Category: Texas

BEAUMONT, Texas – A Florida-based pharmaceutical president has been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.

Adam P. Runsdorf, 58, of Boca Raton, Florida, pleaded guilty to conspiracy, trafficking in counterfeit drugs, and money laundering conspiracy and was sentenced to 72 months in federal prison today by U.S. District Judge Marcia A. Crone.  Runsdorf was also ordered to forfeit $5 million and a McLaren sportscar.

According to the indictment, from April 2014 until August 2021, Runsdorf, the owner and president of Woodfield Pharmaceutical LLC based in Boca Raton, Florida, conspired with drug traffickers in Houston, Texas, to distribute misbranded and counterfeit cough syrup.  Runsdorf’s company pleaded guilty to the same charges and was ordered to forfeit $1 million and fined $50,000.

According to information presented in court, Byron A. Marshall, 43, of Houston, utilized Woodfield Pharmaceutical’s manufacturing facility and employees in Houston to produce more than 500,000 pints of counterfeit cough syrup. Marshall’s drug trafficking organization sold the counterfeit drugs across Texas, Louisiana, Mississippi, Alabama, Georgia, South Carolina, Tennessee, Wisconsin, California, Florida, Arkansas, and Ohio. Prices generally ranged from $100 to more than $1,000 per one-pint bottle. Depending on the market and brand of cough syrup, prices went as high as $3,800 to $4,000 per pint.

During the conspiracy, Marshall communicated directly with Runsdorf regarding production of the counterfeit cough syrup.  At Runsdorf’s request, Marshall paid Woodfield Pharmaceutical in cash only, and Woodfield employees mailed the cash directly to Runsdorf in Boca Raton.

All eleven defendants charged in the indictment, including Runsdorf and Marshall, pleaded guilty.  Six have been sentenced in addition to Runsdorf. Tunji Campbell pleaded guilty to conspiracy, trafficking in counterfeit drugs, and money laundering conspiracy and was sentenced to 135 months imprisonment. Chauntell D. Brown pleaded guilty to conspiracy and trafficking in counterfeit drugs and was sentenced to 72 months imprisonment. Cheryl A. Anderson, Ashley A. Rhea, and Maria Anzures-Camarena, each pleaded guilty to conspiracy and were sentenced to 60 months imprisonment. Five others, including Marshall, are awaiting sentencing.

“In his role as owner and president of Woodfield Pharmaceutical LLC, Adam Runsdorf knew his company was producing thousands of gallons of counterfeit cough syrup—labeled to be nearly identical to a discontinued product—to be distributed to drug traffickers in Texas and other states,” said U.S. Attorney Damien M. Diggs.  “Runsdorf knew that drug traffickers were selling the counterfeit cough syrup to street-level users and he profited greatly from the sale of the counterfeit cough syrup.  Runsdorf’s greed earned him a significant prison sentence.  Food and drug products, particularly pharmaceuticals such as cough syrups, undergo rigorous testing and inspection by federal authorities to ensure their safety.  When companies evade inspection and certification requirements, innocent consumers are put at risk.  EDTX is committed to ensuring public safety and upholding public trust through the vigorous prosecution of those that skirt these safety requirements.”

“This sentence sends a strong message to anyone misusing their trusted role and privilege granted by DEA to handle controlled substance,” said DEA Special Agent in Charge of the Houston Division Daniel C. Comeaux.” “This case shows how collaborative efforts between state, local and federal partners on multiple fronts are capable of holding large pharmaceutical distribution companies like Woodfield Distribution accountable by immediately suspending its dangerous operations and bringing its CEO behind bars.”

“Today’s sentence sends a clear message that the laws of the land apply to everyone, regardless of position or power,” said Special Agent in Charge Christopher J. Altemus, Jr. of IRS Criminal Investigation (CI), Dallas Field Office. “Adam Runsdorf abused his role as CEO of Woodfield Distributors to participate in the laundering of hundreds of thousands of dollars derived from illegally manufactured and distributed controlled substances. Mr. Runsdorf’s sentence is a direct result of the excellent partnership between law enforcement and the U.S. Attorney’s office in combating drug trafficking and money laundering.  I am extremely proud of the CI special agents who used their unique financial expertise to help unravel this complex fraud and money laundering scheme. IRS-CI will continue to work with our law enforcement partners to stop criminals like Mr. Runsdorf from endangering the American public.”

This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

This case was investigated by the Drug Enforcement Administration; U.S. Food and Drug Administration Office of Criminal Investigations; Internal Revenue Service-Criminal Investigation; Federal Bureau of Investigation; U.S. Marshals Service; Houston Police Department; Galveston Police Department; Galveston County Sheriff’s Office; Dickinson Police Department; League City Police Department; Pearland Police Department; Pasadena Police Department; Texas City Police Department; Harris County Precent #2; Brazoria County Sheriff’s Office; Fort Bend County Sheriff’s Office; Liberty County Sheriff’s Office; and the Texas National Guard.  This case was prosecuted by Assistant U.S. Attorneys John B. Ross and Jonathan C. Lee.

Three Cuban nationals were sentenced for sex trafficking and related crimes in strip clubs in the Houston area.

Rasiel Gutierrez Moreno, 38, Hendry Jimenez Milanes, 39, and Rafael Mendoza Labrada, 29, were each sentenced to 210 months in prison and to pay $451,298 in restitution, 120 months and $359,108 in restitution, and time served of 34 months, respectively.

Gutierrez Moreno pleaded guilty to sex trafficking and interstate travel in aid of racketeering Oct. 28, 2021. As part of his plea agreement, Gutierrez Moreno admitted to bringing women from Cuba to the United States and imposing on them inflated smuggling debts as high as $30,000. Gutierrez Moreno forced the women to work in Houston-area strip clubs, such as Michaels’ International, where they danced and engaged in commercial sex acts with club patrons, providing all the proceeds to Gutierrez Moreno to pay down their debt. The defendant further acknowledged smuggling and imposing debts to coerce approximately 20 other women in this manner.

Gutierrez Moreno admitted that, to keep Victim 1 under his control while she worked for him, he bragged about his acts of violence against other women and their families. On one occasion, Gutierrez Moreno beat another woman shortly before Victim 1 arrived at his home and ensured that Victim 1 observed that woman’s injuries. When Victim 1 escaped Gutierrez Moreno, the defendant contacted her family in both Miami and Cuba to demand that she return to work and finish paying her debt to him.

Jimenez Milanes pleaded guilty on Jan. 10, 2022, to coercion and enticement, and Mendoza Labrada pleaded guilty on April 30, 2021, to interstate travel in aid of racketeering.

“These defendants cruelly used violence, threats of violence, and false debts to force vulnerable victims to engage in commercial sex,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This kind of sex trafficking scheme is unlawful, dehumanizing and terrorizing to the women unable to break free. The Justice Department is committed to the vigorous prosecution of those who prey upon, abuse and exploit others for their own financial benefit.”

“These human smugglers terrorized female migrants, using Houston’s strip clubs combined with psychological threats and sexual violence for their personal financial gain,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “The victims came to the United States in search of a new life, were especially vulnerable, and the defendants took advantage of that. The sentences imposed today send a strong message that the Southern District of Texas will not tolerate those who smuggle, threaten and abuse the vulnerable.”

“The court’s sentence today sends a strong message: The Diplomatic Security Service is committed to making sure that those who commit sex trafficking face consequences for their criminal actions,” said Special Agent in Charge John Keith of the Department of State’s Diplomatic Security Service (DSS) Houston Field Office. “DSS’ strong relationship with the Department of Justice and other law enforcement agencies around the world continues to be essential in the pursuit of justice.”

“Homeland Security Investigations (HSI) will always remain dedicated and focused on the identification and recovery of the victims of human trafficking. We prioritize not only the safe rescue of these victims, but work with our partners to provide them with resources necessary to help them deal and cope with their experience,” said Special Agent in Charge Anthony Salisbury of HSI Miami. “We are committed to working with our local, state and federal law enforcement partners to put any human trafficker who soullessly preys on victims of this crime to put them behind bars.”

The DSS investigated the case as part of the Human Trafficking Rescue Alliance (HTRA), with the assistance of HSI Miami and the Department of Labor Wage and Hour Division.

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

Assistant U.S. Attorney Sherri Zack for the Southern District of Texas and Trial Attorney Kate Hill of the Civil Rights Division’s Human Trafficking Prosecution Unit prosecuted the case.

