count of providing contraband in prison.  According to court records, on November 12, 2017, Abrego and Belmares met with an undercover agent and agreed that Abrego would smuggle crystal methamphetamine to a GEO detainee in exchange for $1,500.  Agents arrested Abrego and Belmares after Belmares took possession of the cash and a package containing sham crystal methamphetamine.  FBI agents investigated this case. 

 

If convicted, the defendants face up to 20 years in federal prison and a maximum $250,000 fine.  All of the defendants, with the exception of Gonzalez, are currently on bond. 

Assistant United States Attorney Sarah Wannarka is prosecuting these cases on behalf of the Government.

 

An indictment is merely a charge and should not be considered as evidence of guilt.  The defendants are presumed innocent until proven guilty in a court of law.

This week, federal and state authorities in the Austin area arrested 20 individuals, including ringleader Horace Caruther of Round Rock, TX, for their alleged roles in a narcotics distribution ring operating in the Taylor, TX area announced United States Attorney John F. Bash and Drug Enforcement Administration Special Agent in Charge Will Glaspy, Houston Division.

 

Those arrested include:

 

Name                                                                                                  Age                 Residence

Horace Lee Caruther                                                                           42                    Round Rock, TX

Trevor Deshaun Hunt                                                                         25                    Taylor, TX

Gregory Bean Jr.                                                                                 44                    Pflugerville, TX

William Collins (aka “Bugs”)                                                             61                    Taylor

James Wilbert McNeal                                                                       70                    Round Rock

Robert Carl White                                                                               38                    Temple, TX

Daniel Sanchez-Benitez                                                                      38                    Pflugerville

Angel Amado Rodriguez                                                                    23                    Austin

Kenneth Xavier Garza                                                                        22                    Pflugerville

Salomon Orozco-Benitez (aka “Viejito”)                                           33                    Austin

David Ibarra                                                                                        25                    Broadway, NC

Esmeralda Rodriguez                                                                         22                    Austin

Jesus Parra-Martinez (aka “Chuy”)                                                    23                    Austin

Jose Parra-Martinez                                                                            35                    Austin

Sandra Parra-Velez (aka “La Coyota”)                                              33                    Austin

Elias Montiel                                                                                       26                    Sandford, NC

Federico Alvarez-Mendoza                                                                36                    Cameron, NC

Maria Bustamante                                                                               52                    Laredo, TX

Ana Gonzalez                                                                                     47                    Laredo

Adriana Deleza                                                                                   42                    Laredo

 

On November 21, 2017, a federal grand jury in Austin indicted the defendants charging them with one count of conspiracy to distribute five kilograms or more of cocaine.  The grand jury also charged defendants Orozco, Montiel, Alvarez, Ibarra, Sanchez, Parra-Velez, Jesus Parra-Martinez, Deleza and Gonzalez with one count of conspiracy to commit money laundering.

 

Authorities allege that from July 2016 to October 2017, this organization was responsible for the distribution of large amounts of cocaine, methamphetamine and diverted pharmaceutical narcotics.  The narcotics would be transported to areas across the United States, including North Carolina, for further distribution.  Defendants would also collect, transport and launder cash proceeds derived from the sale of narcotics. 

 

To date the investigation has resulted in the arrests of 26 defendants; and, the seizure of $161,020, six kilograms of cocaine, two ounces of “crack” cocaine, 42 pounds of marijuana and, three guns.

 

All of the defendants remain in federal custody pending detention hearings expected to occur in U.S. Magistrate Court in Austin beginning next week.  On the drug conspiracy charge, defendants face a mandatory ten years to life imprisonment upon conviction.  The defendants face up to 20 years imprisonment upon conviction on the money laundering conspiracy charge.

 

The DEA Austin High Intensity Drug Trafficking Area (HIDTA) Task Force investigated this case.  Participating agencies in the Task Force include the: Austin Police Department; Cedar Park Police Department;  Georgetown Police Department; Lakeway Police Department; Texas Department of Public Safety; Williamson County Sheriff Office; Travis County Sheriff’s Office; Hays County Sheriff’s Office; Bastrop County Sheriff’s Office; Federal Bureau of Investigation (FBI); Homeland Security Investigations (HSI); and, the U.S. Immigration and Customs Enforcement (ICE).

