U.S. Attorney’s Office Asset Recovery Division Collections Exceeded $31 Million in Fiscal Year 24 and Forfeited Over $23 Million, Mostly for Crime Victim Losses

SAN ANTONIO – In recognition of National Crime Victims’ Rights Week, Acting U.S. Attorney Margaret Leachman announced today that the Western District of Texas collected $31,891,176.54 on outstanding criminal debts through its Financial Litigation Unit (FLU) and forfeited $23,764,169 through its Asset Forfeiture Unit (AFU) in fiscal year 2024.

“Congress has mandated that the loss to crime victims be recognized through the enactment of various federal laws and has given the responsibility to U.S. Attorney’s Offices to aggressively enforce victim restitution orders. This office is determined to do just that, understanding that justice cannot be considered served until full restitution is made,” said Acting U.S. Attorney Margaret Leachman for the Western District of Texas. “Asset forfeiture plays a critical role in disrupting and dismantling illegal enterprises, depriving criminals of the proceeds of illegal activity, deterring crime, and restoring property to victims. Successful return of forfeited assets to victims through the remission and restoration processes is one of the primary goals of the Department’s Asset Forfeiture Program.”

The U.S. has broad enforcement powers to collect restitution in criminal cases. In FY24, the FLU filed various enforcement proceedings, including restraining orders, liens, garnishments, foreclosures, turnover motions, and writs of execution, to recoup millions in losses to crime victims. Few exemptions are available to criminal debtors in these enforcement proceedings. The U.S. Attorney’s Office (USAO) also negotiated substantial pre-sentence payments along with post-judgment payment plans to ensure recovery. Over $3,304,942.85 was collected through the Treasury Offset Program in FY24, which captures all or some federal payments, such as tax refunds, benefits and vendor payments.

Some of the more notable forfeiture and collections occurring in FY24 include:

• Janet Yamanaka Mello defrauded the U.S. of $108 million in grant payments intended for military youth programs. She was sentenced on July 23, 2024 to 15 years in prison and to pay $140 million to the U.S. Army and IRS. To recover losses, the USAO’s AFU forfeited $18,133,806.53 from six bank accounts; 31 properties valued at almost $23 million; 35 motor vehicles, 42 motorcycles, two all-terrain vehicles, one recreational vehicle, and one boat all valued at almost $3.5 million; and 2,410 pieces of jewelry and personal items valued at about $9 million. Among the real property, only her primary residence has been sold for $1.2 million, which she purchased in 2017 for $663,956.84. Meanwhile, the USAO’s FLU has recovered almost $700,000 from the sale of personal property and by clawing back fraudulent transfers Mello made to family and friends.
• In July 2022 Marco Perez was sentenced to 168 months of imprisonment and $14,538,967.27 in restitution to compensate over 400 victims of his oil and gas Ponzi scheme. As part of its prosecution, the USAO forfeited 10 vehicles, including a helicopter, Lamborghini, Rolls Royce, jewelry, $458,483 in cash, and eight different types of cryptocurrencies. The estimated total value of all forfeited assets combined is $1.1 million. The USAO is working to restore those funds to his victims.
• In October 2008, Olivia Enriquez was sentenced to 63 months imprisonment and to pay 10 victims $980,512.92 for, among other things, embezzling from her elderly employer. In the intervening years she paid a minimal amount. In 2024 FLU foreclosed on and sold defendant’s New Mexico real property, netting $78K to her elder victim; implemented a continuing garnishment of 25% of her wages; and is pursuing garnishment of her spouse’s wages.
• In 2002, Bryan Lee Rankin and his co-defendants ran a large Ponzi scheme that targeted over 70 people, resulting in losses of over $11 million to many elderly victims. With the debt close to expiration, FLU garnished $114,000 of Rankin’s mineral royalty interests and negotiated one-time payments of $18,000 and $24,000 from co-defendants Duncan & Laine. FLU also foreclosed on defendant’s significant mineral interests, which are being sold.
• In 2021 Victor Farias was sentenced to 135 months of imprisonment and to pay $7,850,511.84 to over 60 victims of his fraudulent investment scam. Many victims were retired law enforcement who lost their life savings. In 2024 the USAO foreclosed on his homestead to recover over $200K for his victims.
• Through their cleaning companies, Kenneth, Christopher, and Irma Flores defrauded the U.S. of $3.7 million by fixing Army contract awards after paying bribes and kickbacks to government officials. They were sentenced in September 2024. The USAO recovered the entire $3.7 million at sentencing from the sale of defendants’ properties and the seizure of company bank account funds.
• Jack Kidd was the owner of a company that falsely invoiced the U.S. for natural gas. He was sentenced in July 2024. After several pre-judgment garnishments, the U.S. recovered $11,397,374 in restitution as well as a $5,000 fine prior to sentencing.

“Fraud on your neighbor is heinous, whether it be on an elderly individual, friend, or fellow taxpayer as seen in these cases. It damages the fabric of society, unraveling trust and deepening despair, and in many cases, ruining the legacy of a life well lived,” said Leachman. “For many, it may feel like the end, but for my team of asset recovery attorneys and staff, the pursuit of justice in restoring victim losses is just the beginning. We are passionate and tireless when it comes to helping victims and will pursue every reasonable remedy to hold defendants’ accountable for repaying their losses.”

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