DALLAS – U.S. Customs and Border Protection (CBP) officers at Dallas/Fort Worth International Airport seized five counterfeit Richard Mille watches originating from Hong Kong.

Officers seized the shipment of luxury watches destined to an individual in Oklahoma.  With items such as these, officers work with import specialists from CBP’s Centers of Excellence and Expertise (CEE) to determine if the watches are counterfeit. Had the watches been genuine they would have been valued at over $3 million.

Counterfeit watches are made with inferior materials that lack the quality of genuine products and do not adhere to safety requirements.  Consumers should be aware that purchasing counterfeit watches online could expose them to internet security risks, such as malware or ransomware, and could compromise their personal data and financial information shared during the purchase.

“CBP officers have experience and expertise in detecting counterfeit products,” said Dallas Area Port Director Jayson Ahern.  “Their focus on intercepting fake goods protects consumers from purchasing items that may ultimately fund criminal organizations and activities such as forced labor and human and drug trafficking.”

On a typical day in fiscal year 2022, CBP seized $8 million worth of products with Intellectual Property Rights violations.

CBP has established an educational initiative at U.S. airports and online to raise consumer awareness and conscientiousness about the consequences and dangers that are often associated with the purchase of counterfeit and pirated goods.  Information about the Truth Behind Counterfeits public awareness campaign is available at www.cbp.gov/fakegoodsrealdangers.

If you have any suspicion of or information regarding suspected fraud or illegal trade activity, please report the trade violation to e-Allegations Online Trade Violation Reporting. System or by calling 1-800-BE-ALERT.

Report Intellectual Property Rights (IPR) violations to the National Intellectual Property Rights Coordination Center at https://www.iprcenter.gov/referral/ or by telephone at 1-866-IPR-2060.

CBP conducts operations at ports of entry throughout the United States, and regularly screens arriving international passengers and cargo for narcotics, weapons, and other restricted or prohibited products. CBP strives to serve as the premier law enforcement agency enhancing the Nation’s safety, security, and prosperity through collaboration, innovation, and integration.

Photo cutline:  CBP officers in Dallas seized these counterfeit luxury watches with a MSRP of over $3 million.

AUSTIN, October 11, 2022 – United to Safeguard America from Illegal Trade (USA-IT), in partnership with the Texas Association of Business (TAB), today hosted a statewide summit examining the challenges posed by organized retail crime and myriad other interconnected crimes undermining Texas’ security, including counterfeiting, brand integrity, and the trafficking of drugs, illicit tobacco, and other contraband.

Former Acting Secretary of the U.S. Department of Homeland Security Chad Wolf headlined today’s summit, delivering a powerful and timely keynote on the complexities of illegal trade and the many consequences this growing threat poses to our society. “No one individual, agency, or government can tackle this problem alone. Public and private sectors must work together and leverage one another’s assets and knowledge to root out illegal trade and prevent it from entering our communities, no matter its form,” stated Wolf.

The summit also featured two panels with participants who offered best practices and innovative solutions to further enhance cross-sector information-sharing and cooperation. Panelists and speakers included:

• Alysa Erichs, USA-IT Spokesperson and former Acting Executive Associate Director for
  Homeland Security Investigations (HSI) (Moderator)
• Glenn Hamer, President and CEO, Texas Association of Business
• John McCord, Executive Director, Texas Retailers Association
• Jeni Zuercher, Director, Global Brand Protection, Yeti
• Craig Westemeier, Senior Associate Athletics Director for Business Development, The
  University of Texas at Austin
• Steve Hunter, Director of Global Investigations, Walmart
• Kevin Lawrence, Executive Director, Texas Municipal Police Association
• Agent Stan Seto, Assistant Special Agent in Charge, Homeland Security Investigations
• Rania Mankarious, CEO, Crime Stoppers of Houston

As one of the largest states in the nation, Texas shares 11 land ports of entry with Mexico, which are used to move vast amounts of illegal goods to the United States. Traffickers and other criminal organizations have a long history of smuggling everything from human beings to drugs to weapons.

In 2019, Texas experienced one of the greatest increases of the number of controlled substances lost-in-transit incidents. Texas also ranks second in the U.S. in human trafficking cases, totaling 6,877 cases since 2007. In 2019 alone, federal law enforcement in Texas seized over $23 million in smuggled currency, the third most in the nation. Last year, retail thefts in Texas totaled $3.8 billion and cost more than $300 million in state and local taxes.

Crime Stoppers of Houston CEO Rania Mankarious highlighted that organized retail crime remains a top priority for their organization. “As a leading non-profit dedicated to public safety and crime prevention, we believe that crime rings are not only a major threat to our communities and law enforcement, but also have a crippling effect on society. We remain committed to working on serious issues like these to help find solutions where needed.”

“Our members are increasingly encountering challenges related to organized retail crime. Coming together with retailers, law enforcement, and other partners combating complex retail crime issues demonstrates the urgency of this crisis for the retail sector in Texas, and we feel energized to double down on our efforts to enact change this upcoming legislative session,” said John McCord, Executive Director of Texas Retailers Association and a panelist at the event.

Kristin Reif, Director of Government Affairs for Philip Morris International (PMI), who provided closing remarks said, “Illicit tobacco costs Texas more than $300 million every year in lost tax revenues. That’s money that should be going to public services but instead is lost to criminals. These criminal organizations are not only dangerous, they’re smart—evolving their operations from street corners and back alleys to e-commerce, social media, and more. Whether it’s tobacco products, sneakers, purses, or toothpaste, criminals will traffic anything that earns them a dollar, no matter who it hurts.”

For more information about USA-IT’s efforts to combat illegal trade and to get involved, visit USAIT.org or email us at [email protected].

For media requests, please email [email protected]

About USA-IT
Launched in 2021, USA-IT is a coalition of more than 85 national and state brand enforcement experts, law enforcement agencies, academics, and leading business organizations working across 15 states including Texas to empower local officials, law enforcement, and other leaders with new information and training programs and raise public awareness of the depth and severity of this crime.

Contact:
Sam Dashiell
U.S. Communications, Philip Morris International
T. +1 (202) 480 1617
E. [email protected]

The COVID-19 pandemic has revealed a pervasive issue here in Michigan that operates in the shadows at great cost to residents illegal trade. Whether it involves drugs, people, weapons, cigarettes or a knock-off pair of Adidas shoes, illegal trade is a growing problem exacerbated by COVID-19.

When the pandemic hit, criminals quickly maneuvered to flood the market with fake and inferior personal protective equipment and other COVID-related products. Since the beginning of the pandemic, online counterfeited goods have jumped nearly 40%. The roughly $1 trillion industry of transnational crime facilitated by illegal trade harms everyone and requires a united and collaborative effort to reduce the damage it inflicts on our society.

Here in Michigan, we know that our common border with Canada offers traffickers numerous opportunities. Border access points are frequently misused by drug smugglers. Prime locations like this become major conduits for illegal trade, and more hands need to be working toward stopping the influx of contraband.

Illegal trade and black market goods cause a lot of harm to our state, stealing millions of dollars from tax revenues that could be spent on improving Michigan services like infrastructure and education. For example, data from the Mackinac Center for Public Policy last year showed that Michigan loses more than $207 million in tax revenues each year due to illegal smuggling of tobacco products alone.

This is why we joined United to Safeguard America from Illegal Trade (USA-IT), a partnership of national and state brand enforcement experts, law enforcement agencies and leading business organizations dedicated to educating the public about the dangers of illegal trade.

The coalition is raising awareness in Michigan and other states across the country while leveraging our collective, vast expertise to share resources and provide training programs with local officials, law enforcement and other thought leaders to help combat these insidious acts and the criminals who commit them.

To many, buying smuggled cigarettes or knock-off sneakers may seem like victimless crimes, but they are far from it. The funds these organizations earn by selling black market goods are used to bolster their other nefarious activities. These criminals are the same criminals who traffic in weapons, drugs and even people. We cannot let this criminal activity continue to harm our communities.

As criminal enterprises continue to devise new strategies and practices to evade law enforcement, we must bring more tools to the table to keep pace with black market ingenuity.

This involves sharing knowledge of illegal trade with the public so they are aware of what happens in the shadows, while also working with law enforcement and local governments to target these operations, and empowering lawmakers, organizations and our communities with the tools needed to act.

