AO 91 (Rev. 11/11) Criminal Complaint AUSA Peter M. Flanagan (312) 469-6235 AUSA Ryan P. Fayhee (312) 353-1998 SAUSA Minnie Yuen (312) 353-5361 UNITED STATES DISTRICT COURT. NORTHERN DISTRICT OF ILLINOIS. EASTERN DIVISION UNITED STATES OF AMERICA DIEGO PINEDA SANCHEZ, allda “Botas,” “Boots,” CARLOS PARRA-PEDROZA, alla “Walter,” “Walt Disney, Walt,” “Ary, JOSE ABEL MENDOZA-PARRA, afkla “Robin,” MARIA LOERA ALVARADO, a/kia “Samys@m" ERNESTO RUIZ-RAMIREZ, MARIO HERRERA, ANTHONY LEIVA, TEODOCIO CARO, LUIS REYNA-TELLEZ, HECTOR CHAVEZ CUEVAS, JUAN CARLOS NUNEZ GALVEZ, JOSE SANANTONIO, PEDRO SAUCEDO-PALOMINOS, OMAR LOPEZ-CABRERA, VIRGIL DURBIN, VALENTIN RODRIGUEZ, ALMA LORENA ORTIZ DE ROSAS VERA, CASMIRO ISAIAS-PADILLA, EFREN MOTA, FELIX LEMUS.GUEVARA, PEDRO URQUIZA-OSORIO, LUIS ARMANDO ACOSTA VIZCARRA, OSCAR MONTES-LAMAS, JOEL ESTRADA, HARRANAH SAMORI, GABRIEL SALCEDO, TOMAS SALGADO REYNA, OSCAR ACOSTA, FEDERICO BARRERA-PEREZ, EMMANUEL DIAZ, JOSE HERNANDEZ OCHOA, and ALFONSO NEVAREZ Willy,” “Don CASE NUMBER: UNDER SEAL 15k 0s «6A MAGISTE.ATE JUDGE MARTIN RECEIVED FEB ~ 9 2015 ue Bera (court CRIMINAL COMPLAINT I, the complainant in this case, state that the following is true to the best of my knowledge and belief.Beginning in or about August 2011, and continuing until at least in or about September 2014, in the Northern District of Hlinois, and elsewhere, the defendants, together with others known and unknown, violated: Code Section Offense Description Title 18, United conspiring to knowingly conduct and attempt to conduct financial States Code, transactions affecting interstate and foreign commerce, namely, the Section 1956(h) delivery of quantities of United States currency to third parties, which transactions involved the proceeds of specified unlawful activity, namely the felonious buying and selling and otherwise dealing in a controlled substance, knowing that the transactions were designed in whole or in part to conceal and disguise the nature, location, source, ownership, and control of the proceeds of said specified unlawful activity, and that while conducting and attempting to conduct such financial transactions, Kmowing that the property involved in the financial transactions represented the proceeds of some form of unlawful activity, in violation of Title 18, United States Code, Section 1956(a)(1)(B)(). ‘This criminal complaint is based upon these facts: -X_ Continued on the attached sheet. Jill N. Dennewitz Special Agent, Homeland Security Investigations (HSI) Sworn to before me and signed in my presence. 22 ALM ta! Date: February 9, 2015 } Judge's signature City and state: Chicago, Illinois Daniel G. Martin, U.S. Magistrate Ju Printed name and TitleUNITED STATES DISTRICT COURT 8s NORTHERN DISTRICT OF ILLINOIS. AFFIDAVIT I, dill N. Dennewitz, being duly sworn, state as follows: 1. Lam a Special Agent of the United States Department of Homeland Security, Immigration and Customs Enforcement (“ICE”), Homeland Security Investigations (‘HST’), and have been so employed since approximately May 2005. T am currently assigned to the Homeland Security Investigations Office of the Special Agent in Charge, Chicago, Illinois, and my responsibilities include the investigation of money laundering and narcotics trafficking offenses. I am currently assigned to a Public Safety Unit in which investigative efforts are focused on violent street gang members committing various crimes including narcotics and firearms trafficking and money laundering. I have worked on investigations targeting drug traflickers and money launderers whose organizations are based in Mexico and who operate throughout the United States. Prior to working in the Public Safety Unit, I was assigned to a Narcotics Smuggling Group for six years. I have worked on numerous investigations targeting drug traffickers and money launderers whose organizations are based in Mexico, Central America, and South America, who operate throughout, the United States. I have received training related to smuggling contraband, including drugs, into the United States. This training included methods of investigation related to international and domestic drug trafficking and money laundering2. Tam the co-case agent on a joint HSI and Internal Revenue Service investigation involving DIEGO PINEDA SANCHEZ, CARLOS PARRA-PEDROZA, and others. As co-case agent, among other things, I have sworn out affidavits supporting applications to intercept wire and electronic communications in this investigation, have monitored wire and electronic communications pursuant to court orders, have conducted surveillance as part of the investigation, and have interviewed subjects. 3. This affidavit is submitted in support of a criminal complaint alleging that DIEGO PIENDA SANCHEZ, CARLOS PARRA-PEDROZA, JOSE ABEL MENDOZA-PARRA, MARIA LOERA ALVARADO, ERNESTO RUIZ-RAMIREZ, MARIO HERRERA, ANTHONY LEIVA, TEODOCIO CARO, LUIS REYNA- TELLEZ, HECTOR CHAVEZ CUEVAS, JUAN CARLOS NUNEZ GALVEZ, JOSE SANANTONIO, PEDRO SAUCEDO-PALOMINOS, OMAR LOPEZ-CABRERA, VIRGIL DURBIN, VALENTIN RODRIGUEZ, ALMA LORENA ORTIZ DE ROSAS VERA, CASMIRO ISAIAS-PADILLA, EFREN MOTA, FELIX LEMUS-GUEVARA, PEDRO URQUIZA-OSORIO, LUIS ARMANDO ACOSTA VIZCARRA, OSCAR MONTES-LAMAS, JOEL ESTRADA, HARRANAH SAMORI, GABRIEL SALCEDO, TOMAS SALGADO REYNA, OSCAR ACOSTA, FEDERICO BARRERA-PEREZ, EMMANUEL DIAZ, JOSE HERNANDEZ OCHOA, and ALFONSO NEVAREZ, have violated Title 18, United States Code, Section 1956(h) (conspiring to commit concealment money laundering). Because this affidavit is being submitted for the limited purpose of establishing probable cause in support ofa criminal complaint charging these individuals with money laundering, I have not included each and every fact known to me concerning this investigation. I have set forth only the facts that I believe are necessary to establish probable cause to believe that the defendant committed the offense alleged in the complaint. 4, This affidavit is based on: (a) my personal participation in this investigation; (b) information provided by other federal, state, and local law enforcement officers; (c) surveillance conducted by HSI agents and other law enforcement officers; (d) analyses of toll records, pen register and trap and trace data, and subscriber information; (e) information derived from consensually- recorded telephone conversations and Blackberry Messenger Messages (“BBMs”); ( review of conversations intercepted pursuant to court orders; (g) emails obtained through the execution of court-authorized search warrants; (h) Federal Express records; (i) my training and experience and the training and experience of other law enforcement agents with whom I have spoken; (j) laboratory analysis reports; (&) commercial database records; (1) criminal history records maintained by the Illinois State Police (“ISP”) and the National Crime Information Center (“NCIC”); (m) records of the Illinois Secretary of State (“SOS”); and (n) information provided by cooperating sources and other individuals. BACKGROUND OF THE INVESTIGATION 5. This complaint is based on an investigation conducted by HSI and IRS into money laundering and related criminal activities involving DIEGO PINEDA SANCHEZ, CARLOS PARRA-PEDROZA, and others.6. The information supporting probable cause set forth below includes: a. Information derived from consensually-recorded telephone conversations between a confidential source (‘CI-2”) and DIEGO PINEDA SANCHEZ, CARLOS PARRA-PEDROZA, and their co-conspirators; b. Information derived from consensually captured! BBM exchanges between CI-2 and CARLOS PARRA-PEDROZA, JOSE ABEL MENDOZA-PARRA (“ABEL”) and other co-conspirators; c. Information derived from court-authorized interceptions of BBM exchanges over Blackberry devices, including (i) the Blackberry model RIM8520 mobile device used by PINEDA SANCHEZ and permanently assigned Blackberry PIN 233D184B (“Target Device 6”); (ii) the Blackberry model RIM8520 mobile device used by PINEDA-SANCHEZ and permanently assigned Blackberry PIN 26F13A1B (“Target Device 7”); and (iii) the Blackberry model STL100-3/Z10 mobile device used by MARIA LOERA ALVARADO (a/k/a “Samys@m”) and permanently assigned Blackberry PIN 2AC18671 (“Target Device 9”);? e. Law enforcement’s controlled collection and seizure of over $4.5 million in narcotics proceeds from multiple individuals, as directed by PINEDA SANCHEZ, PARRA-PEDROZA, ABEL, and others; 1 Agents furnished CI-2 with a Blackberry device and Blackberry PIN for exclusive use in this investigation. Agents consensually captured BBM messages that Cl-2 sent and received over that device by video recording the messages after they were exchanged. 2 ‘The BBM summaries in this Affidavit that include a “Session” number refer to BBMs that were intercepted pursuant to one of the above-referenced court orders.a. Narcotics seizures by law enforcement, including, among others, the seizure of (i) approximately 33 kilograms of cocaine on or about September 30, 2011; (i) approximately 325 pounds of marijuana on September 12, 2013; and (ii) approximately 8.3 kilograms of cocaine on February 24, 2014. ROLES OF THE DEFENDANTS IL The Parra-Pedroza MLO 7. HSI is conducting an investigation of DIEGO PINEDA SANCHEZ, CARLOS PARRA-PEDROZA,} and others involved in laundering over $100 million in narcotics proceeds since at least August 2011. The investigation has revealed that DIEGO PINEDA SANCHEZ and PARRA-PEDROZA are high-ranking and Mexican-based members of this money laundering organization (“Parra-Pedroza MLO”). Through this investigation, agents have learned that PINEDA SANCHEZ is responsible for directing PARRA-PEDROZA to arrange for U.S.-based members of the Parra-Pedroza MLO — including CI-2 — to collect narcotics proceeds from multiple money couriers and drug traffickers; to use those proceeds to purchase scrap and fine gold at jewelry stores and businesses located in the Chicagoland area; and to ship the gold via FedEx to cash for gold companies, including a Florida- based refinery (“Refinery A”) and a Los Angeles based jewelry store (“Refinery B”). ‘The investigation has further revealed that, after Refinery A received the gold from 7 On December 11, 2014, DIEGO PINEDA SANCHEZ and CARLOS PARRA- PEDROZA were charged by indictment in the Northern District of [linois with multiple counts of concealment money laundering, in violation of Title 18, United States Code, Section 1956(a)(1)(B)(i), in Case No. 14 CR 533, ‘Those charges are related to the conduct discussed herein, athe U.S.-based members of the Parra-Pedroza MLO, the company sent payments for that gold to PARRA-PEDROZA in Mexico. 8. PINEDA SANCHEZ negotiated agreements to launder narcotics proceeds with numerous Mexican based drug traffickers and money launderers, including Individual N, Individual I, Individual O, and Individual L. 9. PINEDA SANCHEZ, PARRA-PEDROZA, JOSE ABEL MENDOZA- PARRA, MARIA LOERA ALVARADO, and others directed a confidential informant (‘CI-2”), two undercover agents (“UCA-1” and “UCA-2”), Individual CC, Individual DD, and others to collect narcotics proceeds for the purposes of laundering the money from numerous individuals, including ERNESTO RUIZ-RAMIREZ, MARIO HERRERA, ANTHONY LEIVA, TEODOCIO CARO, LUIS REYNA-TELLEZ, HECTOR CHAVEZ CUEVAS, JUAN CARLOS NUNEZ GALVEZ, JOSE SANANTONIO, PEDRO SAUCEDO-PALOMINOS, OMAR LOPEZ-CABRERA, VIRGIL DURBIN, VALENTIN RODRIGUEZ, ALMA LORENA ORTIZ DE ROSAS VERA, CASMIRO ISAIAS-PADILLA, EFREN MOTA, FELIX LEMUS.GUEVARA, PEDRO URQUIZA-OSORIO, LUIS ARMANDO ACOSTA VIZCARRA, OSCAR MONTES-LAMAS, JOEL ESTRADA, HARRANAH SAMORI, GABRIEL SALCEDO, TOMAS SALGADO REYNA, OSCAR ACOSTA, FEDERICO BARRERA-PEREZ, EMMANUEL DIAZ, JOSE HERNANDEZ OCHOA, and ALFONSO NEVAREZ. 10. Between on or about August 2011 and September 2014, the Parra- Pedroza MLO laundered, or attempted to launder, over $100 million in narcoticsproceeds through the purchase of gold and transmission of money from the United States to Mexico. Il. The Defendants 11. The following is a brief summary of the roles played by the defendants: a. DIEGO PINEDA SANCHEZ (a/k/a “Botas’; “Boots”). PINEDA SANCHEZ is a Mexican-based money launderer and a leader of the Parra-Pedroza MLO, Among other things, PINEDA SANCHEZ negotiated agreements with Mexican cartel members and drug traffickers to launder narcotics proceeds from various locations in the United States to Mexico (see {¥ 76(q)-(), 90-105, 205-33, 352-405, 458-526); arranged for co-conspirators to collect and deliver proceeds from the sale of narcotics to CI-2 (see {§ 37-49, 90-105, 205-33, 244-54, 278-89, 322-33, 353-405, 458-526); directed CI-2 to collect narcotics proceeds from money couriers, to use that money to purchase gold, and to mail that gold to Refinery A, which in turn would transmit payment for the gold to MLO members in Mexico (see {4 17, 106-16); and directed CI-2 to obtain a new cellular telephone because Mexican drug traffickers were concerned about CI-2’s connection to a recent seizure of narcotics proceeds by law enforcement (see J] 353-60). b. CARLOS PARRA-PEDROZA (a/k/a “Willy,” “Walt Disney,” “Walter,” “Don Walt,” “Ary”). PARRA-PEDROZA is a Mexican-based money launderer and another leader of the Parra-Pedroza MLO. Among other things, after PINEDA SANCHEZ and others negotiated money laundering contracts with Mexican cartel members and drug traffickers, PARRA-PEDROZA arranged forU.S.-based members of the Parra-Pedroza MLO to deliver narcotics proceeds to CI- 2, UCA-1, and other U.S.-based members of the Parra-Pedroza MLO (see passim); directed CI-2 and other U.S.-based members of the Parra-Pedroza MLO to collect narcotics proceeds, to use that money to purchase gold, and to mail that gold to Refinery A (see passim); negotiated with Refinery A and CI-2 to set prices for gold purchased with narcotics proceeds (see passim); directed Refinery A to transmit payment for the gold to himself and other MLO members in Mexico (see {{ 41, 75(c)-(), 104, 352); provided CI-2 and other U.S.-based members of the Parra- Pedroza MLO code names in order to communicate with each other (see passim); provided prepaid and preaddressed shipping labels to CI-2 and UCA-1 for purposes of shipping gold (see {¥ 18, 33-34, 101-02, 115, 129); directed CI-2 and UCA-1 to wire transfer narcotics proceeds to designated bank accounts (see {{{ 406-25, 436-48, 458-85, 517-26, 550-62); and recruited CI-2 and others to join the Parra-Pedroza MLO (see {fj 13, 15-16). ce. JOSE ABEL MENDOZA-PARRA (‘ABEL’). ABEL is a Mexican- based money launderer. Among other things, after PINEDA SANCHEZ and others negotiated money laundering contracts with Mexican cartel members and drug traffickers, ABEL arranged for U.S.-based members of the Parra-Pedroza MLO to deliver narcotics proceeds to Cl-2 and UCA-1 (see {4 183-310); directed CI-2 to collect narcotics proceeds, to use that money to purchase gold, and to mail that gold to Refinery A (see 4 133-310); negotiated with Refinery A and CI-2 to set prices for gold purchased with narcotics proceeds (see ¥ 167, 180, 192, 203-02, 254, 264);provided prepaid and preaddressed shipping labels to CI-2 and UCA-1 for purposes of shipping gold (see {4 139-40, 274-75); and provided CI-2 and other U.S.-based members of the Parra-Pedroza MLO code names in order to communicate with each other (see {If] 168, 194, 206, 220, 234, 244, 255, 267, 278). d. MARIA LOERA ALVARADO (a/k/a “Samys@m"). LOERA ALVARADO is a Mexico-based supervisor of the Parra-Pedroza MLO. LOERA ALVARADO, among other things, worked with PINEDA SANCHEZ, and directed others, to coordinate the collection and laundering of $132,000 in narcotics proceeds from EFREN MOTA on August 5, 2014. See 486-516. In addition, LOERA ALVARADO arranged for three separate deliveries of a total of approximately $170,000 to three different individuals in Los Angeles — namely, approximately $90,000 and $30,000 on May 2, 2014, and approximately $53,700 on August 18, 2014 ~ all of which was subsequently seized by law enforcement. e. ERNESTO RUIZ-RAMIREZ. RUIZ delivered narcotics proceeds to Cl-2 on two occasions for purposes of concealing the nature, location, source, ownership, and control of the money, namely approximately $50,020 on December 10, 2013 (see 244-54), and $107,280 on January 17, 2014 (see 4] 290-310). In addition, RUIZ arranged for JOSE SANANTONIO to deliver approximately $100,000 to UCA-1 on August 26, 2014, and to store approximately $122,000 on thesame day, all for purposes of concealing the nature, location, source, ownership, and control of the money. See {{ 538-49.4 f. MARIO HERRERA. HERRERA delivered approximately $100,220 in narcotics proceeds to CI-2 on September 13, 2018 (see 157-67), and attempted with PEDRO SAUCEDO-PALOMINOS to deliver approximately $173,133 in narcotics proceeds to CI-2 on November 7, 2013 (see {{f 234-43), all for purposes of concealing the nature, location, source, ownership, and control of the money. g. ANTHONY LEIVA. LEIVA attempted to deliver approximately $290,704 in narcotics proceeds to CI-2 on September 11, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See 41 133-56. h. TEODOCIO CARO. CARO arranged for Individual Q to deliver approximately $98,999 in narcotics proceeds to CI-2 on June 11, 2013 (see 1 60-74), and personally delivered approximately $283,740 in narcotics proceeds to CI-2 on June 25, 2013 (see {{ 78-89), all for purposes of concealing the nature, location, source, ownership, and control of the money. i, LUIS REYNA-TELLEZ. REYNA-TELLEZ — delivered approximately $143,980 in narcotics proceeds to UCA-1 on July 25, 2014 (see + Contemporaneous with the filing of this affidavit, the government has also filed an affidavit in support of a criminal complaint alleging that ERNESTO RUIZ and SAMUEL MATA conspired with each other and others to possess with the intent to distribute and distribute approximately 8.3 kilograms of cocaine. Law enforcement seized this cocaine on or about February 24, 2014, from an individual who was transporting the cocaine on behalf of RUIZ and MATA. 10‘I 458-85), and attempted to deliver to UCA-1 approximately $210,960 in narcotics proceeds on August 14, 2014 (see 4] 527-37), all for purposes of concealing the nature, location, source, ownership, and control of the money. j. HECTOR CHAVEZ CUEVAS. CUEVAS delivered approximately $200,780 in narcotics proceeds to CI-2 on July 24, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See 49 117-32. k. JUAN CARLOS NUNEZ GALVEZ. NUNEZ GALVEZ delivered narcoties proceeds to CI-2 and UCA-1 on two occasions for purposes of concealing the nature, location, source, ownership, and control of the money, namely approximately $20,000 on December 12, 2013 (see fj 255-66), and approximately $62,350 on July 16, 2014 (see {1 436-48). In addition, NUNEZ GALVEZ attempted to deliver at least $100,000 in narcoties proceeds to UCA-1 on July 23, 2014. See ¥4 449-57. 1, JOSE SANANTONIO. SANANTONIO attempted to deliver approximately $100,000 to UCA-1 on August 26, 2014, and intended to deliver approximately $122,000 to another individual, as directed by RUIZ, all for purposes of concealing the nature, location, source, ownership, and control of the money. See 49 538-51. m. PEDRO SAUCEDO-PALOMINOS. SAUCEDO arranged for FELIX LEMUS-GUEVARA to deliver approximately $120,000 in narcotics proceeds to CI-2 on September 27, 2013 (see {{ 181-92), and attempted with MARIO aiHERRERA to deliver approximately $173,133 in narcotics proceeds to CI-2 on November 7, 2018, for purposes of concealing the nature, location, source, ownership, and control of the money. See {{f 234-43. n, OMAR LOPEZ-CABRERA. LOPEZ-CABRERA delivered approximately $150,000 in narcotics proceeds to CI-2 on January 22, 2014, for purposes of concealing the nature, location, source, ownership, and control of the money. See 311-21. o. VIRGIL DURBIN. DURBIN delivered approximately $140,000 in narcotics proceeds to UCA-1 on August 28, 2014, for purposes of concealing the nature, location, source, ownership, and control of the money. See {| 551-63. p. VALENTIN RODRIGUEZ. RODRIGUEZ delivered narcotics proceeds to CI-2 on two occasions for purposes of concealing the nature, location, source, ownership, and control of the money, namely approximately $110,000 on June 5, 2018 (see {| 37-49), and $30,010 on June 10, 2013 (see 'f 50-59). 4. ALMA LORENA ORTIZ DE ROSAS VERA. ORTIZ delivered approximately $80,000 in narcotics proceeds to UCA-1 on June 25, 2014 (see ff 412- 25), and attempted to deliver another approximately $59,452 in narcotics proceeds to UCA-1 later the same day (see {| 426-35), all for purposes of concealing the nature, location, source, ownership, and control of the money. r. CASMIRO ISAIAS-PADILLA. ISAIAS delivered approximately $139,470 in narcotics proceeds to CI-2 on July 10, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See {{ 90-105. 12EFREN MOTA. MOTA delivered approximately $132,000 in narcotics proceeds to an undercover agent (“UCA-2”) on August 5, 2014, for purposes of concealing the nature, location, source, ownership, and control of the money. See {| 486-516. t. FELIX LEMUS-GUEVARA. GUEVARA delivered approximately $120,000 in narcotics proceeds to CI-2 on September 27, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See {{] 181-92. u. PEDRO URQUIZA-OSORIO. URQUIZA-OSORIO delivered approximately $50,000 in narcotics proceeds to CI-2 on September 20, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See {{ 168-80. vy. LUIS ARMANDO ACOSTA VIZCARRA. VIZCARRA delivered approximately $89,980 in narcotics proceeds to CI-2 on October 11, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See {| 193-204. w. OSCAR MONTES-LAMAS. MONTES-LAMAS delivered approximately $66,990 in narcotics proceeds to CI-2 on January 14, 2014, for purposes of concealing the nature, location, source, ownership, and control of the money. See {|{| 278-89. 