 

The principal mission of the Organized Crime Drug Enforcement Task Force (OCDETF) program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering operations, and those primarily responsible for the nation’s illegal drug supply.

 

It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt.  The defendants are presumed innocent until proven guilty in a court of law.

In San Antonio this afternoon, a jury convicted 54-year-old Geoffrey Comstock, owner and operator of the Frio Nevado Corporation (Frio Nevado), for overbilling the City of San Antonio by more than $500,000 for janitorial services at the Alamodome announced United States Attorney John F. Bash and Homeland Security Investigations (HSI) Special Agent in Charge Shane Folden.

 

The jury convicted Comstock of one count of conspiracy to commit wire fraud and six substantive counts of wire fraud.  Testimony during trial revealed that from 2002 to 2016, Frio Nevado had a contract to provide janitorial services to the City of San Antonio at the Alamodome on a daily basis and for special events.  Between June 2014 and January 2016, Comstock implemented a scheme to submit fraudulent invoices to the City of San Antonio that inflated the number of man hours of janitorial work performed at the Alamodome.  A contract review in 2016 by the City of San Antonio Financial Department revealed that in July 2015, Comstock began preparing, or directed other employees to prepare and submit, timesheets that did not accurately reflect the names of employees, number of employees, or number of man hours expended, to justify the previously submitted false invoices.  Based upon those fraudulent invoices, the City of San Antonio overpaid Frio Nevado by more than $500,000.  The jury acquitted Comstocks’s former billing coordinator, 58-year-old Anna Becerra, of all charges.

 

“Comstock took advantage of the level of good faith and fair dealing in our financial system for his own personal gain,” said Special Agent in Charge Shane Folden, HSI San Antonio. “This case clearly demonstrated the company was defrauding the city by overbilling hundreds of thousands of dollars in fake hours at the expense of tax payers.”

 

Comstock faces up to 20 years in federal prison on each charge.  Sentencing has yet to be scheduled.

 

Homeland Security Investigations (HSI) investigated this case with the cooperation of the City of San Antonio.  Assistant United States Attorneys Gregory Surovic and Bud Paulissen are prosecuting this case on behalf of the Government.

John F. Bash is the United States Attorney for the Western District of Texas.  Chief United States District Judge Orlando Garcia administered the oath of office to Mr. Bash yesterday at the federal courthouse in San Antonio.  A public swearing-in ceremony will be scheduled in the future.

 

President Donald J. Trump nominated Mr. Bash to be the U.S. Attorney for the Western District of Texas on September 11, 2017.  The United States Senate confirmed his nomination on November 9, 2017.

 

“I am honored to return to the Department of Justice and serve as the United States Attorney for the Western District.   I look forward to working alongside the talented and dedicated men and women of this office and our partners in law enforcement to protect and defend the Constitution, ensure the safety and security of our community, and pursue the impartial administration of justice,” said U.S. Attorney Bash.

 

Bash graduated from Harvard University in 2003, and received his law degree from Harvard Law School in 2006.   Prior to his appointment as U.S. Attorney, Bash served as a Special Assistant to the President and as an Associate White House Counsel.  Bash was an Assistant to the U.S. Solicitor General from 2012 to 2017, where he represented the United States before the U.S. Supreme Court.  He was previously an associate in the law firm of Gibson, Dunn and Crutcher, and served as a law clerk to the late U.S. Supreme Court Associate Justice Antonin Scalia and to Circuit Judge Brett M. Kavanaugh on the U.S. Court of Appeals for the District of Columbia Circuit.

 

As U.S. Attorney, Bash is the chief federal law enforcement officer in the Western District of Texas.  He is responsible for prosecuting violations of federal criminal law and representing the U.S. in all civil litigation in which the United States is a party in the district. 

 

The Western District of Texas includes 68 counties spanning approximately 93,000 square miles.  The U.S. Attorney’s Office employs more than 250 people.  The headquarters office is in San Antonio; staffed offices are in Austin, El Paso, Midland, Del Rio, Waco, and Alpine.

