A Houston man, Daniel Rodriguez Martinez, 51, has been sentenced to federal prison for his involvement in a wire fraud conspiracy. U.S. Attorney Nicholas J. Ganjei announced the sentencing following Martinez’s guilty plea on May 1.
Chief U.S. District Judge Randy Crane ordered Martinez to serve 54 months in prison, followed by three years of supervised release. The court was presented with evidence showing that Martinez received $1.4 million from the scheme and played a key role by creating a fraudulent company to hide payments.
The scheme operated from March 2021 to May 2024, during which Martinez and others set up a fake utility company using stolen personal information like Social Security numbers to open electricity accounts with legitimate providers. These accounts were linked to real service addresses, enabling customers to receive power while unsuspecting victims were billed.
When service was discontinued due to nonpayment, new accounts were opened under different fake identities. Customers paid $80 monthly for uninterrupted electricity service through the fraudulent company, allowing them to bypass legitimate charges while the organizers profited.
Martinez admitted he created the fake electricity services company solely for concealing the theft scheme. Payments from clients were received via peer-to-peer apps such as CashApp and Zelle and then transferred into a business account to disguise their origin.
As part of his plea agreement, Martinez agreed to forfeit $456,859.76 in U.S. currency and his interest in multiple properties.
He will remain in custody until he is transferred to a Federal Bureau of Prisons facility.
The FBI conducted the investigation with Assistant U.S. Attorney Jose A. Garcia prosecuting the case.
