Individual Found Guilty of Drug Trafficking

US Attorney's Office, San Juan

Press Release

April 22, 2017

SAN JUAN, Puerto Rico – Yesterday, after a two day trial, a jury found Luciano Mendoza-Garcia guilty of drug trafficking charges, announced United States Attorney Rosa Emilia Rodríguez-Vélez. United States District Court Chief Judge Aida Delgado presided over the trial.

On October 13, 2016, the defendant Luciano Mendoza-Garcia and Jorge Balbuena-Peguero were arrested in the high seas during a high speed maritime interdiction were 56 kilograms of cocaine were recovered. On October 19, 2016 a federal grand jury indicted Mendoza-Garcia and Balbuena-Peguero charging them with conspiracy to import controlled substances, conspiracy to possess a controlled substance on board a vessel subject to the jurisdiction of the United States and possession of a controlled substance on board a vessel subject to the jurisdiction of the United States, aiding and abetting each other.

Assistant U.S. Attorney Laura Montes and Special Assistant U.S. Attorney Nicholas Smith were in charge of the prosecution of the case. The defendant faces a minimum mandatory term of imprisonment of 10 years.

26 Individuals Indicted For Smuggling Cocaine Through The Luis Muñoz Marín International Airport

US Attorney's Office
San Juan
Press Release

Defendants face a narcotics and money laundering forfeiture allegation of 4 million dollars

SAN JUAN, Puerto Rico – On April 10, 2017, a federal grand jury in the District of Puerto Rico returned an indictment against twenty-six defendants charged with conspiracy to possess with intent to distribute cocaine, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.

The indictment alleges that beginning on a date unknown, and continuing up to and until the return of the indictment, the defendants smuggled multi-kilogram quantities of cocaine through the Luis Muñoz Marín International Airport (LMMIA) to the Continental United States. The smuggled cocaine was destined to major cities in the Eastern coast. The defendants charged in the indictment had several different roles.

The lead defendant [1] Humberto Concepción-Andrades was identified as the leader and supplier of a Drug Trafficking Organization (DTO) that smuggled multi-kilogram quantities of cocaine through the LMMIA in Carolina, Puerto Rico. The facilitators were identified as: [2] Jose Colón-Guzmán, [3] Miguel García-Blasco (an employee for JetBlue Airlines at LMMIA and currently a Southwest Airlines employee at the Orlando International Airport), [4] Tito Diaz-Serrano (an employee for Antilles Services, an airport services company at LMMIA), [5] Tomás Domínguez-Rohena (an employee of American Airlines at LMMIA and Miami International Airport), [6] Alexander Gazmey-Santiago (an employee of the International Meal Company who worked at the Air Margaritaville restaurant in LMMIA); and [10] Danel González-González, who smuggled multi-kilogram quantities of cocaine through DHL and through employees of Perfect Cleaning Services Inc., a company that provides cleaning service at LMMIA.

Defendants in the indictment include employees of Air Margaritaville (a restaurant located beyond the TSA security check point at LMMIA): [7] Harold Oliveras-Landrau, [8] Rodney Pérez-Ortega, [11] Michael Danet-Delgado, [12] Jose Paris-Romero, [13] Jean Ocasio-Castro, [14] Orbi Villar-Enriquez, [15] Héctor Ortiz-Brignoni, [16] Edwin Rosario-Rosario and [17] Rafael Coriano-Sierra.

Additional defendants included current and former employees of American Airlines at LMMIA cargo department: [18] Luis Diaz-Colón, [19] Miguel Ruiz-Delgado, [20] Daniel Vélez-Sanjurjo, [21] Marcos González-Figueroa and [22] Brian Otero.

Defendant [24] Aimee Monegro-Polanco is the wife of defendant [1] Humberto Concepción-Andrades. Along with [1] Humberto Concepción-Andrades, [24] Aimee Monegro-Polanco funneled narcotic proceeds through bank accounts of corporations they created to conceal the nature, source, location, ownership, or control of the narcotic proceeds.

Defendants were used as mules to carry the narcotics through LMMIA to its final destination in the Continental United States: [9] Ángel Almodovar-García, [25] Carl Frank Zubillaga and [26] David Figueroa-Colón.

[9] Ángel Almodovar-García also smuggled multi-kilogram quantities of cocaine through LMMIA with the help of UPS driver [23] Felix Rosado-Colón.

The indictment sets forth various methods used by the co-conspirators to smuggle the drugs:

Bathroom Smuggling Method at LMMIA

Defendant [1] Concepción-Andrades, leader drug supplier, provided multi-kilogram quantities of cocaine to a facilitator who supplied the cocaine to defendant [3] García-Blasco. [3] García-Blasco. [3] García-Blasco would then smuggle the kilograms of cocaine past security at LMMIA into the secured area of LMMIA. Defendants [9] Almodovar-García, [25] Zubillaga and [26] Figueroa-Colón worked as mules for the DTO. The mules would arrive at LMMIA, pass through a TSA security checkpoint and contacted [3] García-Blasco or another facilitator. The facilitators indicated the specific bathroom where the mule would meet [3] García-Blasco and receive the kilograms of cocaine. Once the mules had obtained the kilograms they placed them into their carry-on luggage and boarded flights to the Continental United States.

American Airlines Smuggling Method

Defendant [1] Concepción-Andrades, leader drug supplier, provided multi-kilogram quantities of cocaine to a facilitator who supplied the cocaine to defendant [3] García-Blasco. [3] García-Blasco, then provided the cocaine to another facilitator, [4] Díaz-Serrano. [4] Díaz-Serrano then contacted American Airlines employees, who were previously indicted in 2015, who worked for the drug trafficking organization (DTO).