 

Richard L. Durbin, Jr., who has served as the U.S. Attorney since December 2014, will serve as the First Assistant United States Attorney.                      

In Midland today, 47-year-old bookkeeper Mary Elisa “Lisa” Salazar pleaded guilty to stealing over $1.5 million from her employer, an oil well leasing company in Midland, announced United States Attorney Richard L. Durbin, Jr.; Internal Revenue Service-Criminal Investigation Acting Special Agent in Charge Troy Caldron; and, Federal Bureau of Investigation Special Agent in Charge Emmerson Buie, Jr., El Paso Division.

 

Appearing before U.S. Magistrate Judge David Counts, Salazar pleaded guilty to a two-count Information charging her with one count of wire fraud and one count of making and filing a false Income Tax return. 

 

By pleading guilty, Salazar admitted that from 2011 to 2016, she embezzled funds from the business by writing unauthorized company checks to herself.  She further admitted to concealing her actions by either falsifying bank reconciliation statements or omitting the checks in the internal accounting system.  The estimated loss to the company because of her illegal scheme is $1,588,518.

 

Salazar also admitted to filing false Income Tax returns for calendar years 2011 to 2016 in which she substantially understated her total income, adjusted gross income and taxable income.  According to court records, Salazar owes the Internal Revenue Service an estimated $540,000 in unpaid taxes due to her underreporting.

 

Salazar remains on bond pending sentencing.  No sentencing date has been scheduled.  Salazar faces up to 20 years in federal prison for the wire fraud charge and up to three years in federal prison for the tax charge.

 

The Internal Revenue Service-Criminal Investigation and Federal Bureau of Investigation conducted this investigation. 

In Waco today, a federal judge sentenced a Dripping Springs man to 18 months in federal prison for making threats to kill individuals on Fort Hood in back in February announced United States Attorney Richard L. Durbin, Jr., and Federal Bureau of Investigation (FBI) Special Agent in Charge Christopher Combs, San Antonio Division.

 

In addition to the prison term, United States District Judge Robert Pitman ordered that 29-year-old Thomas Anthony Chestnut, Jr., be placed on supervised release for a period of three years after completing his prison term.  Chestnut has remained in federal custody since being arrested by FBI agents on February 24, 2017.

 

On September 19, 2017, jurors found Chestnut guilty of one count of threatening to assault or murder a uniformed service member and one count of interstate communications with threat to injure.  Testimony during the two-day trial revealed that on February 22, 2017, Chestnut made verbal threats when he called and spoke with a sergeant at the US Army 1st Calvary Division at Fort Hood.  Chestnut threatened to go to Fort Hood, kill the sergeant, take hostages, start a mass killing spree and then kill himself if he was not allowed to speak with someone of rank.  Chestnut then spoke with a major and advised that he was a former soldier wrongly accused of a crime and eventually released from prison in 2016.  Chestnut further advised if he was unable to speak with a U.S. Army III Corps Commander or a Sergeant Major regarding back pay, or did not receive the money he believed was owed to him, that he planned to shoot soldiers on Fort Hood.

 

The FBI together with the U.S. Army Military Police Investigations at Fort Hood and the Hays County Sheriff’s Office conducted this investigation.   Special Assistant U.S. Attorney/Active Duty U.S. Army Major Benjamin Hogan and Assistant U.S. Attorney Chris Blanton prosecuted this case on behalf of the government.

In El Paso today, a federal judge sentenced 40-year-old Jose Juan Quinones Avila of Ciudad Juarez, Chihuahua, Mexico, to 57 months in federal prison for drug trafficking and money laundering announced United States Attorney Richard L. Durbin, Jr.; Federal Bureau of Investigation Special Agent in Charge Emmerson Buie, Jr., El Paso Division; and, Inspector in Charge Adrian Gonzalez, United States Postal Inspection Service, Houston Division.