13x. JOEL ESTRADA. ESTRADA delivered approximately $62,000 in narcotics proceeds to Cl-2 on January 13, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See §{] 267-77. y. HARRANAH SAMORI. SAMORI delivered approximately $59,960 in narcoties proceeds to CI-2 on February 27, 2014, for purposes of concealing the nature, location, source, ownership, and control of the money. See 14 334-49. z GABRIEL SALCEDO. SALCEDO attempted to deliver approximately $110,000 in nareotics proceeds to CI-2 on January 22, 2018, for purposes of concealing the nature, location, source, ownership, and control of the money. See §{ 311-14, 322-33. aa. TOMAS SALGADO REYNA. SALGADO attempted to deliver approximately $100,075 in narcotics proceeds to CI-2 on October 24, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See { 205-33. bb. OSCAR ACOSTA. ACOSTA delivered approximately $100,020 in narcotics proceeds to CI-2 on March 31, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See {{/ 353-60, 387- 405. cc, FEDERICO BARRERA-PEREZ. BARRERA-PEREZ delivered approximately $100,000 in narcotics proceeds to UCA-1 on August 8, 2014, for 14purposes of concealing the nature, location, source, ownership, and control of the money. See $4 517-26. dd. EMMANUEL DIAZ. DIAZ delivered approximately $37,220 in narcotics proceeds to CI-2 on March 27, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See {{ 353-75, 381-86. ee. JOSE HERNANDEZ OCHOA. OCHOA delivered approximately $29,990 in narcotics proceeds to CI-2 on July 16, 2013, for purposes of concealing the nature, location, source, ownership, and control of the money. See 106-16. ff. ALFONSO NEVAREZ. NEVAREZ delivered approximately $10,280 in narcoties proceeds to CI-2 on March 26, 2014, for purposes of concealing the nature, location, source, ownership, and control of the money. See {| 353-86. BACKGROUND OF MONEY LAUNDERING AND DRUG TRAFFICKING ORGANIZATIONS: 12. Through training, experience, law enforcement training publications about money laundering methods, and from my conversations with confidential sources and other law enforcement officers who have expertise in such matters, I am familiar with the methods by which drug traffickers utilize the purchase of gold to launder drug proceeds. For example, I know that: a. There are numerous money laundering and drug trafficking organizations operating in the country of Mexico. Examples of some of these organizations include the Sinaloa Cartel, La Familia Cartel, Knights Templar Cartel, Juarez Cartel, the Gulf Cartel, and New Generations. As a general rule, these Mexico-based organizations purchase South American processed cocainewhich is transshipped through Mexico and smuggled into the United States. These organizations also grow, cultivate, cook and process heroin, methamphetamine, and marijuana in Mexico and subsequently smuggle the controlled substances into the United States for resale. The sale of these controlled substances generates substantial cash proceeds for these drug and money laundering organizations, which cash represents the cost of goods sold and illegal profits. b. After the sale of controlled substances, the proceeds from the sales must be collected, counted, packaged and delivered in some fashion to the Mexican-based drug trafficking organizations (‘DTOs"). At times, these funds are transported or transferred in one way or another to Mexico. This can occur through a variety of techniques. c. Typically, DTOs smuggle drug proceeds in bulk from the United States to Mexico. However, because bulk smuggling is often considered more risky due in part to seizures of drug proceeds at border areas, more sophisticated DTOs rely on more complex money laundering schemes. Those schemes include trade based money laundering mechanisms as well as trading in precious metals, such as gold. 4. DTOs use different money laundering cells in the United States to facilitate laundering their drug proceeds. These cells perform different functions, including money pickup operations, bulk cash smuggling operations, and operations involving the purchase of goods, such as gold. 16e. The basic money laundering process has three steps. The first step occurs when the DTO arranges to deposit or drop off the drug proceeds in the United States. At this stage, launderers sometimes insert the drug proceeds, or “dirty money,” into a legitimate financial institution in the form of cash bank deposits, This method, however, risks detection because depositing large amounts of cash requires banks to report transactions to law enforcement. Therefore, some money laundering schemes avoid using financial institutions. £ One of the most common money laundering practices for DTOs that wish to avoid depositing into a financial institution is to direct drug traffickers and money couriers to deliver drug proceeds to money launderers in what is referred to as a “money pickup.” In a typical money pickup, the DTO-associated broker arranges for a U.S.-based co-conspirator to meet an individual in possession of a large quantity of narcotics proceeds. To arrange the meeting, the money broker typically provides the U.S.-based conspirator a telephone number to call, and a code phrase to say to the individual who answers the telephone call. The code phrase is a means for those who are exchanging the narcotics proceeds to confirm that both parties are executing a previously agreed upon money contract between the money broker and the DTO. g. The second step in the process is referred to as layering. For those DTOs who use the formal banking system, they send the drug proceeds through various financial transactions to change the form of the money in order to make it difficult to trace its origin. Layering may consist of several bank-to-bank 17transfers, wire transfers between different accounts in different names in different countries, and making deposits and withdrawals to continually vary the amount of money in the accounts. For those DTOs that avoid the formal banking system, layering involves changing the form of the currency of the drug proceeds by using the currency to purchase high-value items, such as gold and diamonds. h. The final step is the integration stage, when the now-laundered money re-enters the mainstream economy and appears as though it originated from a legal transaction, such as the purchase or importation of gold. This step may involve a final bank transfer into the account of a business in which the launderer “invests” the profits from the sale of gold bought during the layering stage or the purchase of an overvalued item from a company owned by the Jaunderer. i, Further, I know that the use of trade-based money laundering has become increasingly popular with DTOs due in part to the new restrictions introduced in 2010 by the Mexican government to limit the use of U.S. dollars in the country. i Finally, I also know that members of DTOs employ various trade-based laundering techniques to transport drug proceeds gained in the United States across the border to Mexico. For example, DTOs have executed wire transfers to Mexico-based companies that are disguised as payment for importing commodities, such as gold, but that are actually drug proceeds. Some DTOs prefer to purchase commodities, such as textiles, toys, or scrap gold in the United States 18with U.S. dollars derived from drug sales, and then either export the commodities into Mexico to resell them for Mexican pesos, or, sell scrap gold in the United States to companies that import gold from Mexico. This form of trade-based money laundering explains the inconsistency between the amount of imported gold and the money wired from the United States to the Mexico-based gold export companies. FACTS SUPPORTING PROBABLE CAUSE 1 CI-2’s Cooperation with Law Enforcement and Information about the Parra-Pedroza MLO 13. On April 26, 2013, agents approached a member of the Parra-Pedroza MLO (who subsequently became a cooperating informant, hereinafter “CI-2”) and informed this individual that he/she was the target of a money laundering investigation. CI-2 thereafter provided agents with detailed information admitting his/her involvement in the Parra-Pedroza MLO.‘ According to CI-2: a. CL-2 had laundered narcotics proceeds for a man named “DIEGO” (who, as discussed below, was subsequently identified as PINEDA SANCHEZ), PARRA-PEDROZA, and other members of the Parra-Pedroza MLO between approximately August 2011 and October 2012. PARRA-PEDROZA owns 5 CI-2 has agreed to cooperate with law enforcement in an effort to receive consideration in charging and sentencing decisions that will be made in connection with CI- 2s case. CI-2 has been advised that he/she will be charged for his/her criminal conduct in this case. To date, HSI has paid CI-2 approximately $50,000 to cover living expenses while he/she is working at the direction of law enforcement. The information provided by CI-2 has been independently corroborated by physical surveillance, wire communications intercepted pursuant to court order, and consensual recordings made by CI-2 after he/she began cooperating. 19the Mexico based jewelry store De Mexico British Metal, and is a member of the Sinaloa Cartel. b. At PARRA-PEDROZA’s direction, CI-2 received narcotics proceeds ranging from $20,000 to $1.2 million from various narcotics traffickers and money couriers, used the proceeds to purchase scrap gold, and then shipped the scrap gold via FedEx to Refinery A. On several occasions, individuals from whom CI-2 collected large cash proceeds advised Cl-2 that the money was proceeds of narcotics transactions. CI-2 was typically paid one to two percent of the amount laundered or delivered in exchange for assisting drug traffickers with laundering drug proceeds. c. Beginning in August 2011 and continuing to October 2012, CI-2 obtained millions of dollars of drug proceeds from drug traffickers and money couriers in Illinois, Indiana, Ohio, Kentucky, Georgia, and North Carolina at PARRA-PEDROZaA’s direction. d. Prior to obtaining drug proceeds from drug traffickers and money couriers, CI-2 typically received a BBM from PARRA-PEDROZA, advising CI-2 how much money he/she was to collect. CI-2 would then receive phone calls from various unidentified drug traffickers and money couriers who used different cellular telephone numbers. The unidentified drug traffickers and money couriers would then arrange to meet CI-2 at a specific time and location so that CI-2 could obtain the drug proceeds to launder. Once CI-2 picked up and counted the drug proceeds, CI-2 contacted PARRA-PEDROZA with a final count of the money. CI-2 20and others then used the narcotics proceeds to purchase scrap gold, and CI-2 shipped the gold to Refinery A using pre-addressed shipping labels that PARRA- PEDROZA provided via e-mail. PARRA-PEDROZA directed CI-2 and others to ship that gold to Refinery A under fictitious company names, including “Shopping Silver” and “Shopping S,” and many of the pre-addressed shipping labels that PARRA- PEDROZA provided listed Shopping Silver as the shipper.§ e. In 2012, PINEDA SANCHEZ and PARRA-PEDROZA traveled from Mexico to Chicago, by way of Los Angeles, California to meet with CI-2. PARRA-PEDROZA introduced PINEDA SANCHEZ to CI-2 as “Diego” and said that PINEDA SANCHEZ was his “partner.” During this meeting PINEDA SANCHEZ and PARRA-PEDROZA inspected the store front where CI-2 met with money couriers and collected narcotics proceeds prior to purchasing gold. During this, visit, PINEDA SANCHEZ and PARRA-PEDROZA (a) complained that CI-2 was always losing money; (2) asked CI-2 to use the narcotics proceeds to buy fine gold instead of scrap (CI-2 advised them he could not); (3) asked CI-2 to refine the gold himself (CI-2 advised them it was too difficult); and (4) instructed CI-2 to keep a sample of the gold that CI-2 sent to Refinery A and to get someone independent to test it to see if Refinery A was cheating them in its valuation of the gold. ® Prior to his/her cooperation, agents observed CI-2 drop off numerous packages at Fed Ex stores, addressed to Refinery A from, among other names, Shopping Silver. According to Fed Ex records, an individual named “Rodolfo Lopez” (which CI-2 advised was an alias used by CI-2 and his/her associates) shipped approximately 707 boxes to Refinery A between August 2011 and October 2012 (prior to his/her cooperation), almost always identifying the shipping company as “Shopping S.” 21f. During their visit in Spring 2012, PINEDA SANCHEZ told PARRA-PEDROZA that they had $1 million in drug proceeds in Atlanta that were ready to be laundered. PINEDA SANCHEZ and PARRA-PEDROZA also discussed giving CI-2 $500,000 to launder in Chicago through the purchase of scrap gold, and another $500,000 for an individual in Los Angeles to launder in the same manner. PINEDA SANCHEZ and PARRA-PEDROZA made and took several calls during their visit in which they discussed moving money from one place to another. g. Sometime during the summer of 2012, at PARRA-PEDROZA’s direction, CT-2 collected a bag filled with drug proceeds from an unknown narcotics trafficker. As CI-2 began counting the money in the bag, he/she observed that the bag also contained one plastic bag filled with a white powdery substance that appeared to be cocaine. CI-2 refused to transport the substance that he/she believed to be cocaine, and gave the plastic bag back to the unknown drug trafficker. CI-2 also identified Herasmo Herrera as a man who had previously delivered narcotics proceeds to CI-2, and stated that Herasmo Herrera met with CI-2 only when Individual Y had narcotics proceeds to deliver.” 7 Onor about September 29, 2011 — prior to CI-2's cooperation with law enforcement — surveillance observed CI-2 meet with Herasmo Herrera at the location where Cl-2 used to meet with couriers to collect narcotics proceeds. Following this meeting, law enforcement performed a traffic stop of Herasmo Herrera, and in the course of this stop, discovered approximately four kilograms of cocaine in the vehicle. Law enforcement subsequently obtained a state search warrant to search Herasmo Herrera’s residence, and in the course of that search, found approximately 24 kilograms of cocaine. Law enforcement also found a ledger documenting an inventory of approximately 51 kilograms of cocaine, of which approximately 20 kilograms had previously been sold. Herasmo Herrera was subsequently charged and convicted in the Circuit Court of DuPage County, Ilinois, of the manufacture/delivery of cocaine, and sentenced to 16 years’ imprisonment. 22h. Between approximately August 2011 and October 2012, CI-2 laundered approximately $28 million in narcotics proceeds through the purchase and shipment of scrap gold, all at the direction of PARRA-PEDROZA and his associates. CI-2 stopped working for PINEDA SANCHEZ and PARRA-PEDROZA in October 2012. 14. Soon after he began cooperating with law enforcement, Cl-2 resumed working for PINEDA SANCHEZ and PARRA-PEDROZA at the direction of agents. Since the beginning of CI-2's cooperation in April 2013, and at HSI’s direction, CI-2 has obtained, or arranged to obtain, drug proceeds from thirty-eight different money couriers on forty-eight separate occasions for the purpose of laundering the proceeds in an undercover operation. Prior to receiving drug proceeds from the drug traffickers and money couriers, PARRA-PEDROZA or one of his associates contacted CI-2 using a combination of voice calls, BBMs, and e-mail messages to arrange for CI-2 to pick up the proceeds, purchase gold, and ship the gold via FedEx to Refinery A. Intercepted electronic communications show that PINEDA SANCHEZ instructed PARRA-PEDROZA to arrange for several of those money- pick-ups conducted by CI-2. Unless otherwise indicated, the BBMs between CI-2 and others were viewed by agents with CI-2’s consent. 23Il. PARRA-PEDROZA Asks CI-2 to Resume Laundering Narcotics Proceeds (May 2013). 15. On or about May 16, 2013, CI-2 had a consensually recorded telephone call with PARRA-PEDROZA,* who was using telephone number (508) 545-3027 (‘Parra-Pedroza Phone 1”).9 According to CI-2, PARRA-PEDROZA and CI-2 had not * __ Agents identified PARRA-PEDROZA and PARRA-PEDROZA's voice, and identified PARRA-PEDROZA as the user of a Blackberry device assigned BBM PIN: 26249D82 (‘MLO Device 1") and Parra-Pedroza Phones 1 through 12, as follows: On or about June 3, 2013, CL-2 had a consensually recorded call with a man whose voice he identified as PARRA- PEDROZA based on numerous prior interactions. During this call, CI-2 gave PARRA- PEDROZA his/her Blackberry PIN so that PARRA-PEDROZA could contact CI-2 on CI-2's Blackberry device. CI-2's Blackberry device and PIN were furnished by agents for exclusive use in this investigation. According to CI-2, PARRA-PEDROZA is the only person to whom CI-2 has given his Blackberry PIN. PARRA-PEDROZA told CI-2 during this June 3 call that he had sent an invitation to CI-2’s Blackberry device that would allow the two individuals to communicate with each other over BBMs. After this call, CI-2 received a BBM invitation from MLO Device 1 and CI-2 began communicating with PARRA- PEDROZA over that device until September 6, 2013. In addition, between June 14, 2013, and June 19, 2018, CI-2 exchanged numerous BBMs with the user of MLO Device 1 During these conversations, the individual using MLO Device 1, whom agents and CI-2 believed to be PARRA-PEDROZA, arranged to meet CI-2 in person in Las Vegas, Nevada, on Thursday, June 20, 2013, for the purpose of discussing CI-2's efforts in furtherance of the Parra-Pedroza MLO. On or about June 20, 2013, CI-2 exchanged a series of messages with PARRA-PEDROZA, who was using MLO Device 1. This exchange was not recorded, but it was made in the presence of law enforcement. During this exchange, CI-2 and the individual using MLO Device 1 arranged to meet later that day at the Las Vegas Premium Outlets mall located at 875 South Grand Central Parkway in Las Vegas, Nevada. Agents conducting surveillance subsequently observed Cl-2 meet with a man and a woman at that outlet mall at the designated time. Agents who observed this meeting reviewed a photograph of “Carlos Parra-Pedroza” obtained from a from a Law Enforcement Database, and positively identified PARRA-PEDROZA as the man CI-2 met with at the Las Vegas Premium Outlets and as the user of MLO Device 1. In addition, based on prior in-person meetings that occurred prior to CI-2's cooperation with law enforcement, CI-2 identified the man whom he met on June 20 as PARRA-PEDROZA. Prior to the June 20 meeting, agents outfitted Cl-2 with a concealed audio recording device. Agents have compared the audio recording of PARRA-PEDROZA’s voice from this June 20, 2013, meeting (and from a subsequent meeting on March 13, 2014) to the recording of the voice of the man using Parra-Pedroza Phones 1 through 12 and, based on that comparison, concluded that PARRA. PEDROZA is the user of Parra-Pedroza Phones 1 through 12. e Some of the consensually recorded conversations (hereinafter "recorded conversations") have been summarized in this Affidavit. The language that is quoted from the recorded conversations throughout this Affidavit is based upon a preliminary review of 24spoken since October 2012, when CI-2 had stopped working for PARRA-PEDROZA. During this call: a. PARRA-PEDROZA stated, “What a miracle!” CI-2 stated, “Well, you get lost.” PARRA-PEDROZA teplied, “No way, well, you turned both phones off {CI-2 disconnected two phones that PARRA-PEDROZA had previously used to contact CI-2].” CI-2 stated, “Well, yeah, when I went to go get them connected. They didn't want to connect them, man. I mean the same number. . .. I don’t know how to call you anymore.” b. PARRA-PEDROZA stated, “Yeah, no, man, we [PINEDA SANCHEZ and PARRA-PEDROZA] are already here. What’s up? What is there to do?” CI-2 responded, “No, well, we are ready [to collect and launder narcotics proceeds for the Parra-Pedroza MLO}. Is there something to do or not?” PARRA- PEDROZA stated, “Fuck! They are working my ass off... . They [PINEDA- SANCHEZ, money laundering associates, and narcotics traffickers] call me daily to see if it's [money laundering] going to happen, if it’s going to happen, if it's going to happen.” the recorded conversations, and not on final transcripts of the recorded conversations. The times listed for the recorded conversations are approximate. The summaries do not include all statements or topies covered during the course of the recorded conversations. At various points in the Affidavit I have included in brackets my interpretation of words and phrases used in the recorded conversations. My interpretations are based on information received from CI-2, the contents and context of the recorded conversations, events occurring before and after the conversations, my knowledge of the investigation as a whole, my experience and training, and the experience and training of other law enforcement agents in this investigation. Some of the recorded conversations contained herein are in the Spanish language. For these conversations, I have relied on draft not final ~ English translations of conversations in Spanish done by HSI agents and/or interpreters contracted by HSI. 25c. Cl-2 stated, “How are you going to do it? Ihave a guy that, that just has the fine one [gold].” PARRA-PEDROZA responded, “Oh! Those are good.” CE-2 stated, “Okay, but he also wants his cut.” PARRA-PEDROZA asked, “How much?” CI-2 responded, “Well, he also wants two [percent].” PARRA-PEDROZA asked, “Two?... Wow.” CI-2 stated, “But he guarantees that he will get me the fine stuff [fine gold, 24 karat], the fine stuff.” PARRA-PEDROZA stated, “Well, um, but it’s [a two percent fee is] a lot, man... The thing is that it is a lot.” 4. CE-2 asked, “What is the most that you would give me for the fine stuff [fine gold]?... Getting you just fine stuff. The thing is, look, with the thing with the pieces [scrap gold], it won't come out if it’s dirty [scrap gold has impurities that diminish the value to refiners, like Refinery A]. It's the truth, it’s the truth, it's the truth.” PARRA-PEDROZA responded, “Yeah, no, it's, it’s fucked up that way. But, well.... How much, how much you are going to buy the fine on? At what price?” CI-2 responded, “At spot [current market value of gold].” PARRA-PEDROZA stated, “Spot. The thing is there, we are putting one percent there [Refinery A takes a one percent fee]. ... In other words, you are selling it to me at three percent over [the current market value] because the refinery [Refinery A] buys it from me at one under [under the current market value].” CI-2 stated, “{HJow much would be the most? So I can talk to him [CI-2's putative gold supplier] tomorrow.” PARRA-PEDROZA responded, “Well, offer him one [percent].” e. Cl-2 stated, “Okay and what about me [CI-2's payment for laundering money for the Parra-Pedroza MLO]?” PARRA-PEDROZA asked, “Well, 26what about another one [percent]?” . .. It's [gold purchased with narcotics proceeds is] going to be all fine stuff?” CI-2 responded, “It’s not going to be enough. It’s not going to be enough. One and one is not enough.” PARRA-PEDROZA asked, “How much do you want? One and one is two [percent]. How much, how much does it come out to?... How much, how much, how much or, or just two [percent], and just offer him one [percent]. You are going to come out clean, You are not going to, you are not going to do anything [CI-2 will no longer have to go store-to-store to purchase scrap gold.” CI-2 stated, “Well, no, but I also have to make some moves [CI-2 will have to collect narcotics proceeds from drug traffickers and money couriers].” PARRA-PEDROZA said, “So then put two [percent for CI-2] and one for him [CI-2's putative gold supplier]. My total is going to be four [percent in fees] because the refinery [Refinery A] takes one from me.” f£ CI-2 stated, “Okay, okay, and then there’s something else. How should we do it with the cousins (drug traffickers and money couriers who deliver narcotics proceeds to CI-2]?... Uh, the problem is the cousins. How should we do it?” PARRA-PEDROZA asked, “Why? You can't receive them [eollect narcotics proceeds from them]? ... I think that we are going to have to find a way. In other words, for you to see them today in, I don't know, at a place.” CI-2 stated, “Well, the problem, I could pick them [narcotics proceeds] up on the street. The problem is that they won't turn out exact [drug traffickers and money couriers may deliver less money than promised if CI-2 collects the narcotics proceeds in public spaces because C1-2 would not have any way to count the money before the drug traffickers and 27money couriers leave]. That is the problem.” PARRA-PEDROZA stated, “No, but they are just going to be, they are just going to be, they are just going to be small ones [small amounts of narcotics proceeds}. Alright, they are going to be all fifty [deliveries of $50,000] more or less. I think we are going to start with fifty, fifty, fifty, and fifty. Then, um, I will try to find a way to, to, to take care of that thing somehow.” g. CL-2 stated, “So, that’s the problem. Then, just, they can give it [narcotics proceeds] to me later and they say they will give me fifty pesos [$50,000] and they only end up giving me forty-nine [$49,000].”