The mules would enter the airport and hand their checked luggage containing multi-kilogram quantities of cocaine to member(s) of the DTO who were working at the American Airlines counter. The American Airlines DTO member(s) would place a sticker onto the checked luggage indicating that it had been cleared by TSA, when in fact the luggage had not been cleared by TSA. The American Airlines employees would then place the checked luggage with other luggage, which had been previously cleared by TSA, and would load them onto commercial airlines headed to the Continental United States.

Air Margaritaville Restaurant Smuggling Method

Defendant [1] Concepción-Andrades, leader drug supplier, provided multi-kilogram quantities of cocaine to a facilitator who supplied the cocaine to defendant [6] Gazmey-Santiago, who would contact members of the DTO employed at the Air Margaritaville restaurant inside LMMIA.

Defendant [12] Paris-Romero, among others, received the cocaine and would place it into the Black Coffee garbage chute at LMMIA, thereby moving the cocaine past the security checkpoint and into the secure area of the airport. Once the cocaine was removed from the trash chute, defendants [8] Pérez-Ortega and [13] Ocasio-Castro would remove the cocaine and store it inside lockers in the Air Margaritaville employee locker room.

Defendants [15] Ortiz-Brignoni, [17] Coriano-Sierra, and other members of the DTO, would move the cocaine from the lockers into the dishwashing area of the Air Margaritaville restaurant. Defendants [16] Rosario-Rosario, [12] Paris-Romero were waiters at the restaurant. They delivered the cocaine inside five pound bags of Gustos Coffee Company coffee bags to defendants [9] Almodovar-García, [25] Zubillaga and [26] Figueroa-Colón. After receiving the coffee bags with the cocaine, the mules boarded flights to the Continental United States. Each Gustos Coffee Company coffee bag contained approximately three to four kilograms of cocaine.

Perfect Cleaning Services Inc. Smuggling Method

Defendant [1] Concepción-Andrades supplied multi-kilogram quantities of cocaine to a DTO facilitator who provided the cocaine to defendant [10] González-González. Gonzalez-Gonzalez ultimately supplied the cocaine to an employee(s) of Perfect Cleaning Services Inc., one of these employees was previously indicted in 2015. The mule(s) would arrive at LMMIA, go through a TSA security checkpoint and contact an employee of Perfect Cleaning Services Inc. The Perfect Cleaning Services Inc. employee would then meet the mule inside a bathroom at LMMIA. The Perfect Cleaning Services Inc. employee would then slide a backpack or piece of luggage containing multi-kilogram quantities of cocaine to the mule under the center divider of the stalls. The mule would then board a flight to the Continental United States.

American Airlines Cargo Smuggling Method

According to the Indictment, defendant [4] Diaz-Serrano facilitated a smuggling venture utilizing American Airlines cargo employees. The employees who participated in this smuggling method were: [18] Díaz-Colón, [19] Ruiz-Delgado, [20] Vélez-Sanjurjo, [21] González-Figueroa, and [22] Brian Otero. As American Airlines employees, they could ship goods free of charge on American Airlines flights. They would obtain multi-kilogram shipments of cocaine in boxed goods, and use American Airlines employee IDs at the American Airlines cargo counter at the airport. The employee would then fill out the proper cargo paperwork and take the shipment through security inspection. DTO members would then clear the shipment and place it on a flight to the Continental United States.

DHL Smuggling Method

Defendant [1] Concepción-Andrades supplied multi-kilogram quantities of cocaine to a DTO facilitator who provided the cocaine to defendant [10] González-González, who smuggled the multi-kilogram quantities of cocaine onto cargo planes headed to the Continental United States.

“These individuals developed numerous smuggling lines to transport cocaine through the LMMIA in Puerto Rico to the Continental United States. Today we have brought their operations to a grinding halt,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “The members of our AirTAT initiative will continue to work together to ensure that our airports are not used to smuggle contraband into the United States mainland.”

Immigration and Customs Enforcement-Homeland Security Investigations (ICE-HSI) is in charge of the investigation with the collaboration of the Federal Bureau of Investigation (FBI), Drug Enforcement Agency (DEA), the U.S. Marshals and the Police of Puerto Rico.

Assistant U.S. Attorney Stuart J. Zander is in charge of the prosecution of the case, under the supervision of Assistant U.S. Attorney Julia Díaz-Rex, Deputy Chief of the International Narcotics Unit. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.

This case is part of the ongoing efforts of the Airport Investigations and Tactical Team (AirTAT). Originating in January 2015, AirTAT is a multi-agency initiative created to identify, locate, disrupt, dismantle, and prosecute Domestic and Transnational Criminal Organizations (DTCOs) and its operatives using the LMMIA, the Fernando Luis Rivas Dominicci Airport (the Isla Grande airport), and peripheral airports as platforms to smuggle narcotics, weapons, human cargo, counterfeit documents and illicit proceeds. These airports play a strategic role for DTCOs to conduct contraband smuggling activities inbound and outbound to the continental United States as well as international destinations.

Seventy-Two People Charged With Drug Trafficking

U.S. Attorney's Office

San Juan

Press Release

SAN JUAN, Puerto Rico – Rosa Emilia Rodríguez-Vélez, United States Att-
orney for the District of Puerto Rico, announced that on September 23, 2016, 
a federal grand jury in the District of Puerto Rico returned a six count indictm-
ent against seventy-two (72) individuals charged with conspiracy to possess 
with intent to distribute controlled substances, aiding and abetting in the pos-
session /distribution of Heroin, cocaine base, cocaine, marijuana, conspiracy 
to possess firearms in furtherance of a drug trafficking crime. The U.S. Immi-
gration and Customs Enforcement (ICE) and the Police of Puerto Rico Strike
Force are in charge of the investigation.