 

On September 26, 2017, Quinones pleaded guilty to conspiracy to possess with the intent to distribute a Controlled Substance, over 500 grams of cocaine, and one count of conspiracy to launder monetary instruments.  Quinones was a target in an ongoing Bank Secrecy Act investigation.  By pleading guilty, Quinones admitted that from March 2006 to April 2017, he was responsible for transporting approximately five kilograms of cocaine in El Paso that was destined for Charlotte, NC, and disbursing approximately $142,156 in illicit proceeds to further ongoing drug trafficking activities in the United States.

 

The investigation involved agents from the Federal Bureau of Investigation, United States Postal Inspection Service, Homeland Security Investigations, United States Border Patrol, Drug Enforcement Administration, Texas Attorney General’s Office, and the Department of Treasury Financial Crimes Enforcement Network (FinCEN), who safeguards the United States financial system from illicit use, combats money laundering, and promotes national security through the collection, analysis, and dissemination of financial intelligence and strategic use of financial authorities.  Assistant United States Attorney John Johnston prosecuted this case on behalf of the Government.

In Austin today, a federal judge sentenced Brian David Haney, 38-year-old partial owner of Vidor Pharmacy and Kevin Michael Gray, 45-year-old operator of Family Pharmacy, Inc., in the Houston area, each to 28 months in federal prison for bribery and tax violations in connection with a health care fraud scheme announced United States Attorney Richard L. Durbin, Jr. 

 

In addition to the prison term, United States District Judge Sam Sparks ordered that each defendant pay a $100,000 fine; pay $6,500 for the cost of prosecution; and, be placed on supervised release for a period of three years after completing his prison term.  Judge Sparks also ordered that Haney pay $351,947 restitution to the IRS; Gray, $245,692 restitution to the IRS.  Judge Sparks also ordered that both defendants pay, jointly and severally, $813,560.87 restitution to the U.S. Department of Labor. 

 

On December 14, 2016, Haney pleaded guilty to a two-count Information charging him with willful offer and payment of illegal remuneration in relation to a federal health care program and one count of making and filing a false Income Tax return.  On April 13, 2016, Gray pleaded guilty to the same charges.

 

By pleading guilty, the defendants admitted that for over a two-year period ending in January 2014, they paid kickbacks totaling $813,560.87 to Garry Wayne Craighead.  Craighead, a chiropractor, organized and controlled multiple health care related entities, including eight clinics in Texas (Dallas, Fort Worth, Killeen, Austin, San Antonio, Corpus Christi, Weslaco, and Beaumont), that derived substantial revenue from the U.S. Department of Labor’s health care benefit programs.  Haney and Gray paid Craighead cash for patient referrals of federally-insured employees in need of prescription services.

 

Both defendants also admitted to filing a false Income Tax return in which they substantially understated their total income, adjusted gross income and taxable income. 

 

On December 4, 2015, Craighead pleaded guilty to one count of solicitation and receipt of illegal remunerations in federal health care programs and one count of engaging in monetary transactions in property derived from specified unlawful activity.  On June 10, 2016, Craighead was sentenced to 14 years in federal prison and ordered to pay over $17 million restitution to the U.S. Department of Labor. 

 

“Today’s sentencings of Brian Haney and Kevin Gray further shows that IRS Criminal Investigation is working vigorously to stop perpetrators who devise elaborate methods to conceal their fraudulent proceeds from health care fraud,” said Acting Special Agent in Charge Troy Caldron, San Antonio Field Office.  “Money gained through illegal sources, such as healthcare fraud, is part of the untaxed, underground economy.  This untaxed underground economy poses a threat to our voluntary tax compliance system and undermines the overall public confidence in our American system of taxation.”

 

“To ensure patient referrals of federally-insured employees in need of prescription services, pharmacists Brian Haney and Kevin Gray paid more than $800,000 in illegal kickbacks to Dr. Garry Craighead, who is currently serving a 14-year sentence on related charges. We will continue to work with our law enforcement partners to investigate medical providers who exploit injured American workers and defraud the Office of Workers’ Compensation Programs for their personal gain,” said Special Agent in Charge Steven Grell, U.S. Department of Labor, Office of Inspector General, Dallas Region.