. PARRA-PEDROZA stated, “Yeah, uh, um, what are we going to do? What are we going to do? Alright, .. . well, let me, let me see how I, I organize that so that it’s also one day you see them here, one day you see them over there, and another day you will see them somewhere else.” h CI-2 stated, “The other thing, the other thing is uh, well, I need an advance to, to open up the office [money to set up a place where CI-2 can collect the narcotics proceeds}. About ten [$10,000], fifteen pesos [$15,000]. Well, I would need to get the place first, a week or two weeks, while I look for the place. I'll look for the place in a week or two weeks. And then I would need to provide the deposit for the house, the deposit a month’s rent, a month for the deposit, and buy stuff to measure [money counter], and buy all the shit. Otherwise, how am I going to work right now?” PARRA-PEDROZA stated, ‘eah, well, not even that, you know, because it’s [the narcotics proceeds delivered] almost going to be for fifty [850,000].” 28i. Cl-2 stated, “ No, it’s not going to be enough [CI-2 wants to receive more than $50,000 in narcotics proceeds at a time].”. PARRA-PEDROZA laughed and stated, “No, but they [narcotics traffickers in Mexico] don’t want to give any more [than $50,000 in narcotics proceeds at a time]. The thing is, they will give me whatever I want. But I have to pay them here right, right before they arrive here with you [PARRA-PEDROZA will have to give Mexican drug traffickers their narcotics proceeds before CI-2 even receives the money]... . So fifty [$50,000] daily, daily, daily. . They are going to open up [increase the amounts of narcotics proceeds delivered] on their own. They will begin to trust [PARRA-PEDROZA and CI-2] on their own. Later they are going to tell me, ‘Look, I'm going to bring you a hundred [$100,000], man.’ On their own, I already know that.” j. CL-2 stated, “ll go and get you the phone number for these guys [drug traffickers] and to see if, if, if you send me that, ten [$10,000] or fifteen pesos [$15,000] to get everything.” PARRA-PEDROZA stated, “Alright, that’s fine.” C1-2 stated, “And I won't start moving [picking up narcotics proceeds and buying gold] until I get that [$10,000 to $15,000] because I don’t have anything to start moving with.” PARRA-PEDROZA stated, “Alright.” CI-2 stated, “Call me on Saturday either way, so I can tell you about this guy [CI-2's gold supplier]. We'll see what we agree on with this, with this guy.... So then three [percent], three right? ... Two and one [a two percent fee for CI-2 and a one percent fee for CI-2's gold supplier]?” PARRA-PEDROZA stated, “Yeah, yeah. ... Two and one.” PARRA-PEDROZA and CI-2 then agreed to talk again later. 2916. Based on subsequent consensually-recorded conversations between PARRA-PEDROZA and CI-2, subsequent controlled collections of proceeds from various individuals by CI-2 at the direction of PINEDA SANCHEZ and PARRA- PEDROZA, my knowledge of this investigation as a whole, and my training and experience as a Special Agent, I believe that, during the aforementioned conversation, PARRA-PEDROZA (a) expressed surprise at hearing from CI-2 because it had been several months since the two had last spoken to each other; (b) stated that he and PINEDA SANCHEZ continued to launder narcotics proceeds for Mexican drug traffickers on a regular basis; (c) asked CI-2 to resume buying gold for the Parra-Pedroza MLO with narcotics proceeds; (d) accepted CI-2’s proposal to use the narcotics proceeds to purchase fine gold, rather than scrap; (e) advised that Refinery A kept one percent of the current market value of the gold that members of the Parra-Pedroza MLO shipped to the company on the PARRA-PEDROZaA’s behalf; (® agreed to pay CI-2 and CI-2’s putative fine gold supplier two percent and one percent, respectively, of the current market value of the fine gold for their work on behalf of the Parra-Pedroza MLO; (g) discussed concerns about drug traffickers and money couriers shorting CI-2 on their money deliveries if CI-2 was forced to collect the money in a public place where CI-2 could not immediately count the money; and (h) explained that CI-2 would begin with daily collections of $50,000 in narcotics proceeds and that the amount of the collections would increase over time as the drug traffickers began to trust CI-2. 30III. PINEDA SANCHEZ Calls CI-2 to Discuss the Money Laundering Operation (May 23, 2013). 17. On or about May 23, 2013, at approximately 10:40 a.m., CI-2 received a call from PINEDA SANCHEZ," who was using telephone number (508) 545-3022 (‘Pineda Sanchez Phone 1"), This call was not recorded, but it was verified by toll records for CI-2's phone. According to CI-2, during this call: © Agents identified PINEDA SANCHEZ and PINEDA SANCHEZ's voice, and identified PINEDA SANCHEZ as the user of Target Devices 6 and 7 and Pineda Sanchez Phone 1, as follows: According to CI-2, prior to his/her cooperation with law enforcement, CI-2 met with an individual known to CI-2 as “Diego” in 2012, when PARRA-PEDROZA and Diego traveled to Chicago, by way of Los Angeles, to discuss the PARRA-PEDROZA MLO with Cl-2. According to Customs and Border Patrol records, on August 7, 2012, PINEDA SANCHEZ and PARRA-PEDROZA entered the United States at Los Angeles on the same flight from Guadalajara, Mexico, and on August 11, 2012, departed the United States from Chicago Midway airport on the same flight to Mexico. CI-2 recognized the voice of the user of Pineda Sanchez Phone 1 as the same “Diego” that he met in 2012. On March 26, 2014, agents showed CI-2 a photograph of PINEDA SANCHEZ that was taken when PINEDA entered the United States in August of 2012. Cl-2 identified PINEDA as the individual who accompanied PARRA-PEDROZA to Chicago. On July 12, 2013, CI-2 had a consensually recorded telephone call with telephone number 52 (333) 902-9794. During that conversation, CI-2 recognized the voice to be same as “Diego,” with who he/she met in Chicago. According to Blackberry Subscriber Records, telephone number 52 (333) 902- 9794, is assigned Blackberry PIN 233D184B (Target Device 6). During an in-person meet in March 2014 in Las Vegas, Nevada between CI-2 and PARRA-PEDROZA, PARRA- PEDROZA told CI-2 that they also refer to PINEDA as “BOTAS,” which in Spanish means “boots.” On March 25, 2014, agents intercepted incoming Blackberry Messages over PIN: 233D184B (Target Device 6) bearing the screen name: “Boot.s” from MARIA LOERA ALVARADO, who was using Target Device 9, during which LOERA ALVARADO referred to Boot.s as “Diego.” Based on the above information agents believe PINEDA SANCHEZ to be the user of Blackberry Pin: 233D184B (Target Device 6). On March 27, 2014 [TD6 Session ##33874- 910], PINEDA SANCHEZ, who was using Target Device 6, exchanged a series of Blackberry messages with LOERA-ALVARDO, who was using Target Device 9. During the exchange, PINEDA SANCHEZ stated, “It’s because I'm [PINEDA] going to delete [stop using] this one [Target Device 6]... . Once you accept [BBM invitation from ‘Target Device 7], I can delete you [delete Target Device 9 from Target Device 6].... My new [Blackberry] pin is 26F13A1B [Target Device 7].” Target Device 7 bears the screen name “Botas” and “Boots,” and the user of Target Device 7 was referred and responded to the name “Diego” in numerous messages. 31a. PINEDA SANCHEZ referred to himself as “Carlos’ partner.” During this call, PINEDA SANCHEZ stated that PARRA-PEDROZA was out of town and asked if CI-2 was ready to start working, meaning resume purchasing gold with narcotics proceeds. PINEDA SANCHEZ and CI-2 discussed the risks involved when CI-2 picked up money from couriers on the street and how couriers in the past often brought less money than what PINEDA SANCHEZ and PARRA- PEDROZA expected. PINEDA SANCHEZ assured CI-2 that CI-2 would not be held responsible for these shortfalls if CI-2 picked money up off the street, but suggested that Cl-2 find a place where the couriers could deliver the money so that CI-2 could count it in their presence, b. PINEDA SANCHEZ also asked CI-2 about the gold stores that CIL-2 used to buy scrap gold from. Cl-2 told PINEDA SANCHEZ that he/she never had a problem with the gold stores, and that CI-2's problems were always with the money couriers. CI-2 told PINEDA SANCHEZ that CI-2 would not be buying scrap gold anymore and that CI-2 had a friend who could get fine gold bars. PINEDA SANCHEZ stated that he liked the idea of dealing with fine gold. PINEDA SANCHEZ said that he and PARRA-PEDROZA were waiting for money and that they would soon be sending CI-2 to pick up $50,000 a day for a few days. PINEDA SANCHEZ told CI-2 that he or PARRA-PEROZA would call CI-2 again soon. IV. PARRA-PEDROZA Directs CI-2 to Collect and Launder Approximately $53,475 in Narcotics Proceeds (June 2, 2013). 18. On or about May 21, 2013, CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using telephone number (608) 545-3026 (“Parra- 32Pedroza Phone 2"). During the call, CI-2 stated, “I need to make an email. I need to make an email and everything, man. And grab the computer and everything to send you [an email address] where you are going to send mine [prepaid Fed Ex labels that CI-2 can use to ship gold purchased with narcoties proceeds to Refinery Al” PARRA-PEDROZA stated, “Listen, make an email that has to do with gold. So, Ican send it directly to the refinery [Refinery A]. ... I mean, just make one that. says, I don't know, ‘Gold Ilinois’ And I will send it [CI-2's email address] directly to the refinery, so they can see mine (PARRA-PEDROZA’s email address, which would serve to vouch for CI-2] directly.” CI-2 stated, “Okay, well, that's what I tell you. Let me start working on the email. I'll start working on everything. I'll grab a computer. I'll get everything, so I can be ready.” PARRA-PEDROZA stated, “Yeah, look for a name, a name similar to, to gold [create an email name with the word “gold” in it].” 19. On or about May 31, 2013, at approximately 6:05 p.m., Cl-2 had a consensually recorded call with PARRA-PEDROZA, who was using Parra-Pedroza Phone 1. During this call: a. PARRA-PEDROZA asked, “Listen, tomorrow we have to go [collect narcotics proceeds]. . .. It’s going to be, where the, Indiana.” CI-2 asked, I can't do it Monday [June 3, 2013]?” PARRA-PEDROZA responded, “Oh, no, no. It’s only fifty pesos [$50,000]. ... What about Sunday [June 2, 2013]?... Uh, is Indiana far? ... Let me, let me tell them [Mexican drug traffickers] that on Monday [CI-2 will receive the narcotic proceeds].” 33b. CI-2 stated, “On Monday, he [UM 5285, the money courier] should tell me, or he should tell you where he is at.... He’s not that far... . Early on Monday. ... I hope I have enough time to move [to meet with the money courier to receive the narcotics proceeds].” PARRA-PEDROZA stated, “Yeah, this way we'll see if that same [day], we'll send off a package [of gold to Refinery AJ, don't you think?” PARRA-PEDROZA and CI-2 agreed to speak again later. 20. On or about May 31, 2013, at approximately 6:10 p.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using telephone number (508) 545-3029 (“Parra-Pedroza Phone 3”). During this call, CI-2 asked, “Well, hey, where to [pickup narcotics proceeds]?” PARRA-PEDROZA responded, “Listen, uh, well, uh, it is Indianapolis.” 21. On or about May 31, 2013, at approximately 6:19 p.m., CL-2 had a consensually recorded call with PARRA-PEDROZA, who was using telephone number (508) 545-3023 (“Parra-Pedroza Phone 4"). During this call, PARRA- PEDROZA stated, “I told them [money courier] to call you after eight [p.m.] today, so you guys can come to an agreement. But that yeah, Sunday [June 2, 2013] is fine [to receive the narcotics proceeds].” 22. On or about May 31, 2013, at approximately 22 p.m, CL-2 had a consensually recorded call with PARRA-PEDROZA, who was using Parra-Pedroza Phone 4. During this call, PARRA-PEDROZA stated, “[T]hey [UM 5285, the money courier] are going to ask you for Daniel [code name that money courier will use to ensure C]-2’s trustworthiness]. You are Daniel now.” CI-2 responded, “Okay.” 3428. On or about June 1, 2013, at approximately 9:50 a.m, Cl-2 had a consensually recorded call with an unidentified man (“UM 5285”), who was using UM 5285 Phone 1. This call was not recorded, but it was verified by toll records from CI-2’s phone. According to CI-2, during this call, UM 5285 asked for “Daniel” and CI-2 stated that he/she could not talk at the moment but would call UM 5285 back shortly. 24. On or about June 1, 2013, at approximately 9:51 am., Cl-2 had a consensually recorded call with UM 5285, who was using UM 5285 Phone 1. During this call: a. UM 5285 stated, “They [UM 5286's associate in Mexico] told me the cable... . Did they [PARRA-PEDROZA], did they tell you that I was going to deliver some postcards [narcotics proceeds] to you?" CI-2 replied, “Uh, yeah, but, they [PARRA-PEDROZA] told me for tomorrow.” UM 5285 stated, “Oh, okay. Just 0 were on the same page.” b. CL-2 asked, “[W]here is it going to be [the delivery of the narcotics proceeds]” UM 5285 responded, “[W]ell, I'm over here towards, over here towards the chicken [Kentucky]. Towards Kentucky.” CI-2 stated, “Oh, they [PARRA-PEDROZA] had told me that it [the meeting] was over here by, the cousin said that it was over here by Indianapolis.” UM 5285 stated, you want, let me ask my dad [UM 5285's boss in Mexico] what the deal is and then I will call you. And if you want to ask him [PARRA-PEDROZa] too, go ahead and ask him.” UM 5285 and CI-2 agreed to talk again later.25. On or about June 1, 2013, at approximately 1:06 p.m., CI-2 had a consensually recorded call with UM 5285, who was using UM 5285 Phone 1. During this call, UM 5285 stated, “It is going to be like you think. We are going to have to meet with the, with the Indian girl [Indianapolis]... In the, in the big city (Indianapolis), halfway [between Chicago and Kentucky].” UM 5285 and CI-2 then agreed to meet the next day and to talk again later. 26. On or about June 2, 2013, between approximately 11:10 a.m. and 1:57 p.m., CI-2 had a series of consensually recorded calls with UM 285, who was using ‘UM 5285 Phone. During these calls, UM 5285 and CI-2 agreed to meet each other at an exit immediately off Interstate 65 in Indianapolis. During an unrecorded call made after CS-1 arrived in Indianapolis, according to CI-2, UM 5285 and CI-2 arranged to meet at approximately 3:30 p.m. in the parking lot of a Wal-Mart Supercenter located at 4545 Lafayette Road in Indianapolis. 27. On or about June 2, 2013, at approximately 3:27 p.m., CI-2 met with UM 5285 at the Wal-Mart Supercenter parking lot located at 4545 Lafayette Road in Indianapolis, Prior to this meeting, agents outfitted Cl-2 with a concealed audio recording device and searched CI-2 and his/her vehicle for large amounts money and contraband, and found none. CI-2 traveled under constant surveillance from a staging location to the meeting. During this meeting, surveillance observed an unidentified male carrying a white FedEx shipping package in his hand meet and talk with CI-2, The unidentified male entered the backseat of CI-2's vehicle with the white Fediix shipping package and then exited CI-2's vehicle empty handed. 36The unidentified male then walked to his vehicle retrieved a small, black pocketbook and returned to the backseat of CI-2's vehicle. According to CI-2, the unidentified man placed additional money onto the white shipping package that he had earlier placed on the floor of the vehicle. 28, Following this meeting, CI-2 drove under constant surveillance to a designated meeting location where agents retrieved a white shipping package and cash totaling approximately $53,475 from Cl-2's vehicle. Agents thon transported the money to the HSI Chicago Field Office, where a canine trained to detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 29. On or about June 2, 2013, at approximately 8:14 p.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using telephone number (508) 545-3025 (“Parra-Pedroza Phone 5”). During this call, PARRA- PEDROZA asked, “Oh, you haven't verified it [counted the narcotics proceeds delivered by UM 5285] yet?” CI-2 responded, “No, I rushed over here and I arrived, it's secured over there. Everything [narcotics proceeds] is at the house. I'm already, I'm already here.” 30. At approximately 10:30 p.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using telephone number (333) 146-1711 (“Parra- Pedroza Phone 6”). During the call, PARRA-PEDROZA asked, “How much [money] was it?” CI-2 responded, “Five, three, four, seventy-five [$53,475]." PARRA- PEDROZA confirmed, “Hold on. Five, three, four, seven, five [$53,475].” 3731. On June 3, 2013, at approximately 11:22 a.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using telephone number (508) 545- 3021 ("Parra-Pedroza Phone 7”). During this call: a. PARRA-PEDROZA asked, “I was just going to ask you to send that [gold]. Let's see if we can try to send it today, don't you think?” CI-2 responded, “I think so. As long as, as long as I get everything. I already called this guy [CY2's putative gold supplier] and he said he would let me know later if he could deliver (the gold] to me today.” PARRA-PEDROZA responded, “Alright.” b. CL-2 stated, “The other cousin [VALENTIN RODRIGUEZ, a different drug trafficker/money courier with whom PARRA-PEDROZA had put CI-2 in contact, see below] already called me. The other cousin already called me, too. Okay, and I already agreed to meet the one from around here later. Well, I told him I would call him later to see, so we could agree on something and see what happens.” PARRA-PEDROZA responded, “I'm saying, we should, we should get yesterday's [gold purchased with narcotics proceeds from UM 5285] out first (shipped to Refinery A], so it [narcotics proceeds] doesn't pile up on us.” CI-2 stated, “Okay, so that it doesn't pile up. Okay, so then call me later so, better yet, I also have to create an email so I can send it to you and you can send me the guides [prepaid FedEx labels].” PARRA-PEDROZA stated, “Alright, that's fine.” 32. On June 3, 2013, at approximately 1:09 p.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using telephone number (508) 545- 3020 (“Parra-Pedroza Phone 8”). During this call, PARRA-PEDROZA asked, “Will 38you be able to send the package [FedEx Box containing the gold]?” Cl-2 responded, “Let me see if I am able to pay, uh, that guy [CI-2’s gold supplicr] hasn’t let me know if he will bring me that [gold] today or not.” PARRA-PEDROZA stated, “Alright, help me out, help me out so we can start {laundering money] well.” 33. On or about June 4, 2013, agents gave CI-2 an undercover email address that was created and controlled by agents and included the name “Chicago Gold” (‘UC Email Address”). The UC Email Address is monitored by agents. CI-2 does not have access to the UC Email Address. Agents directed CI-2 to give UC Email Address to PARRA-PEDROZA. Later that day, Cl-2 sent the UC Email Address to PARRA-PEDROZA in a BBM message. This message was not recorded, but the CI sent it in the presence of law enforcement. 