During the span of the conspiracy, in order to be able to operate a drug point 
at Vista Hermosa Public Housing Project, “rent” would be paid to the leaders 
of the drug trafficking organization and their family members. As part of the 
manner and means of the conspiracy high level members of the DTO would 
order and authorize, the use of force and violence against members of their 
own DTO suspected of providing information to law enforcement.  

The indictment alleges that the conspirators had many roles in order to further 
the goals of the drug trafficking organization. They served as “leaders”, “drug 
point owners”,“runners”, “sellers”, “drug processors”, among other roles. Also, 
as part of the conspiracy, armed conspirators provided security to the drug po-
int at the Vista Hermosa PHP. Members of the DTO were under the rules dicta-
ted by the leaders regarding the location from where controlled substances co-
uld be sold, how conflict resolution between members of the drug trafficking or-
ganization was to be handled, how conflict resolution between Vista Hermosa 
residents not related to the DTO was to be handled. If said rules were violated, 
the leader or high level members of the DTO would use force, violence, and in-
timidation against the offenders in an effort to maintain order within Vista Herm-
osa.

According to the indictment Jaret Navedo-Meléndez, Julio González-Burgos, Jo-
sé Davier Carvente-Guzmán, Kilpatrick Acosta-Cruz, Sergio E. Santa-Otero, Je-
ancristh N. Reyes-Masso, Carlos R. Hernández-Rodríguez, Ángel Román-Ayala,
Jessenia Díaz-Colón, Elba Iris Estrada-Negrón, Rafael O. Álvarez-Cruz, Noel Ma-
nzano-Cintrón, Carlos Luis Hernández-Rodríguez, and an individual known as “Al-
ex Tota”, acted as leaders or drug point owners for the DTO.  The organization al-
so had six (6) defendants that acted as enforcers, two (2) drug processors, nine 
(9) runners, forty (40) sellers, and one (1) facilitator.

Assistant U.S. Attorney Vanessa E. Bonhomme and AUSA Kelly Zenon-Matos 
are in charge of the prosecution of the case.  If convicted the defendants face a
minimum sentence of ten (10) years and up to life in prison. Indictments contain 
only charges and are not evidence of guilt. Defendants are presumed to be inno-
cent until and unless proven guilty.

Five Indicted For Moving Coke And Money Between NY And PR

U.S. Attorney's Office

San Juan

Press Release

August 24, 2016

SAN JUAN, PR – This morning, the Organized Crime Drug Enforcement
Task Force (OCEDTF) dismantled a drug trafficking organization responsi-
ble for the transportation of multi-kilogram quantities of cocaine and drug
money between Puerto Rico and the Continental United States, announced
United States Attorney Rosa Emilia Rodríguez-Vélez. The Drug Enforce-
ment Administration (DEA) is in charge of the investigation with the colla-
boration of Immigration and Customs Enforcement, Homeland Security In-
vestigations (ICE-HSI), and the Bureau of Alcohol, Tobacco, Firearms and
Explosives (ATF), and the Internal Revenue Service (IRS).

On August 23, 2016, a federal grand jury returned a one-count indictment
charging five individuals with participating in a conspiracy to possess with
intent to distribute cocaine between the year 2009 through December 2013.
The defendants are: José G. Herrera-Olavarría, a.k.a. “Pito”; Richard Rodrí-
guez-Heredia; Luis Rodolfo Mejía, a.k.a. “Tripa”; Emilio J. González-Espi-
nal, a.k.a. “Buster”; and Cessy Martínez-Lantigua, wife of Herrera-Olavarría.

The investigation leading to today’s arrests uncovered that members of this
organization traveled on commercial flights that departed from the Luis Mu-
ñoz Marín International Airport (LMMIA) to the continental United States
with kilograms of cocaine concealed inside suitcases. According to the indic-
tment, the defendants and co-conspirators also mailed controlled substances
to the continental United States.

The indictment alleges that the defendants sold the controlled substances in
the continental United States and would have the profits from the sales sent
back to Puerto Rico.

The case is being prosecuted by Assistant United States Attorney José A.
Contreras.

If found guilty, the defendants are facing terms of imprisonment from 10 years
to life. Criminal indictments are only charges and not evidence of guilt. A def-
endant is presumed to be innocent until and unless proven guilty.

The case was investigated by agents from the Organized Crime Drug Enforce-
ment Task Force (OCDETF) that investigates South American-based drug tra-
fficking organizations responsible for the movement of multi-kilogram quanti-
ties of narcotics using the Caribbean as a transshipment point for further distri-
bution to the United States. The initiative is composed of DEA, HSI, FBI, US
Coast Guard, US Attorney’s Office for the District of Puerto Rico, and PRPD's
Joint Forces for Rapid Action.

The Airport Investigations and Tactical Team (AirTAT) operates in the District
of Puerto Rico as an OCDEFT strategic initiative that is part of the National Air-
port Initiative. It is a multi-agency, co-located task force that includes DEA, HSI,
FBI, USPIS, CBP - Office of Field Operations, and ATF. AirTAT also works clo-
sely with the Police of Puerto Rico. AirTAT’s mission is to identify, locate, disr-
upt, dismantle, and prosecute TCOs and their operatives using the Luis Muñoz
Marín International Airport (LMMIA), the Fernando Luis Rivas Dominicci Air-
port (FLRDA), and airport peripherals as platforms to smuggle narcotics, weap-
ons, human cargo, counterfeit documents, illicit proceeds, and other contraband
through these critical airport infrastructures.

