Latest news with #CarteldeJaliscoNuevaGeneración
Yahoo
3 days ago
- Business
- Yahoo
Utah father and son duo charged for allegedly supporting Mexican drug cartel
SALT LAKE CITY () — A father and son duo out of Utah are facing federal charges after being accused of supporting a Mexican cartel that has been designated as a foreign terrorist organization. James Lael Jensen, 68, of Sandy, and Maxwell Sterling Jensen, 25, of Draper, have been charged with conspiring to materially support the Mexican cartel, conspiracy to commit money laundering and related smuggling charges, according to U.S. Attorney Nicholas J. Ganjei. Utah couple arrested for smuggling millions of dollars of crude oil, documents say Per the indictment, the Jensens allegedly conspired to provide financial support to the Cartel de Jalisco Nueva Generación (CJNG), a group that was in February. The Jensens allegedly operated Arroyo Terminals, a Rio Hondo-based enterprise, that reportedly helped 'conceal and disguise the nature and source of the proceeds of illegally smuggled goods' such as crude oil. Federal prosecutors further allege the father and son duo aided and abetted 2,881 shipments of oil in violation of the Tariff Act. At the time of their arrest, authorities reportedly seized four tank barges containing crude oil, three commercial tanker trucks, an Arroyo Terminal pickup truck and a personal vehicle. Authorities are also working on seeking forfeiture for the Arroyo Terminal property in Rio Hondo, crude oil contained in storage tanks owned by Arroyo Terminal and other real properties. 'What began as a Drug Enforcement Administration drug trafficking investigation evolved into a multifaceted case involving an alleged complex criminal operation generating millions of dollars from crude oil – the largest funding source for Mexican drug cartels,' said William Kimball, acting special agent in charge of DEA – Houston. 'Given the charges have profound implications for both the United States and Mexico, we will continue to explore all leads and identify any believed to be involved.' Nicholas Ganjei said the case underscores the more aggressive and innovative approach the Southern District of Texas is taking towards battling drug cartels. He said the strategy focuses not only on the traffickers and 'trigger-pullers' that are directly employed by cartels, but also their enablers. 'Whether you are handing the cartel a gun, providing a car or safehouse for smugglers, or putting money in the cartel's pocket, you will be held to account,' said Ganjei. Prosecutors said, if convicted, the charges of conspiracy to provide material support and money laundering both carry a possible prison term of up to 20 years. Both men could also face up to 10 years and five years for aiding and abetting the smuggling of goods into the United States and by doing so through false statements. James Jensen also faces one count of money laundering, which carries an additional 10 years in prison. The United States is also seeking a $300 million money judgment if the two are convicted. Charges are allegations only. All arrested persons are presumed innocent unless and until proven guilty beyond a reasonable doubt. BLM to remove over 3,000 wild horses from Wyoming land Utah father and son duo charged for allegedly supporting Mexican drug cartel Stage 1 fire restrictions issued for multiple southwest Utah counties Fetterman claims media trying to 'smear' him over missed votes, absences Trump administration asks Supreme Court to lift judge's new block on mass layoffs Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
3 days ago
- Business
- Yahoo
From Crude To Crime: Family's $47M Oil Scheme Allegedly Bankrolled Mexican Cartel
Federal officials are charging a father and son, who operated an oil business in South Texas, with aiding a violent Mexican cartel. James Lael Jensen, 68, and Maxwell Sterling Jensen, 25, allegedly 'conspired to provide material support to the Cartel de Jalisco Nueva Generación' (CJNG),' according to a press release from the Department of Justice. They allegedly operated Arroyo Terminals in Rio Hondo, near the Texas-Mexico border. 'This case underscores the more aggressive and innovative approach the Southern District of Texas is taking towards combatting the scourge of drug cartels,' said U.S. Attorney Nicholas Ganjei in the press release. 