Federal and State Authorities Arrest 15 Individuals on Federal Drug Trafficking and Money Laundering Charges
Federal, state and local authorities have arrested 15 individuals charged in connection with a drug trafficking and money laundering conspiracy occurring in South Texas, Central Texas and Oklahoma.
That announcement was made today by United States Attorney Richard L. Durbin, Jr., Western District of Texas; United States Attorney Kenneth Magidson, Southern District of Texas; Internal Revenue Service-Criminal Investigation Special Agent in Charge William Cotter, San Antonio Division; and, Drug Enforcement Administration Special Agent in Charge Joseph M. Arabit, Houston Division.
Those arrested include:
Name Age Residence
Juan Villarreal-Arelis (aka “Juando”) 43 Mission, TX
Reymundo Villarreal-Arelis (aka “Mundo”) 45 Mission
Jose Luis Villarreal-Gonzalez (aka “Nune”) 32 Mission
Manuel Villarreal-Garcia 40 Mission
Sergio Guadalupe Adame-Ochoa 65 McAllen, TX
Norma Leticia Villarreal-Garcia 47 Mission
Iza Corina Flores-Alanis 36 Mission
Jovanna Villarreal-Diaz 37 Mission
Raymundo Villarreal, Jr. (aka “Mundito”) 23 Mission
Gilberto Villarreal-Villarreal 27 Mission
Juan Antonio Villarreal 24 Mission
Jesus Jaime Andrade 37 Mission
Denis Winn 54 Tecumseh, OK
Jose Luis Villarreal-Arelis (aka “El Cosas”) 57 Mission
Nancy Isela Villarreal-Gonzalez 51 Mission
A nine–count federal grand jury indictment, returned in San Antonio in April and unsealed today, charges all of the defendants with conspiracy to commit money laundering. According to the indictment, since January 2000, the defendants have conspired to: (1) engage in financial transactions using proceeds derived from the importation, receiving, concealment, buying, 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.
Sergio Guadalupe Adame-Ochoa is also charged with four counts of wire fraud affecting a financial institution. According to the indictment, on multiple occasions beginning in 2006, Adame-Ochoa refinanced an almost $1.7 million note with Texas Regional Bank (formerly Border Capital Bank and McAllen National Bank) for the purchase of a property called Riverside Plaza in Mission. The indictment alleges that Adame-Ochoa falsely represented to the bank that he had a non-taxable annual cash flow income in excess of $500,000.
Raymundo Villarreal, Jr., Jesus Andrade, and Denis Winn are also charged with one count of conspiracy to structure transactions to evade reporting requirements. The indictment alleges that beginning in 2011, the defendants purchased American Quarter Horses from an auction house in Oklahoma using drug proceeds collected in San Antonio. The indictment specifically identifies six occasions in October and November 2011, where payments were made for horses. Each payment was under $10,000 so as to avoid having to complete an IRS form 8300, which would have alerted the IRS and possibly raised suspicion about the source of the funds.
Juan Villarreal-Arelis, Reymundo Villarreal-Arelis, Jose Luis Villarreal-Gonzalez and Manuel Villarreal-Garcia are also charged with one count of possession of cocaine with intent to distribute. The indictment alleges that since January 2000, the defendants have conspired to possess and distribute cocaine.
The indictment also seeks the forfeiture of twelve (12) real estate properties in Cameron and Hidalgo counties with an estimated value of $15 million. The indictment also seeks a money judgment against the defendants in the amount of $30 million representing the alleged proceeds derived from their criminal enterprise.
Throughout this investigation, authorities have seized over 100 kilograms of cocaine. Yesterday, authorities seized approximately $500,000 in farm equipment; approximately 20 vehicles; more than 60 firearms; over 30 horses; and, more than $50,000 in U.S. Currency.
Yesterday, authorities arrested Sergio Adame-Ochoa in San Antonio and Denis Winn in Austin. The rest of the defendants were all arrested in the McAllen/Mission, TX, area. All of the defendants remain in federal custody awaiting detention hearings.
This investigation was conducted by the Internal Revenue Service-Criminal Investigation Waco Treasury Task Force comprised of IRS-CI, Irving Police Department, Woodway Police Department, Texas Department of Public Safety and the McLennan County Sheriff’s Office together with the Drug Enforcement Administration’s McAllen, San Antonio and Houston field offices and Homeland Security Investigations. The United States Marshals Service in both the Western and Southern Districts of Texas assisted with yesterday’s arrests.
Upon conviction, the defendants face sentences of between ten years and life in federal prison on the drug conspiracy charge; up to 20 years in federal prison for the money laundering conspiracy charge; and, up to five years in federal prison on the structuring charge.
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.