Four Individuals Found Guilty Of Drug Trafficking

Press Release

US Attorney's Office - San Juan

SAN JUAN, P.R. – After a nine-day jury trial, Jovanni Varestin-Cruz, a.k.a.
“Jova,” Rocky Martínez-Negrón, Edgar Collazo-Rivera, and Carlos Raymundi-
Hernández were found guilty of conspiracy to possess with intent to distribute
cocaine and heroin, announced United States Attorney Rosa Emilia Rodríguez-
Vélez. United States District Court Judge Juan Pérez-Giménez presided over the
trial. Twenty-five other co-conspirators had already pled guilty and are awaiting
sentence. Defendants Anthony Declet- Rivera and Antonio Rivera-Rodríguez re-
main fugitives.

These defendants were part of the drug trafficking organization lead by José D.
Figueroa-Agosto, a.k.a. “Junior Capsula;” Elvin Torres Estrada, a.k.a. “Muñe-
cón;” Ángel Ayala-Vázquez, a.k.a. “Angelo Millones;” and Samuel Negrón-Her-
nández, a.k.a. “Samy Tostón.” According to the indictment, from in or about Ma-
rch 2005, to in or about June 2010, the defendants, along with others, intentiona-
lly combined, conspired and agreed to import and to  possess with intent to distri-
bute more than ten thousand (10,000) kilograms of cocaine and heroin.

During trial, the government presented witness’ testimony that narrated the crim-
inal conduct that these individuals participated in a drug trafficking organization
that imported the kilograms of cocaine and heroin from the Dominican Republic,
to Puerto Rico and further transshipment to the Continental United States for dist-
ribution and sale. The complex conspiracy involved numerous players with vario-
us roles, bags filled with U.S. currency, maritime coordination, and firearms. A ju-
ry heard lay and expert testimony at trial that proved the defendants’ willful parti
cipation and knowing involvement in the conspiracy.

Defendant Edgar Collazo-Rivera was found guilty of conspiracy to commit money
laundering and conspiracy to commit international money laundering. He arranged
the transportation of narcotics proceeds, approximately eight million dollars, to the
Dominican Republicusing privately owned yachts to transport the U.S. currency.
Carlos Raymundi-Hernández was also found guilty of conspiracy to import contro-
lled substances.

“These convictions mark yet another victory in our fight against narcotics in Puer-
to Rico. Our team of prosecutors and case agents set an excellent example of team-
work during the investigation which led to the conviction of these defendants at tr-
ial,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto
Rico.

The case was prosecuted by Assistant United States Attorneys Olga B. Castellón-
Miranda and John Andre Mathews II. The defendants face a maximum penalty of
up to life imprisonment. The sentencing is scheduled for November 18, 2016, and
the defendants were remanded to the custody of the U.S. Marshals.

Puerto Rico News Digest For April 14, 2016

HOUSE COMMITTEE RELEASES PR FINANCE BILL

From Caribbean Business:

"The U.S. House Committee on Natural Resources released Tuesday H.R. 

4900, the Puerto Rico Oversight, Management, and Economic Stability Act 

(PROMESA), which if passed as is will impose a seven-member financial 

oversight board over Puerto Rico that would be appointed by the president

and will have broad encompassing powers over the island. The Financial 

Oversight & Management Board’s members would be selected from a list 

of candidates submitted by the U.S. House speaker, Senate majority leader, 

and minority leaders of the House and Senate. The board, which will have 

offices in Puerto Rico and anywhere else needed, will appoint an executive 

director. The governor of Puerto Rico would be an ex-oficio member with-

out voting powers..."

PR NAMED AS TEST SITE FOR 2020 CENSUS

From News Is My Business:

"The U.S. Census Bureau announced Tuesday it plans to conduct a test
census in selected areas within Puerto Rico beginning February 2017. The
Census Bureau will test new technologies, operations and procedures for the
2020 Census of Puerto Rico, the agency said. The test will take place in three
towns within the San Juan metro area — Carolina, Loíza and Trujillo Alto --
which represent some 123,000 housing units..."

POLICE SEIZE $13M WORTH OF COCAINE

From Fox News Latino:

"Authorities in Puerto Rico say they have seized $13 million worth of cocaine
and arrested four men after a chase off the island's southeast coast. Police said
Wednesday that some of the cocaine was seized from a boat located near the
town of Patillas. Police said two Dominican men aboard the boat threw a por-
tion of the drugs into the ocean and were arrested..."

PR CHURCH STRIPS TEACHERS OF PENSION

From The San Juan Daily Star:

"Archdiocese officials in recent weeks informed...several hundred current and
retired teachers that their pensions will be eliminated because payouts excee-
ded contributions. Enrollment at Catholic schools in Puerto Rico has plunged
with so many families leaving the island for the U.S. mainland amid the island’s
economic crunch. It has been a devastating blow to Catholic school teachers who
had counted on those pensions to supplement the Social Security checks they’ll
be getting..."

40 Individuals Charged With Drug Trafficking

Press Release

US Attorney's Office

March 8, 2016


SAN JUAN, Puerto Rico – Today federal authorities arrested 34 mem-
bers of a drug trafficking organization which operated in the Santiago
Iglesias Public Housing Project, in the municipality of Ponce, announ-
ced Rosa Emilia Rodríguez-Vélez, United States Attorney for the Dis-
trict of Puerto Rico. The Federal Bureau of Investigation (FBI) and the
Police of Puerto Rico Ponce Strike Force are in charge of the investiga-
tion.