'This strategy focuses not just on the traffickers and trigger-pullers directly employed by the cartels, but also targeting their confederates and enablers.' James Jensen is reportedly from Sandy, Utah, while Maxwell Jensen is from Draper, Utah. A superseding indictment was returned on May 22, charging them with conspiracy to 'materially support' the cartel – a foreign terrorist organization, conspiracy to commit money laundering, and 'related smuggling charges.' The father and son are also charged with 'conspiring to conduct financial transactions to conceal and disguise the nature and source of the proceeds of illegally smuggled goods, crude oil,' according to the press release. They allegedly 'aided and abetted' the 'fraudulent entry' of close to 2,881 shipments of oil. The indictment accused James and Kelly Jensen of funneling more than $47 million to Mexican businesses connected to the cartel, according to KRGV. An arrest warrant cited by the outlet accused them of making payments for crude oil 'to businesses in Mexico that operate only through the permission of Mexican criminal organization,' and it claimed, 'James Jensen was aware that the payments he made were going to these Mexican criminal organizations.' 'Cases like this highlight the often-dangerous relationships between alleged unscrupulous U.S. businesses and terrorist organizations,' stated Craig Larrabee, special agent in charge of ICE-Homeland Security Investigations San Antonio, in the release. 'Through strong collaborations and relentless investigative work, we and our partners exposed a possible large-scale operation that allegedly attempted to move millions in illicit crude oil and launder the proceeds.' Police arrested James Jensen and his wife Kelly on April 27, according to KRGV. Their sons, Maxwell and Zachary Jensen, were also arrested. All four suspects pleaded not guilty. Officials seized four 'tank barges' with crude oil, three commercial tanker trucks, an Arroyo Terminal pickup, and a 'personal vehicle' at the time of the arrests, according to the release. The Arroyo Terminal property in Rio Hondo included crude oil storage tanks and 'additional real properties' for which the government is seeking forfeiture. Upon conviction, the government will also seek a $300 million monetary judgment. James and Maxwell Jensen could face 20 years in prison for the charges of conspiracy to provide material support and to commit money laundering. They could face additional sentences of five and 10 years if convicted of aiding and abetting smuggling and doing so 'by means of false statements.' James Jensen faces another charge of 'money laundering spending,' which could bring an additional 10 years in prison. The money laundering charge could bring fines of up to $500,000 or twice the value of the property, and the other charges could bring up to $250,000 in fines. The investigation was a 'joint effort' between law enforcement, including the DEI, FBI, and ICE-HSI. The agencies found 'substantial assistance' from Customs and Border Protection, U.S. Marshals, IRS Criminal Investigations, and the Texas Department of Public Safety. 'What began as a Drug Enforcement Administration (DEA) drug trafficking investigation evolved into a multifaceted case involving an alleged complex criminal operation generating millions of dollars from crude oil – the largest funding source for Mexican drug cartels,' stated William Kimbell, DEA-Houston acting special agent in charge, in the press release. This investigation was part of the broader 'Operation Take Back America,' a national mission using the 'full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime.' The Cartel de Jalisco Nueva Generación, or CJNG, is 'responsible for a significant proportion of fentanyl and other deadly drugs trafficked into the United States,' according to the Department of the Treasury. While the Sinaloa Cartel has historically been dominant in Dallas and Fort Worth, the CJNG has also been in the area, according to the 2015 National Drug Threat Assessment. Years later, in 2024, Texas was still among the states with the most Mexican cartel presence. 'Mexico-based drug trafficking cartels such as CJNG have turned to fuel theft and crude oil smuggling in recent years, resulting in billions of dollars in lost revenue for the Mexican government,' according to the Treasury's website. 'These schemes have grown into powerful revenue generators for CJNG, enabling their campaigns of narcotics trafficking in the United States and violence against Mexican government forces along the U.S. southwest border.' Aaron Tapp, FBI special agent in charge of the San Antonio Field Office, said in the release that it is a 'top priority' for the bureau to 'eliminate foreign terrorist organizations' by cutting off their funding and seizing their assets. 'Together with our law enforcement partners, we will use every resource and capability at our disposal to ensure violent cartels and anyone who corruptly facilitates their operations are held accountable to the American people and unable to establish a foothold in our communities,' Tapp said in the release. Assistant U.S. Attorneys James Sturgis and Laura Garcia are prosecuting this case, and Assistant U.S. Attorneys Mary Ellen Smyth and Tyler Foster are 'handling seizure and forfeiture.' 'Whether you are handing the cartel a gun, providing a car or safehouse for smugglers, or putting money in the cartel's pocket,' Ganjei said in the release, 'you will be held to account.'