It is clear there will not be an immediate or easy fix, and no one government or single industry can address this complex problem on its own. When facing such dynamic adversaries, it is important that we always stay prepared for the next challenge.

Through the work of partnerships like USA-IT, we can work toward holding the perpetrators of illegal trade accountable and ensure a more secure and prosperous Michigan.

Dan Papineau is the director of tax policy and regulatory affairs for the Michigan Chamber Of Commerce.

BROWNSVILLE, Texas – A 51-year-old Mexican national who was head of Cartel del Golfo (CDG) from 2003 to 2012 has been ordered to prison and to pay millions for his role in conspiring to distribute cocaine and marijuana from Mexico into the United States, announced U.S. Attorney Jennifer B. Lowery.

Jorge Costilla-Sanchez pleaded guilty Sept. 26, 2017.

Today, U.S. District Judge Fernando Rodriguez Jr. ordered Costilla-Sanchez to serve the rest of his life in federal prison. At the hearing, the court heard additional information detailing how Costilla-Sanchez profited $5 million from drug trafficking. He was ordered to pay a money judgment in that amount. In handing down the sentence, Judge Rodriguez noted Costilla-Sanchez’s extensive involvement in trafficking illegal drugs into the country. The court commented that during the 10 years Costilla-Sanchez was the head of the CDG, he lead a violent criminal organization, using guns and intimidation to maintain control of their illegal drug trafficking enterprise and resorting to violence and killing to maintain power.

“This was a long, but very important case to the district and especially our partners in Brownsville,” said Lowery. “The life sentence speaks for itself. Justice has now been served.”

“Today’s sentencing is the culmination of years of relentless work by Homeland Security Investigations (HSI) and its partners targeting the Cartel del Gulfo,” said Acting Special Agent in Charge Craig Larrabee of HSI – San Antonio. “This investigation highlights HSI’s dedication to go after cartel members importing dangerous drugs into our communities. This sentence will send a resounding message that transnational criminal organizations are being continuously investigated and their leaders will be brought to justice.”

“High-ranking drug trafficking leaders like Costilla-Sanchez are not immune from facing stiff punishments,” said Special Agent in Charge Daniel C. Comeaux of the Drug Enforcement Administration (DEA) – Houston Division. “Costilla-Sanchez brought poison to our communities, and our collaborative efforts with our local and federal partners brought him to prison. We will continue to aggressively go after any drug trafficking organization wanting to profit from our communities.”

“This sentencing sends a clear message that organized drug trafficking organizations and threats against law enforcement will not be tolerated,” said FBI Special Agent in Charge Oliver E. Rich Jr. “The FBI continues to work alongside our partners to pursue and prosecute the leadership of drug trafficking cartels and dismantle their organizations. We thank the Organized Crime Drug Enforcement Task Force (OCDETF) for their collective efforts to bring this high-level criminal to justice.”

Costilla-Sanchez aka El Cos, Doble X and Dos Equis became head of CDG after the arrest of former CDG leader Osiel Cardenas in 2003. Prior to joining the cartel, Costilla-Sanchez was a municipal police officer in Matamoros, Tamaulipas, Mexico.

He was arrested in 2012 in Mexico at the request of the United States and in 2015. Costilla-Sanchez also previously pleaded guilty to threatening two federal agents from the FBI and while he was being investigated for drug trafficking in 1999.

CDG is a Mexican transnational criminal organization operating in Tamaulipas, Mexico. During the time Costilla-Sanchez was the leader, he was responsible for importing over 10,000 kilograms of cocaine and 140,000 kilograms of marijuana to the United States.

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

HSI, DEA and FBI conducted the OCDETF operation with the assistance of the U.S. Marshals Service and IRS-Criminal Investigation.

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

Assistant U.S. Attorneys Jody Young and Karen Betancourt prosecuted the case. The Justice Department’s Office of International Affairs worked with law enforcement partners in Mexico to secure the arrest and extradition of Costilla-Sanchez to the United States.

LAREDO, Texas—U.S. Customs and Border Protection (CBP), Office of Field Operations (OFO) officers seized cocaine in one enforcement action over the weekend that totaled over $11,800,000 in street value.

“Officers assigned to CBP cargo facilities ensure effective border security by preventing and countering the flow of suspected narcotics entering the country,” said Port Director Alberto Flores, Laredo Port of Entry. “This seizure is a prime example of border security management and how it helps prevent dangerous narcotics from reaching our communities.”

The seizure occurred on Friday, August 26, 2022, at the Colombia-Solidarity Bridge when a CBP officer referred a 2016 Stoughton trailer manifesting a shipment of baby wipes for a secondary inspection. The truck was referred for a canine and non-intrusive inspection system examination, resulting in the discovery of 1,935 packages containing 1,532.65 pounds of alleged cocaine within the shipment.

The narcotics had an estimated street value of $11,818,400.

CBP seized the narcotics. U.S. Immigration and Customs Enforcement-Homeland Security Investigations (ICE-HSI) special agents are investigating the seizure.

Follow the Director of CBP’s Laredo Field Office on Twitter at @DFOLaredo and on Instagram at @dfolaredo and also U.S. Customs and Border Protection at @CBPSouthTexas for breaking news, current events, human interest stories and photos.

PROGRESO, Texas—U.S. Customs and Border Protection, Office of Field Operations (OFO) at the Progreso Port of Entry seized $2.4 million in methamphetamine hidden within a passenger vehicle.

“Our frontline CBP officers continue to remain dedicated to carrying out CBP’s border security mission and this significant seizure of liquid methamphetamine perfectly exemplifies that commitment,” said Port Director Albert Flores, Laredo Port of Entry.

On Aug. 17, 2022, a CBP officer assigned to the Progreso International Bridge encountered a 1998 Ford Expedition driven by a 37-year-old male U.S. citizen and referred them for secondary examination. After conducting a thorough secondary examination, which included utilization of non-intrusive inspection (NII) equipment, CBP officers discovered a total of nearly 175 pounds (79.38 kg) of alleged liquid methamphetamine within the gas tank. The methamphetamine had an estimated street value of $2.4 million.

CBP OFO seized the narcotics, vehicle, arrested the driver and an investigation by Homeland Security Investigations special agents remains ongoing.

For more information about CBP, please click on the attached link.

Follow the Director of CBP’s Laredo Field Office on Twitter at @DFOLaredo and also U.S. Customs and Border Protection at @CBPSouthTexas for breaking news, current events, human interest stories and photos.

LAREDO, Texas – A Mexican citizen was sentenced Aug. 4 to nearly 20 years for conspiracy to import and importation of meth, following an investigation conducted by Homeland Security Investigations (HSI) with the assistance of U.S. Drug Enforcement Administration (DEA), U.S. Customs and Border Protection (CBP), and U.S. Border Patrol (BP) Laredo Sector.

Juan Victor Larraga-Solano, 33, was sentenced by a federal judge to serve 235 months in federal prison followed by five years of supervised release.

In handing down the sentence, the court noted the seriousness of drug smuggling and the significant quantity of meth Larraga-Solano attempted to bring into the United States. The judge also pointed out that Larraga-Solano’s testimony at the two-day trial did not make any sense and that he had not acknowledged any responsibility for his actions. As Larraga-Solano is not a U.S. citizen, he is expected to face removal proceedings following his sentence

“This sentence represents the seriousness of these crimes and serves as an appropriate punishment for Larraga-Solano for his role in a major drug trafficking organization that had a damaging impact in our communities,” said Craig Larrabee, acting special agent in charge of HSI San Antonio. “HSI will continue to utilize its broad authorities to dismantle criminal organizations who blatantly ignore the laws of this nation.”

According to court documents, Larraga-Solano attempted to enter the United States through the Lincoln-Juarez International Bridge in Laredo, March 8, 2020. He claimed he was importing glass beer bottles, juice boxes and meat contained in coolers from Mexico. Law enforcement inspected the items and noticed that, when shaken, the juice boxes sounded as if they contained rocks. Further, the alleged beer did not have any bubbles. A follow up X-ray examination also revealed anomalies in the walls of the coolers. Authorities conducted a thorough inspection and found 56 packages of meth and 12 beer bottles containing liquid meth. Overall, authorities seized a total of 44.56 kilograms of meth from Larraga-Solano.

During trial, the jury heard the total estimated street value was more than $1.1 million. Testimony at trial revealed that Mexican cartels have increased the price of meth to raise demand for less expensive drugs like cocaine and marijuana. Larraga-Solano remains in custody pending transfer to a U.S. Bureau of Prisons facility.

