Man pleads guilty to moving millions in drug proceeds over Texas border
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A Mexican national has pleaded guilty to his role in laundering drug trafficking proceeds through Texas over the past two years.
Texas drug money laundering
Gabriel Arturo Castillo, 52, of Monterrey, Nuevo León, Mexico, has admitted to participating in a multimillion-dollar trade-based money laundering conspiracy that moved drug trafficking proceeds through Texas to Mexico.
Castillo and others involved in the scheme reportedly moved money from the sale of illegal drugs in the U.S. to cartels in Mexico without having to actually take it across the border. According to the DOJ, they did it by using drug money to buy expensive goods in the U.S., moving those across the border to Mexico, and reselling the items for pesos.
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What's next:
Castillo is set to be sentenced on July 7 for conspiracy to commit money laundering. He faces up to 20 years in federal prison.
What they're saying:
"The specific type of scheme they used is called a black-market peso exchange, versions of which existed for decades and can be as complex as the concept is old," said Acting Special Agent in Charge Rodrick Benton of the IRS Criminal Investigation’s Houston Field Office. "We were able to follow the money to unravel how merchandise was purchased from U.S. businesses near the border and then sold in Mexico for a predetermined price. You can’t hide your ill-gotten gains from a law enforcement agency dedicated to following the money."
The Source: Information in this article comes from the Department of Justice, Office of Public Affairs.