Three convicted in large-scale bail bond fraud conspiracy

Editor's Note:
This matter occurred on date indicated, but not published at that time due to government shutdown. Press release posted and made available following the return to normal operations.   

HOUSTON – A federal judge has found three Houstonians guilty of conspiring to secure the release of Harris County inmates on fraudulent bail bonds, announced U.S. Attorney Nicholas J. Ganjei.

U.S. District Judge Lee H. Rosenthal determined Kamaiga Gholar, 31, James Bateson, 46, and Katherine O’Brien, 26, were each guilty of conspiracy and committing wire fraud following a week-long trial.  

“This fraudulent scheme attacked the integrity of the bail bond system,” said Ganjei. “These defendants also endangered the public by helping to obtain pretrial release for accused criminals who should have been kept in jail. The Southern District of Texas will not tolerate attempts to undermine public confidence in our system of justice.”

The court heard how these three knowingly submitted falsified documents to manipulate the bail bond system in Harris County to secure the release of repeat and violent criminals. From approximately September 2020 to January 2022, Gholar, Bateson and O’Brien falsified paycheck stubs so inmates would qualify for bonds that AABLE Bail Bonds had facilitated.

During trial, Judge Rosenthal heard numerous jail calls discussing the scheme. She also considered testimony from people around the country, some of whom were company representatives who explained that bond co-signers were not employees of their companies despite claiming to be so.   

The inmates receiving the bonds had various charges including aggravated assault, firearms, drug trafficking, promoting prostitution and more.

At trial, the court heard evidence that Gholar admitted to knowingly passing falsified paystubs in support of one inmate’s bond paperwork. Gholar inflated income amounts and emailed falsified paystubs to AABLE Bail Bonds.

Bateson aided an inmate who testified that although Bateson had co-signed his bond, he only knew him as a friend’s roommate. The employer listed on his bond application was false.

The court also heard calls in which O’Brian commented that it was difficult to find co-signers with enough income and that she knew how to make false paystubs. In one instance, five co-signer applications for a single inmate had been completed in O’Brien’s handwriting. One had been submitted in the name of O’Brien’s own relative who testified at trial that she never agreed to co-sign and that her paystub had been falsified. O’Brien attempted to blame AABLE Bail Bonds employees for the inaccurate paperwork.

Overall, the defense claimed there was no wire fraud because Gholar, Bateson and O’Brien were not trying to get money or property, but simply trying to get their friends and loved ones released from jail. The defense also claimed that because no one actually forfeited a bond, there was no harm; therefore, no loss and no crime. The court was not convinced and found all three guilty as charged.

Judge Rosenthal will impose sentencing Dec. 31. At that time, each faces up to 20 years in prison per count and a possible $250,000 maximum fine.

All were permitted to remain on bond pending that hearing.

A total of 53 people have been charged in the case. To date, 26 have now been convicted through pleas or trial.  

The FBI, Houston Police Department and Harris County Sheriff’s Office conducted the investigation with the assistance of Texas Department of Public Safety and U.S. Marshals Service. Assistant U.S. Attorneys Michael Day, Stephanie Bauman, Anthony Franklin and Jay Hileman are prosecuting the case.