A Mission man has been sentenced to 11 years in federal prison for his involvement in a conspiracy to monopolize the transmigrante forwarding agency industry in the Los Indios border region. Carlos Martinez, aged 39, pleaded guilty earlier this year and was sentenced by U.S. District Judge George C. Hanks Jr. He will also serve three years of supervised release and pay a $2 million fine.
Martinez and his co-conspirators used intimidation tactics to control pricing and eliminate competition within the transmigrante industry, which involves transporting used vehicles and goods from the United States through Mexico for resale in Central America. They established a centralized entity known as the “pool” to fix prices for forwarding services and distribute revenue among themselves.
U.S. Attorney Nicholas J. Ganjei commented on the case: “Price fixing is not a victimless crime; it harms customers in the form of artificially high prices.” He added that Martinez’s sentence reflects the scale of his criminal operation.
Matthew R. Galeotti, head of the Justice Department’s Criminal Division, emphasized the impact on honest businesses: “The defendants extorted victims trying to make an honest living… drove up the cost of moving goods.” Assistant Attorney General Abigail Slater noted that this case highlights “the significant danger and harm” posed by such criminal activities at borders.
Special Agent Craig Larrabee from ICE-HSI San Antonio described Martinez’s scheme as violent and extortive, while FBI Special Agent Aaron Tapp reiterated their commitment to combating transnational criminal organizations that threaten fair market practices.
Martinez, related by marriage to a former Gulf Cartel leader, enforced compliance through threats and violence against those who did not adhere to pool rules or refused extortion payments. His organization collected piso payments from agencies, using various methods of intimidation.
The investigation was conducted by ICE-HSI and FBI, with prosecution led by Assistant U.S. Attorney Alexander L. Alum alongside other attorneys from different divisions within the Justice Department.
Seven others have been convicted in connection with this case, with three already sentenced.