USA Today
6 days ago
- USA Today
Texas oil operators indicted in drug cartel smuggling scheme
Texas oil operators indicted in drug cartel smuggling scheme Prosecutors say a family operating an oil terminal in Texas received 2,881 shipments of smuggled oil connected to the Cartel de Jalisco Nueva Generación. Show Caption Hide Caption Mexico takes on American gun companies at Supreme Court Supreme Court justices expressed skepticism as Mexico attempted to hold American gun companies responsible for drug cartel violence. MEXICO CITY – An American family operating a Texas oil company near the border has been indicted by U.S. authorities for a years-long operation that smuggled thousands of shipments of oil stolen by drug cartels, federal prosecutors announced Friday. James L. Jensen, wife Kelly A. Jensen and sons James L. and Zachary G. Jensen have all been charged in connection with the scheme. James Jensen is the operator of Arroyo Terminals, a company based in Rio Hondo that receives and distributes shipments of crude oil. A total of 2,881 of shipments Jensen's company received since May 2022 came from Mexican smugglers tied to the Cartel de Jalisco Nueva Generación, according to the U.S. Attorney's Office for the Southern District of Texas. Experts have previously told USA TODAY that the CJNG organized crime group is perhaps the most militant in Mexico, turning regions into essentially warzones. The case against the Jensens comes as authorities under President Donald Trump aim to apply greater pressure to cartels smuggling drugs in the U.S. In February, the U.S. State Department designated CJNG, the Sinaloa Cartel and other crime groups as terrorist organizations. 'This case underscores the more aggressive and innovative approach the Southern District of Texas is taking towards combating the scourge of drug cartels,' said U.S. Attorney Nicholas J. Ganjei. 'This strategy focuses not just on the traffickers and trigger-pullers directly employed by the cartels, but also targeting their confederates and enablers.' Most of the charges are against James and Maxwell Jensen, who face up to 20 years in prison for money laundering. They face up to 15 years collectively if convicted of aiding and abetting smuggling goods under false statements. Lawyers for the Jensens did not respond to repeated requests for comment. Oil smuggling is a multi-billion-dollar business for cartels, according to the Treasury Department. A Drug Enforcement Administration official called it 'the largest funding source for Mexican drug cartels.' American authorities' move to crack down on the Texas company handling smuggled oil comes as Mexican authorities say the practice has been a widespread issue for years with devastating effects south of the border. 'The narrative is that everything bad is done in Mexico and the USA only suffers the drugs,' Jesús Pérez Caballero, a Mexican government researcher, told USA TODAY. 'But it's impossible to do this kind of complex business without these links to support it.' Mexican smugglers depend on American refiners, small-time oil producers and distributors to make money from the theft. 'It's a good start to recognize that the USA is not a passive actor in this business,' Caballero, a Mexican government researcher, told USA TODAY. 'It's as active as the Mexican one.' What are the charges against the Jensens? The Jensens have operated Arroyo Terminals in Rio Hondo, Texas, since 2020, according to James Jensen's LinkedIn page. Terminals are crucial distribution points in the oil economy, storing oil as it moves between producers and refineries. Prosecutors allege that from May 2022 through April 2025, the Jensens' Texas terminals served as a key waypoint for smuggled oil from Mexico, according to the indictment. The family received a total of 2,881 shipments of stolen oil, court filings claim. The oil was shipped using fraudulent authentication papers and labels, including 'waste of lube oils,' the indictment alleges. The father faces up to 10 years for money laundering spending. According to the money, he used money from the smuggling operation to buy a 2024 GMC vehicle. Kelly and Zachary Jensen are charged with money laundering conspiracy. Kelly is also charged with money laundering spending conspiracy. Items they were ordered to forfeit, according to the indictment, included barges for ferrying oil, tractor trailers, the GMC vehicle, a Chevy Stingray registered to Kelly Jensen and a property in Utah where the family has roots. Ties between Mexican and American smugglers The family isn't the first in Texas to face charges related to smuggling cartel oil, according to experts. Ramanan Krishnamoorti, a researcher at the University of Houston, said the practice has been going on for years at many small-time oil operations. Smugglers ferry the oil into the U.S. aboard boats or by crossing the border where the traffic is so high that border agents are unlikely to uncover it without significant increases in border crossings. A typical scheme brings the smuggled oil to 'mom and pop' operations throughout Texas, according to Krishnamoorti. The oil is then added to their own supply and by the time it makes it to refineries, it can be hard to tell the difference. The total amount of smuggled oil is 'literally a drop in the ocean,' said Krishnamoorti. But 'it's significant for the cartels in terms of being able to steal and sell.' Americans involved can make as much as $5 million per barge of smuggled oil, according to the Treasury Department. The oil is then shipped to markets around the world, from Japan and India to Africa and even right back into Mexico. Deep seated problem in Mexico Guadalupe Correa-Cabrera, a researcher at George Mason University and author of a book on Los Zetas cartel, said issues of oil smuggling in Mexico are longstanding. Mexico's state oil company Pemex has a legacy of corruption scandals and oil smuggling is just one of charges against operators. The company dates back to the nationalization in 1938 of all private oil companies in the country. Correa-Cabrera said the scrutiny of American involvement is overdue. 'Somebody has to refine this crude oil or gas condensate,' she said, 'and there's refineries in the U.S. that sell this massively back down south.' She lauded U.S. authorities for going after Americans involved in order to help fight cartels. But she fears the organized crime groups will be blamed for a more deeply rooted problem. 'The cartel participation is not as important as we imagine,' Correa-Cabrera said. 'It's not like stealing 18-wheelers, it involves knowing about the pipes, the surveillance of the pipes, really specialized knowledge.' She said the smuggling operations likely depend on everyone from engineers at the pipelines to military officials responsible for watching the border. 'The stories and the coverage has been directed toward cartels,' she said. 'But you cannot imagine this happening without all these other parts.'