Assistant U.S. Attorney (AUSA) Brandon S. Bowling and former AUSA Adam E. Harper prosecuted the case.

HSI the principal investigative arm of the U.S. Department of Homeland Security (DHS), responsible for investigating transnational crime and threats, specifically those criminal organizations that exploit the global infrastructure through which international trade, travel, and finance move. HSI’s workforce of over 10,400 employees consists of more than 6,800 special agents assigned to 225 cities throughout the United States, and 86 overseas locations in 55 countries. HSI’s international presence represents DHS’s largest investigative law enforcement presence abroad and one of the largest international footprints in U.S. law enforcement.

HOUSTON — Homeland Security Investigations (HSI) Houston, Harris County Sheriff’s Office (HCSO), Houston Police Department (HPD), and Texas Department of Public Safety (DPS) arrested six individuals July 28 for their alleged roles in a large-scale catalytic converter theft ring that is suspected of fencing stolen catalytic converters for the three individuals charged with murdering HCSO Sheriff’s Office Deputy Darren Almendarez.

Authorities also executed six federal search warrants at five Houston-area residences and one storage facility as part of the large-scale, multi-agency criminal investigation into the organized theft group.

The individuals arrested pursuant to state arrest warrants for their alleged roles in the theft ring were Jose Martinez, 19; Armando Martinez, 18; Isaac Castillo, 21; Terance Elder, 20; and Armando Martinez Sr., 39; all residents of Houston, and Jose Sanchez, a 21-year-old resident of Dayton, Texas.

“For far too long, violent criminal networks and organized theft rings like this have bred chaos and terror in our communities,” said Mark Dawson, special agent in charge of HSI Houston. “Together with our fellow law enforcement partners, HSI Houston is committed to bring every resource to bear to vigorously pursue these dangerous criminal elements and will not rest until we can restore peace and order for the hard-working and law-abiding residents of Houston.”

“Our community has been increasingly plagued by these types of crimes,” said HCSO Sheriff Ed Gonzalez. “I am thankful for all efforts made to arrest these dangerous individuals. This operation would not have been a success without the strong collaboration of several agencies within our region.”

“Texas Department of Public Safety (DPS) special agents and troopers were pleased to play a significant role in this complex investigation of a dangerous theft ring,” said DPS Regional Director Jason Taylor. “Today’s arrests demonstrate that DPS remains committed to leveraging our efforts, so law enforcement — working together — will continue to bring criminals to justice.”

The investigation into the organized theft group has previously resulted in the arrest of one other individual and the seizure of more than $484,000 in bulk currency, one firearm, and narcotics.

Organized theft groups frequently target catalytic converters for the precious metals that they contain such as palladium, platinum, and rhodium. The precious metals are extremely valuable, and a worldwide supply shortage has created an increased demand for them further driving up the value.

For more news and information on HSI Houston’s efforts to keep Southeast Texas communities safe from transnational gangs, organized theft groups and other violent criminal activity follow us on Twitter @HSIHouston.

HOUSTON – Homeland Security Investigations (HSI) Houston, the Houston Police Department (HPD) and U.S. Customs and Border Protection (CBP) seized more than 6,593 items of counterfeit soccer merchandise with a manufacturer’s suggested retail price (MSRP) of approximately $631,926 during a week-long multi-agency operation targeting counterfeit sporting goods in the Houston area.

The operation, which was conducted during the week leading up a Premier League preseason soccer match July 20 at NRG Park, is part of a nationwide effort called “Operation Team Player”. The National Intellectual Property Rights Coordination Center (IPR Center) and the Premier League aided during the operation.

“Major sporting events routinely attract transnational criminal organizations and other bad actors involved in the illicit sale of counterfeit merchandise and tickets,” said Mark Dawson, special agent in charge of HSI Houston. “HSI Houston is committed to work in conjunction with our partners from other law enforcement agencies and private industry to aggressively investigate trademark counterfeiting to protect consumers and ensure a level playing field for legitimate businesses.”

“This operation is an example of the commitment CBP, and its partners have in disrupting the flow of both illegitimate, counterfeit goods and the hundreds of thousands of dollars generated from their sales that fund criminal enterprises,” said Jud Murdock, Houston CBP director of field operations. “Counterfeit goods threaten America’s innovation and the livelihoods of workers employed by the right’s holder, which is why intellectual property rights remain a CBP priority.”

“Public-private sector partnerships are the key to success at the National Intellectual Property Rights Coordination Center (IPR Center),” said Jim Mancuso, IPR Center director. “By joining forces and working together, HSI, CBP, and the Premier League can better ensure soccer fans around the world spending their hard-earned money to support their favorite club only receive genuine, high-quality officially licensed merchandise in return.”

HSI works closely with federal, state, and local law enforcement through Operation Team Player, a year-round effort developed by the IPR Center to crack down on the illegal importation of counterfeit sports apparel and entertainment merchandise. Last year, between February 2021 and February 2022, authorities seized more than 267,511 counterfeit sports-related items with an estimated MSRP of $97.8 million during Operation Team Player.

In fiscal year 2021, HSI Houston seized more than 2 million counterfeit goods valued at approximately $23.8 million. Of the counterfeit items seized in the Houston area, approximately 51,000 were counterfeit apparel valued at approximately $7.2 million.

Members of the public who suspect they have encountered counterfeit goods or merchandise are encouraged to report it to local law enforcement or by calling the HSI tip-line at 1-866-DHS-2423. The public may also visit IPRCenter.gov and click on “Report IP Theft” to submit a tip online anonymously.

For more news and information on HSI Houston’s efforts to combat the illegal importation and sale of counterfeit goods follow us on Twitter @HSIHouston.

HSI is a directorate of U.S. Immigration and Customs Enforcement (ICE) and the principal investigative arm of the U.S. Department of Homeland Security (DHS), responsible for investigating transnational crime and threats, specifically those criminal organizations that exploit the global infrastructure through which international trade, travel, and finance move. HSI’s workforce of over 10,400 employees consists of more than 6,800 special agents assigned to 225 cities throughout the United States, and 86 overseas locations in 55 countries. HSI’s international presence represents DHS’s largest investigative law enforcement presence abroad and one of the largest international footprints in U.S. law enforcement.

DALLAS – A Dallas man was sentenced to 20 years in federal prison for sex trafficking a minor following an investigation by the Homeland Security Investigation (HSI) Dallas led North Texas Trafficking Task Force (NTTTF).

Laderrick Dedemon Smith, 23, was sentenced to 20 years in federal prison by U.S. District Judge Sean D. Jordan on May 26, 2022. He pled guilty on August 24, 2021.

“Child sex trafficking is one of the most deviant crimes we investigate in our agency,” said acting Special Agent in Charge Christopher Miller, HSI Dallas. “The work of our law enforcement partners of the North Texas Trafficking Task Force has proven to be invaluable in removing these dangerous predators from our communities, while at the same time providing much needed assistance to those victimized by their perpetrators.”

According to information presented in court, in April 2020, HSI Dallas and the Arlington Police Department, along with the Tarrant County Sheriff’s Office, rescued the minor victim trafficked by Smith.

“Protecting children from predators like Smith is one of our top priorities,” said U.S. Attorney Brit Featherston. “I’m proud of the work our partners at the North Texas Trafficking Task Force do hunting for those who prey on children. He who harms a child will suffer the wrath of law enforcement and will be arrested and prosecuted to the fullest extent of the law.”

During the investigation, special agents discovered that Smith trafficked the minor victim, and others, out of a hotel room in Plano, Texas. Smith placed ads in commercial sex sites with photographs of the minor victims and offered them for sex. He communicated with prospective buyers, set rates, and arranged for the commercial sex acts. Smith also installed a tracking device on the victim’s cell phone so that the minor could not leave the hotel, obtain food, or seek medical treatment without his permission.

In sentencing Smith, the district court found that he kept the minor victim under his supervisory control, and that Smith unduly influenced the minor victim to engage in commercial sex through fear of bodily injury. In addition to his imprisonment of 20 years, he will also serve a term of supervised release of 15 years, during which time Smith will be required to register as a sex offender.

HSI encourages the public to report suspected child predators and any suspicious activity through its toll-free tip line at 1-866-347-2423, or by completing its online tip form. Both are staffed around the clock by investigators. From outside the United States and Canada, callers should dial (802) 872-6199. Hearing impaired users may call TTY (802) 872-6196.

