“Family Ties” ring leader found guilty in federal court

Indianapolis – United States Attorney Josh J. Minkler announced today that an Indianapolis man was convicted of drug distribution, money laundering and bankruptcy fraud charges in federal court. Geraldo Colon, 48, was found guilty after a six-day jury trial before U.S District Judge Jane Magnus-Stinson.

“The goal of this office is to make the Southern District of Indiana the worst place in America to sell drugs,” said Minkler. “That is accomplished by investigations like this which arrest drug dealers, detain them without bond, convict them at trial and request lengthy mandatory minimum sentences in federal prison.”

In May 2014, law enforcement officials learned that large quantities of narcotics were being shipped to the Indianapolis area from Phoenix, Arizona. The drugs were being shipped to a location on Bomar Lane in Greenwood, Indiana. From there, the drugs were being moved to the Muebleria Luz Furniture Store on the Northwest side of Indianapolis, where Colon then distributed them to various Indianapolis-based drug traffickers.

Law enforcement soon learned that Colon was the ringleader of this drug trafficking organization, which brought hundreds of pounds of heroin, cocaine and methamphetamine to the Indianapolis area. Various search warrants were served during the investigation netting: 24 firearms, over $4.5 million in cash proceeds, along with 9.5 kilograms of heroin, over 21 kilograms of cocaine and 22 kilograms of methamphetamine.

was one of 20 federal defendants charged as part of Operation Family Ties that targeted a well-armed and heavily funded drug trafficking organization. A large portion of the drugs were being distributed in the Northwest side of Indianapolis as well as the Butler-Tarkington Neighborhood. Two other primary distributors in the “Family Ties” investigation have been sentenced. Daniel Stewart was sentenced to life without parole in November 2016 and Wade Havvard was sentenced to 31 years in May 2016.

“The negative impact this organization had on the lives and families of Indianapolis is un-measureable, yet devastating,” said IMPD Chief Bryan Roach. “I am thankful for the good work and passion all the detectives working in collaboration with our federal partners who continue to pursue these types of crimes and criminals to change lives and make Indianapolis a safer place.”

“This conviction is the culmination of exemplary interagency cooperation and commitment to keep our communities safe,” said James M. Gibbons, special agent in charge of HSI Chicago. “Through our collaborative efforts we succeeded in striking a significant blow against a large-scale and dangerous drug-trafficking network.”

IRS Criminal Investigation Special Agent in Charge, James Robnett stated, “Working together with our law enforcement partners, IRS Criminal Investigation has done what it does best….we follow the money! We follow the money trail to financially disrupt and dismantle significant narcotics trafficking organizations victimizing our taxpayers. Our actions demonstrate our collective efforts to continue to enforce the law and ensure our communities and neighborhoods are safe.

“I am grateful to U.S. Attorney Minkler and our law enforcement partners for their strong commitment to combating fraud and abuse in bankruptcy cases”, stated Nancy J. Gargula, U.S. Trustee for Indiana, Central Illinois and Southern Illinois (Region 10). The U.S. Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. Region 10 is headquartered in Indianapolis, with additional offices in South Bend, Ind., and Peoria, Ill.

case was investigated by the Indianapolis Metropolitan Police Department, Drug Enforcement Administration, Department of Homeland Security Investigations, Internal Revenue Service Criminal Investigation and the U.S. Trustee’s Office.

According to Assistant U.S. Michelle P. Brady who prosecuted this case for the government, Colon faces a maximum sentence of life in prison. No sentencing date has been set.