34, On or about June 4, 2013, at approximately 1:25 p.m., the UC Email Account received an email from email account [email protected] (“Abel Email Account 1”), which is subscribed to JOSE ABEL MENDOZA-PARRA (ABEL). This email was entitled, “Fwd: RV: [Refinery A] — FedEx Labels & 1 Agents identified JOSE ABEL MENDOZA-PARRA as follows: According to subscriber records, Abel Email Account 1 is registered to “Jose Abel Mendoza” in Jalisco, Mexico. As discussed below, this June 4, 2013, email forwarded an email from Refinery A that had previously been sent to [email protected] (‘Abel Email Account 2”) which is registered to “Jose Abel” and includes in its address the name “joseabel” and the name of Parra-Pedroza's business ("“britishmetal”). On or about September 6, 2013, PARRA-PEDROZA sent CI-2 a BBM message over MLO Device 1, advising CI-2 that he planned to give MLO Device 1 to his nephew, ABEL. PARRA-PEDROZA stated, “I'm not going to have my cell [MLO Device 1], it’s going to be with my nephew. . .. But he knows how to close [coordinate money laundering shipments] and everything.” According to CI-2, prior to his/her cooperation with law enforcement, CI-2 had worked with PARRA- PEDROZA’s nephew named “Abel” to conduct the money laundering conduct scheme when PARRA-PEDROZA was unavailable. On or about September 9, 2013, CI-2 sent a BBM message to MLO Device 1, asking, “Is this Willy [PARRA-PEDROZA]?” When the user of 39Packing List.” Prior to reaching the UC Email Account, this email had been forwarded to two other email accounts, including [email protected] (Parra-Pedroza Email Account 1’) and [email protected] (‘Abel Email Account 2"), The email included two attachments, including ten prepaid FedEx labels addressed to Refinery A and a Refinery A shipping form called a packing list. The body of the email stated, “We were requested by phone for a FedEx labels. We have it attached in this e mail along with a (Refinery A] packing list .... Thank you for choosing [Refinery AJ!" 35. On or about June 4, 2013, CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using Parra-Pedroza Phone 1. During this call, CI-2 stated, “Whatever [gold] arrives {in Chicago from CI-2's gold supplier] is what will arrive over there [Refinery A]. And J already told this guy [CI. ’s gold supplier], as soon I close [agree upon the market value of the gold with the gold supplier], I will call over there [Mexico] and close [agree upon the current market value of the gold with PARRA-PEDROZA]. I don't want to take a chance [on losing any money MLO Device 1 responded, “No,” Cl-2 stated, “Abel.” In response, the user of MLO Device 1 responded, “Call me Robin hahaha. Better.” In a U.S. Visa application for a trip to the United States in December 2004, ABEL listed Individual R as his cousin. In March 2014, surveillance observed PARRA-PEDORZA and Individual R meet with Cl-2 in Las Vegas. During this meeting, PARRA-PEDORZA introduced Individual R to CI-2 as his niece. Accordingly, agents determined that ABEL is PARRA-PEDROZa’s nephew. In addition, during a September 2014 interview with agents, PARRA-PEDROZA identified a photograph from ABEL’s Facebook page as his nephew “Abel” and stated that ABEL worked with him to launder narcotics proceeds. Agents compared that Facebook page photo to the photograph of ABEL in his December 2004 Visa application, and determined that the photos depicted the same man. Parra-Pedroza Email Account 1 is registered to “Carlos Alberto Parra-Pedroza” in Jalisco, Mexico 40due to a decline in the value of gold]. ... I already closed [agreed upon the market value of the gold] with him [CI-2’s gold supplier] right now. But yesterday, I couldn't close [agree upon the current market value of the gold with PARRA- PEDROZA]. When I closed, I said, ‘I already closed with him (CI-2’s gold supplier] at four, thirteen right now. At a thousand four hundred thirteen [set the current fair market value of the gold at $1,413 per ounce of 24 Karat gold]... . I lost [money] over there [in purchasing gold at a higher price than what Refinery A would buy it]. But I said, ‘Well, it's the first day [purchasing gold].’ But then for next time, I'l tell you, as soon as I close with him [CI-2’s gold supplier], I have to, I mean, as soon as I receive [purchase the gold with narcotics proceeds], I'l close with him [CI-2’s gold supplier] and I'll close with you"? PARRA-PEDROZA asked, “ e won't be able to deliver {the gold to Refinery A] until the day after [the gold was purchased]? ... Let me see if it [market value of gold] will go up a little tomorrow. T'm keeping an eye on it [market value on gold] either way.” 36. Onor about June 5, 2013, using one of the shipping labels forwarded in the June 4 email, agents sent to Refinery A approximately 808.6 grams of 24-Karat, gold, which agents had purchased with approximately $37,642 of the proceeds obtained from UM 5285, Agents also enclosed in this shipment the Refinery A 18 According to CI-2, soon after CI-2 began working for PARRA-PEDROZA ~ and prior to Cl-2's cooperation with law enforcement — PARRA-PEDROZA instructed Cl-2 that each time he/she purchased gold, CI-2 was to contact PARRA-PEDROZA or one of his associates and let that person know the amount and price of the gold that CI-2 purchased, so that PARRA-PEDROZA or one of his associates could record it. This was called “closing.” According to CI-2, PARRA-PEDROZA told CI-2 that he/she needed to close with him by providing a specific value for the gold based on current market prices, and that once Cl-2 gave him that closing value, he would contact Refinery A to lock in to that same market rate. 41packing list that had been attached to the June 4 email. ‘The packing list identified the shipping company as “Chicago Gold” and described the contents of the box as 808.6 grams of 24-karat gold. According to FedEx records, this shipment arrived at Refinery A on June 6, 2018 V. PINEDA SANCHEZ and PARRA-PEDROZA Direct CI-2 to Collect and Launder Approximately $110,000 in Narcotics Proceeds from RODRIGUEZ (June 5, 2013). 37. On or about June 2, 2013, at approximately 10:30 p.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using Parra-Pedroza Phone 6. During the call, PARRA-PEDROZA stated, “Yeah, I'll call. you early tomorrow. They [another money courier] want to take you some [deliver narcotics proceeds] tomorrow from that same place where you are at [Chicago]... They are going to call you and tell you that it’s on behalf of Botas [PINEDA SANCHEZ].” Cl- 2 replied, “Okay.” 38. On or about June 3, 2013, at approximately 7:58 a.m., CI-2 had a call with VALENTIN RODRIGUEZ, who was using telephone number (630) 697-5298 (Rodriguez Phone 1”).!4 This call was not recorded, but it was verified by toll Agents identified RODRIGUEZ and RODRIGUEZ’s voice as follows: As discussed below, between June 3 and 6, 2013, CI-2 had numerous consensually recorded calls with the user of Rodriguez Phone 1. During these calls, the user of Rodriguez Phone 1 arranged to meet Cl-2 in person at the Home Depot located at a Home Depot located at 12000 S. Cicero Avenue in Alsip, Illinois, at approximately 11:34 a.m. on June 5, 2013, for the purpose of delivering narcotics cash proceeds. Similarly, the user of telephone number (630) 865-7710 Rodriguez Phone 2”) arranged in a series of unrecorded calls to meet CI-2 for the same reason at the same Home Depot at approximately 5:19 p.m. on June 10, 2013. CI-2 recognized the voice of the user of Rodriguez Phone 2 to be the same man with whom he met on June 5 and 10, 2013. Following these phone calls, surveillance observed CI-2 meet with, and obtain proceeds from, a man at the designated time and place. Agents conducting surveillance of both meetings subsequently viewed a February 18, 2010, CPD arrest 42records. According to CI-2, during the call, RODRIGUEZ told CI-2 that he had “100 tickets [$100,000]” for CI-2 and that the “tickets” belonged to “Botas [PINEDA SANCHEZ].”. RODRIGUEZ stated that he was told to give CI-2 “50 tickets [$50,000] today” and “another 50 tickets [50,000] on Tuesday [June 4, 2013].” RODRIGUEZ and Cl-2 agreed that it made more sense to only meet once. RODRIGUEZ told CI-2 that he was located near the intersection of 167th Street and Interstate 57 and preferred to meet around that area. CI-2 and RODRIGUEZ agreed to speak again later. 39. On or about June 3, 2013, at approximately 2:47 p.m., Cl-2 had a consensually recorded call with RODRIGUEZ, who was using Rodriguez Phone 1 During the call, CI-2 stated, 'm going to go over by [meet] you on Wednesday. You are going to give me the hundred tickets [$100,000] or how many?” RODRIGUEZ responded, “Well, yeah, that’s what Iwas...” CI-2 stated, “Yeah, so we can avoid the bag, the bag for fifty, fifty [an initial delivery for $50,000 and then a second delivery for $50,000]. Then you just report that, and you report the hundred [tell associates in Mexico that CI-2 collected $100,000].” RODRIGUEZ responded, “Okay.” RODRIGUEZ and CI-2 then agreed to talk again later. photograph of “Valentin Rodriguez,” and positively identified RODRIGUEZ as the individual who delivered narcotics proceeds to CI-2 on June 5, and again on June 10, 2013. In addition, prior to the June 5 and June 10 meetings, agents outfitted Cl-2 with a concealed audio recording device, which captured RODRIGUEZ's voice. After reviewing the recordings of the June 5 and 10 meetings, agents compared the voice of the man with whom CI-2 met to the voice of the man who was Rodriguez Phone 1, in numerous, consensually recorded calls with CI-2, and determined that RODRIGUEZ was the user of Rodriguez Phone 1, 4340. On or about June 4, 2013, at approximately 2:42 p.m., CI-2 had a consensually recorded call with RODRIGUEZ, who was using Rodriguez Phone 1. During the call, CI-2 stated, “Hey, Primo. I'll give you a call tomorrow when I'm on my way to go pick up the tickets [narcotics proceeds].” RODRIGUEZ responded, “All right. That's fine.” CI-2 stated, “Around eleven [11:00 a.m, twelve [12:00 p.m], we will meet close to your ranch [RODRIGUEZ's home]. Okay?” RODRIGUEZ responded, “Alright.” 41. On or about June 4, 2013, at approximately 6:15 p.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using Parra-Pedroza Phone 1. During the call, PARRA-PEDROZA asked, “Well, they [Refinery A] are going to pay me on Friday [June 7, 2013]. But then tomorrow [collection of narcoties proceeds from RODRIGUEZ] is a sure thing, right?” CI-2 replied, “Yeah, tomorrow is a sure thing. [ll go and meet with the other primo [RODRIGUEZ] tomorrow. And then on, what is it? Tomorrow is Wednesday. I'll set you up again on Friday [send more gold to Refinery A on Friday June 7, 2013).” PARRA- PEDROZA stated, “Right now they [RODRIGUEZ and associates] are going to bring usa hundred, a hundred and fifty [between $100,000 and $150,000], I think.” 42, On or about June 5, 2013, at approximately 10:02 a.m., CI-2 had a consensually recorded call with RODRIGUEZ, who was using Rodriguez Phone 1 During this calls, CI-2 stated, “Tl be there in about an hour. ... When I'm close, Tl give you a call from where I'm at, when I am close.” RODRIGUEZ said, “Sounds good, sounds good.” 4443. On or about June 5, 2013, between approximately 11:10 a.m. and 11:34 am., CI-2 had a series of calls with RODRIGUEZ, who was using Rodriguez Phone 1. CL-2’s half of the conversations were monitored by agents and recorded. During these calls, CI-2 and RODRIGUEZ agreed to meet at approximately 11:34 a.m. in the parking lot of a Home Depot located at 12000 S. Cicero Avenue in Alsip. 44. On or about June 5, 2013, at approximately 11:34 a.m., CI-2 and RODRIGUEZ met in the parking lot of the Home Depot located at 12000 S. Cicero Avenue in Alsip. Prior to this meeting, agents outfitted CI-2 with a concealed audio recording device and searched CI-2 and his/her vehicle for large amounts money and contraband, finding only $98. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance agents also video recorded the meeting. Surveillance observed RODRIGUEZ arrive in Rodriguez Vehicle 1, park next to CI-2's vehicle, exit his car, retrieve a Modelo beer box from his car, and hand the box to CI-2, who placed the box into the back of his/her vehicle. During this meeting: a, RODRIGUEZ stated, “What a miracle! You do remember me [from a prior delivery of narcotics proceeds, prior to CI-2's cooperation}, right?” CI-2 responded, “Yeah. If I would have known [it was someone with whom CI-2 had previously met], I would have told you to go over there (CI-2's former office]. But you don’t want me to go to the office.” RODRIGUEZ asked, “Are you still at the same place [office]?” CI-2 stated, “No, somewhere else.”b. RODRIGUEZ stated, “Well, they told me that something had happened there (at Cl-2’s office]. Is it true?” CI-2 responded, “That's why we moved over there.” RODRIGUEZ stated, “Yeah, you need to be calm discrete, to avoid the attention of law enforcement]. Do you want us to go into the store [Home Depot] for a bit [to avoid the detection of law enforcement]?” CI-2 responded, “No, this is fine here. People keep taking stuff up. That’s why I parked here.” RODRIGUEZ stated, “That's good, that’s good.” c. CE-2 asked, “They didn't tell you who's it was [the owner of the narcotics proceeds}? They had told me it was from Botas [PINEDA SANCHEZ].” RODRIGUEZ responded, “Botas? He [RODRIGUEZ's associate] didn’t tell me. You're Daniel [CI-2's codename, provided by PARRA-PEDROZAl, right?” CI-2 responded, “Yeah.” RODRIGUEZ stated, “Yeah, no, no, the thing is, they just told me to call you Daniel. The good thing is that we already know each other.” CI-2 responded, “Yeah. That’s the good thing. Then when you see each other there's more trust.” d. RODRIGUEZ stated, “Look, you know what we are going to do? Let's go to the Seven-Bleven [a nearby convenience store, to hand over the narcotics proceeds].” CI-2 responded, “Just give it [narcotics proceeds] to me here right away. Thave to leave already.” RODRIGUEZ stated, “There's an asshole [law enforcement agent] there.” CI-2 asked, “Where?” RODRIGUEZ replied, “The one in the black car. He’s just looking over here. Look, let’s go there. We'll buy the beers there 46[deliver the narcotics proceeds}. Or let’s at least go to the gym [a nearby LA. Fitness]. So they don't see us.” CI-2 stated, “Just give it to me here. Don't worry.” e. CE-2 asked, “There are a hundred pesos [$100,000] in here, right?” RODRIGUEZ responded, “Yeah. Yeah, a hundred and ten [$110,000].” CI- 2 stated, “A hundred and ten [$110,000]?” RODRIGUEZ responded, “Yeah.” CI-2 stated, “Okay. You set it up well [the money is well hidden inside the beer box). You can’t see it in that thing.” RODRIGUEZ responded, “Yeah, no, it's a twenty- four pack [24-pack Modelo beer bos].” 45. Following this meeting, CI-2 drove under constant surveillance to a designated meeting location where agents retrieved a Modelo beer box containing approximately $110,000 in cash from CI-2’s vehicle. Agents then transported the money to the HSI Chicago Field Office, where a canine trained to detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 46. On or about June 5, 2013, between approximately 11:58 a.m. and 12:00 p.m., Cl-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using BBM PIN: 26249D82 (“MLO Device 1”). Following this exchange, agents reviewed the exchange and documented several of the messages. During this exchange, CI-2 stated, “I just fixed the primo [CI-2 received narcotics proceeds from RODRIGUEZ].” PARRA-PEDROZA asked, “How much [money was delivered]?” CL-2 replied, “Its 110 pesos [$110,000], not yet verified [not yet counted by CI-2].” 47. On or about June 5, 2013, between approximately 1:05 p.m. and 2:12 p-m., Cl-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using aTMLO Device 1. Following this exchange, agents reviewed the exchange and documented several of the messages. During this exchange, PARRA-PEDROZA. asked, “And the verification [money count of narcotics proceeds delivered by RODRIGUEZ]?” CI-2 responded, “I will go [count] in a while, send the metal first [mail to Refinery A gold purchased with the narcotics proceeds that CI-2 collected from UM 5285 on June 2, 2013] and then verify.” PARRA-PEDROZA responded, “OK.” CE-2 stated, “I sent the mail [gold to Refinery A] and will verify. Will call you when I'm done,” 48. On or about June 5, 2013, between approximately 2:48 p.m. and 3:47 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. Following this exchange, agents reviewed the exchange and documented several of the messages. During this exchange, CL-2 stated, “Put me down for 110 [the final money count of the proceeds delivered by RODRIGUEZ is $110,000}.” PARRA-PEDROZA responded, “OK.” CI-2 stated, “Close 2,340 of the fine at 1404 [CI-2 purchased 2,340 grams of 24 Karat gold at the current fair market value of $1,404 per ounce, using narcotics proceeds collected from RODRIGUEZ].” PARRA-PEDROZA responded, “OK.” Cl-2 stated, “I will send todays [gold purchased from RODRIGUEZ’s proceeds] to you on Friday [June 7, 2013).” PARRA-PEDROZA responded, “OK.” 49. On or about June 7, 2013, using two of the shipping labels provided by PARRA-PEDROZA, agents sent to Refinery A approximately 2,342 grams of 24- Karat gold, which agents had purchased with approximately $107,826.49 of the 48proceeds obtained from RODRIGUEZ. Agents also enclosed in this shipment a Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the boxes as containing a total of 2,842 grams of 24-Karat gold. According to FedEx records, this shipment arrived at Refinery A on or about June 10, 2013. VI. PARRA-PEDROZA Directs CI-2 to Collect and Launder Approximately $30,010 in Narcotics Proceeds from RODRIGUEZ (June 10, 2013). 50. On or about June 5, 2013, at approximately 8:11 p.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using Parra-Pedroza Phone 1. During the call, PARRA-PEDROZA asked, “Can you do me a favor tomorrow and pick up fifty [$50,000 in narcotics proceeds]? They [RODRIGUEZ and associates] were already committed [made arrangements to deliver more money] and, then we told them that Monday [June 10, 2013] would be better.” CL-2 responded, “Okay, let me see what I will be able to do tomorrow because, you know, T have to go pick that [$110,000 collected from RODRIGUEZ] up and deliver that to him [CI-2's putative gold supplier], otherwise I am not going to be able to finish [purchase the gold with the $110,000]. And I just don’t want to fall behind.” PARRA-PEDROZA stated, “I mean, even if you don't move them [ship the gold to Refinery A] tomorrow. I mean, maybe you can wait to move them [ship the gold] until Friday.” On or about June 5, 2013, at approximately 1 :22 p.m. CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using Parra-Pedroza 49Phone 4. During the call, PARRA-PEDROZA asked, “So then what [can you receive the delivery of narcotics proceeds]?” CI-2 stated, “The thing is T am in a rush and I have to do some things tomorrow. And the thing is that I don't have a place [secure location] to put the tickets [narcotics proceeds].” PARRA-PEDROZA responded, “It’s just fifty pesos [$50,000]. The thing is that since he [RODRIGUEZ] committed, I mean, since we said, ‘We're already working [laundering proceeds], the guy [RODRIGUEZ] moved them [$50,000] from somewhere else... . Then we told him that it [the pick-up] was going to be on Monday [June 10, 2013] and he said, ‘No, I already moved, man. I'm already here.” Cl-2 stated, “I don't know if I'll be able to make it [collect RODRIGUEZ’s $50,000] tomorrow.” 52. On or about June 9, 2013, between approximately 1:13 p.m. and 1:21 p.m., Cl-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. Following this exchange, agents reviewed the exchange and documented several of the messages. During this exchange, PARRA-PEDROZA stated, “The primos [RODRIGUEZ and associates] stayed in Chicas [Chicago] in order to deliver to you tomorrow.” CI-2 responded, “OK.” 53. On or about June 9, 2013, at approximately 9:45 p.m., CI-2 had a call with RODRIGUEZ, who was using Rodriguez Phone 2. This call was not recorded, but it was verified by toll records. According to CI-2, during the call, RODRIGUEZ asked to meet with CI-2 at the “tool place [Home Depot where they had previously met on June 5, 2013].” CI-2 and RODRIGUEZ agreed to meet each other onMonday, June 10, 2013, because RODRIGUEZ had $30,000 in narcotics proceeds to deliver to CI-2 and was leaving town on Tuesday, June 11, 2013. 54, On or about June 10, 2013, betwoon approximately 12:40 p.m. and 4:51 p.m., CI-2 had a series of calls with RODRIGUEZ, who was using Rodriguez Phone 2. Those calls were not recorded, but they were verified by toll records. According to CI-2, during these calls, RODRIGUEZ and CI-2 agreed to meet at the same Home Depot at approximately 5:19 p.m. that day. 55. On or about June 10, 2013, at approximately 5:19 p.m., CI-2 and RODRIGUEZ met in the parking lot of the Home Depot located at 12000 S. Cicero Avenue in Alsip. Prior to this meeting, agents outfitted CI-2 with a concealed audio recording device and searched CI-2 and his/her vehicle for large amounts money and contraband, with negative results. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance agents video recorded the meeting. Surveillance observed RODRIGUEZ arrive in Rodriguez Vehicle 1, park next to CI-2's vehicle, exit his car, retrieve a gift bag with a “Bat Man’ logo from his car, and hand the bag to CI-2, who placed the bag into the back of his/her vehicle. During this meeting: a. CE-2 stated, “I wanted to ask you, since you work on cars, do you have any compartments (hidden compartments, or “traps,” installed inside vehicles used to store narcotics and narcotics proceeds]?” RODRIGUEZ responded, “No, man. I used to have a guy before, but he left. Yeah, no, there used to be a guy before who used to hook it up [install the trap] for us, but he left to Mexico and that 51was it.” CI-2 stated, “I also had a guy who used to do them for me, but I lost track of him.” RODRIGUEZ stated, “Yeah, it’s hard. No one wants to do that [install traps]. No one wants to. It’s not easy. But damn, they're so necessary.” b. CL-2 asked, “Thirty bucks [$30,000], right?” RODRIGUEZ responded, “Thirty [$30,000].” 