One of HSI’s top priorities is to protect the public from crimes of victimization, and HSI’s child exploitation investigations program is a central component of this mission set. Further, HSI is recognized as a global leader in this investigative discipline, and is committed to utilizing its vast authorities, international footprint and strong government and non-government partnerships to identify and rescue child victims, identify, and apprehend offenders, prevent transnational child sexual abuse, and help make the internet a safer place for children.

HSI is a directorate of ICE and the principal investigative arm of the U.S. Department of Homeland Security (DHS), responsible for investigating transnational crime and threats, specifically those criminal organizations that exploit the global infrastructure through which international trade, travel, and finance move. HSI’s workforce of over 10,400 employees consists of more than 7,100 special agents assigned to 220 cities throughout the United States, and 80 overseas locations in 53 countries. HSI’s international presence represents DHS’s largest investigative law enforcement presence abroad and one of the largest international footprints in U.S. law enforcement.

EL PASO – Homeland Security Investigations (HSI) El Paso, the Texas Department of Public Safety and numerous other federal, state and local agencies located and recovered 70 missing children as a part of a three-week operation in West Texas.

“Operation Lost Souls” ran from the end of April through mid-May in El Paso, Midland and Ector and Tom Green counties. The missing youth, many of them runaways, ranged in age from 10 to 17. The children recovered included victims of sex trafficking, and physical and sexual abuse. The majority of the children were located in West Texas, but some were located in the Dallas/Ft. Worth metroplex as well as the state of Colorado and Ciudad Juarez, Mexico. The agencies provided victim services and counseling to the recovered children and their families.

“Operation Lost Souls exemplifies Homeland Security Investigations’ commitment to protecting the public from crimes of victimization. In this case, we are looking out for our children – our community’s most precious resource,” said HSI El Paso Deputy Special Agent in Charge Taekuk Cho. “HSI is committed to continue working with our law enforcement partners to locate, recover and help missing children heal, while ensuring that perpetrators are held responsible for these heinous crimes and brought to justice.”

Results of the operation were release during a news conference on May 25, which coincided with National Missing Children’s Day.

“At the Department of Public Safety, teamwork is one of our core values,” said DPS Major Matthew Mull. “We are grateful for all of our law enforcement partners who participated in this operation and who work around-the-clock every day to protect our communities, including our youth.”

The multi-agency operation produced additional information and leads that HSI is investigating.

Assisting agencies included the following: HSI Ciudad Juarez, Mexico, Attache Office, West Texas Anti-Gang Center, Texas Highway Patrol, El Paso Police Department, U.S. Marshals Service, FBI, El Paso County Constables, Socorro (Texas) Police Department (SPD), Department of Family and Protective Services, El Paso Independent School District Police Department, Texas Alcohol Beverage Commission, and the Juvenile Probation Department.

These agencies also assisted: San Angelo (Texas) Police Department, Tom Green (Texas) County Sheriff’s Office, Odessa (Texas) Police Department, Ector (Texas) County Sheriff’s Office, Ector County Independent School District Police Department, Midland (Texas) County Sheriff’s Office, Midland County Independent School District, Midland Juvenile Probation Department, Advocacy Center for Children of El Paso, Paseo Del Norte Center of Hope, the El Paso Center for Children, Midland Rape Crisis and Children’s Advocacy Center, Harmony Home Children’s Advocacy Center, Midland Memorial Hospital SANE Nurses, and Medical Center Hospital SANE Nurses,

If you have information about a human trafficking victim, information about this type of criminal activity, please contact the National Human Trafficking Hotline at (888) 373-7888.

HOUSTON – Homeland Security Investigations (HSI) Houston and the Houston Police Department (HPD) arrested 3 individuals and seized around 1,900 stolen electronic devices valued at approximately $1.8 million May 17 as part of an ongoing investigation into a suspected $65 million transnational organized retail crime scheme to smuggle stolen cell phones and other electronics overseas and launder the illicit proceeds.

Individuals arrested were Akber Jesani, 39, and Hardin Ameena, 28, both residents of Sugarland, Texas, and Shamshuddin Dosani, 52-year-old resident of Richmond, Texas. All three are charged with engaging in organized criminal activity, aggregate theft, and money laundering in violation of Texas law. The Harris County (Texas) District Attorney’s Office is prosecuting all three individuals.

HSI and HPD also executed search warrants on 14 bank accounts at eight different financial institutions that are alleged to contain illicit revenue from the scheme. At the time of this release, a final amount for the funds seized is not available.

In total, the scheme is believed to have produced more than $65 million in illicit revenue and resulted in countless victims across the U.S. having their identities stolen and cellular communications companies being defrauded of millions of dollars in equipment.

Following the operation, leaders from HSI, HPD and the Harris County District Attorney’s Office explained why combatting organized retail crime is important.

“Organized retail crime is responsible for the theft of between $30-69 billion in consumer goods each year, which inevitably results in the public having to pay higher prices for goods at the register,” said HSI Houston Deputy Special Agent in Charge Robert Kurtz. “HSI Houston and HPD are determined to break this vicious cycle by aggressively targeting the criminal networks and sophisticated money laundering schemes that these organizations use to rake in millions on the backs of hardworking consumers. Today’s operation was a good example of that grit and determination, but we have much more work to do to root out this complex problem.”

“This is a perfect example of the collaboration between our local, state and federal partners to take violent offenders off the streets that continue to prey on innocent citizens in our city,” said Houston Police Chief Troy Finner. “I want to thank our partners for their efforts in helping our Major Offenders Division locate and arrest these individuals and continue to make this ‘One Safe Houston’.”

“By shutting down this criminal group we are shutting off the money tap that is funding the victimization of thousands of people across the Houston-area and beyond,” Harris County District Attorney Kim Ogg said.

Five other Texas residents have previously been arrested related to this scheme including: Damaris Valero, a 26-year-old resident of Houston charged with forgery; Trevyn Harris, a 20-year-old resident of Bay City charged with engaging in organized criminal activity; Jessenia Velasquez, a 36-year-old resident of Channelview charged with possession of a controlled substance; Francis Bashorun, a 20-year-old resident of Katy charged with fraud and fraudulent use/possession of identifying documents with an enhancement for taking advantage of the elderly; and Jaquon Dick, a 41-year-old resident of Houston charged with mail theft and fraudulent possession of identifying documents.

HSI is the principal investigative arm of the U.S. Department of Homeland Security (DHS), responsible for investigating transnational crime and threats, specifically those criminal organizations that exploit the global infrastructure through which international trade, travel, and finance move. HSI’s workforce of over 10,400 employees consists of more than 7,100 special agents assigned to 220 cities throughout the United States, and 80 overseas locations in 53 countries. HSI’s international presence represents DHS’s largest investigative law enforcement presence abroad and one of the largest international footprints in U.S. law enforcement.

An indictment is a formal accusation of criminal conduct, not evidence.

A defendant is presumed innocent unless convicted through due process of law.

For photos of today’s arrests and operation please visit us on Twitter at @HSIHouston.

Customs and Border Protection officers have seized $6.5 million in counterfeit Apple AirPods and Nintendo video game consoles at the Port of Houston.

The fake electronics were taken by authorities in December for violating intellectual property rights, according to Customs and Border Protection.

The shipment from China was discovered during an inspection and included 50,000 phony AirPods and 920 fake Nintendo video game consoles.

The AirPods and Nintendo consoles were flagged for review and deemed counterfeit by import specialists.

“Our officers take great care inspecting arriving international goods to ensure they are not counterfeit or harmful to consumers,” said Roderick Hudson, Customs and Border Protection’s Houston and Galveston area port director. “One of our agency’s missions is to prevent entry of illicit goods that could negatively impact our economy, all while supporting legitimate trade.”

The shipment of electronics has been sent to the agency’s branch for fines, penalties and forfeitures.

In fiscal year 2021, Customs and Border Protection seized $2.1 billion in counterfeit and pirated goods, including $154 million in electronics, according to the agency.

Around 40 percent of all counterfeit goods seized in 2021 came from China.

Apparel and accessories were the products most commonly taken in for intellectual property violations last year.

“The creation of counterfeit goods can involve forced labor, human trafficking or support of other criminal enterprises,” a news release stated. “Many counterfeit products are low quality and can cause injuries or even death when used.”