 

“The sentences issued today should be an example to those healthcare providers engaging in illegal schemes that the government is vigilant and fraud committed against federal benefit programs is a serious offense that will not be tolerated,” said Special Agent in Charge Christopher Cave, U.S. Postal Service Office of Inspector General, Southern Area Field Office. “The USPS-OIG, along with our law enforcement partners, will continue to vigorously investigate these types of cases in order to protect the Office of Workers’ Compensation Programs and United States Postal Service from further fraud and abuse.”  

 

“We are very pleased with today’s announcement,” said Director Frank Robey, U.S. Army Criminal Investigation Command's Major Procurement Fraud Unit.  “This is a true testament to our continued commitment to work closely and seamlessly with our outstanding fellow law enforcement agencies to help bring those to justice who attempt to defraud the U.S. Government and U.S. Army.”

 

“The sentences handed down today should send a strong message to healthcare providers, and others who contemplate engaging in illegal kickback schemes, that they will be held accountable for their actions.  The FBI will continue to work with our partners, to aggressively investigate and prosecute criminals who abuse the system for personal enrichment, at the expense of hard working U.S. taxpayers,” stated FBI Special Agent in Charge Christopher Combs, San Antonio Division.

 

The U.S. Postal Service Office of the Inspector General, U.S. Army Criminal Investigation Command’s Major Procurement Fraud Unit, Federal Bureau of Investigation, Internal Revenue Service-Criminal Investigation, and the U.S. Department of Labor Office of the Inspector General conducted this investigation.  Assistant U.S. Attorneys James Blankinship and Mark Marshall are prosecuting this case for the government.

In San Antonio today, United States District Judge Xavier Rodriguez sentenced former Texas Mexican Mafia (TMM) Sergeant Jerry Idrogo to 20 years in federal prison followed by five years of supervised release for his role in the murder of Balcones Heights Police Officer Julian Pesina in 2014.

 

United States Attorney Richard L. Durbin, Jr.; Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division; Texas Department of Public Safety Director Steve McCraw; and, San Antonio Police Chief William McManus made that announcement this afternoon.

 

On August 11, 2016, Idrogo, age 37, pleaded guilty to a racketeering conspiracy charge that included Pesina’s murder.  Another TMM member, Ruben Reyes, previously pleaded guilty to similar charges that included this murder and four others.  Reyes is currently serving five consecutive life-imprisonment sentences.  Earlier this month, a federal jury convicted two other TMM members, 29-year-old Jesse Santibanez and 36-year-old Alfredo Cardona of one count of murder in aid of racketeering and one count of discharging a firearm during a murder in aid of racketeering. 

 

Evidence presented during trial revealed that acting upon an order by Reyes, Santibanez and Cardona murdered Pesina on May 4, 2014, in front of his business, the Notorious Ink Tattoo and Piercing Studio, located on Hillcrest Drive. 

 

Testimony during trial revealed that Pesina had claimed membership in the TMM, was selling narcotics and paying the “dime” (the 10% street tax) to the TMM, when the TMM learned that Pesina was a Balcones Heights Police Officer.  On May 4, 2014, Idrogo contacted Pesina and arranged for pickup of the “dime” outside of Pesina’s tattoo shop.  Just before meeting Pesina, Idrogo dropped off Santibanez and Cardona on the side of the building.  Once Pesina walked up to the car and handed Idrogo the “dime” payment money, Santibanez and Cardona came around the corner and shot and killed Pesina.

 

All of the defendants remain in federal custody.  Santibanez and Cardona each face a minimum mandatory sentence of life in federal prison.  Sentencing is scheduled for February 8, 2018, before Judge Rodriguez. 

 

The FBI together with the Texas Department of Public Safety, the San Antonio Police Department and the Bexar County Sheriff’s Office investigated this case. 

In San Antonio today, 67-year-old Opal Jewel Charles, of Cibolo, TX, was sentenced to five years in federal prison for stealing money collected for wounded warriors and their families announced United States Attorney Richard L. Durbin, Jr.; Resident Agent in Charge Ray A. Rayos, U.S. Army Criminal Investigation Command (Army CID), San Antonio Fraud Resident Agency; and, Internal Revenue Service-Criminal Investigation (IRS-CI) Acting Special Agent in Charge Troy Caldron, San Antonio.