On March 3, 2016, a federal grand jury in the District of Puerto Rico re-
turned a six-count indictment against 40 defendants charged with cons-
piracy to possess with intent to distribute controlled substances, aiding
and abetting in the possession /distribution of heroin, cocaine base, co-
caine and marijuana, and conspiracy to possess firearm in furtherance
of a drug trafficking crime.

The indictment charges 40 individuals for their participation in a cons-
piracy to knowingly and intentionally possess with intent to distribute
cocaine base (crack), heroin, cocaine and marihuana all within 1,000
feet of the real property comprising the Santiago Iglesias Public Hou-
sing Project, a housing facility owned by a public housing authority,
and other areas nearby and within the Municipality of Ponce, Puerto
Rico.

During the span of the conspiracy, in order to be able to operate a drug
point at Santiago Iglesias Public Housing Project, “rent” would be paid
to the leaders of the drug trafficking organization and their family mem-
bers. As part of the manner and means of the conspiracy, control of the
drug points at Santiago Iglesias was obtained and maintained by the use
of force, violence, and intimidation. The drug points operated twenty-
four (24) hours a day, in 2 shifts per day.

The indictment also alleges that the co-conspirators had many roles in
order to further the goals of the conspiracy.  Narcotics belonging to mem-
bers of the Santiago Iglesias drug trafficking organization were being sold
in other areas of Ponce, including but not limited to the Aristides Chavier
Public Housing Project, the Gandara Public Housing Project, and the Por-
tugues Public Housing Project.  As part of the conspiracy, armed indivi-
duals would get paid by the drug trafficking organization to provide secu-
rity at the Santiago Iglesias Public Housing Project.  Members of the drug
trafficking organization would forcibly evict individuals from their apart-
ments if they were perceived to be cooperators or if they were unwilling
to abide by the rules set by the organization.

The defendants are: Goodwin Vargas-Gonzalez, Robert J. Guzman-Cruz,
Miguel A. Rosario-Lugo, Gabriel Confesor Martinez-Cruz, Steven J. Ayala-
Martinez, Geraldo Rivera-Lugo, Steven Echevarria-Medina, Jonathan Ro-
driguez, Christopher Jusino Rodriguez, Juan Gabriel Vega-Madera, Santi-
ago Delgado-Marquez, Pedro L. Lugo-Santiago, Jan C. Camacho-Perez,
Hector Montes-Rodriguez, Leonel Sujeil Quiñones-Cruz, Gerardo Rivera-
Feliciano, Jose E. Moreau-Rosado, Alexander Ramirez-León, Josue Jorge
Rodriguez, Luis A. Rivera-Quiñones, Anthony Zorilla-Figueroa, Angel G.
 Delgado-Velazquez, Alcides Yamsell-Garcia, Kenneth Mayol-Torres, Fran-
cisco Ortiz-Torres, Hector Cintrón- Rodriguez, Eddie J. Vidal-Moran, Luis
A. Rivera-Class, Athos Vega-Vidal, Dimari Cardona-Antonetti, Ismael A-
ponte-Santos, Reynaldo Colon-Natal, Richard Ortiz-Nieves, Luz Maria San-
tiago, Natasha Colon-Natal, Jose A. Nieves-Echevarria, Yoshua D. Roman-
Quiñones, Arquelio Gonzalez-Negron, Jose I. Aponte-Santos, Carlos J. San-
tiago-Rivera. The defendants are facing a forfeiture allegation of ten million
dollars.

“Today’s arrests demonstrate our commitment to dismantle drug traffick-
ing organizations whose members are affecting the quality of life of the
law abiding citizens in our public housing projects,” said Rosa Emilia Ro-
dríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “Federal and
state law enforcement agencies will continue their hard work to maintain
the peace in our neighborhoods.”

“This case involved the long-term victimization of entire communities, who
were forced to live in fear due to the nearly incomprehensible level of vio-
lence and narcotics trafficking taking place around them.  Sadly, housing pro-
jects that were designed to provide affordable living have instead become a
breeding ground for violent gangs and criminal enterprises.  The hearts of
everyone in the FBI go out to those families who were denied their basic
rights to a safe environment in which to raise children, enjoy retirement, or
even to walk safely through the streets of their neighborhoods.  As demons-
trated today, the law enforcement community will continue to make a prio-
rity of targeting for federal investigation those individuals who join together
to pray on the innocent,” said Douglas A. Leff, Special Agent in Charge,
Federal Bureau of Investigation.


Assistant U.S. Attorney Teresa Zapata-Valladares is in charge of the prose-
cution of the case.  If convicted, the defendants face a minimum sentence
of 10 years, and up to life in prison. Indictments contain only charges and
are not evidence of guilt. Defendants are presumed to be innocent until and
unless proven guilty.

Puerto Rico News Digest For January 15, 2016

GOV'T TO MAKE BUDGET ADJUSTMENTS

From News Is My Business:

"The government of Puerto Rico is making budget adjustments amoun-
ting to some $254 million, which is about half of the shortfall in revenue
collections the Treasury Department anticipated late last year. In a news
conference at La Fortaleza, Luis Cruz, executive director of the Office
of Management and Budget, confirmed a reduction in the budgets for
agencies offering health, security and education services. The govern-
ment will also not be making payments to the Commonwealth retire-
ment system and will clawback about $119 million in revenue that was
supposed to be directed for payments on the Puerto Rico Infrastructure
Financing Authority debt..."