A dozen Lubbock drug traffickers have been sentenced to a combined 106 years in federal prison, announced Acting U.S. Attorney for the Northern District of Texas Chad E. Meacham.

The defendants were arrested during the Drug Enforcement Administration’s Operation Los Perros De Nieve (“Operation Snow Dogs”), which also resulted in the seizure of multiple kilograms of cocaine, more than a dozen firearms, and roughly $80,000 cash from drug dealers in Lubbock.

The last of 12 in-custody defendants, Ruben Alejandro Rodriguez-Parada, was sentenced yesterday to almost four years in federal prison.  A 13th charged defendant remains a fugitive.

According to court documents, DEA agents used a confidential informant to buy cocaine from several defendants. They also executed search warrants at several defendants’ residences, including their vehicles, and seized five bricks of cocaine from a storage unit in Lubbock.

One defendant, Robert Bruno, admitted that he regularly worked with a cocaine source of supply in Mexico, who delivered the drug with little advance notice and then aggressively collected on his debts.

“Cocaine extracts a terrible toll, wreaking havoc on users’ bodies and brains. We are determined to dismantle the organizations that inject this drug into our communities. The sentences announced today send a message to would-be dealers in Lubbock: The penalty for cocaine distribution is serious,” said Acting U.S. Attorney Chad Meacham.

“Cocaine is not manufactured in Lubbock nor does the coca plant, from where it is derived, grow in West Texas’ fertile land.  Its prevalence and distribution in the area must be deliberate and for only one purpose:  greed,” said DEA Dallas Special Agent in Charge Eduardo A. Chávez, who oversees DEA operations in Lubbock.  “These sentences handed down to Mr. Rodriguez-Parada, Mr. Bruno, and their co-conspirators should send a message to all violent drug trafficking organizations operating in the area that decisions based on greed could lead to more than a collective century in prison.”

Those who’ve been sentenced include:

• Ronnie Manuel Garcia – pleaded guilty to possession of firearms in furtherance of a drug trafficking crime and unlawful user of a controlled substance in possession of firearms; sentenced to 180 months in federal prison.
• Jonathan Phillip “J.P.” Reyes – pleaded guilty to distribution of cocaine; sentenced to 240 months in federal prison (to run consecutively to any sentence imposed in the state case against him).
• Raul Perez, III – pleaded guilty to distribution of cocaine; sentenced to 235 months in federal prison (to run consecutively to any sentence imposed in the state case against him).
• Krystal Lynn Ramos – pleaded guilty to misprision (concealment) of a felony; sentenced to 21 months in federal prison.
• Amy Shawn “Evon” Rodriguez – pleaded guilty to misprision (concealment) of a felony; sentenced to 27 months in federal prison.
• Juan Moncada – pleaded guilty to possession with intent to distribute cocaine base; sentenced to 125 months in federal prison (to run consecutively to any sentence imposed in the state case against him).
• Jacob Anthony Molina – pleaded guilty to possession of firearms in furtherance of a drug trafficking crime; sentenced to 60 months in federal prison.
• Jeremy Wayne “Lil’ Jay” Beck – pleaded guilty to possession of firearms in furtherance of a drug trafficking crime; sentenced to 60 months in federal prison.
• Michael Paul Perez – pleaded guilty to possession with intent to distribute cocaine; sentenced to 63 months in federal prison.
• Robert Lee Bruno – pleaded guilty to conspiracy to distribute cocaine; sentenced to 188 months in federal prison.
• Amaris Arestin Leon – pleaded guilty to misprision (concealment) of a felony; sentenced to 30 months in federal prison (to run consecutively to any sentence imposed in state cases against him).
• Ruben Alejandro Rodriguez-Parada – pleaded guilty to money laundering; sentenced to 46 months in federal prison.

The investigation was led by the Drug Enforcement Administration’s Dallas Field Division and the Lubbock Police Department with assistance from the Lubbock County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms & Explosives’ Dallas Field Division, Homeland Security Investigations’ Dallas Field Office, and the Texas Department of Safety. This investigation was carried out as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program with the coordination of the Lubbock HIDTA group and Texas Anti-Gang initiative. Assistant U.S. Attorney Sean Long is prosecuting the case.

PLANO, Texas – A Boston, Massachusetts man has been sentenced to federal prison for human trafficking related violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei today.

Daniel Bennett, 38, pleaded guilty on January 28, 2021 to the transportation of an individual in interstate commerce, knowing they would engage in illegal sex.  Bennett was sentenced to 70 months in federal prison today by U.S. District Judge Sean D. Jordan.

“We know human trafficking is basically modern-day slavery and the victims often feel they have no way out,” said Acting U.S. Attorney Nicholas J. Ganjei.  “Thanks to the great work of law enforcement, Bennett’s victims can now hopefully build a better, safer life.  As we have stated before, there is no safe harbor in the Eastern District for human traffickers.”

According to information presented in court, on October 27, 2019, Bennett drove two women from Boston, Massachusetts to Texas for the purpose of having the women engage in commercial sex.  The three stayed at hotels in the Eastern District of Texas and the women engaged in illegal sex work around the north Texas metroplex area.  Bennett came to the attention of law enforcement on November 2, 2019, when one of the women approached an officer with the Dallas Police Department seeking assistance.  Bennett admitted to knowing prostitution and commercial sex are illegal in the State of Texas. A federal grand jury returned an indictment charging Bennett with federal violations on November 13, 2019.

This case was investigated by Homeland Security Investigations and the Dallas Police Department and prosecuted by Assistant U.S. Attorney Marisa Miller.

PLANO, Texas – A Mexican national and high-ranking member of the Los Zetas cartel received a life sentence for drug trafficking violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei today.

Hugo Cesar Roman-Chavarria, also known as “El Vecino,” pleaded guilty on August 23, 2019, to conspiracy to possess with intent to distribute 5 kilograms or more of cocaine and was sentenced to a term of life imprisonment by U.S. District Judge Sean Jordan today.

“The mill of justice grinds slowly, but it grinds finely,” said Acting U.S. Attorney Nicholas J. Ganjei.  “Since the time of Mr. Chavarria’s criminal indictment nearly a decade ago, we and our dedicated law enforcement partners have never stopped trying to bring him into the United States, and, more particularly, our courts, to answer for his crimes.  That day has finally arrived.  Mr. Chavarria believed he was operating beyond the reach of the American justice system, but his lengthy sentence shows how mistaken he was.  His criminal career now at a close, Mr. Chavarria will no longer be able to import poison into the United States or fuel violence back in Mexico.”

“This lengthy sentence is the culmination of years of collaborative investigations with our trusted law enforcement partners, sending a resounding message that HSI will be relentless in its pursuit of criminals who bring illegal drugs in our communities and they will be brought to justice,” said Ryan S. Spradlin, Special Agent in Charge, HSI Dallas. “The conclusion of this significant operation with this criminal behind bars is a victory against organizations moving dangerous drugs in and across our borders.”

“Transnational Criminal Organizations like Los Zetas are fueled by greed, intimidation, and violence,” said DEA Dallas Special Agent in Charge Eduardo A. Chavez.  “Mr. Chavarria’s sentence today reflects that justice wins in the end and the positive impact DEA’s efforts can make on communities not just here in North Texas, but across the country.  A kilogram of cocaine seized in Dallas is one less kilogram available for a gang to fight over in Chicago or to be offered to one of our youth in Philadelphia.  It matters and DEA Dallas will remain steadfast in destroying command elements of these criminal organizations across the globe.”

Over the course of a three-day sentencing hearing in August and September 2021, the district court heard from 13 witnesses for the government, including other high-ranking Zeta members, who, like Chavarria, had been extradited to the United States to face charges.  According to court testimony, from 2007 through 2011, Chavarria oversaw the shipment of enormous quantities of cocaine between Piedras Negras, Coahuila, Mexico, and Eagle Pass, Texas on behalf of the Los Zetas Cartel, in which he was a high-ranking member.  The Zetas were notorious for their brutality, even by cartel standards.  The Zetas ruthlessly carried out beheadings, hangings, torture, kidnappings, and even boiling or burning people alive, in order to intimidate and demoralize enemies and innocent civilians.