56. Following this meeting, CI-2 drove under constant surveillance to a designated meeting location where agents retrieved from CI-2’s vehicle a gift bag with a “Bat Man” logo containing approximately $30,010 in cash. Agents then transported the money to the HSI Chicago Field Office, where a canine trained to detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 57. On or about June 10, 2013, between approximately 5:37 p.m. and 7:00 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. Following this exchange, agents reviewed the exchange and documented several of the messages. During this exchange, PARRA-PEDROZA asked, “And the 30 [the delivery of $30,000 from RODRIGUEZ]?” CI-2 stated, “Im verifying [counting the money]. Put me down for 30,010.” PARRA-PEDROZA responded, “OK.” 58. Onor about June 11, 2013, between approximately 1:10 p.m. and 1:11 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. Following this exchange, agents reviewed the exchange and documented several of the messages. During this exchange, Cl-2 stated, “Close 622 52of the fine at 1378 [CI-2 purchased 622 grams of 24 Karat gold at the current fair market value of $1,378 per ounce, using narcotics proceeds collected from RODRIGUEZ on June 10, 2013].” PARRA-PEDROZA replied, “OK.” 59. On or about June 13, 2013, using a shipping label provided by PARRA- PEDROZA, agents sent to Refinery A approximately 622.07 grams of 24-Karat gold, which agents had purchased with approximately $28,159.80 of the proceeds obtained from RODRIGUEZ. Agents also enclosed in this shipment a Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the box as containing a total of 622.07 grams of 24-Karat gold. According to FedEx records, this shipment arrived at Refinery A on or about June 14, 2013. VII. PARRA-PEDROZA Directs CI-2 to Collect and Launder Approximately $98,999 in Narcotics Proceeds from CARO and Individual Q (June 11, 2013). 60. On or about June 6, 2013, at approximately 2:55 p.m., Cl-2 had a consensually recorded call with TEODOCIO CARO," who was using telephone 18 Agents identified TEODOCIO CARO and CARO's voice as follows: As discussed below, between June 6 and 25, 2013, Cl-2 had several consensually recorded call with the man who was using Caro Phone 1. During several of these calls, the man using Caro Phone 1 arranged to meet CI-2 in person at Home Depot located at 12000 S. Cicero Avenue in Alsip, Ilinois, at approximately 1:30 p.m. on June 25, 2013, for the purpose of delivering narcotics cash proceeds. Following those phone calls, surveillance observed Cl-2 meet with, and obtain proceeds from, a man at the designated time and place. Agents conducting surveillance subsequently viewed an Illinois State Driver's License photograph of “Teodocio Caro,” and positively identified CARO as the individual who delivered narcotics proceeds to CI-2 on June 25, 2013. CARO arrived at the June 25 meeting in a car that was, according to SOS records, registered to “Teodocio Caro.” In addition, prior to this June 25 meeting, agents outfitted CI-2 with a concealed audio recording device, which captured CARO's voice. After reviewing the recording of the June 25 meeting, agents compared the voice of the man with whom CI-2 met to the voice of the man who was using Caro Phone 1 in 53number (773) 715-2419 (“Caro Phone 1”), During this call, CARO stated, “They told me to pick up a title for the truck, the dark one [deliver narcotics proceeds].” CI-2 asked, “Where are you, primo?” CARO responded, “Here in West Chicago... By the eighty-eight [Interstate 88], towards Aurora.” CI-2 stated, “Can you wait until Monday [June 10, 2013]?” CARO stated, “No, well, that’s what they [CARO's associates in Mexico] told me. I can wait two, three days, you know?” CI-2 asked, “Did they tell you how many tickets [amount of narcotics proceeds that will be dolivered]?” CARO replied, “Yeah, it's a little more than a hundred [over $100,000).” 61. On or about June 10, 2013, at approximately 1:02 p.m., CI-2 had an unrecorded call with CARO, who was using Caro Phone 1. This call was verified by toll records, According to CI-2, during this call, CI-2 agreed to meet an associate of CARO (Individual Q) in the area of 59th and Main Street in West Chicago on June 11, 2018 at around 4:00 p.m. 62. On or about June 10, 2013, between approximately 5:38 p.m. and 5:39 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. Following this exchange, agents reviewed the exchange and documented several of the messages. During this exchange, PARRA-PEDROZA asked, “And the 107 [the delivery of $107,000 arranged by CARO]? CI-2 responded, “Tomorrow evening.” numerous, consensually recorded calls with CI-2, and determined that CARO was the user of Caro Phone 1.63. On or about June 11, 2013, at approximately 12:08 p.m., CI-2 had a consensually recorded call with PARRA-PEDROZA, who was using Parra-Pedroza Phone 4. During this call, PARRA-PEDROZA asked, “Hey, can you call him [CARO] and set up a meeting {to receive narcotics proceeds}? It’s because he has things to do even if you do it [meet] at five [5:00 p.m.], but that way he [CARO] can move and do his stuff.” CI-2 replied, “Okay, lot me call him right now in about ten, fifteen minutes.” 64. On or about June 11, 2013, at approximately 12:37 p.m., CI-2 had a consensually recorded call with CARO, who was using Caro Phone 1. During this call, CI-2 stated, “I'll be there around four [4:00 p.m.], right where you told me [area of 59th and Main Street in West Chicago].” CARO replied, “Look, primo, so I won't make you wait there too long, come at about, it would have to be around six [6:00 p.m.].... The guy [Individual Q] is going to be there at that time. The thing is he [Individual Q] works and gets out at that time.” CI-2 asked, “ Jamn, he can't make it at five [5:00 p.m J?... Call him [Individual Q] and tell him because I won't make it at six. It’s because I have to take my relative the invitation [take the money to the putative gold supplier] so he can go to the dance [sell gold] and I won't be able to take it [purchase gold] at six.” CARO stated, “Hold on, let me check.” 65. On or about June 11, 2013, at approximately 12:42 p.m., Cl-2 had a consensually recorded call with CARO, who was using Caro Phone 1. During this call, CI-2 stated, “I'll see him [Individual Q] around five-thirty [5:30 p.m.] or six [6:00 p.m.], okay?” CARO stated, “All right, primo. We'll leave it like that.” CI-2 &stated, “When I'm around there, around where you said [location of the meeting], Tl give you a call. Okay? And he [Individual Q] can come by me.” CARO responded, “Alright.” 66. On or about June 11, 2013, between approximately 5:50 p.m. and 6:15 p.m., CL-2 had a series of unrecorded calls with CARO, who was using Caro Phone 1. These calls were verified by toll records. According to CI-2, during these calls, CI-2 advised CARO that he/she was waiting in the parking lot of the Menard’s located at 220 W. North Avenue in We st Chicago and explained where Individual Q could find CL-2. 67. Moments after the last call, CI-2 and Individual Q met in the parking lot of the Menard’s located at 220 W. North Avenue inn West Chicago. Prior to this meeting, agents outfitted CI-2 with a concealed audio recording device, but due to a technical malfunction, the audio recording device did not record the meeting. Agents also searched CI-2 and his/her vehicle for large amounts money and contraband, finding only $29. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance agents also video recorded the meeting. Surveillance observed Individual Q arrive in a vehicle, park next to CI-2’s vehicle, exit his car, retrieve a detergent box wrapped inside a clear plastic Wal- ‘Mart shopping bag from his vehicle, and hand the bag to CI-2, who placed the bag into the back of his/her vehicle. According to CI-2, during this meeting, Individual Q stated, “Here is the soap to wash the dishes,” and confirmed that he was delivering $107,520. 5668. Following this meeting, CI-2 drove under constant surveillance to a designated meeting location where agents retrieved from CI-2’s vehicle a detergent box wrapped inside a clear plastic Wal-Mart shopping bag containing approximately $98,999 in cash. The money consisted of a large number of one and five dollar bills. Agents then transported the money to the HSI Chicago Field Office, where a canine trained to detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 69. On or about June 11, 2013, after agents had counted the money delivered by Individual Q, CI-2 exchanged a series of BBMs with PARRA- PEDROZA, who was using MLO Device 1. According to CI-2, CI-2 advised PARRA- PEDROZA that the amount of narcotics proceeds delivered by Individual Q was $98,999 not $107,520. 70. On or about June 12, 2013, CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. According to CI-2, during this exchange, CI-2 advised PARRA-PEDROZA that he/she had purchased 54.15 ounces of gold with a portion of the money that CI-2 collected from Individual Q, and PARRA-PEDROZA agreed to a purchase price of $1,392 per ounce. 71. On or about June 13, 2013, CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. According to CI-2, during this exchange, CI-2 advised PARRA-PEDROZA that he/she had purchased 14 ounces of gold with the balance of the money that CI-2 collected from Individual Q, and PARRA-PEDROZA agreed to a purchase price of $1,384 per ounce. 5772. On or about June 17, 2013, using two shipping labels provided by PARRA-PEDROZA, agents sent to Refinery A approximately 54.15 ounces of 24- Karat gold, which agents had purchased with approximately $76,942.21 of the proceeds obtained from Individual Q. Agents also enclosed in this shipment a Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the boxes as containing a total of 1,684.28 grams of 24- Karat gold. According to FedEx records, this shipment arrived at Refinery A on or about June 18, 2013. 73. On or about June 18, 2013, using a shipping label provided by PARRA- PEDROZA, agents sent to Refinery A approximately 14 ounces of 24-Karat gold, which agents had purchased with approximately $19,826.41 of the proceeds obtained from Individual Q. Agents also enclosed in this shipment a Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the boxes as containing a total of 435.45 grams of 24-Karat gold. According to FedEx records, this shipment arrived at Refinery A on or about June 19, 2013. 74. Onor about June 18, 2013, between approximately 4:12 p.m. and 7:08 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1, During this exchange, CI-2 stated, “I just sent you the rest [remaining 14 ounces of gold].”. PARRA-PEDROZA asked, “How much?” CI-2 replied, “The 20 [the value of the gold shipment was approximately $20,000] that I was going to deposit [into the bank account].” PARRA-PEDROZA responded, “OK.” 58VIII, PARRA-PEDROZA and CI-2 Meet to Discuss PARRA-PEDROZA’s Money Laundering Operation (June 20, 2013). 75. On dune 14, 2013, between approximately 7:02 p.m., and 7:30 p.m., CI- 2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange: a. PARRA-PEDROZA stated, “That’s not how we're going to do it [the extended amount of time that CI-2 took to purchase gold with narcotics proceeds from various individuals to date and send it to Refinery A was unacceptable]. They're [PINEDA SANCHEZ and the drug traffickers] going to send us to hell [stop using PARRA-PEDROZA for laundering money]... Don't you have another option? To buy [gold]? ... It’s that now they're [drug traffickers and MLO members] telling us to tell the truth if it [PARRA-PEDROZA’s money laundering services] was worth a damn again. ... And if] tell them [drug traffickers and MLO members] we always pay them on Tuesday that it’s not going to be until Wednesday they'll truly kill me [PARRA-PEDROZA must provide the drug traffickers with the laundered money on the day PARRA-PEDROZA promises].” b. CI-2 responded, “This one [CI-2’s gold supplier] is fine. I only need a little time to learn all of the movement [process of purchasing the gold], it's that with a single year of elementary [purchasing fine gold is complicated for a man of CI-2's educational background] it's not easy.” PARRA-PEDROZA stated, “The bad thing is that these guys [drug traffickers and MLO members] don’t even know the word school, only know how to shoot.” 59c. PARRA-PEDROZA and CI-2 made arrangements to meet each other in Las Vegas, Nevada on June 20, 2013. 76. On or about June 20, 2013, PARRA-PEDROZA and Cl-2 met at a shopping mall in Las Vegas, Nevada. Prior to this meeting, agents outfitted CI-2 with a concealed audio recording device. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance observed CI-2 meet with PARRA-PEDROZA in the food court of the mall. During this meeting: a. CL-2 stated. “Look, this {method of buying fine gold] is better {unintelligible (‘U/P)]. The longer the better. I just need . . . for you to have them [money couriers] well organized so we can work well. That’s what you need to do. . . . The thing is, they [money couriers] don't trust and I don’t trust either, so, uh, I don’t want to pick up [narcotics proceeds] from them every day .... I don’t want to have anything [narcotics proceeds] on me. The way I receive it [narcotics proceeds], Thave to take it over there and get rid of it [CI-2 takes the narcotics proceeds to the gold vendor to buy gold immediately after he receives the money, so he/she does not, have to store narcotics proceeds].” PARRA-PEDROZA asked, “So you take it {narcotics proceeds] and right there and then you get rid of it [purchase gold]?” CI-2 responded, “Right there and then, I verify [count] it and let’s go because I don't want to have anything [narcotics proceeds] stored there [at Cl-2's residence] just in case flaw enforcement raids CI-2's residence].” b. PARRA-PEDROZA stated, “The problem is they [drug traffickers and MLO members] are very alert... . I was talking to him [PINEDA 60SANCHEZ] right now. He [PINEDA SANCHEZ] told me, ‘We need [CI-2] to tell us exactly, exactly the date and time [that CI-2 will meet with and collect narcotics proceeds from money couriers]... Okay, how many days do we need [to coordinate the delivery of narcotics proceeds and purchase of gold.].” CI-2 responded, “I need, let’s say two days [notice], for them [drug traffickers/money couriers] to deliver [narcotics proceeds] to me in two days, two days, for example, they can deliver to me Monday and Wednesday, that way you get it [laundered money] on time over there [in Mexico] ....” c. PARRA-PEDROZA stated, “Yes, Wednesday, Thursday, it [gold purchased with narcotics proceeds] would arrive [at Refinery A] on Friday and I don't get paid [by Refinery A] on Saturday. They [Refinery A] don't pay me until Monday. ... Can it be Monday and Tuesday [to receive narcotics proceeds from money couriers}?... [We got a few days... Two, three days to, um, to pay them [Mexico-based drug traffickers]. Uh, they gave it {money laundering contract] to us and we're barely, um, we're still making payments [sending money that should have been completely laundered already]. They [Mexico-based drug traffickers] almost killed us [PARRA-PEDROZA and PINEDA SANCHEZ]. The thing is we didn't, yesterday, they were about to [U/I] fucking beating [for the delay in delivering laundered money to cartel drug traffickers]. [Mexico-based drug traffickers said] ‘Tell me, did you drop it [allow law enforcement to seize narcotics proceeds] again? You'll see what we'll [cartel drug traffickers] do but don’t be telling me [the laundered money will arrive] tomorrow, tomorrow, tomorrow. If you dropped it [lost 61narcoties proceeds to law enforcement] again, tell me.” CI-2 stated, “No, we're fine. We're working [collecting narcotic proceeds], and everything is fine.” d. Later in the conversation, PARRA-PEDROZA stated, “But they [drug traffickers] don’t want to give more than fifty [$50,000 money laundering contracts]. It’s because, at the beginning, they didn’t want to give anything and then they wanted us [Parra-Pedroza MLO] to pay them [once the drug traffickers were willing to give PARRA-PEDROZA money laundering contracts, they wanted PARRA-PEDROZA to pay them the money before the narcotics proceeds were even delivered to CI-2 in the United States]... We [PINEDA SANCHEZ and PARRA- PEDROZA] asked them to give us two, three days [to launder the money]. They [drug traffickers} take them [deliver the narcotics proceeds to Cl-2] and we go all these days [took too long to launder the money through Refinery AJ. No, I couldn't take it anymore.” e. CL-2 stated, “So I prefer to do the fine one [purchase fine gold with narcotics proceeds] or send you, I have a friend [CI-2’s gold supplier] who says Tecan send you the money via cable [bank wire transfers) over there [Mexico] but I don’t know how that works. That's something I don't understand. I don't understand that.” PARRA-PEDROZA stated, “Because the law [banking law in Mexico] is going to get really hard over here in Mexico. ‘There’s going to pass a really tough law in July [2013] regarding that [making it easier for law enforcement to detect bank wire transfers from the United States to Mexico]... . It’s because if he [CI-2's gold supplier], he might be able to send [wire] it to me but if don’t have a 62way of sending [the laundered money to] the uncle [Mexican based drug traffickers} ....” f PARRA-PEDROZA stated, “{I]f they bring me the money and I'l [UM] it fell [gets seized by law enforcement]. The thing is, they [Refinery A] have an office in Mexico [as well as Florida]. ... They [Refinery A] say I sold them [gold] in Mexico and since the payment comes from over there [Refinery A Mexican-based office].... They [Refinery A] sold it [the gold] to me in Mexico, but the money is sent from here [Refinery A falsifies paperwork to make it look like PARRA- PEDROZA sold gold to the company’s Mexico-based office to justify the payments the company sends PARRA-PEDROZA in Mexico for the gold shipments that Refinery A receives from U.S.-based members of the MLO, such as CI-2].” g. CL-2 asked, “[HJow do they [PINEDA SANCHEZ and Mexican drug traffickers] take them [get narcotics proceeds to Mexico] right now? They have to send a car over there [to Mexico] right?” PARRA-PEDROZA responded, “Yeah. . . . Yeah, that's why they [drug traffickers/money couriers] only take the twenties [deliver $20 dollar bills to CI-2] sometimes, because they take the big ones [larger denomination bills] in the car, in the compartment [drug traffickers use hidden compartments in cars to smuggle narcotics proceeds into Mexico].” CI-2 asked, “So that’s what he [PINEDA SANCHEZ or Mexican drug trafficker] does right now, sends the car over there [smuggles narcotics proceeds into Mexico in cars}?” PARRA-PEDROZA responded, “Yes, yes, yes.” 63h, — CI-2 asked, “So what do they [Mexican drug traffickers] do with all the paper [laundered narcotics proceeds]?” PARRA-PEDROZA responded, “Down there [in Mexico]? . .. Look, we've (PINEDA SANCHEZ and PARRA- PEDROZA] had pesos, Mexican pesos, we couldn't find dollars (U.S. dollars} and the thing is, [PARRA-PEDROZA asks drug traffickers to] ‘Take pesos.’ [Drug traffickers respond] ‘No, I gave you dollars. I want dollars [drug traffickers did want to be paid in U.S. dollars, not Mexican pesos]. ... We give them [U.S. dollars] to them [Mexican drug traffickers] and they go sell them [U.S. dollars] a lot cheaper than we [PINEDA SANCHEZ and PARRA-PEDROZA] bought them... At the end they [Mexican drug traffickers] have to receive pesos [for their laundered narcotics proceeds].” i. CL-2 stated, “We're talking about big things. What are they [Mexican drug traffickers] going to do with all that [laundered narcotics proceeds] over there [in Mexico]? It’s not like put it away [save the money]?” PARRA- PEDROZA stated, “Mexico is just a stop [for the narcotics proceeds.” CI-2 asked, “All the way over there [Mexico]?” PARRA-PEDROZA responded, “More south {Colombia}. They've asked me if I'll take it south [launder the narcotics proceeds from Mexico to Colombia] . It’s just that if I start to operate the companies south of Mexico [in Colombia], they're going to fail [the money laundering scheme would not succeed between Mexico and Colombia]. ... There's a lot of operations [business transactions] between United States and Mexico .. . .” 64i CI-2 stated, “[TJhe reason why I'm scared is because [if the narcotics proceeds get seized by law enforcement], then they're [Mexican drug traffickers] going to cut our balls off without it being our fault.” PARRA-PEDROZA stated, “Yeah that's true.... And they're good at beating everyone up.... And they're good at saying, ‘It was you.” Cl-2 stated, “If it wasn’t you, oh well. And that's why we have to be careful with that fucking shit [narcotics proceeds]. We have to be careful because of that, because they think bad about you and whether it's our fault or not, they're going to get us. That way, they [Mexican drug traffickers] get one of them [a money courier who becomes familiar with CI-2], that guy already knows me, I already know him. ‘Okay, we'll meet [to collect narcotics proceeds] at so and so place.” PARRA-PEDROZA stated, “Alright.” CI-2 stated, “I don’t want to store anything [narcotics proceeds] right now. I don't want to store anything just in case anything happens [law enforcement raids CI-2's residence]. There's nothing [no narcotics proceeds at CI-2's residence}.” k. PARRA-PEDROZA asked, “They [law enforcement] didn’t get you the second time [referring to a prior arrest of Individual B, one of CI-2’s associates, prior to CI-2's cooperation with law enforcement]?”!5 CI-2 responded, “No, just them [Individual B and Individual C, who was also working for the Parra- Pedroza MLO].” PARRA-PEDROZA asked, “Then why did they [Individual B] get caught [by law enforcement] so fast?... One week [Individual B had been working 1 On or about October 19, 2012, law enforcement confronted Individual B about his involvement in a money laundering organization. At the direction of agents, CI-2 made up a story about how Individual B had been caught by law enforcement so that PARRA- PEDROZA would not suspect CI-2 of working with law enforcement. 