MAYOR OF GUAYANILLA RESIGNS

From The San Juan Daily Star:

"Guayanilla Mayor Edgardo Arlequín Vélez finally resigned his post after
being suspended on March 6, 2015 and less than a month after being sen-
tenced to four years in prison for sexual misconduct and using his post for
benefits, according to Inter News Service. Popular Democratic Party (PDP)
spokesman Ángel Raúl Matos said the resignation will become final once
the municipal legislature formally accepts it..."

COCAINE FOUND IN BUSHES IN ISABELA BEACH

From Military.Com:

"Federal authorities announced Monday that they discovered more than
$4 million worth of cocaine stashed in bushes along Puerto Rico's north
coast as they find more drug shipments but with smaller payloads in the
U.S. Caribbean. Some 340 pounds (154 kilograms) of cocaine were found
at a popular beach in the town of Isabela, according to U.S. Customs and
Border Protection. One man was arrested. It's one of the largest seizures in
recent months..."

PUERTO RICANS WIN POWERBALL PRIZES

From Caribbean Business:

"In Puerto Rico, the winning tickets for four $100,00 prizes were purcha-
sed at La Borinqueña in Caguas, La Milagrosa store in Camuy and the
other two in Plaza Loíza del Norte Shopping Center in San Juan, said
Armando Pérez Cruz, assistant director at the Electronic Lottery of Pu-
erto Rico. The winners of the $50,000 prizes made their plays at Cabre-
ra Services Station in San Juan and the San Gabriel Pharmacy in Caro-
lina..."

CRUISE SHIP PASSENGER DROWNS IN DORADO

From Yahoo! News:

"Authorities in Puerto Rico say a cruise ship passenger from California
has drowned along the U.S. territory's north coast amid rough seas. Au-
thorities say the 71-year-old from Angeles was swept away Thursday
along with his brother-in-law in the popular beach town of Dorado..."

22 Individuals Charged With Drug Trafficking In Peñuelas

Press Release

Department of Justice
U.S. Attorney’s Office
District of Puerto Rico









SAN JUAN, Puerto Rico – On November 5, 2015, a federal grand jury in
the District of Puerto Rico returned two separate indictments against thir-
teen and nine defendants respectively charged with conspiracy to possess
with intent to distribute controlled substances, announced Rosa Emilia Ro-
dríguez-Vélez, United States Attorney for the District of Puerto Rico. The
Federal Bureau of Investigations and the Puerto Rico Police Department
(PRPD), Ponce Strike Force, are in charge of the investigation.

The first indictment alleges that beginning in 2009, the organization distri-
buted cocaine, heroin, crack, and marihuana at the Caracoles III Ward, lo-
cated in the Municipality of Peñuelas, Puerto Rico, all for financial gain
and profit.

The 13 defendants are: Victor A. Serna-González, aka “Bebe;” Victor Da-
niel Serna-González, aka “Danny;” Rubén Figueroa-Santiago; José L. Ríos
-Martínez, aka “Olivo;” Fred Bernard Rodríguez, aka “Gordo;” Victor Ra-
mos-González, aka “Burrin;” Luis M. Ramos-González, aka “Chino;” José
Pérez-Santiago, aka “Orejas;” Carlos Ramos-González, aka “Colorao;” Ra-
fael J. Quiros-Morales, aka “Menor;” Erick Tomás García-Ramos, aka “Ti-
to;” Julio Araud-Figueroa, aka “Julito;” and FNU LNU, aka “Wilfred”.

The second indictment alleges that beginning in 2007, the organization distri-
buted cocaine and heroin at the Caracoles II Ward, located in Peñuelas, PR,
for significant financial gain and profit. The nine defendants are: Victor Can-
delario-Santiago, aka “El Loco;” Elliot Lucca-Nieves, aka “Luquita;” Luis Ro-
sario-Tellado, aka “Javier Tellado;” Aixsa L. Morales-Figueroa; Juan Ramos-
Rodríguez, aka “Flaco;” Miguel Rivera-Galarza, aka “Valdo;” Ángel L. Alva-
rado-Pérez, aka “Cacu;” Julio E. Feliciano-Quiñonez, aka “Caballito;” and Jo-
sé Figueroa-Segarra, aka “El Menor”.

The 22 defendants acted in different roles in order to further the goals of their
organizations, to wit: leader, drug point owners, runners, drug processors, se-
llers, and facilitators. Some defendants possessed firearms to protect the mem-
bers of the drug trafficking organizations, the narcotics, the proceeds derived
from the sales, and to further accomplish the goals of the conspiracies.

Assistant U.S. Attorney Myriam Fernández, supervisor of the Narcotics Unit,
and Assistant U.S. Attorney John Mathews are in charge of the prosecution of
the case.  If convicted the defendants face a minimum sentence of 10 years,
and up to life in prison. Indictments contain only charges and are not evidence
of guilt. Defendants are presumed to be innocent until and unless proven guilty.

Puerto Rico News Digest For October 5, 2015

TRACES FOUND OF MISSING SHIP

From Fox News Latino:

Aircraft and ships searching off the Bahamas islands for a U.S. cargo ship
that lost contact during Hurricane Joaquin have found more debris and clues
but no definitive word yet on the fate of the vessel or the 33 people on board.
The owner of the 790-foot El Faro said a container that appears to have come
from the ship was found, while the Coast Guard said it had located a debris
field that included what appeared to be pieces of container. Searchers have
also spotted an oil sheen and found a life ring from the El Faro. Chief Petty
Officer Bobby Nash said it was too early to come to any conclusion. Two
Coast Guard cutters, the Northland and Resolute, were expected to continue
searching overnight Sunday as the aircraft returned to their bases.