A particularly shocking act of brutality was the 2011 massacre of men, women, and children in the Mexican town of Allende, just 40 minutes from Eagle Pass.  The Zetas’ mass killing of town residents was in retaliation for the suspected leaking of information to law enforcement by an individual whose relatives lived in Allende. Numerous witnesses described how Chavarria participated in the massacre by traveling around Allende with Zetas gunmen, pointing out the homes of relatives and associates of the suspected leaker, effectively marking these people and their families for death.  After the Zetas finished their mass killing, they loaded the bodies into a barn and incinerated the building.  A definitive conclusion has never been reached as to the number of men, women, and children who lost their lives, but the total is believed to be at least 100, and possibly up to 300.

Chavarria also led a separate drug trafficking and money laundering operation, which operated with the permission and protection of the Zetas Cartel.  Along with a partner, Chavarria imported 500 kilograms of cocaine into the United States every month.  This cocaine was primarily destined for distribution in Texas cities and towns.  Bulk currency, in turn, was smuggled from the United States back to Chavarria in Mexico by secreting the cash in washers, dryers, refrigerators, and automobile gas tanks.  Chavarria also acquired bulk firearms and military equipment from the United States on behalf of the Zetas, for use in the Cartel’s violent struggles against other drug trafficking organizations.

Chavarria and 17 other individuals were indicted by a federal grand jury on Sep. 15, 2011.  They were charged with drug trafficking and money laundering violations.  Chavarria was extradited from Mexico to the United States on Nov. 30, 2018 and has been detained since that time.

The investigation and prosecution of Chavarria and his organization comes as part of “Operation Too Legit to Quit,” an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.  To date, the overall operation has resulted in charges against approximately 160 defendants in 28 indictments and the seizure of close to 700 kilograms of cocaine as well as more than $9 million in cash and other assets.

This case was investigated by Homeland Security Investigations and the U.S. Drug Enforcement Administration-Dallas with assistance from DEA-Bogota, DEA-Cartagena, FBI, ATF, Texas Department of Public Safety, Dallas County Sheriff’s Office, Ellis County Sheriff’s Office, Tarrant County Sheriff’s Office, Mesquite Police Department, Fort Worth Police Department, Rowlett Police Department, and Lewisville Police Department.  The Justice Department’s Office of International Affairs provided significant assistance in securing extradition from Mexico. This case was prosecuted by Assistant U.S. Attorneys Ernest Gonzalez and Colleen Bloss.

Sentence Part of “Operation Dirty Bird” Anti-Drug and Money Laundering Investigation

TEXARKANA, Texas – A Dallas man has been sentenced to prison for an international drug trafficking operation in the Eastern District of Texas pursuant to Operation Dirty Bird, announced Acting U.S. Attorney Nicholas J. Ganjei today.

Jose Armando Rosales-Bernal, 27, pleaded guilty on Sep. 1, 2020, to conspiring to distribute controlled substances was sentenced to 360 months in prison today by U.S. District Judge Robert W. Schroeder III. Rosales-Bernal agreed to forfeit $4 million in drug proceeds, $234,971 in U.S. currency, his home, three firearms, luxury jewelry, and three vehicles, including a cherry red Dodge Charger Hellcat.

“Today’s lengthy, 30-year prison sentence reflects exactly how East Texas feels about drug trafficking and enforcement,” said Acting U.S. Attorney Nicholas J. Ganjei. “Not only will drug dealers lose their freedom for long periods of time, but they will also lose their money and other ill-gotten gains. We are grateful for the strong relationships with our many law enforcement partners that led to a just outcome in this important case.”

“This sentence is not only appropriate, but also a major win for HSI and our partners who focus so many of our public safety efforts on removing drug traffickers from North Texas communities and beyond,” said Ryan L. Spradlin, Special Agent in Charge HSI Dallas. “The dismantlement of this defendant’s transnational drug operation and seizure of his assets will strike a significant blow in the fight to stop the illegal importation and distribution of dangerous drugs throughout the United States.”

According to information presented in court, Rosales-Bernal, Rodolfo Javier Falcon, Eleazar Martinez Reyes, Gerardo Carbrera Ramirez, Julio Villarreal, Armando Moreno Jr., Claudia Claribel Gardea, Jose Geraldo Ornelas-Pineda, David Martinez, and others conspired to distribute more than 150 kilograms of cocaine, along with methamphetamine and heroin, from the Jalisco Nueva Generacion drug cartel in Mexico. The group distributed drugs in Dallas, East Texas, Florida, North Carolina, Arkansas, Illinois, and Michigan. On one occasion, Falcon, Gardea, and Ornelas-Pineda—and two young children—were stopped in Tennessee carrying nine kilograms of cocaine from Rosales-Bernal to North Carolina. The organization was also responsible for shipping drug proceeds, in the form of bulk cash, back to Mexico. Law enforcement intercepted one bulk cash shipment of approximately $350,000. Rosales-Bernal and Falcon both occupied leadership roles in the drug trafficking organization. During the conspiracy, Rosales-Bernal, Falcon, Martinez, and others possessed and carried firearms to safeguard their drugs and cash. Rosales-Bernal and others spent their drug proceeds on lavish lifestyle items, including the Dodge Charger Hellcat, flashy watches, exotic weapons, a jewel encrusted rooster necklace, and numerous pairs of luxury shoes and boots.

Operation Dirty Bird is a long-term drug trafficking and money laundering investigation that has led to the seizure of more than $500,000 in U.S. Currency, almost 40 kilograms of cocaine, more than a quarter kilogram of methamphetamine, nine firearms, several vehicles, two houses in Dallas, and an array of fine jewelry.

Rosales-Bernal, Villarreal, Moreno, Falcon, Ramirez, Gardea, Ornelas-Pineda, Dalia Janet Campos Rosales, Reyes, and Martinez were previously charged and arrested as a result of this investigation. Falcon, Ramirez, Gardea, Reyes, Ornelas-Pineda, Moreno, and Villarreal have pleaded guilty and have been sentenced collectively to more than 800 months in prison. Campos Rosales has pleaded guilty and is awaiting sentencing. Martinez has pleaded not guilty and is awaiting trial. This case is pending in the Texarkana Division of the Eastern District of Texas. If convicted, Martinez face a minimum of 15 years and as much as life in federal prison.

This case was investigated by the Mount Pleasant office of the Texas Department of Public Safety, Criminal Investigation Division and the Dallas office of Homeland Security Investigations. In addition, the following agencies have played critical roles in this investigation: the Mesquite, Texas, Police Department SWAT team; the Texas National Guard; the Texas Department of Public Safety, Highway Patrol Division and Aircraft Division; the George West, Texas, Police Department; the 23rd Judicial Drug Task Force in Dickson, Tennessee; and the Mount Pleasant, Texas, Police Department. The case was prosecuted by Assistant U.S. Attorney Jonathan R. Hornok.

Possible $5 million reward for alleged leader

HOUSTON – Two alleged members of one of the most serious transnational criminal organizations will make their initial appearances in U.S. federal court on charges of narco-terrorism and distributing kilogram quantities of cocaine from Colombia.

This is the first time believed members of the National Liberation Army (Ejército de Liberación Nacional aka ELN) have been extradited to the United States in their nearly 60-year history to face both narco-terrorism and drug trafficking charges. ELN is a Colombian guerrilla group officially designated as a foreign terrorist organization Oct. 8, 1997. It continues to operate as one of the largest narco-terrorism organizations in the world.

Yamit Picon-Rodriguez aka Choncha, 36, and Henry Trigos-Celon aka Moncho Picada, 44, were extradited and landed in Houston just moments ago. They are set to appear before U.S. Magistrate Judge Sam Sheldon at 10 a.m. tomorrow.

A federal grand jury returned an indictment against Picon-Rodriguez, Trigos-Celon and others Feb. 12, 2020. Colombian authorities took them into custody at the request of the United States in September 2020.

Picon-Rodriguez is charged with international cocaine distribution conspiracy along with five others. Those six are also charged with distribution of a controlled substance and knowing or intending to provide anything of pecuniary value to a person or organization that engages in terrorism or terrorist activity (narco-terrorism).

According to the indictment, Picon-Rodriguez, Trigos-Celon and others were involved in an ongoing 20-year conspiracy to distribute cocaine from Colombia to the United States knowing or intending to provide pecuniary support to the ELN.

In early 2019, Trigos-Celon and four others allegedly participated in distributing approximately 30 kilograms of cocaine in Colombia, knowing it would be imported into the United States.

