By Juan Montoya
The long-delayed trial of Ruben Gallegos Sr. and his son Ruben Gallegos Jr. – accused of conspiracy and theft of $100,000s concerning programs receiving federal funds by their International Educational Services for unaccompanied migrant minors, starts today with the selection of a jury.
The trial, which many local lawyers predicted would never happen and that the Gallegos would cop a plea, comes after Juan Jose Gonzalez, the former finance director pleaded guilty in April to conspiracy and theft charges concerning programs receiving federal funds before U.S. District Judge Fernando Rodriguez Jr. in federal court in Brownsville.
Gonzalez, accompanied by his attorney Reynaldo "Trey" Garza" said guilty when the court asked his plea after an assistant U.S. Attorney read a lengthy indictment on the two counts arising from acts he admitted to committing between 2014 and 2017 conspiring with Gallegos Sr. and Gallegos Jr.
(The relationship between Gonzalez and the Gallegos go further than being fellow executive officers at IES. Gonzalez is married to a sister of Gallegos Sr., making him his brother-in-law and uncle to Gallegos Jr.)
He had previously pleaded not guilty to both charges at the time he was arrested along with the Gallegos Aug. 30, 2022. He had his re-arraignment hearing and changed them to guilty. In approximately 30 minutes that the re-arraignment lasted, he admitted that in those four years, he and the Gallegos were responsible to conspiring to steal and embezzle millions in federal funds.
Gallegos Sr. and Gallegos Jr. pleaded not guilty to conspiracy and theft concerning programs receiving federal funds. They lengthened the process of discovery by requesting numerous emails and communications between federal agencies hoping to find a document that approved their actions.
"They aren't going to find anything," said a local attorney. "In the end, they will probably strike a deal with the government and not risk a conviction that will put them in jail for years."
The Gallegos are accused in their indictment of misapplying millions of dollars in federal grant funds meant to be used for temporarily housing migrant children at IES, a nonprofit. The Brownsville Herald's Mark Regan reported that IES abruptly shuttered its doors and fired all of its employees on March 31, 2018, although neither the federal government or IES explained why the nonprofit suddenly closed.
The Herald filed a successful Freedom of Information Act request with the Office of Refugee Resettlement’s Administration for Children & Families for communication between those agencies and IES following the closure and also reviewed years of IES tax documents.
The newspaper reported at the time that the information revealed how the organization used millions of dollars in federal grant monies, including that IES employees profited from leased properties owned by its executives and that those executives paid themselves salaries that were more than federal grant rules allowed.
During the re-arraignment, the U.S. attorneys charged that the three men conspired to increase their salaries in 2017 to pay themselves salaries way over the $183,000 cap limit. Gallegos Jr. set his 2017 salary at $435,416.88, Gallegos Sr. was paid $506, 0032.22 and Gonzalez $377,060.96.
But in later tax filings, both Gallegos paid themselves more than $650,000 in salaries and benefits and Gonzalez over $550,000.
The government said no waivers had been issued allowing IES to pay the three salaries above the $183,000 cap.
Those numbers were not included in the indictments. They are also charged with using federal grant funds to rent properties they owned at exorbitant prices.
“Ruben Gallegos Sr. and Juan Jose Gonzalez approved less-than-arms-length transactions in which IES used federal grant funds to pay for multiple leases on the same properties that were owned by Ruben Gallegos Sr., or related entities, in order to inflate rental income paid with federal grant funds to Ruben Gallegos Sr.,” the indictment stated.
That 13-page indictment also alleges they purchased a $1 million San Benito property and falsely claimed it was operational and would serve more than 1,000 children in Fiscal Year 2015.
“The IES San Benito Shelter was not operational during FY-2015,” the indictment stated.
23 comments:
Thiefs are us, wow $500k plus salaries no pos wow. Guess that gravy trained already ended y van para el BOTE? just asking. Chon?
juan so what happen with eddie lucio III? He was also involved in this scheme and did he make a deal already too? just asking chuy.
nothing will happen, they will walk away free
After reading about so many other high profile cases outcomes turn out , more than likely these sleaze bags will work out a plea and get a slap on the wrist . Then they will go on living their lives in luxury. Thats what always happens. What happened to Eddie Lucio’s III involvement and the Gallegos lady that works at BISD ???? Why did BISD continue to allow a school to be named after this loser?? There are so many questions to be answered but i for one am hoping THAT JUSTICE IS FINALLY SERVED and that these assholes end up in jail!!! I don’t think you can say they are innocent until proven guilty after that Gonzalez character has admitted that they are ALL guilty !! O TODOS HIJOS DE DIOS O TODOS HIJOS DEL DIABLO as the mexican saying goes.
Ruben Gallegos Sr. a role model, hardworking person, with ambition and goals, but unable to say NO to his son....parents sometimes spoil their children and do not stop them from being dumb.
The world is culo for these sort of guys.
Good God, Gallegos had an outstanding career in education.
Too bad he got over zealous with the migrants.
But like so many others he will be exonerated. It was an honest mistake.
How about the contractors who made millions? What’s going to happen to these fellas? There was a lot of cheese spread around to the ratas…
So did Sylvia Atkinson. Gente floja y avara.
Gallegos was unable to say no to the $$$$. His son and other family members also wanted a piece of the pie!! His so called distinguished career and accomplishments go out the window once he decided to become a thief. Don’t feel sorry for these people , they dug their own grave. Hopefully justice will be served and they get what they deserve. Including everyone else that was involved in their scheme and illegal activities.
Thieves operating non-profit organizations have been stealing from the people for decades and making themselves rich. Our government can't provide it’s people with free health care or lower cost of pharmaceuticals but they sure can make the corrupt of this country wealthy with taxpayer money. The IRS instead of bothering with the hard working individuals should concentrate their efforts on auditing all governmental agencies and non-profits. Those operating outside the law should not only be fined but incarcerated. It’s time for our government to start taking care of taxpayer money.
Gallegos Sr. was the speaker at TSC graduation, people were crying with his struggles, his work ethic, his story of success. He is a great speaker.
This is the tip of the iceberg. Now check on all the officials who signed off on funding these clowns. Kickbacks etc.
He is going, shirtless!
Scum bags like the ones in the previous article. I hope that they pay dearly for what they did.
“Book 'em Danno.”
Any updates? What happened next? Who is covering this?
mescans are NOT allowed to make more than $7.50 an hour, this is a federal law... lucio voted for this bill....
Gallegos Family - follow the money, now follow the properties..
Narcissism isn't just greed for the sake of pleasure; it's also greed for the sake of comfort. This family has taken advantage of the system for years. Example: BISD - how in the hell did their daughter Linda land a principal job when she was not qualified. Linda, who poss. owns several properties purchased with the same govt funds. I am sure they were hoping the old man would take the entire blame & pass away, but he is still kicking. Investigators, keep digging....
He Should ask for a change of venue
Sent them all to the I MADE A MISTAKE HOUSE for life. they will never learn RATAS de primera...and put on a shirt you look ugly PENDEJO!!!
An 8 hour shift at 7.50 an hour equals 60 bucks a day, less 5 dollars for bus fair round trip, 20 dollars for lunch, 15 for desert, cigarettes another 20 bucks and this expense is daily. So what if left? SNAP das what's left.... gracias Lucio.
It’s cold and lonely in there.
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