 

In addition to the prison term, United States District Judge Xavier Rodriguez ordered that Charles pay $260,000 restitution and be placed on supervised release for a period of three years after completing her prison term. 

 

In May, Charles pleaded guilty to one count of wire fraud and one count of structuring.  By pleading guilty, Charles admitted that from 2004 to December 2016, she was assigned to attend to the needs of soldiers and their families at the Warrior Transition Battalion at Brooke Army Medical Center located on Fort Sam Houston in San Antonio. As part of her duties, she solicited funds and other assistance from private organizations and individuals dedicated to assisting wounded warriors.  Charles, admittedly, stole those solicited funds and used them for her own private affairs, including gambling.  Charles further admitted to structuring bank deposits under $10,000 in order to avoid triggering automatic currency transaction reports.

 

“Today's sentencing illustrates our firm commitment to aggressively investigate public corruption on Joint Base San Antonio and hold those who engage in such acts accountable,” said Resident Special Agent in Charge Ray A. Rayos, U.S. Army CID San Antonio Fraud Resident Agency."

 

“IRS-Criminal Investigation is diligent in unraveling the fraudulent actions of those, such as Opal Charles, who schemed to defraud those willing to donate to American soldiers in need of assistance,” said IRS-CI Acting Special Agent in Charge Troy Caldron, San Antonio Field Office.  “Today’s sentencing is a reminder that there are detrimental consequences for this type of criminal behavior.”

 

Agents with the U.S. Army CID Major Procurement Fraud Unit and IRS-CI investigated this case.  Assistant United States Attorney James Blankinship prosecuted this case on behalf of the Government.

In San Antonio, 47–year-old professional photographer Christopher Alexander Reilly, doing business as Chris Reilly Photography, faces between five and 40 years in federal prison after pleading guilty this afternoon to federal child pornography charges announced United States Attorney Richard L. Durbin, Jr., and Federal Bureau of Investigation Special Agent in Charge Christopher Combs, San Antonio Division.

 

Appearing before United States Magistrate Judge Elizabeth S. Chestney, Reilly pleaded guilty to one count of transportation of child pornography and one count of receipt of child pornography.  By pleading guilty, Reilly admittedly downloaded child pornography from the Internet onto a computer hard drive in December 2016.  Furthermore, he knowingly transported child pornography on his laptop computer on a trip from Texas to California in January 2017.  According to court records, on January 24, 2017, a data recovery firm reported to the FBI that they discovered videos depicting minors engaged in sexually explicit conduct on a computer hard drive submitted for recovery by the defendant.

 

The forensic examination of the information contained on the laptop computer as well as the external hard drive revealed numerous video and image files depicting prepubescent children engaged in sexually explicit conduct.  Also contained on the external hard drive were video files of minor children, taken surreptitiously by the defendant, depicting the clothed genital areas of the children, as they stretched, walked and engaged in conversation with Reilly.

 

Reilly remains in federal custody.  Sentencing is scheduled for 9:00am on February 26, 2018, before Senior United States District Judge David A. Ezra.

 

Assistant United States Attorney Tracy Thompson is prosecuting this case on behalf of the Government.

United States Attorney Richard L. Durbin, Jr., today announced $3,125,000 in grant funding through the Department of Justice’s Office of Community Oriented Policing Services (COPS Office) COPS Hiring Program (CHP). These funds have been awarded to the San Antonio Police Department and will allow for the hiring of 25 additional full-time law enforcement officers. CHP provides grant funding directly to state, local, and tribal law enforcement agencies to support the hiring of additional law enforcement officers, for three years, to address specific crime problems utilizing community policing strategies.

 

“Community policing is an effective tool for reducing violent crime in our neighborhoods,” said U.S. Attorney Richard L. Durbin, Jr. “With this grant, an important partner agency of ours will be able to hire and train additional officers to enhance public safety in our community.”