Suspected ELN leader Villegas-Palomino aka Carlos El Puerco, 38, is also charged but not yet in custody. He is considered a fugitive as are Jaime Miguel Picon-Rodriguez aka Chencho and Jairo, 38, and Diomedes Barbosa-Montaño aka El Burro, 38. A warrant remains outstanding for their arrests. Anyone with information about their whereabouts is asked to contact the FBI at 1-800-CALL-FBI or submit tips online at tips.fbi.gov. The U.S. Department of State, through its narcotics rewards program, is offering up to a $5 million reward for information leading to the arrest and/or conviction of Villegas-Palomino.

The Houston Divisions of the FBI and Drug Enforcement Administration (DEA) conducted the investigation as part of the Organized Crime Drug Enforcement Task Forces (OCDETF). FBI and DEA agents in Bogota provided substantial support as did the Department of Justice’s (DOJ) multi-agency Special Operations Division, including assigned attorneys from the Narcotic and Dangerous Drug Section and National Security Division, as well as DOJ Judicial Attaches in Colombia with the cooperation of Colombian authorities. DOJ – Office of International Affairs, Houston Police Department, U.S. Southern Command and international partners including the Colombian Army, National Police, National Prosecutor’s Office and Technical Body of Investigation also provided critical assistance.

The operation, dubbed Operation Catatumbo Lightning, is part of an OCDETF Strike Forces initiative which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs and transnational criminal organizations. The specific mission of the Houston Strike Force is to disrupt, dismantle and prosecute the drug trafficking organizations that are designated Consolidated Priority Organization or Regional Priority Organization Target heads with their affiliates that impact Houston and south Texas.

Assistant U.S. Attorneys Casey N. MacDonald and Anibal Alaniz of the Southern District of Texas are prosecuting the case.

An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

Conviction Comes as Part of Joint Federal and Local Law Enforcement Anti-Drug Operation
PLANO, Texas – An Ohio man has been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei today.

Austin Seymour, 26, of Uniontown, Ohio, pleaded guilty on Jan. 26, 2021, to conspiracy to distribute and possess with intent to distribute controlled substances and was sentenced to 168 months in federal prison today by U.S. District Judge Sean D. Jordan.

“The Eastern District of Texas remains committed to pursuing the fight against illegal narcotics on all fronts,” said Acting U.S. Attorney Nicholas J. Ganjei.  “This defendant was in the business of distributing counterfeit pharmaceutical drugs, which can often have deadly consequences for the user.  These drugs are increasingly being sold in the Eastern District of Texas, and our Office is committed to leveraging all of our resources to locate and prosecute those responsible for distributing these unsafe drugs into our communities.”

“Counterfeit pharmaceutical pills like the ones Mr. Seymour and his co-conspirators distributed throughout North Texas are responsible for the destruction of countless families and lives taken too soon,” said Eduardo A. Chavez, Special Agent in Charge of DEA Dallas.  “DEA Dallas will continue to partner with our communities to educate and prevent these drugs from reaching our homes and will most importantly, hold those accountable who choose to distribute and profit from this poison.”

According to information presented in court, in February 2019, Seymour became the primary distributor for the Gary Collin Bussell drug trafficking organization and was responsible for the organization’s drug stash house.  In so doing, he also assumed the role of the primary distributor to customers in the DFW area.  He distributed counterfeit pharmaceutical pills, marijuana, and THC and was responsible for making payments to the organization’s narcotics suppliers.  When a search was executed at Seymour’s residence, agents found a loaded Glock firearm in his vehicle along with various narcotics, bulk U.S. currency, a money counter, and a drug ledger in his apartment.  Seymour was indicted by a federal grand jury on Oct. 8, 2019 and charged with drug trafficking violations.

This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations.

This case was investigated by the U.S. Drug Enforcement Administration and the Dallas Police Department.  It was prosecuted by Assistant U.S. Attorney Jay Combs.

DALLAS — Homeland Security Investigations (HSI) Dallas special agents seized $1.3 million in counterfeit goods April 2, during the First Monday Trade Days market in Canton, Texas.

Over 1,000 items were confiscated, including several boxes of luxury designer goods such as high-end purses, caps, shoes and sunglasses.

“Those who attempt to profit from the selling of counterfeit items will face consequences for their illegal actions,” said Ryan L. Spradlin, special agent in charge HSI Dallas. “The infringement of intellectual property rights is a growing threat to our economic viability that cannot stand.”

The Canton Police Department, Texas Department of Public Safety Criminal Investigation Division and industry experts with Investigation Services Company, LLC each played a critical role in supporting the seizure. The Van Zandt County District Attorney, Tonda Currey will be handling the prosecution. Felony charges are pending for the individuals allegedly selling the counterfeit goods.

“Buying and selling counterfeit items poses a significant threat to our local economy and the dedicated vendors who come to Canton for legitimate business ventures,” said Tonda Curry, criminal district attorney, Van Zandt County. “We will work relentlessly with our federal law enforcement partners to prosecute anyone who sells fake items at our trade days, having no tolerance for those who disregard laws related to trademark infringement.”

HSI focuses on keeping counterfeit products off U.S. streets and dismantling the criminal organizations behind such activity. The proliferation of counterfeit goods is increasing at an alarming rate often associated with organized crime and groups that pose a risk to public safety and national security.

HSI protects legitimate trade and commercial systems by investigating intellectual property crime, combating trade fraud and preventing the illicit proliferation of sensitive U.S. technology and weapons.

The HSI-led Intellectual Property Rights (IPR) Center, working collaboratively with its public and private sector partners, stands at the forefront of the U.S. government’s response to combatting global intellectual property theft and enforcing intellectual properties rights violations. The IPR Center was established to combat global intellectual property theft – and, accordingly, has a significant role policing the sale and distribution of counterfeit goods on websites, social media and the dark web. To report IP theft or to learn more about the IPR Center, visit www.IPRCenter.gov.

The charges mentioned are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

Homeland Security Investigations (HSI) is a directorate of U.S. Immigration and Customs Enforcement (ICE) and the principal investigative arm of the U.S. Department of Homeland Security, responsible for investigating transnational crime and threats, specifically those criminal organizations that exploit the global infrastructure through which international trade, travel, and finance move. HSI’s workforce of over 10,400 employees consists of more than 7,100 Special Agents assigned to 220 cities throughout the United States, and 80 overseas locations in 53 countries. HSI’s international presence represents DHS’s largest investigative law enforcement presence abroad and one of the largest international footprints in U.S. law enforcement.

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

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

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

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

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

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

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

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

HSI and FDA-OCI conducted the investigation.

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

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

More than 400 million cigarettes seized

MCALLEN, Texas — A Mission man entered a guilty plea Tuesday for attempting to export contraband cigarettes.

This case is being conducted by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) McAllen Office with the assistance of Texas Department of Public Safety (DPS).

Jose Francisco Guerra, 80, from Mission, Texas, pleaded guilty May 26, before U.S. District Judge Micaela Alvarez, for attempting to export contraband cigarettes. In addition to accepting Guerra’s guilty plea, Judge Alvarez entered an order of forfeiture against equipment and cigarettes seized from the truck and Guerra’s warehouses. Guerra owned and operated Victor M. Guerra Inc., a custom brokering company in Hidalgo, Texas.

On Jan. 15, law enforcement stopped a tractor-trailer which later revealed approximately 17 million cigarettes headed for Mexico. The shipping manifest had been falsified as to the vehicle’s contents, and the cigarettes lacked the applicable tax stamp as Texas law requires.

The investigation revealed the cigarettes originated in a warehouse located at 2900 North Depot Road in Hidalgo. Guerra controlled and operated that warehouse and facilitated the storage and sale of the cigarettes. Guerra was also found to be in control of another warehouse in McAllen. Both warehouses contained a combined total of 422,917,800 contraband cigarettes destined to be exported to Mexico.

Guerra admitted to his role in the attempted smuggling event, adding that he knew exporting contraband cigarettes into Mexico was illegal and intended to export additional cigarettes. At his plea hearing May 26, Guerra also agreed to forfeit his customs broker license, pay a fine and forfeit his interest in the cigarettes and items seized from his warehouse.

The total value of the cigarettes and equipment authorities seized is estimated at approximately $88 million.

Judge Alvarez has not yet set a sentencing date. Guerra faces up to 10 years in federal prison and a possible $250,000 fine.

Guerra is currently out on bond pending a sentencing date.

Assistant U.S. Attorney Michael Mitchell, Southern District of Texas, is prosecuting this case.