POLICE SEIZE $5.4 MILLION DRUG SHIPMENT

From Caribbean Business:

"Authorities are searching for three suspects who allegedly attempted to
smuggle $5.4 million worth of drugs into Puerto Rico from the Dominican
Republic. Police said they arrested Teófilo Tineo González, a 36-year-old
Dominican man, after seizing about 518 pounds (235 kilograms) of cocai-
ne and heroin and a 22-foot (6.7-meter) boat on the coast west  of San Juan,
but three other suspects got away. Police Superintendent José Caldero said
authorities were hunting for three others they believe were aboard the boat
that left the Dominican Republic for Puerto Rico on Wednesday night..."

RESERVOIR LEVELS GO UP OVER THE WEEKEND

Rains over this past weekend have raised the water level at the Carraízo and
La Plata reservoirs, both of which serve the bulk of the San Juan metro area.
La Plata went up by 47 centimeters from Sunday morning to Monday morn-
ing, for a level of 40.50 meters. La Plata's users, however, are  still a ways
away from being taken off the current 24-hour water rationing plan they are
currently under. The reservoir would have to reach at least 43 meters for ra-
tioning to be discontinued. The Carraízo reservoir saw its water level rise over
the weekend to 38.47 meters, staving off for now a return to a rationing plan
for its 160,000 users. Its level rose by 26 centimeters from Sunday to Monday.

EPA FINALIZES PLAN FOR CONTAMINATED WELL

From The San Juan Daily Star:

The U.S. Environmental Protection Agency (EPA) finalized a plan to use
natural processes along with the continued use of a system that the federal
agency had already installed to treat contaminated groundwater at the Coro-
zal Well Superfund Site in Corozal, officials announced Thursday. Previou-
sly, the EPA installed a system that uses carbon to address pollutants as an
initial step to address the risks posed by people drinking contaminated gro-
undwater. Data collected since EPA installed the system confirms that there
are no levels of concern at the well. The system will remain in place as a sa-
feguard.

Jaime Dávila Reyes, aka “Peluche” Sentenced To 21 Years In Prison

Press Release

Department of Justice
U.S. Attorney’s Office
District of Puerto Rico









SAN JUAN, Puerto Rico – Today, Jaime Dávila-Reyes, aka “Peluche,” was
sentenced to 21 years in prison for drug trafficking and firearm violations, a-
nnounced Rosa Emilia Rodríguez-Vélez, United States Attorney for the Dis-
trict of Puerto Rico. On June 12, 2015, the defendant plead guilty to four co-
unts from three separate indictments, charging conspiracy to possess with in-
tent to distribute controlled substances. He also plead guilty to using and ca-
rrying firearms during and in relation to a drug trafficking crime.

Since the year 2006, and continuing up to and until the return of the Indictment
in Criminal Case 09-390(ADC), Jaime Dávila-Reyes and others, did knowingly
and intentionally, combine, conspire, and agree with each other and with diver-
se other persons known and unknown to knowingly and intentionally possess
with intent to distribute, heroin, cocaine, cocaine base, and marihuana in protec-
ted locations throughout the Municipality of Naguabo and Caguas, Puerto Ri-
co, specifically in Ignacio Morales-Dávila Public Housing Project in Naguabo
and Jose Gautier-Benítez in Caguas, Puerto Rico.

In the second indictment, Criminal Case 13-435(FAB), the object of the conspi-
racy was to distribute controlled substances at the Gautier Benitez Public Hous-
ing Project for financial gain and profit. Dávila-Reyes was a leader of the drug
trafficking organization and controlled the drug distribution points located at the
Gautier Benitez Public Housing Project.

In the third indictment, Criminal Case 13-534(CCC), the object of the conspira-
cy was to distribute controlled substances at the Morales Ward, in the Municipa-
lity of Caguas for significant financial gain and profit. As a leader in Barriada
Morales, Dávila-Reyes was in control of the drug distribution points. He direct-
ly supervised the operations at Barriada Morales, received the proceeds from the
distribution of narcotics sold during the span of his leadership in the conspiracy
and was in charge of maintaining control of all the drug distribution activities. He
also received payment or “rent” from other drug point owners in Barriada Moral-
es. He also acted as an enforcer and supplier within the conspiracy.

“The U.S. Attorney’s Office will continue working along with state and federal
law enforcement agencies to investigate and prosecute criminals who deprive our
 communities of a peaceful and safe environment,” said Rosa Emilia Rodríguez-
Vélez, U.S. Attorney for the District of Puerto Rico. “I commend our prosecutors
and investigative agencies who did not rest until they were able to arrest Davila-
Reyes and successfully bring him to justice.”

The defendant was sentenced by United States District Court Chief Judge Aida
Delgado-Colón. The cases were being prosecuted by Assistant U.S. Attorneys
César Rivera-Giraud, Alberto López-Rocafort and Teresa Zapata-Valladares.

Puerto Rico News Digest For September 16, 2015

GDB, TREASURY OUT OF MONEY BY YEAR END

From The San Juan Daily Star:

The Puerto Rico Treasury Department’s single cash account and the Go-
vernment Development Bank (GDB) are each expected to exhaust their
liquidity before the end of calendar year 2015. The information was con-
tained in a liquidity update report by Conway-MacKenzie (CM) and in
the island government’s fiscal adjustment plan. Both documents were
made public last week. The Treasury has a treasury single account (TSA)
in which it deposits and disburses amounts related to the General Fund,
certain federal funds, government agencies, general obligation debt issu-
ances (GOs) and payments, net pension benefits, and other items.