 

Earlier today, Attorney General Jeff Sessions announced that 179 law enforcement agencies across the nation were awarded $98,495,397 through the COPS Office’s CHP funding program. These awards will allow for the hiring of 802 additional full-time law enforcement officers.

 

The COPS Office awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders, and all levels of law enforcement. Since 1994, the COPS Office has invested more than $14 billion to help advance community policing.

####

This morning, federal, state and local authorities arrested without incident eight members of the Crips East Terrace Gangstas who call themselves the “Skinny Bloc Crew,” including 40–year-old ringleader Alvin Clark (aka “Ray Ray”), on federal drug charges stemming from a “crack” cocaine distribution investigation announced United States Attorney Richard L. Durbin, Jr., Federal Bureau of Investigation Special Agent in Charge Christopher Combs and San Antonio Police Chief William McManus. 

 

On Wednesday, a federal grand jury in San Antonio returned an indictment charging Clark and the following with one count of conspiracy to possess with intent to distribute “crack” cocaine and one substantive count of possession with intent to distribute “crack” cocaine: 

 

Earl Whitley, Jr. (aka “Earl Jr”, “E”), age 36;

Dai’Vonte E’Shaun Titus Ross (aka “Tay”), age 21;

Jovon Deante Stewart (aka “Lil JoJo”), age 24;

Paul Low (aka “P-Low”), age 49;

**Joseph Hammond (aka “JoJo”), age 37;

James Bilal Ali (aka “Showtime”), age 34;

Spurgeon Williams (aka “Bubba”), age 47; and,

Joseph Lake (aka “J.L.”), age 29.

** Already in state custody prior to today.

 

The indictment also charges Ross with one count of use of a firearm in furtherance of a drug trafficking crime. 

 

The indictment alleges that the defendants conspired to distribute more than 28 grams of “crack” cocaine since January 2016.  The indictment further alleges that on September 19, 2017, Ross was in possession of a black pistol while distributing “crack” cocaine.

 

Upon conviction, Clark, Whitley, Ali, Hammond, Lake, Stewart, Low, and Williams face an enhanced penalty of between 10 years and Life in federal prison due to their criminal histories.  Ross faces between five and 40 years in federal prison for each drug charge and a mandatory consecutive five years in federal prison on the firearm charge, upon conviction.

 

This investigation, conducted by local, state and federal authorities, focuses on drug trafficking and violent crime occurring on the city’s East side.  Most all of the narcotics trafficking occurred in the 200 and 300 blocks of Ferris Avenue on the city’s East side. 

 

The defendants remain in federal custody pending detention hearings next week.  Detention hearings for Clark, Whitley, Low and Ali are scheduled for 10:00am on November 22, 2017, before United States Magistrate Judge Elizabeth S. Chestney.  Detention hearings for Ross, Stewart, Williams and Lake are scheduled for 10:00am on November 30, 2017, before Judge Chestney.  An initial appearance has yet to be scheduled for Hammond.

 

“Drug trafficking, and the related violence, has a debilitating effect on individuals, families, and communities.   It is a scourge on neighborhoods throughout the nation and causes citizens to live in fear.  The FBI is committed to working with the San Antonio Police Department, along with our federal, state and local partners on the Violent Crime Task Force to ensure children and families can enjoy their community,” stated FBI Special Agent in Charge Christopher Combs.

 

“Today's arrests are the result of the ongoing collaboration with SAPD and our local, state and federal partners. We will continue to work strategically using intelligence led policing and teamwork to ensure that violent offenders are arrested and prosecuted to the fullest extent of the law,” stated San Antonio Police Chief William McManus.

 

The FBI and San Antonio Police Department, together with Bexar County Sheriff’s Office, New Braunfels Police Department, Comal County Sheriff’s Office, Texas Department of Public Safety, Homeland Security Investigations, U.S. Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, are investigating this case.  Assistant United States Attorney Sarah Wannarka is prosecuting this case on behalf of the government.

 

An indictment is merely a charge and should not be considered as evidence of guilt.  The defendants are presumed innocent until proven guilty in a court of law.