65for PARRA-PEDROZA for only one week before he was confronted by law enforcement]?” CI-2 responded, “That's the problem, they [law enforcement] were already on the one from this one [gold] store, from a store that would buy, that would buy dirty [accept narcotics proceeds in the sale of gold] and that’s why they (law enforcement] followed the idiot [Individual B]. That's why they [law enforcement] were on him [Individual B], because of the guy from the store. That's why they [law enforcement] haven't found out [about PARRA-PEDROZA or the MLO] over here on this side [United States], because he [Individual B] didn’t have anything [that would tie him to PARRA-PEDROZA or the Mexican-based drug traffickers] from over here and the one from the store is the one they [law enforcement] were on [investigating] and the thing is they [Individual B and Individual C] would go and buy scrap [gold] from him [the gold store that law enforcement was investigating] every day and that’s why they [law enforcement] followed him [Individual B].” 1 Cl-2 stated, “I was going to call you a while ago, but I thought, ‘How am I going to call him? How can I fucking locate him”... And I thought about coming down here, over here [CI-2 considered going to Mexico to reconnect with PARRA-PEDROZA], but then I said, I'll get there and he's going to say, ‘What the fuck is he bringing? You know, I’'m not just going to show up like that.” PARRA-PEDROZA stated, “Yeah, yeah, no. And since, and since everyone [Mexican drug traffickers and MLO members], um, found out about everything [law enforcement’s encounter with Cl-2, Individual B, and Individual C in September 66and October 20121]. ‘What happened with the guy [Individual BJ? You know, ‘What happened up there [Individual B's arrest in Chicago}? They [Mexican drug traffickers} found out [about Individual B’s encounter with law enforcement). They're [Mexican drug traffickers] going to see you [in Mexico] and say, ‘No [Mexican drug traffickers would refuse to work with CI-2 because of CI-2’s and Individual B’s prior encounters with law enforcement].” m. PARRA-PEDROZA stated, “They [PINEDA SANCHEZ and Mexican drug traffickers] asked me to look for you.” CI-2 stated, “Yeah, I said, ‘I feel like trying him {calling PARRA-PEDROZA\.’ But then I said, ‘No, I'm going to wait until more time passes by because then he’s going to say, ‘Well, what does this guy want to know about me [CI-2 was concerned that PARRA-PEDROZA would be suspicious of CI-2 if CI-2 tried to reconnect with him out of the blue]?” PARRA- PEDROZA stated, “No, no.” CI-2 stated, “Everything was fine, the thing is we [CI- 2, Individual B, Individual C, and PARRA-PEDROZal were all paranoid [because of recent encounters with law enforcement]. Well, we get scared.” PARRA-PEDROZA responded, “Well, yeah.” CI-2 stated, “We were just scared.” n. — CL-2 stated, “I said, ‘I should call him [PARRA-PEDROZAI, it’s been a while [since CI-2 was encountered by law enforcement], seven, eight months already passed.” PARRA-PEDROZA stated, “No, well, I was calling you [to resume their money laundering operation].” CI-2 stated, “I should call this guy [PARRA- a Prior to Cl-2's cooperation with law enforcement, in September 2012, law enforcement seized approximately $176,000 from CI-2 during a traffic stop, as CI-2 returned to Chicago after collecting the money from an individual in Kentucky. According to CI-2, CI-2 had told PARRA-PEDROZA about the seizure at the time it happened. 67PEDROZA], I should go look for him down there {in Mexico]. I said, ‘If I go over there and he's upset at me, he's not going to let me come back [CI-2 was afraid that PARRA-PEDROZA would have Cl-2 kidnapped or killed if CI-2 went to Mexico and found that PARRA-PEDROZA was upset with CI-2 for falling out of touch].” PARRA-PEDROZA stated, “No.” CI-2 stated, “What if I get there [Mexico], [and PARRA-PEDROZA says], ‘He's already here, don't let him go.” PARRA-PEDROZA stated, “He's here.” Cl-2 laughed and stated, “I get scared.” o. PARRA-PEDROZA stated, “The thing is we [PINEDA SANCHEZ and PARRA-PEDROZA] had to get a lot of stuff situated down there arrangements had to be made in Mexico once Cl-2 resumed laundering money for PARRA-PEDROZA]. Yeah, we had to get a lot of things situated down there because it wasn’t going to, I mean, (U/I]. And it’s worse now because they got pissed off again [Mexican drug traffickers were unhappy with CI-2's delay in getting money down to Mexico]... Right now, right now, right now, I have to go make them happy again, tell them, ‘Look, I already saw them [CI-2], everything is fine. There were some problems [law enforcement’s prior encounters with CI-2, Individual B, and Individual C]. We already took care of that [confirmed that law enforcement is not investigating CI-2].’ We'll see if they [Mexican drug traffickers] don't send me to hell {stop using PARRA-PEDROZA to launder narcotics proceeds].” CL-2 responded, “No, they have to work [drug traffickers need to have their narcotic proceeds laundered].”. PARRA-PEDROZA stated, “No, they need it [money laundering service].” 68Pp. Later in the conversation, PARRA-PEDROZA stated, “Yeah, that’s why I haven’t wanted to go over there [Chicago]. You know how it got really hot flaw enforcement began investigating members of the Parra-Pedroza MLO]. ‘They've [law enforcement] got [Individual D, a member of the Parra-Pedroza MLO] on a short leash... She came about three or four times and all four times they've [law enforcement] held her up (when she entered the United States] for an hour or two and question, after question, after question. That last time she arrived [in the United States] and when she was about to leave [the United States], they [law enforcement] pulled her out of the plane. ... And they [law enforcement] started to ask her, this and that. The officer started to get comfortable . . . [and asked] ‘What did you come [to the United States] for? ... They got her and they’re on to her [law enforcement is investigating Individual D]. The last three times she came [into the United States], they stopped her.... She’s paranoid. She's scared to come. I had to invite her last time just so, they [law enforcement] wouldn't suspect.” q. PARRA-PEDROZA stated, “There’s two, there’s two representatives [PARRA-PEDROZA launders narcotics proceeds for two individuals, PINEDA SANCHEZ and Individual K]. I don’t know them. There’s one before me, they're [PINEDA-SANCHEZ and Individual K] the ones that talk to [the Mexican drug traffickers] . . . one of them [PINEDA-SANCHEZ or Individual K] does talk to the owner and other one with [Individual GJ.” CI-2 asked, “The one [member] that used to be before [Individual KJ, is he still with you [provide you with money laundering contracts}]?” PARRA-PEDROZA answered, “[Individual K] and Botas 69[PINEDA-SANCHEZ], the one that went [traveled to Chicago with PARRA- PEDROZA to meet with CI-2 in Spring 2012], the skinny one. That's Botas (PINEDA-SANCHEZ] and you don’t know [Individual Kj.” r. PARRA-PEDROZA stated, “They're [PINEDA- SANCHEZ and Individual K] the same ones from before, I mean, they're the same contacts (PINEDA-SANCHEZ and Individual K receive money laundering contracts from the same Mexican drug traffickers] but I don’t know them [the drug traffickers]. I mean there's some ahead of me and one of them [PINEDA-SANCHEZ], [Individual K] is the one that does know him [Individual G] and Botas [PINEDA-SANCHEZ] has a middle man, so, um, I will have to talk to them [PINEDA-SANCHEZ and Individual K] so they can push him forward and I think I would have to get with one, one day and the other one the other day [PARRA-PEDROZA will arrange for money couriers working with PINEDA-SANCHEZ to deliver to CI-2 on one day, and couriers working with Individual K to deliver to CI-2 on another day]. Botas {PINEDA SANCHEZ] needs to deliver on Monday and [Individual K] on Tuesday. Like I told you, they see how they'll do it.” 8. PARRA-PEDROZA stated, “That's why we [PARRA-PEDROZA and CI-2] were working on the down low [secretly, to avoid detection by law enforcement], because if another one thousand pesos [$1 million in narcotics proceeds] come and something bad happens [money seized by law enforcement after the Parra-Pedroza MLO agrees to launder it]. No, no I don't even think they're [Mexican drug traffickers] going to ask us [to launder narcotics proceeds] anymore. 70They're probably just going to arrive and, you hand everything back. Houses, cars [when law enforcement seizes narcotics proceeds, Mexican drug traffickers take the personal possessions of the person responsible for losing their money].” CI-2 asked, “They took everything [PARRA-PEDROZA’s possessions, after one of his people lost over $1 million in June 2012]?” PARRA-PEDROZA responded, “Yeah, even while business [money laundering operations] was going on... . I haven't been able to pay them off... . [I]t was a year exactly [June 2012] when it fell [law enforcement seized $1 million from a member of the Parra-Pedroza MLO]... . It fell.... [A] woman came and brought them [the narcotics proceeds] down [to Mexico]. They caught it here [law enforcement seized the narcotics proceeds in the United States]. She said they [law enforcement] stopped her and she was on her way [to Mexico] when the officer came back and said, ’m going to send you back [deport her to Mexico].’ I think she must have been so scared she was pale.” t. CL-2 stated, “Tell them [Mexican drug traffickers] we don't want them, don’t want you to be bullshitting if they trip [law enforcement seizes narcotics proceeds from U.S.-based money couriers]. This is how it is.... If they're doing bad [being investigated by law enforcement], they're the ones doing bad, not anyone else [CI-2].”. PARRA-PEDROZA responded, “There’s one [money courier] that supposedly they had taken away what he had [law enforcement seized narcotics or narcotics proceeds] and at the end he [money courier] did agree [that he was responsible for losing the Mexican drug traffickers’ drugs or money]. I think they even cut his fingers off [to get the courier to confess}. Even I would've agreed.” ae77. Based on previous and subsequent _consensually-recorded conversations between PARRA-PEDROZA and Cl-2, controlled collections of proceeds from various individuals by CI-2 at the direction of PARRA-PEDROZA, my knowledge of this investigation as a whole, and my training and experience as a Special Agent, I believe that, during the aforementioned conversation, PARRA- PEDROZA: (@) expressed his and PINEDA SANCHEZ's concerns over the time it was taking CI-2 to ship the gold that Cl-2 purchased with narcotics proceeds to Refinery A; (b) explained that the Mexican drug traffickers threaten and administer physical violence against, and take the personal possessions of, individuals whom they deem responsible for losing their drug money; © rejected Cl-2's offer to wire narcotics proceeds to him in Mexico because he was concerned about pending changes in Mexican law that would make it easier for law enforcement to detect the true nature of the wired funds; (d) explained that, after Refinery A received the gold shipments from CI-2, the company sends payments for that gold to PARRA-PEDROZA in Mexico; (©) explained that Refinery A falsifies paperwork to make it appear that PARRA-PEDROZA sold gold to the company’s Mexico-based office to justify the payments the company sends to PARRA-PEDROZA in Mexico for gold shipments it receives from CI-2 or other U.S.-based members of the Parra-Pedroza MLO; 72( explained that the PINEDA SANCHEZ and Mexican drug traffickers use hidden compartments in cars to smuggle narcotics proceeds into Mexico; (g) advised that Mexican drug traffickers ask PINEDA SANCHEZ and PARRA-PEDROZA to give them their laundered narcotics proceeds in U.S. dollars, rather than Mexican pesos, so that the traffickers can earn even more money when converting the U.S. dollars to pesos themselves; (h) stated that Mexican drug traffickers have asked PARRA-PEDROZA to assist them in laundering narcotics proceeds from Mexico to Columbia; () discussed his and CI-2's mutual concern about reconnecting with each other and resuming their money laundering operation following law enforcement’s known encounters with CI-2, Individual B, and Individual C in Fall 2012; and @) explained that he launders narcotics proceeds for two different individuals, PINEDA SANCHEZ and Individual K, and that, going forward, he would arrange for money couriers working with PINEDA-SANCHEZ to deliver to CE-2 on one day, and couriers working with Individual K to deliver to CI-2 on another day. IX. PARRA-PEDROZA Directs CI-2 to Collect and Launder Approximately $283,740 in Narcotics Proceeds from CARO (June 25, 2013). 78. On or about June 12, 2018, at approximately 8:57 p.m. — and prior to CI-2's June 20, 2018, meeting with PARRA-PEDROZA ~ CI-2 exchanged a series of 73BBMs with PARRA-PEDROZA, who was using MLO Device 1. Following this exchange, agents reviewed the exchange and documented several of the messages. During this exchange, PARRA-PEDROZA stated, “7737152419. Primo [call Caro Phone 1 to coordinate collection of narcotics proceeds}.” CI-2 responded, “That was the one that gave me all the change [referring to the unusually large number of $1 and $5 bills that Individual Q delivered on June 11, 2013]. Tell him no more change. Tell him.” PARRA-PEDROZA responded, “OK.” 79. On or about June 12, 2013, at approximately 9:43 p.m., CL-2 had a consensually recorded call with CARO, who was using Caro Phone 1. During this call, CARO stated, “What's up, primo? They told me to call you so I can see you (deliver more narcotics proceeds] around nine [9:00 a.m.” CARO and CI-2 agreed to speak again later. 80. On or about June 16, 2013, at approximately 8:47 p.m., CI-2 had a consensually recorded call with CARO, who was using Caro Phone 1. During this call, CI-2 asked, “What time will you be ready [to meet] tomorrow? Is it going to be at the same place [the location of the June 11 pick-up] or somewhere else?” CARO responded, “I'll let you know. ... Yeah, let me call over there [to Mexico].” CI-2 stated, “Okay, then give them [CARO’s associates in Mexico] a call and call me and tell me where to go, and I'll give you a call when I'm around there.” 81. On or about June 17, 2013, at approximately 2:03 p.m., CI-2 had a consensually recorded call with CARO, who was using Caro Phone 1. During this call, CI-2 asked, “Are you ready or not?” CARO replied, “They [CARO’s associatesin Mexico] haven't said anything over there.” CI-2 stated, “Oh, okay. Call the man [CARO's associate] and see what he says, okay?” CARO responded, “Alright.” 82. On or about June 17, 2013, between approximately 2:05 p.m. and 2:19 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, Cl-2 stated, “The primo [CARO] says they haven't advised him from over there [Mexico]. Call them [CARO’s associates in Mexico] and see what they say.” PARRA-PEDROZA replied, “I already told them but they want payment [PARRA-PEDROZA still owes CARO’s associates the money from Individual Q's delivery of $98,999 on June 11, 2013).""8 83. On or about June 24, 2013, at approximately 1:49 p.m., CI-2 had a consensually recorded call with CARO, who was using Caro Phone 1, During this call, CARO stated, “Take the five-seven [Interstate 57] and get off on a hundred and fifty-nine (159th Street] east and I'll meet you there [to deliver narcotics proceeds].” CL-2 stated, “No, the other day I went and met with one [money courier] around, they fixed my car [delivered narcotics proceeds] by the Home Depot. It’s not the same one [same drug trafficker/money courier]?” CARO responded, “No, no, ub, at the Home Depot? No, no. You come this way.” CI-2 stated, ‘I'm going to go close by, not all the way up there. ... Did they tell you how many miles [total amount of narcotics proceeds to be delivered]?” CARO responded, “Uh, about two hundred miles [$200,000].” 1 At the time of this call, agents had yet to ship the gold purchased with the money delivered by Individual Q on June 11, 2013. See {4 67-72, supra. Soon after this exchange, PARRA-PEDROZA and CI-2 met in Las Vegas to discuss, among other things, Cl-2’s delay in shipping gold. See § 75-77, supra. 7584. On or about June 25, 2013, between approximately 12:11 p.m. and 1:24 pam., CI-2 had a series of consensually recorded call with CARO, who was using Caro Phone 1. During these calls, CARO and CI-2 arranged to meet each other in the parking lot of a Home Depot located near the intersection of 120th Street and Cicero Avenue in Alsip, Illinois, at approximately 1:24 p.m. that day. During the last of these calls at approximately 1:24 p.m., CARO asked, “You're the one in the red truck?” CI-2 responded, “Yes.” CARO stated, “There's a [suspicious] car in front.” CI-2 stated, “Just move to the side. It’s [the suspicious car] one of the ones that work here [a Home Depot employee vehicle]. Just go to the side. Just come to the side.” 85. On or about June 25, 2013, at approximately 1:24 p.m., CI-2 and CARO met in the parking lot of the Home Depot located at 12000 S. Cicero Avenue in Alsip. Prior to this meeting, agents outfitted CI-2 with a concealed audio and video recording device and searched CI-2 and his/her vehicle for large amounts money and contraband, with negative results. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance observed CARO arrive in a car registered in his name, park next to CI-2’s vehicle, exit his car, retrieve a blue Coleman cooler from his car, and hand the cooler to CI-2, who placed the cooler into the back of his/her vehicle. During this meeting: a. CARO asked, “So that one [suspicious person/vehicle] that is in front are the ones that work here [employees at Home Depot]?” CI-2 responded, 76“Yes, they're the ones that work here. I was going to move later, but no, they're the ones that work here.” b. Cl-2 asked, “How much?” CARO responded, “It's two-eighty {$280,000].” CI-2 asked, “Two-cighty?” CARO responded, “Yes, sir.” CI-2 asked, “Does it {narcotics proceeds] come well measured [fully counted]?” CARO stated, “Bill for bill (this delivery is correctly counted] primo.” CI-2 continued, “Because the other [the June 11, 2014, narcotics proceeds delivery by Individual Q], that same one that I picked up in. ...” CARO stated, “West Chicago.” CI-2 continued, “. . . that I picked up in West Chicago [the Individual Q delivery], came up real short.” CARO stated, “That's fucked up.” CI-2 stated, “He gave me ninety-eight [$98,000], ninety-nine [$99,000], almost ninety-nine. He was one dollar short to make ninety- nine [$98,999].” CARO stated, “I already told you [this delivery is correctly counted].” CI-2 stated, “Yes. He [Individual Q] was short one dollar for ninety-nine [S98,999].” CARO stated, “Well, okay primo, I counted that [today’s delivery] myself last night. That’s what I did all fuckin night.” CI-2 responded, “Okay...” 86. Following this meeting, CI-2 drove under constant surveillance to a designated meeting location where agents retrieved a blue Coleman cooler containing approximately $283,740 in cash from CI-2’s vehicle. Agents then transported the money to the HSI Chicago Field Office, where a canine trained to detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 187. Onor about June 25, 2013, at approximately 5:00 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. According to CI-2, during this exchange, CI-2 provided PARRA-PEDROZA with the final count of the money picked up from CARO. 88. On or about June 27, 2013, using six of the shipping labels provided by PARRA-PEDROZA, agents sent to Refinery A approximately 6,622 grams of 24- Karat gold, which agents had purchased with approximately $277,892.37 of the proceeds obtained from CARO. Agents also enclosed in this shipment a Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the boxes as containing a total of 6,622 grams of 24-Karat gold. According to FedEx records, this shipment arrived at Refinery A on or about June 28, 2013. 89. On or about July 1, 2013, between approximately 2:48 p.m. and 5:06 p.m., Cl-2 exchanged a series of consensually captured BBMs with PARRA- PEDROZA, who was using MLO Device 1. During this exchange, CI-2 stated, “Close at 1260 [CI-2 purchased gold at the current fair market value of $1,260 per ounce].” PARRA-PEDROZA replied, “OK.” CI-2 stated, “6622.05 is what I sent you that day [CI-2 purchased 6,622 grams of 24 Karat gold at the current fair market value of $1,260 per ounce, using narcotics proceeds collected from CARO on June 25, 2013].” PARRA-PEDROZA asked, “The 280 [confirming that CI-2 is referring to the $283,740 that CI-2 received from CARO]?” CI-2 responded, “Yes.” 78X. PINEDA SANCHEZ and PARRA-PEDROZA Direct CI-2 to Collect and Launder Approximately $139,470 in Narcotics Proceeds from ISAIAS (July 10, 2013). 90. On or about July 9, 2013, at approximately 12:06 p.m., CI-2 placed a consensually recorded call to CASMIRO ISAIAS-PADILLA, who was using telephone number (773) 459-4608 (‘Isaias Phone 1’).!9 ‘This call took place approximately one minute after CI-2 had missed a call from Isaias Phone 1. During this call, ISAIAS stated, “I wanted to talk to Daniel [CI-2’s codename, provided by PARRA-PEDROZAl, primo, on behalf of [Individual K, codename to vouch for ISAIAS's trustworthiness.” CI-2 responded, “Tell me.” ISAIAS asked, “Can I see you, so I can give you some {narcotics proceeds]?” Cl-2 asked, “Are you the same one [money courier] I talked to yesterday or are you someone else?” ISAIAS stated, “No, I, it’s the first time I've called you, primo.” CI-2 and ISAIAS agreed to speak again later. 