Yahoo
16-05-2025
- Politics
- Yahoo
Feds use new terrorism designation to charge alleged Mexican cartel member
The U.S. Department of Justice charged a Mexican cartel member Friday, using a new terrorism designation for the first time – providing material support to a designated foreign terrorist organization. Federal prosecutors unsealed the indictment in the Western District of Texas, alleging Maria Del Rosario Navarro-Sanchez, 39, provided grenades to Cartel de Jalisco Nueva Generación (CJNG). President Trump, in February, signed an executive order designating CJNG and seven other cartels: Tren de Aragua, Mara Salvatrucha (MS-13), Cártel de Sinaloa, Cártel del Noreste (formerly Los Zetas), La Nueva Familia Michoacana, Cártel de Golfo (Gulf Cartel), and Cárteles Unidos as foreign terrorist organizations. Mr. Trump said cartels and other transnational organizations "threaten the safety of the American people, the security of the United States, and the stability of the international order in the Western Hemisphere." House and Senate Democrats urged top Trump administration officials to unlock additional legal tools that would allow the administration to disrupt the cartels' financial networks and impose harsher penalties on entities that provide material support to them. Federal law makes it a crime punishable by up to 20 years in prison and other fines to provide material support to cartels. The indictment filed against Navarro-Sanchez alleges that the Mexican national, in addition to conspiring to provide grenades to the cartel she also trafficked firearms and humans, smuggled bulk cash, and trafficked drugs on its behalf. "U.S. law enforcement is turning up the pressure to crack down on unlawful immigration practices and to dismantle the smuggling of illicit drugs and firearms," said acting U.S. Attorney Margaret Leachman for the Western District of Texas in a statement. Navarro-Sanchez allegedly conspired with two co-defendants, Luis Carlos Davalos-Lopez, 27, and Gustavo Castro-Medina, 28, both of Mexico. Davalos-Lopez is charged with conspiracy to smuggle illegal aliens into and transport aliens in the United States, straw purchasing and firearms trafficking. Castro-Medina is charged with straw purchasing and firearms trafficking, conspiracy to possess a controlled substance with intent to distribute, and possession of a controlled substance with intent to distribute. Texas mom accused of buying ammunition for son who officials say planned school attack What Trump's budget bill would mean for the fight against climate change What is the budget reconciliation process, and how does it work?
Scoop
04-05-2025
- Politics
- Scoop
Sanctioning A Key Network Involved In Fentanyl Trafficking, Fuel Theft, And Crude Oil Smuggling
The United States is leading global efforts to stop the illicit manufacture and trafficking of fentanyl, a leading cause of death of people aged 18 to 49 in the United States. Today, Treasury is targeting a key Mexico-based network involved in fentanyl trafficking, fuel theft, and crude oil smuggling. The United States is sanctioning three Mexican nationals and two Mexico-based entities linked to Cartel de Jalisco Nueva Generación (CJNG). This network generates hundreds of millions of dollars annually, benefitting CJNG's narco-terrorist enterprise through a slew of criminal activities, including fentanyl trafficking, fuel theft, and smuggling crude oil from Mexico across the U.S. southwest border. Today's action follows our recent designation of CJNG as a Foreign Terrorist Organization (FTO) and Specially Designated Global Terrorist (SDGT). In addition, under the Narcotics Rewards Program, the Department of State is offering a reward of up to $15 million for information leading to the arrest and/or conviction of Nemesio Rubén Oseguera Cervantes, aka 'El Mencho', the co-founder and current leader of CJNG. The United States remains committed to protecting our nation and the American people by keeping poisonous drugs like fentanyl off our streets and disrupting the revenue streams profiting Mexico-based FTOs and SDGTs like CJNG. Today's action further demonstrates the Trump Administration's commitment to eliminating cartels and protecting the safety of the American people. The U.S. Department of the Treasury previously sanctioned CJNG in April 2015 and December 2021, and the U.S. Department of State designated CJNG in February 2025. The United States took today's sanctions actions pursuant to Executive Order (E.O.) 14059 and 13224, as amended.
