A Mexican politician is out on bond as he faces federal fraud charges in Texas for allegations that he used COVID-era loans to buy cryptocurrency. The politician, his wife, and various other South Texas business owners are accused of obtaining fraudulent loans during the COVID-19 pandemic, which were intended to support failing businesses, but were instead used for personal gain.
Court records revealed that 46-year-old Bernando Gomez Jr. and his wife, 42-year-old Lesley Chavez, allegedly took out nearly $200,000 in Paycheck Protection Program loans during the COVID-19 pandemic and then used them for personal expenses, including buying cryptocurrency. Gomez, who lives in Edinburg, Texas, is a sitting city councilman in the Mexican City of Rio Bravo, Tamaulipas, where he serves as a close advisor to local Mayor Miguel Angel Almaraz.
Court documents indicate that Gomez and Chavez own several entertainment and service businesses, including a wedding planning service, a rental company, and a print shop.
Federal prosecutors allege that in June 2020 and May 2020, they obtained a series of government loans through the Small Business Administration aimed at helping businesses survive the COVID-19 Pandemic. The government then forgave those loans after the business owners allegedly filed documents claiming that the money had been used for legitimate purposes such as paying employees and other similar expenses. After receiving those three loans, totaling $150,000, $40,800, and $20,800, they transferred the funds to different accounts, which they then used for personal expenses and, in the case of Gomez, to purchase cryptocurrency.
After their arrests, both Gomez and Chavez went before U.S. Magistrate Judge J. Scott Hacker, who set their bonds at $100,000. Both have been released as they await trial.
Gomez is currently a member of Mexico’s National Action Party (PAN), one of the major opposition parties in Mexico that has been at odds with the current ruling party, MORENA.
Ildefonso Ortiz is an award-winning journalist with Breitbart News Foundation. He co-founded Breitbart News Foundation’s Cartel Chronicles project with Brandon Darby and senior Breitbart management. You can follow him on Twitter and on Facebook. He can be contacted at [email protected].
Brandon Darby is the managing director and editor-in-chief of Breitbart Texas. He co-founded Breitbart News Foundation’s Cartel Chronicles project with Ildefonso Ortiz and senior Breitbart management. Follow him on Twitter and Facebook. He can be contacted at [email protected].
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