PRASA REACHES DEAL WITH US GOVERNMENT

From Caribbean Business:

Under a settlement with the U.S. Department of Justice and the Environ-
mental Protection Agency (EPA), the Puerto Rico Aqueduct and Sewer
Authority (Prasa) has agreed to make major upgrades, improve inspecti-
ons and cleaning of existing facilities within the Puerto Nuevo system and
continue improvements to its systems island-wide, according to the Justice
Department. The Puerto Nuevo sewer system serves the municipalities of
San Juan, Trujillo Alto, and portions of Bayamón, Guaynabo and Carolina.
The settlement updates and expands upon legal settlement agreements rea-
ched with Prasa in 2004, 2006 and 2010.

COCAINE FOUND ON EAST PR COAST

From Caribbean News Now:

US Customs and Border Protection (CBP) Office of Air and Marine Agents
on Friday night recovered 114 pounds (51.7 kilos) of cocaine inside four back-
packs that were ditched by smugglers on the east coast of the island. The esti-
mated value of the seized contraband is $1.4 million.  CBP units near Ceiba,
Puerto Rico found 30 individually wrapped bricks of cocaine inside two pie-
ces of luggage. “Our marine units patrol work with law enforcement partners
to detect and intercept criminal organizations that seek to introduce illegal nar-
cotics,” stated Johnny Morales, director of air operations for CBP’s Caribbean
Air and Marine Branch (CAMB). “This seizure is evidence that our persistence
 is fruitful.”

SALES TAX REVENUE OVER ESTIMATES

From News Is My Business:

Puerto Rico sales and use tax (SUT) revenues collections totaled $190.7 mi-
llion in August, the first month the new 10.5 percent rate was in effect, ex-
ceeding projections by $22.2 million, or 13.2 percent, Treasury Secretary
Juan Zaragoza said Monday. August 2015 estimates took into account the
possible effect of purchases made in advance of the rate increase. Neverthe-
less, the monetary values of the tax base subject to the SUT were very simi-
lar for August 2015 and August 2014, Zaragoza said.

Puerto Rico News Digest For September 4, 2015

GANGS TURN AVENUE INTO WARZONE

65th Infantry Avenue Closed For Three Hours

As reported by El Nuevo Dia, Police had to close off a stretch of 65th

Infantry Avenue in Rio Piedras as gang members from  Monte Hatillo

public housing project and the Berwind apartment buildings across the

road traded gunfire on Wednesday night. No deaths or injuries have
been reported as a result of the gunfire. A local school had to be eva-

cuated yesterday due to threats of further violence in the area. Police

believe that the latest outburst of violence came about due to the recent

murder of Héctor Nussa Román, who was the stepbrother of the alleged

head of drug sales in Monte Hatillo. Shootings in the area are sporadic,

but have been happening for years.

CARRAIZO GOES TO TWO-DAY RATIONING

Puerto Rico's water utility, AAA, has announced that water levels at the
Carraízo reservoir -- which serves Trujillo Alto, Carolina and parts of San
Juan -- is now high enough that water rationing for areas served by Carraí-
zo is being cut back to two days without water and one day with water. The
change begins today, after several weeks of water users being restricted to
two days of running water a week. About 160,000 AAA customers would
be affected by the change. Recent rains have swollen Carraízo's level to 37.
14 meters. Users of the La Plata reservoir are still also under "phase two"
water restrictions, with water off for two days at a time.

PREPA DEAL CAPS RATE HIKE AT 8¢

From The San Juan Daily Star:

The hike that Puerto Rico consumers will see in their electricity bill, which
must be approved by the Energy Commission, is not going to be higher than
the eight cents estimated in a five-year business plan prepared by the Puerto
Rico Electric Power Authority (PREPA) following an agreement reached with
the Ad Hoc Group of bondholders. PREPA Chief Restructuring Officer Lisa
Donahue said the final rate structure will be determined by the outcome of
talks with the other PREPA creditors -- banks and the utility’s insurance com-
panies. Those talks are expected to be completed by Sept. 18, which is when
the forbearance agreement between PREPA and its creditors is expected to
expire. TheAd Hoc Group represents 35 percent of the debt.

ARECIBO INCINERATORS GETS FINAL PERMIT

From News Is My Business:

Energy Answers confirmed Wednesday that the Puerto Rico Environmental
Quality Board has granted the final permit to build a facility for the processing
of non-hazardous solid waste at the Cambalache Sector in Arecibo. The review
process of this permit began in 2012 under the administration of Gov. Luis For-
tuño and included two separate public hearings and extended periods of time for
comment in writing, ensuring broad public participation in the permitting pro-
cess. “The periods for written comments exceeded by far the established regu-
latory requirements and what is usual and customary for a facility handling so-
lid waste as proposed,” the company said.

USDA DESIGNATES 17 TOWNS DISATER AREAS

From Caribbean Business:

Although Puerto Rico has received much-needed rain in the past week, primari-
ly due to Tropical Storm Erika and a tropical wave, the U.S. Department of Agri-
culture has declared an additional 17 municipalities in Puerto Rico as natural di-
saster areas due to the ongoing drought conditions. These additional municipali-
ties are: Aguas Buenas, Aibonito, Bayamón, Cataño, Ceiba, Coamo, Comerío,
Dorado, Guaynabo, Loíza, Naguabo, Naranjito, San Juan, Santa Isabel, Toa Al-
ta, Toa Baja  and Vega Alta.