$15 Million Drug Money Laundering Scheme Exposed: Inside the Pico Rivera Bust

On July 1, 2024, Gustavo Adolfo Aldana-Martinez, 57, of Pico Rivera, was sentenced to 48 months in federal prison for his role in a money laundering conspiracy that facilitated the movement of over $15 million in drug proceeds from the United States to international drug trafficking organizations. The sentencing was handed down by United States District Judge R. Gary Klausner in a Los Angeles federal court. In addition to the prison sentence, Aldana-Martinez was ordered to pay a $25,000 fine.

Details of the Case

Gustavo Adolfo Aldana-Martinez was a key figure in a money laundering operation that funneled drug trafficking proceeds from the United States to international drug organizations in countries like Colombia and Mexico. His role involved accepting drug proceeds through wire transfers, which were then processed and transferred to various accounts, effectively laundering the money.

The Drug Enforcement Administration (DEA) launched an undercover operation that played a pivotal role in bringing Aldana-Martinez to justice. DEA agents set up an undercover account that received drug proceeds directed by traffickers. Nearly $300,000 was transferred to a bank account under the guise of Aldana-Martinez’s fraudulent business. These funds were then dispersed through wire transfers to unrelated companies, which were used to purchase electronic items. These items were shipped to Colombia and Mexico, where they were sold, thereby laundering the funds.

Aldana-Martinez orchestrated a series of transactions between 2015 and 2017, laundering approximately $15.5 million. The wire transfers to his business account were a critical part of this operation. After receiving the funds, he would transfer the money to other companies, paying for electronic goods that were later sold abroad. This method masked the illicit origins of the funds and facilitated their entry into the legitimate financial system. The money laundering activities took place over a two-year period, from 2015 to 2017. During this time, Aldana-Martinez managed to process millions of dollars, aiding the operations of international drug trafficking organizations.

The Charges

Gustavo Adolfo Aldana-Martinez was charged with conspiracy to launder monetary instruments under federal law, specifically under 18 U.S.C. § 1956. This statute makes it illegal to engage in financial transactions with proceeds generated from specified unlawful activities, including drug trafficking, with the intent to promote further illegal activities or to conceal the origin of the funds.

Aldana-Martinez played a central role in the money laundering conspiracy by facilitating the transfer of drug proceeds through a complex web of financial transactions. He accepted large sums of money from an undercover DEA account set up to mimic trafficker-directed funds. These funds were transferred to his business account, which existed solely for the purpose of laundering money. He then disbursed the funds to various unrelated companies under the pretense of purchasing electronic items. These items were subsequently shipped to Colombia and Mexico, where they were sold to generate clean, laundered money for the drug traffickers.

The evidence that led to Aldana-Martinez’s conviction included detailed financial records, testimony from undercover DEA agents, and electronic communications that documented the transactions. The prosecution presented records showing nearly $300,000 in initial wire transfers to Aldana-Martinez’s business account, followed by subsequent transfers to various other accounts. The DEA also provided evidence of Aldana-Martinez’s involvement in laundering approximately $15.5 million over the course of two years. This evidence demonstrated his active participation in the conspiracy and his intent to facilitate the movement of illicit funds for drug trafficking organizations.

Co-Defendants

Daniel Shaun Zilke: Daniel Shaun Zilke, also known as “The Englishman,” was a key figure in the money laundering enterprise. Zilke, 49, from Mexico City, orchestrated the overall operation, coordinating with various associates, including Aldana-Martinez. Zilke pleaded guilty in December 2023 to charges of conspiracy to aid and abet drug distribution, conspiracy to launder money, and obstruction of an official government proceeding. The obstruction charge stemmed from his theft of $150,000 in DEA undercover funds, which he attempted to cover up. Zilke is expected to be sentenced in the coming months and faces potentially decades in prison for his crimes.

Jeffrey Mark Thompson: Jeffrey Mark Thompson, known as “The Cowboy,” was another significant participant in the conspiracy. Thompson, 62, from Springtown, Texas, managed the laundering of drug proceeds through a purported charity called Peace Through Water Foundation. Thompson pleaded guilty in November 2023 to charges of conspiracy to aid and abet drug distribution, conspiracy to launder money, and money laundering. He admitted to using the charity’s bank account to facilitate the laundering operations. Thompson is also awaiting sentencing and, like Zilke, faces lengthy prison terms.

Juan Rachid Dergal-Zulbaran: Juan Rachid Dergal-Zulbaran, 49, from Mexico City, is currently a fugitive. He was involved in the conspiracy but has evaded capture. His role included coordinating with Zilke and other associates to manage the transfer and laundering of drug proceeds. Law enforcement agencies continue to search for Dergal-Zulbaran as part of their ongoing efforts to dismantle the network involved in this extensive money laundering scheme.

Explanation of Charges

Conspiracy to Launder Monetary Instruments: Under 18 U.S.C. § 1956, conspiracy to launder monetary instruments involves participating in financial transactions with the intent to promote illegal activities or to conceal the origins of illegally obtained funds. Penalties for this charge can include up to 20 years in federal prison, significant fines, and the forfeiture of assets involved in the money laundering process.

Conspiracy to Aid and Abet Drug Distribution: Charged under 21 U.S.C. § 846, this statute makes it illegal to conspire to manufacture, distribute, or dispense controlled substances. Penalties for this offense can vary widely based on the quantity and type of drugs involved, but they can include decades of imprisonment, substantial fines, and supervised release following incarceration.

Obstruction of an Official Government Proceeding: Under 18 U.S.C. § 1505, obstruction of an official government proceeding involves interfering with the administration of law during an investigation or legal proceeding. This charge can result in penalties of up to five years in federal prison and significant fines. In this case, Zilke’s theft and attempted cover-up of DEA funds constituted obstruction.

The federal sentencing guidelines provide a framework for determining the penalties for these crimes. For example, conspiracy to launder monetary instruments and conspiracy to aid and abet drug distribution are considered severe offenses, often resulting in lengthy prison sentences. Aldana-Martinez was sentenced to 48 months in federal prison and fined $25,000. Zilke and Thompson, due to their more extensive roles and additional charges, face potentially longer sentences. Zilke’s cooperation with the DEA initially involved assisting with the undercover operation to expose the money laundering network. However, his subsequent theft of DEA funds and lies to the agents significantly impacted his standing with law enforcement and the court. His cooperation, while initially beneficial, was undermined by his criminal actions post-cooperation, likely influencing the severity of his sentencing.

Gustavo Adolfo Aldana-Martinez was sentenced to 48 months in federal prison and ordered to pay a $25,000 fine for his role in laundering over $15 million in drug proceeds. His conviction is part of a broader effort to dismantle money laundering operations linked to international drug trafficking organizations.