Faces up to 24 months in federal prison

A Florida businessman, Jesus Gabriel Rodriguez, Jr, has pleaded guilty to submitting false customs documents in a US$140 million international smuggling operation involving The Cayman Islands.

Rodriguez, Jr admitted in a South Florida district court that he facilitated the importation of thousands of kilogrammes of gold flown to Miami, Florida, from Curacao, knowing that the customs paperwork falsely represented the gold’s origin as being from Cayman.

The 45-year-old former CEO of Transvalue, a South Florida armoured vehicle company confessed that, among other things, he transported gold shipments from Miami International Airport to various refineries in South Florida.

Rodriguez agreed to forfeit US$267,817 as part of his guilty plea. The amount is equivalent to Transvalue and his personal gains from the scheme. He is scheduled for sentencing on April 4 and faces up to 24 months in federal prison.

Case against Rodriguez

The Department of Justice said in a press release that Rodriguez conspired with buyers who earned volume-based commissions by procuring gold for NTR Metals, which is a Dallas, Texas-headquartered company. This company is allegedly involved in highly suspicious transactions between 2013 and 2017, including the importation of more than US$3.6 billion in gold from Latin America and the Caribbean.

Specifically, “Rodriguez helped co-conspirators dodge NTR Metals’ anti-money laundering policy and get the gold past U.S. Customs by working to conceal the gold’s origins and connections to Curacao”.

It is alleged that between March 2015 and September 2016, NTR imported gold worth more than US$141 million into America from a company located in The Cayman Islands, only identified as Company A.

Although the gold was originally declared to have originated in Curacao, it was later reported to US Customs to have come from the Cayman Islands. Rodriguez is accused of assisting NTR salespersons and Company A in deceiving US Customs by facilitating the movement of the gold through customs at [Miami airport] both when it transited between Curacao and the Caymans, and again when it arrived back in Miami from the Caymans.

US Attorney issues warning

Several cooperating witnesses gave evidence against Rodriguez, implicating his knowledge of and participation in the scheme. The co-conspirators were all aware that the gold was likely being illegally mined and smuggled out of Venezuela, the complaint said.

One cooperating witness told investigators that one shipment to Company A reportedly smelled of gasoline, suggesting it had been transported in a gas tank and shipped to Curacao by boat.

US Attorney Juan Antonio Gonzalez said complex money-laundering schemes involve key players at every stage of the process.

“Corporate executives who facilitate money laundering while purportedly importing lawful goods at the transport and U.S. Customs stages do not get to hide behind their status as otherwise legitimate business owners. Like everyone else participating in these illegal schemes, they will be prosecuted,” Gonzalez added.

In March 2017, NTR pleaded guilty to charges of failing to maintain an appropriate AML programme and agreed to forfeit US$15 million. Three former NTR Metals employees in Miami pleaded guilty to conspiracy to commit money laundering and were sentenced in January 2018 to 72, 80 and 90 months in prison, respectively.