91. On or about July 9, 2013, at approximately 12:14 p.m., CI-2 had a consensually recorded call with ISAIAS, who was using Isaias Phone 1. During the 18 Agents identified ISAIAS as follows: As discussed below, on or about July 9 & 10, 2013, CL-2 had several consensually recorded calls with the user of Isaias Phone 1. During these calls, the user of this phone arranged to meet Cl-2 in person at the Wal-Mart located at 7050 S. Cicero Avenue, Chicago, Illinois, for the purpose of delivering narcotics cash proceeds, on July 10, 2013, at approximately 5:03 p.m. Following these calls, surveillance observed Cl-2 meet with, and obtain proceeds from, a man at the designated time and place. As discussed below, agents conducting surveillance subsequently viewed a Wisconsin driver's license photograph of “Casimiro Isaias-Padilla,” and positively identified ISATAS as the individual who delivered narcotics proceeds to Cl-2 on July 10, 2013. In addition, prior to this July 10th meeting, agents outfitted CI-2 with a concealed audio recording device, which captured ISAIAS's voice. After reviewing the recording of the July 10th meeting, agents compared the voice of the man with whom CI-2 met to the voice of the man who was using Isaias Phone 1, in numerous, consensually recorded calls with Cl-2, and determined that ISAIAS was the user of Isaias Phone 1. 79call, CI-2 asked, “Yeah, how many miles are on the car you want us to fix for you?” ISAIAS responded, “Oh, I think, I think it was a hundred-fifty [$150,000], primo.” C12 stated, “Let me report it over there [call PARRA-PEDROZA] first because they already filled it up [CI-2 is already in possession of a large amount of narcotics proceeds] over here and I have to check, because I don’t have enough room in the garage for another car. So let me call over there and I'll call you back.” 92. On or about July 9, 2013, between approximately 1:09 p.m. and 1:13, p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. Following this exchange, agents reviewed this exchange and documented several of the messages. During this exchange, PARRA-PEDROZA stated, “Tomorrow they are going to give you 140 [$140,000]. The one [ISAIAS] that you [CI-2] told that you had a lot on your hands.” CI-2 responded, “OK.” 93. On or about July 9, 2013, at approximately 1:25 p.m., CI-2 had a consensually recorded call with ISAIAS, who was using Isaias Phone 1. During this call, CI-2 asked, “Where are you, more or less, so I can come by? They told me not until tomorrow, or the day after, but I need to call you. Just tell me and I'll come by.” ISAIAS responded, “Okay, right there by Archer and Kedzie. ... [I]f you want it can be today, but I can't right now, I'm busy. Let's see, I'll be ready by four, thirty [4:30 p.m.].” CL-2 stated, “Okay, then let me give you a call because these guys [PARRA-PEDROZA] are driving me crazy over there. Okay, I'll give you a call tomorrow and I'll let you know where we can meet around there.” ISAIAS replied, “All right, okay, that’s fine.” 8094. On or about July 9, 2013, between approximately 3:40 p.m. and 3:42 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, PARRA-PEDROZA asked, “What did you agree to with them [ISAIAS and a second money courier]?” CI-2 responded, “Tomorrow T'll see them. First the 200 [$200,000] and later the 140 [$140,000 from ISAIAS].” PARRA-PEDROZA stated, “OK.” 95. On or about July 10, 2013, between approximately 12:47 p.m. and 2:35 p.m,, CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, PARRA-PEDROZA asked, “What's up?” CI-2 replied, “Nothing, the one of 140 [ISAIAS] has time until 4:30 [ean meet to deliver narcotics proceeds before 4:30 p.m.” PARRA-PEDROZA asked, “But are they set?” Cl-2 replied, “Yes.” PARRA-PEDROZA stated, “Hey the 140 one, make his appointment close, not too far, so you won't risk it [meet ISAIAS in close proximity to CI-2's office to minimize the risk of being stopped by law enforcement].” 96. On or about July 10, 2013, between approximately 4:23 p.m. and 5:03 p.m,, Cl-2 had a series of consensually recorded calls with ISAIAS, who was using Isaias Phone 1. During these calls, ISAIAS and CI-2 arranged to meet in the parking lot of a Walmart located near the intersection of 72nd Street and Cicero Avenue in Chicago at approximately 5:03 p.m. 97. On or about July 10, 2013, at approximately 5:03 p.m., CI-2 and ISAIAS met in the parking lot of the Walmart located at 7050 S. Cicero Avenue in Chicago, Illinois. Prior to this meeting, agents outfitted CI-2 with a concealed audio 81recording device and searched CI-2 and his/her vehicle for large amounts money and contraband, finding none. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance agents videotaped this meeting and observed ISAIAS arrive in a car, park next to CI-2's vehicle, exit his car, retrieve a tan “Justin Boots” cooler bag, and place the cooler into the back of CI-2’s vehicle. During this meeting: a, _ ISAIAS asked, “Is everything alright or what [is it safe to hand off the narcotics proceeds at this location]?” CI-2 responded, “Get out [of the vehicle] so that they [law enforcement] don't look at us, like we're making an exchange real quick. Grab the bag slowly and drop it over here, on the back [inside CL2 vehicle] here. Put it over here. It’s all nicely packed [organized and counted], right?” ISAIAS responded, “Yes.” b. CL-2 asked, “Everything, there are a hundred forty [$140,000], right? Well measured [carefully counted?” ISATAS responded, “A hundred forty [$140,000].” CI-2 stated, “Yes, because, when you don’t measure it well [deliver the agreed upon amount] then you have to go to the office [accompany CI-2 to his/her office] and I have to verify them there [count the money together].” ISAIAS responded, “Yes.” 98. Following this meoting, CI-2 drove under constant surveillance to a designated meeting location where agents retrieved from CI-2's vehicle a tan “Justin Boots” cooler bag containing approximately $139,470 in cash. Agents then transported the money to the HSI Chicago Field Office, where a canine trained to 82detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 99. On or about July 10, 2013, between approximately 5:53 p.m. and 6:28 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, CI-2 stated, “I am on my way back.” PARRA- PEDROZA asked, “OK. All good?” CI-2 responded, “Yes.” PARRA-PEDROZA asked, “How much did they sing for [deliver]?” CI-2 responded, “140.0 [$140,000].” 100. On or about July 10, 2013, between approximately 8:19 p.m. and 9:18 p.m, CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, PARRA-PEDROZA asked, “OK. What's up?” CE-2 responded, “That's what I am doing. Verifying [counting the money].” PARRA-PEDROZA stated, “OK.” CL-2 stated, “505 short.” PARRA-PEDROZA asked, “No. How much are the tickets [how much money was delivered]?” CI-2 responded, “139495 ($139,495, which was the amount that agents had counted prior to an official money count].” PARRA-PEDROZA asked, “But the size [denomination of the bills delivered] is ok? There isn’t any garbage [small bills such as $1 and $5 bills]?” CI-2 responded, “Little this one.” PARRA-PEDROZA stated, “If it [gold] all comes tomorrow, Diego [PINEDA-SANCHEZ] will sell.” CI-2 responded, “Yes.” 101. On July 12, 2013, between approximately 9:49 a.m. and 10:32 a.m., CI- 2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, Cl-2 stated, “Send me the guides [Fed Ex labels pre- addressed to Refinery A] so I can get away early.” PARRA PEDROZA responded, 83“OK. I already requested them.” CI-2 stated, “Let me know when you send them.” PARRA PEDROZA stated, “Yes. What is your mail? Yes. They're gone.” 102. On or about July 12, 2013, at 10:31 am., the UC Email Account received an email from Parra-Pedroza Email Account 1. This email was entitled, “Fwd: [Refinery A] FedEx Shipping Label.” The email included two attachments, including ten prepaid FedEx labels addressed to Refinery A and a Refinery A packing list. 103. Between about July 12, 2013 and about July 15, 2013, using three of the shipping labels provided by PARRA-PEDROZA, agents sent to Refinery A approximately 3,248 grams of 24-Karat gold, which agents had purchased with approximately $137,033 of the proceeds obtained from ISAIAS. Agents also enclosed in these shipments a Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the boxes as containing a total of approximately 3,248 grams of 24-Karat gold. According to FedEx records, these shipments arrived at Refinery A between about July 15, 2013 and about July 16, 2013. 104. On or about July 15, 2013, between approximately 11:19 a.m. and 11:42 a.m., Cl-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange: a. PARRA-PEDROZA asked, “How much [gold] did you send? Just a kilo [1000 grams]. They [narcotics traffickers associated with ISAIAS] are going to choke me.” CI-2 responded, “More than one [CI-2 purchased more than one 84EE |“ | e @ kilogram of gold with the ISAIAS money], later I will send you the rest.” PARRA- PEDROZA stated, “Why didn't you tell me? I committed myself. When you talk to me, you need to tell me the truth. Everything, alright? You lie to me, I relay the lies and I'm the one who gets it.” Cl-2 responded, “Yes, I brought everything [all of the gold], but this guy [CI-2’s putative gold supplier] is clueless, I'm telling you what he's telling me.” b. PARRA-PEDROZA stated, “Tell him, we are going to get in trouble.” CI-2 responded, “La refi (CI-2's putative gold supplier], it's easy for him to say tomorrow because he thinks the metal (gold] goes directly to you [to PARRA- PEDROZA in Mexico}, doesn’t know it goes all the way over there [to Refinery A in Florida].”. PARRA-PEDROZA stated, No problem if it’s late at least a day. It's when they lie, I would have problems.” CI-2 stated, “OK. I will be careful so it won't happen again.” « PARRA-PEDROZA stated, “Later I'm going to face them everything [all of the gold] is being sent. Arrive tomorrow. How much was sent exactly?” CI-2 responded, “Let me check my book, will let you know. 1062 [1,062 grams of gold].” 105. On or about July 16, 2013, between approximately 8:24 a.m. and 12:02 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, PARRA-PEDROZA asked, “Already sent the | {narcotics traffickers associated with ISAIAS] and tell them that it was a lie that rest [balance of the gold purchased with narcotics proceeds from ISAIAS]?” CI-2replied, “I already sent it [a second FedEx shipment containing approximately 2,186 grams of gold sent to Refinery A on or about July 15, 2013]. Close 3,248.76 of fine for $1,293 [CI-2 purchased 3,248.76 grams of 24 Karat gold at the current fair market value of $1,293 per ounce, using narcotics proceeds collected from ISAIAS].” PARRA-PEDROZA responded, “OK.” XI. PINEDA SANCHEZ and PARRA-PEDROZA Instruct CI-2 to Collect and Launder Narcotics Proceeds from OCHOA (July 16, 2013). 106. On or about July 10, 2013, at approximately 1:25 p.m., CI-2 had a consensually recorded call with JOSE HERNANDEZ OCHOA, who was using Ochoa Phone 1.° During this call, OCHOA stated, “I'm talking to Daniel, right?” CL-2 responded, “Okay, yes, 'm Daniel [to vouch for Cl-2's trustworthiness].” OCHOA stated, “Yeah, I'm calling on behalf of Roberto [code name to vouch for OCHOA’s trustworthiness], sir.” 107. On or about July 10, 2013, at approximately 1:27 p.m. CI-2 had a consensually recorded call with OCHOA, who was using Ochoa Phone 1. During the call, OCHOA said, “If you [CI-2] want, I can free up so can see you [meet to deliver 2 Agents identified OCHOA as follows: As discussed below, on or about July 16, 2013, C12 had a consensually recorded call with the man who was using Ochoa Phone 1. During this call, the man using Ochoa Phone 1 arranged to meet CI-2 in person at the Portillo's at the intersection of Roosevelt Road and Des Plaines Avenue on July 16, 2013, at approximately 1:10 p.m., for the purpose of delivering narcotics cash proceeds. Following this phone call, surveillance observed CI-2 meet with, and obtain proceeds from, a man at the designated time and place. Agents conducting surveillance subsequently viewed an Oregon State Driver's License photograph of “Jose Hernandez Ochoa,” and positively identified OCHOA as the individual who delivered narcotics proceeds to CI-2 on duly 16, 2013. In addition, prior to this July 16 meeting, agents outfitted CI-2 with a concealed audio recording device, which captured OCHOA's voice. After reviewing the recording of the July 16 meeting, agents compared the voice of the man with whom CI-2 met to the voice of the man who was using Ochoa Phone 1 in numerous, consensually recorded calls with Cl- 2, and determined that OCHOA was the user of Ochoa Phone 1. 86narcotics proceeds).” CI-2 asked, “Okay, uh, are you the one with uh, two tickets [$2,000]? OCHOA responded, “Yeah, one, one with, with, with thirty pesos {830,000}.” 108. On or about July 11, 2013, between approximately 10:09 a.m. and 12:24 p.m., Cl-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange: a. CIL-2 stated, “I never answered the one who called me; he is one of the little ones [a money courier with a small amount of narcotics proceeds].” PARRA-PEDROZA stated, “It’s 150 [$150,000].” CI-2 stated, “Yesterday [July 10, 2013] he [OCHOA] told me 30 [$30,000].” PARRA-PEDROZA stated, “It’s now 150 [$150,000], it's urgent to me, help me out.” CI-2 stated, “I called, it is 30 [$30,000].” PARRA-PEDROZA responded, “It is another one [a different money courier who would deliver $150,000 in narcotics cash proceeds]; let me tell them to redial [call CI-2 again].” CI-2 stated, “He [OCHOA] is the only one who has called.” b. PARRA-PEDROZA asked, “How are you going?” CI-2 responded, “Making the metal order [purchasing gold with narcotics proceeds].” PARRA-PEDROZA asked, “And has the one [a different courier of narcotics cash proceeds} for the 100 [$100,000] called you?” CI-2 responded, “No he [$100,000 money courier} has not called just the one [OCHOA] for the 30 [$30,000].” 109. On or about July 12, 2013, at approximately 1:28 p.m., CI-2 had a consensually recorded call with PINEDA SANCHEZ, who was using Target Device 6. During this call 87a. PINEDA SANCHEZ stated, “Listen, this is Carlos’ [PARRA- PEDROZA's] associate, from this side over here [Mexico]. ... ‘They [OCHOA] have been calling you . . . to see if you can check their car [collect narcotics proceeds], but that you haven't been able to meet with them [OCHOA].” CI-2 responded, “It's because they [OCHOA] have some small ones, a thirty [$30,000 of narcotics proceeds} and that's the only one [OCHOA] that has call me. The one that had thirty dollars [$30,000], okay?” PINEDA SANCHEZ stated, “Yes. He [OCHOA] wanted to refinance a car for thirty dollars [launder $30,000].” b. Cl-2 stated, “It's best if they [OCHOA] have it [narcotics proceeds], it's best if he [OCHOA] keeps it and I'll pick it up from him [OCHOA] on Monday [July 15, 2013].” PINEDA SANCHEZ stated, “Listen, the one that has very little [OCHOA], the one that wants the refinance for thirty [launder $30,000], what do I tell him OCHOA?” CI-2 responded, “Well, I don't know what to tell him {OCHOA}. He [OCHOA] already called me like two, three times. Uh, well, Monday [collect narcotics proceeds from OCHOA on July 15, 2013].” c CI-2 stated, “You need to tell Carlos [PARRA-PEDROZA] we have to put a person [a middle man] to pick up from the ones that have a little [smaller amounts of narcotics proceeds]. It’s because I'm really fucking paranoid with the small ones [couriers who deliver small amounts of narcotics proceeds}. One with fifteen [$15,000] called me, one with forty [$40,000], one with thirty [$30,000], and that one [OCHOA], that one. So, you gotta’ fear those, I rather not pick up from those so I won't get into any problems [with law enforcement}.”. PINEDA 88SANCHEZ responded, “Oh, okay but those [OCHOA and other couriers with small amounts of narcoties proceeds] are very secure. It’s no problem... . Yes, they're, those are confirmed from over here and all [vetted for connections to law enforcement by Mexican members of the MLO].” d. PINEDA SANCHEZ stated, “Oh, I’m telling you the ones that have very little miles [couriers who deliver small amounts of the narcotics proceeds]... Have them agree on your time and wherever you want [to deliver narcotics proceeds]. ... You tell them, ‘At so and so time and here.” CI-2 stated, “That's what I tell them [money couriers]. ... I always tell them, ‘Do you have time right now or early tomorrow?’ ‘Oh, no I can until 3:00 in the afternoon.’ And then they report over there [to their Mexican bosses] and say that I sond them to hell, that I don’t want to pick up [narcotics proceeds] from them.” PINEDA SANCHEZ stated, “Yeah, what they're [OCHOA and his bosses] telling us over here is that you're telling them, ‘Tl call you later, I'll call you later, Tl call you later.’ That's it’s been like that since yesterday.” e. PINEDA SANCHEZ stated, “So they [OCHOA and his bosses] just told me, ‘Listen, just tell me if you're going to pick it up or not, otherwise I'll go somewhere else [to launder narcotics proceeds}.’ You know.” CI-2 stated, “Yeah and that’s what they [OCHOA and his bosses] should say, the truth. That's my word. Why wouldn’t I pick it [narcotics proceeds] up if that’s how we're paying for lunch [CI-2 receives a percentage of the amount of money he/she launders for PARRA-PEDROZAJ. . . .. It's not like I'm only going to want one [shipment of 89narcotics proceeds]. For me, the more [narcotics proceeds] there is, the better for me, But they (drug traffickers and money couriers] won't accommodate my schedule. Uh, and you sce, like that’s very little [narcotics proceeds], like the one from here [$30,000 from OCHOA, it’s not worth fucking losing my time with him.” PINEDA SANCHEZ stated, “No, of course, to be waiting there. If they [couriers] call you and tell you, ‘I have fifteen [$15,000], come over here.’ Wherever you want, you move them [couriers] wherever you want, at the time you want. If they can't, well then, ‘No, I [CI-2] can't move’ Right.” CI-2 stated, “Okay, well, then I'll do it, like that.” £ PINEDA SANCHEZ stated, “The one that told you right now he has thirty [OCHOA, who had $30,000 to launder], if you want to call him, tell him, ‘Listen, you [OCHOA] go the receipt [narcotics proceeds] bring it over here.’ If he doesn't want to [deliver the narcotics proceeds to CI-2], ‘That's fine, call me [CI-2] when you [OCHOA] get money [narcotics proceeds]. . .. All the small ones [couriers with small amounts of narcotics proceeds] . . . have to accommodate your schedule and your place.” 8 CI-2 stated, “Like right now, I’m sending you [PINEDA SANCHEZ and PARRA-PEDROZA] the mail [gold purchased with narcotics proceeds], so I can't leave this so I can go meet with someone [a courier] who has only thirty pesos [$30,000], so I need them [couriers] to accommodate to my schedule and not to be calling over there [Mexico], telling you [PINEDA SANCHEZ and PARRA-PEDROZA] I don’t want to take care of them [collect narcotics proceeds 90for laundering." PINEDA SANCHEZ said, “Tell them [money couriers], ‘All the way over here.’ [If the drug trafficker and money courier says,] ‘No, I can't come,’ [then CI-2 should say], ‘Well, good bye, take care.” CI-2 stated, “Then as soon as they [money couriers] call me, I'm going to tell them, ‘You know what? Come over right now at so and so place.” PINEDA SANCHEZ stated, “Yeah, that’s better.” h. PINEDA SANCHEZ asked, “Hey, and you don't have their {money couriers] phone number so you can call them?” CI-2 responded, “Okay, I have their numbers. Let me call them and tell them to come over here. If they say ‘no,’ then TIl be like, ‘You know what? They don't want to come over here.” PINEDA SANCHEZ stated, “Yeah, if they don’t want to [come to CI-2 as directed], let us [PINEDA SANCHEZ and PARRA-PEDROZA] know.” i, PINEDA SANCHEZ stated, “See if you can call the one [OCHOA] with the miles [$30,000].” CI-2 stated, “I’m going to call him right now. Okay, as soon as I pull over, I'll call him [OCHOA] and see what he tells me. So we can set something up [a time and place for OCHOA to deliver narcotics proceeds].” PINEDA SANCHEZ stated, “Thank you. Talk to you later.” 110. On or about July 16, 2013, between approximately 12:02 p.m. and 1:52 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, PARRA-PEDROZA wrote, “Pick up the call from the guy [OCHOA] of the 30 [$30,000]. ... That same guy [OCHOA] going to bring 200 [$200,000] tomorrow [to be laundered]. We are in trouble.... Are you in contact with him [OCHOA]?” CTI-2 stated, “I just contacted him [OCHOA] and told 91him T'm en route. These guys are liars, they tell me one thing and tell you something else, I've been ready [to receive the narcotics proceeds] since the morning. I'm on my way back, this primo [OCHOA] just arrived.” PARRA- PEDROZA stated, “Ok. With how much {narcotics proceeds from OCHOA]?” CI-2 responded, “30 [$30,000].” 111. On or about July 16, 2018, at approximately 12:56 p.m., CI-2 had a consensually recorded call with OCHOA, who was using Ochoa Phone 1, During this call, OCHOA and CI-2 agreed to meet at approximately 1:10 p.m. in the parking lot of a restaurant located at 7740 West Roosevelt Road in Forest Park, Ilinois. 112. At approximately 1:11 p.m, Cl-2 met with OCHOA in a parking lot located at 7740 West Roosevelt Road in Forest Park. Prior to this meeting, agents outfitted CI-2 with a concealed audio recording device and searched CI-2 and his/her vehicle for large amounts money and contraband, and found none. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance observed OCHOA exit his vehicle with a black bag and enter the rear passenger side door of CI-2's vehicle. During this meeting: a, CL-2 stated, “Just throw it [the backpack] in the back of my truck.” OCHOA stated, “Let me, the thing is I have a little backpack. Um, um why don't we take a little drive and you can leave me over there and I'll walk back.” CI- 2 stated, “ No, just throw it in the back there. You got it [the money] there [in the backpack]?” OCHOA responded, ‘eah.” 92be OCHOA stated, “Yes. Let’s go [drive to avoid drawing suspicion] if you want.” CI-2 stated, “Okay, just throw it in the back and close it and you can stay behind talking [to avoid drawing suspicion].... Then just throw it in the back of my truck on your own, back there. Yeah, just throw it on the seat and I'll fix it right now [take the narcotics proceeds out]. Yeah, yeah, just leave it like that so it doesn't look too bad.” OCHOA asked, “Huh?” Cl-2 stated, “Just leave it on the seat, on the floor and I'll fix it later. There's thirty [$30,000], right?” OCHOA responded, “Yes.” c. CL-2stated, “They had told me you were going to bring another two [$200,000] more.” OCHOA stated, “I think, they haven't told me.... Yeah, they haven't told me yet.” CI-2 stated, “Yeah, because I didn’t want to come for that [$30,000], because it’s very little. It’s very little, so then they told me, ‘Go, go, he'll be taking another two pesos [$200,000] later.” a. CI-2 asked, “Do you deal with the money or the other stuff [narcotics]?” OCHOA asked, “Huh?” CI-2 stated, “I only deal with the money.” OCHOA stated, “No, well, me too, sometimes I... .” CI-2 stated, “You too. Yeah, yeah, that’s what...” OCHOA interrupted, “I’m going to open the hood right now [to make their meeting appear less conspicuous].” CI-2 stated, “Go ahead now. Just go, take off right now and I'll head out afterwards, yeah.” 113. Following this meeting, CI-2 drove under constant surveillance to a designated meeting location where agents recovered a blue and white plastic bag containing approximately $29,990 in cash. Agents then transported the money to 93,the HSI Chicago Field Office, where a canine trained to detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 114. At approximately 4:11 p.m., Cl-2 sent a BBM message to PARRA- PEDROZA, who was using MLO Device 1. CI-2 stated, “I won't be able to make it to the refinery [to purchase gold]. Put me down for 29990 [OCHOA delivered $29,990 in narcotics proceeds].” 115. Prior to the July 16, 2013, meeting with OCHOA, on or about July 12, 2013, CI-2 received an email from PARRA-PEDROZA, attaching multiple preprinted FedEx “Priority Overnight” shipping labels addressed to Refinery A in Florida and a Refinery A shipping form called a “packing list.” On or about July 18, 2013, using the s ipping labels previously provided by PARRA-PEDROZA, agents sent to Refinery A via Fed Ex approximately 22 ounces of gold bars, which agents had purchased with approximately $28,894.80 of the proceeds obtained from OCHOA. Agents also enclosed in this shipment the Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the box as 684.28 grams of 24 karat gold. According to FedEx records, this shipment arrived at Refinery A on July 19, 2013. 116. On or about July 19, 2013, between approximately 12:36 p.m. and 2:32 p.m., CI-2 exchanged BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, CI-2 wrote, “I just sent you the mail (gold purchased with OCHOA’s narcotics proceeds}. Close 684.28 [grams] the fine [gold] for $1295 [CI-2 arranged for the gold to be sold at $1,295 per ounce]. Willy [PARRA-PEDROZA], 94where are you at? Why don’t you answer?” PARRA-PEDROZA replied, “Just arrived.” XII, PARRA-PEDROZA Directs CI-2 to Collect and Launder Approximately $200,780 in Narcotics Proceeds from CUEVAS (July 24, 2013). 117. On or about July 17, 2013, between approximately 9:34 p.m. and 9:41 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, PARRA-PEDROZA stated, “Primo [HECTOR CHAVEZ CUEVAS#!] tried to contact you and you didn’t answer. Different {courier].”22 CI-2 responded, “Yes they [CUEVAS] tried to contact me, I thought it was the same person [a money courier who had previously arranged to deliver narcotics proceeds to CI-2].” PARRA-PEDROZA stated, "No someone else. ‘The other [money courier] was caught with no money [encountered by law enforcement}, everything is good. Call back [CUEVAS] you didn’t answer. . .. For real, contact them, so I could reason over here [arrange the delivery of narcotics proceeds with 2 Agents identified HECTOR CHAVEZ CUEVAS as follows: As discussed below, on or about July 24, 2013, CI-2 had a consensually recorded call with the man who was using (815) 295-7588 (‘Cuevas Phone 1"). During this call, the man using Cuevas Phone 1 arranged to meet CI-2 in person at the parking lot of a Sam’s Club located at 321 South Larkin in Joliet, Minois on July 16, 2013 at approximately 3:00 p.m., for the purpose of delivering narcotics cash proceeds. Following this phone call, surveillance observed Cl-2 meet with, and obtain proceeds from, a man at the designated time and place. Agents conducting surveillance subsequently viewed an Illinois State Driver's License photograph of “Hector Chavez Cuevas,” and positively identified CUEVAS as the individual who delivered narcotics proceeds to CI-2 on July 24, 2013. In addition, prior to this July 24 meeting, agents outfitted CI-2 with a concealed audio recording device, which captured CUEVAS's voice. After reviewing the recording of the July 24 meeting, agents compared the voice of the man with whom CI-2 met to the voice of the man who was using Cuevas Phone 1 in numerous, consensually recorded calls with CI-2, and determined that CHAVEZ CUEVAS was the user of Cuevas Phone 1. % ‘Toll records show that, on July 17, 2013, at approximately 9:28 p.m., CI-2 received two telephone calls from Cuevas Phone 1, which Cl-2 did not answer.Individuals E’s Mexican associates)... . They [CUEVAS's associates] told me now. Please.” CI-2 responded, “Ok. I will contact [CUEVAS].” 118. On or about July 17, 2013, at approximately 9:50 p.m., CI-2 had a consensually recorded call with HECTOR CHAVEZ CUEVAS, who was using Cuevas Phone 1. During the call, CUEVAS stated, “Yes, Daniel [codename that PARRA-PEDROZA provided to vouch for CUEVAS's trustworthiness}, on behalf of Raul. He [PARRA-PEDROZA] told me to call you.” CI-2 stated, “Okay, uh, do you know how many miles are on the car he wants me to fix (the amount of narcotics proceeds that CUEVAS will deliver]” CUEVAS responded, “Yes, he told me it was something like a hundred and five [$105,000].” 119. Between approximately 9:55 p.m. and 9:58 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, CL-2 stated, “Okay. I contacted them [CUEVAS], will be available at 2 afternoon.” PARRA-PEDROZA responded, “Okay. Its 200 [$200,000 that CUEVAS will deliver to CI-2], I think. Did you make arrangements [to receive the narcotics proceeds].” CI-2 stated, “They [CUEVAS] said 100 [$100,000}.” PARRA-PEDROZA responded, “Okay.” 120. On July 22, 2018, at approximately 11:23 am. CI-2 had a consensually recorded call with CUEVAS, who was using Cuevas Phone 1. During the call, CUEVAS asked, “When will you have a chance to come for [the narcotics proceeds].” CI-2 responded, “I'll go but not until Wednesday [July 24, 2013). Tjust 96need for them to call me from over there [receive PARRA-PEDROZA’s permission to collect the money].” 121. On July 22, 2013, at approximately 1:29 p.m., CI-2 had a consensually recorded call with CUEVAS, who was using Cuevas Phone 1. During the call, CUEVAS stated, “Listen, my friend is asking me if Wednesday is for sure?” CI-2 responded, “Yes, Wednesday [July 24, 2013] for sure.” CUEVAS asked, “But you, so you can come over here and fix the car [collect narcotics proceeds]?” CI-2 responded, “T'm going to be fixing cars [collecting other narcotics proceeds] now. ... So I'll call you on Wednesday. You said your car has a hundred and five miles [$105,000], right?” CUEVAS responded, “Right, exactly.” 122. On July 22, 2013, between approximately 1:33 p.m. and 1:36 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, CI-2 stated, “Okay. I was contacted by a primo [CUEVAS], good for Wednesday [CUEVAS to deliver narcoties proceeds on Wednesday, July 24, 2013).” PARRA-PEDROZA responded, “Let me see from who.” CI-2 stated, “Okay. It’s for 105 [$105,000], told me last week which I didn't receive.” PARRA- PEDROZA said, “Okay.” 123. On duly 22, 2018, at approximately 4:09 p.m., CI-2 had a consensually recorded call with CUEVAS, who was using Cuevas Phone 1. During the call, CI-2 asked, “Okay, uh, do you know how many miles you put on the car [the amount of narcotics proceeds CUEVAS will deliver]?” CUEVAS responded, “Something around one hundred and forty [$140,000].” 97124. On or about July 24, 2013, CI-2 had a series of consensually recorded calls with CUEVAS, who was using Cuevas Phone 1. During these calls, CUEVAS and CI-2 arranged to meet each other at approximately 3:00 p.m. in the parking lot of a Sam’s Club located at 321 South Larkin in Joliet, Illinois. 125. On duly 24, 2013, at approximately 3:00 p.m., CI-2 and CUEVAS met in the parking lot of the Sam's Club located at 821 South Larkin in Joliet. Prior to this meeting, agents outfitted CI-2 with a concealed audio and video recording device and searched CI-2 and his/her vehicle for large amounts money and contraband, and finding only $67. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance observed CUEVAS park his car next to CI-2's vehicle, exit his car, retrieve a green shopping bag, and place the bag into the back of CI-2’s vehicle. During this meeting: a. CL-2 stated, “Yeah, just take it {narcotics proceeds] out and put it [narcotics proceeds] in the back of my truck and close it [the back hatch of CI-2 vehicle]... Yeah, just leave it [narcotics proceeds] there and close it.” CUEVAS stated, “There you go.” b. CL2 stated, “You said a hundred and forty [$140,000]?” CUEVAS responded, “No, two hundred [$200,000].” CI-2 asked, “Two [$200,000]? ‘Two [$200,000]? CUEVAS stated, “It’s because they [drug traffickers] barely gave me another yesterday [CUEVAS received an additional amount of narcotics proceeds at the last minute].” CI-2 stated, “ h, uh-huh. They're [narcotics 98proceeds} all sealed [vacuum sealed], well measured, well measured [fully counted]?” CUEVAS stated, “Well measured [fully counted].” 126. Following this meeting, CI-2 drove under constant surveillance to a designated meeting location where agents retrieved a green shopping bag containing approximately $200,780 in cash from Cl-2's vehicle. Agents then transported the money to the HSI Chicago Field Office, where a canine trained to detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 127. On duly 24, 2013, at approximately :38 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, Cl-2 stated, “OK. I'm going to the office [going to count the narcotics proceeds received from CUEVAS].”. PARRA-PEDROZA asked, “With how much [money]?” CI-2 responded, “200 [$200,000].” 128. On July 24, 2013, between approximately 8:49 p.m. and 8:59 p.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, CI-2 stated, “Put me down for 200 [CUEVAS delivered $200,000].”. PARRA-PEDROZA asked, “And the other [delivery of narcotics proceeds] for chikito [code word for a different money courier]? ... Could you see him in the morning?” Cl-2 responded, “See what time I will be able to see the refiner [CI-2's gold supplier, from whom CI-2 will purchase gold with the $200,000 that CUEVAS delivered].”. PARRA-PEDROZA responded, “OK. Let me know later.” 99129. On July 25, 2013, between approximately 10:25 a.m. and 10:33 a.m., CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During the exchange, CI-2 stated, “[TJhe guy from the refinery [CI-2’s gold supplier] left, just left me what [gold] he had.” PARRA-PEDROZA asked, “Will give you everything [enough gold to cover the $200,000 collected from CUEVAS] today?” Cl-2 responded, “That's what I'm doing the paperwork on.” PARRA- PEDROZA asked, “Have guides [enough FedEx labels to ship the $200,000 worth of gold to Refinery A in Florida]? ... Will send you just in case [PARRA-PEDROZA will email additional pre-paid FedEx shipping labels addressed to Refinery ].” 130. On July 25, 2013, between approximately 12:25 p.m. and 2:40 p.m., CI- 2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, PARRA-PEDROZA stated, “I just sent you the guides [FedEx shipping labels to ship the gold]. ... If everything arrives [enough gold to cover the $200,000 collected from CUEVAS]?” CI-2 stated, “Till Monday [CI-2 will not be able to ship the gold to Refinery A until Monday [July 29, 2013].” PARRA- PEDROZA acknowledged, “OK.” 131. On or about July 80, 2013, using four of the shipping labels provided by PARRA-PEDROZA, agents sent to Refinery A approximately 4,435.43 grams of 24-Karat gold, which agents had purchased with approximately $192,465. 78 of the proceeds obtained from CUEVAS. Agents also enclosed in this shipment a Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the boxes as containing a total of 4,435.43 grams of 24-Karat gold. 100According to FedEx records, this shipment arrived at Refinery A on or about July 31, 2013. 132. On or about August 12, 2013 CI-2 exchanged a series of BBMs with PARRA-PEDROZA, who was using MLO Device 1. During this exchange, CI-2 stated, “Last one I send you [four boxes of gold sent to Refinery A on July 30, 2013], close it [set the price of the gold at the fair market value at the time which it was sent].”. PARRA-PEDROZA responded, “Okay.” CI-2 stated, “1340 [current fair market value of the gold at $1,340 per ounce of 24 Karat gold].”, PARRA-PEDROZA responded, “Okay.” XII. ABEL Directs CI-2 to Collect and Launder up to $290,704 in Narcotics Proceeds from LEIVA (September 11, 2013). 133. On or about September 9, 2013, between 4:15 p.m. and 4:19 p.m., CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 129 During this exchange, ABEL asked, “Listen, can you do it [collect narcotics proceeds] tomorrow?” CI-2 asked, “How much?” ABEL responded, “150 % As noted above, PARRA-PEDROZA began communicating with CI-2 over MLO Device 1 on or about June 3, 2013, On or about September 6, 2013, PARRA-PEDROZA sent. CL-2 a BBM message over MLO Device 1, advising CI-2 that he planned to give MLO Device 1 to his nephew, ABEL. PARRA-PEDROZA stated, “I'm not going to have my cell {MLO Device 1], it’s going to be with my nephew. ... But he knows how to close [coordinate money laundering shipments] and everything.” According to CI-2, prior to his/her cooperation with law enforcement, CI-2 had worked with PARRA-PEDROZA's nephew named “Abel” to conduct the money laundering conduet scheme when PARRA-PEDROZA was unavailable. On or about September 9, 2013, CI-2 sent a BBM message to MLO Device 1, asking, “Is this Willy [PARRA-PEDROZA]?” When the user of MLO Device 1 responded, “No,” CI-2 stated, “Abel.” In response, the user of MLO Device 1 responded, “Call me Robin hahaha. Better.’ In another BBM message sent on January 21, 2014, PARRA-PEDROZA, who was then using Parra-Pedroza Device 1, referred to MLO Device 1 as “the other pin from Abel.” 101{$150,000}. All right, they [drug trafficker] are going to call you right now.” CL-2 responded, “Okay.” 134. Between 6:05 p.m. and 6:42 pm. CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, ABEL asked, “Have they [drug trafficker] called you?” CI-2 responded, “No.” ABEL asked, “What is the number for the cousins [what telephone number does CI-2 use to coordinate delivery of narcotics proceeds}?” Cl-2 responded, “Tell Willy [PARRA-PEDROZa] to give it to you.” ABEL stated, “Okay. Does it end in 0423. Or 0015.” CI-2 responded, “0423.” ABEL stated, “Okay. That yeah, they {drug trafficker] will call you right now.” 135, At approximately 7:59 p.m., CI-2 had a consensually recorded call with and unidentified man (“UM 2918"), During this call: a. UM 2918 stated, “Hello, Daniel [CI-2's codename, provided by PARRA-PEDROZA]?” CI-2 responded, “Yeah.” UM 2918 stated, “I'm calling you on behalf of Gerardo. ... Listen, I called, right now, to try to pitch in to have enough for the rent [deliver narcotics proceeds}. We have to deliver a...” Cl-2 asked, “Well, did they say how much we have to pitch in?” UM 2918 responded, “A hundred and fifty [$150,000]... The only thing is that, um, that we have to go certify the, the, the, the authenticity of the, of the, of the amount [count the narcotics proceeds}. So then um, I think they want to do that. Supposedly that was already taken care of. That possibly there at your office or I don’t know where. Do 102you know anything about that [UM 2918 wants to count the narcotics with CI-2 so there is no discrepancy?” b. CL-2 responded, “No, they didn’t tell me. Because usually wh, I work on stuff on the street [CI-2 does not normally count the money with the couriers].”. UM 2918 stated, “Because sometimes, that’s been happening lately. ‘That when, when the deposit is made supposedly some numbers remain in red [discrepancies in reports of the amounts delivered and collected]. So then they want to do that right now, um, to look for a place on behalf of the receiver. So this way it can get certified [counted together] and then you just give a certificate of authenticity, and everyone is happy. But if you are not aware of that, I would like for you to look into it and we can make arrangements. And if you want Wednesday, we can do it on Wednesday. That's fine. Sounds good to me.” c. CI-2 stated, “Oh, okay, let me call Ingeniero [ABEL] over there and I'll tell him to see what he tells me. Okay, and then we'll see if, I should work on it [collect narcotics proceeds] there at the shop [CI-2’ putative office] or if I should fix it there on the street. Okay. I'll see what he tells me.” d. UM 2918 stated, “They said that, that I should call you instead. Because that guy [the money courier, subsequently identified as ANTHONY LEIVA] is, he doesn’t speak ‘Spanish well. He speaks very little.” CI-2 and UM 2918 agreed to speak again later. 103136. Between 8:11 p.m. and 8:31 p.m. Cl-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange: a. ABEL asked, “Ready? Anything? What did you guys [UM 2918] agree on?” CI-2 responded, “Wednesday [for the collection of narcotics proceeds from LEIVA].” ABEL asked, “It can’t be done tomorrow? So that everything [gold purchased with narcotics proceeds from LEIVA and others] will be able to come in {to Refinery A] on Friday... [W]ill everything come on Frida: CI-2 responded, “Yes.” b. ABEL asked, “And the one that called you today [UM 2918] can’t be done tomorrow? They just ask me why.” Cl-2 responded, “I need to talk to Refi [Cl-2's putative gold supplier] so he could put some metal [gold] aside for me for Wednesday. And as soon as I receive and verify, I'll take it to Refi.” ABEL stated, “Okay. In other words, have them [UM 2918] tell you how much it is [narcotics proceeds they will deliver to CI-2]. And you just let them {gold supplier] know that they have to take it [set aside enough gold to cover the purchase] and that’s it?” ClI- 2 responded, “They [gold supplier] just let me know [when the gold is ready to be purchased and picked up].” 137. On or about September 10, 2013, at approximately 8:55 p.m., CI-2 had a consensually recorded call with UM 2918. During this call, UM 2918 stated, “They were asking me if you had a machine to, to, to review that quickly [a money counter to count the narcotics proceeds in LEIV. 's presence].” CI-2 responded, 104“Yeah, I do have a secretary [money counter] there, and everything.” UM 2918 said, “Okay, so then...if you could make an arrangement with the person [LEIVA] to meet at a place and they can, they can give it {the narcotics proceeds] to you and, and, and you...” CI-2 stated, “Well, I think P'm going to take him to the office. So that [count the narcotics proceeds] in front of him.” UM 2918 and CI-2 agreed to speak again later. 138. On or about September 11, 2013, between 9:37 a.m. and 9:43 a.m., CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, ABEL asked, “What time is the thing [collection of nareoties proceeds from LEIVA].” CI-2 responded, “Around one [1:00 p.m.” ABEL asked, “Do you need a guide (pre-paid shipping label addressed to Refinery Al.” CI- 2 responded, “Yes,” ABEL responded, “Okay. Where should I send it to?” CL-2 responded, “Willy, do you have my email [PARRA-PEDROZA should have CI-2's email].” ABEL stated, kay. How many guides [shipping labels]? CI-2 responded, “Ten.” ABEL stated, “Okay.” 139. On or about September 11, 2013, at approximately 12:28 p.m., the UC Email Account received an email from email address [email protected] (‘Abel Email Account 3”), entitled, “Guia.” The email included two attachments, % Agents identified ABEL as the user of Abel Email Account 3 as. follows: Immediately after this September 11 email attaching the shipping labels, ABEL sent CI-2 a BBM stating, “I already sent you the guides.” On September 12, 2013, between approximately 12:66 p.m. and 3:41 p.m., ABEL, who was using MLO Device 1, exchanged a series of BBMs with CI-2. During this exchange, ABEL asked CI-2 to send him a document “To Juan C. Ortega’s email.” CI-2 stated, “Give me the complete email.” ABEL responded, “[email protected] [Abel Email Account 3).” On January 17, 2014, between 6:08 p.m. and 6:17 p.m., CI-2 exchanged a series of consensually captured BBMs with PARRA- 105including ten prepaid FedEx labels addressed to Refinery A and a Refinery A shipping form called a packing list. The body of the email stated, “We were requested by phone for a FedEx labels. We have it attached in this e mail along with a [Refinery A] packing list... If you have any questions of concerns on how to use a label, please give us a call.” 140. At approximately 12:28 p.m., CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, ABEL stated, “I already sent you the guides [Refinery A shipping labels].” CI-2 responded, “Okay.” 141. On or about September 11, 2013, between approximately 12:47 p.m. and 2:03 p.m., CI-2 had several consensually recorded calls with UM 2918. During these calls, UM 2918 arranged for LEIVA to meet with CI-2 at a Walgreens located near the intersection of “Pulaski and Diversey” in Chicago at approximately 2:08 pm, During the first of these calls, Cl-2 asked, “How should we do it to verify [count the money] for this guy [LEIVA]?... He should just follow me, he can come in my car so I can take him to the office, or how should we do it?” UM 2918 stated, “Let me ask him [LEIVA].” CI-2 stated, “Do you want, do you want him to follow me? He can come right behind me... . I can tell him [LEIVA], ‘Okay, just follow me and let’s go to the office’ [to count the money together].” PEDROXA, who was using Parra-Pedroza Device 1. During this exchange, PARRA- PEDROZA asked, “In the mails that they send you are you [listed as] juan carlos ortega Ortega. . .. Or is it abel.” CI-2 responded, “Abel or someone from Florida.” PARRA- PEDROZA stated, “It's abel.” 106142. On September 11, 2013, at approximately 2:08 p.m., CI-2 met with ANTHONY LEIVA?5 in the Walgreens parking lot located at the intersection of Pulaski Avenue and Diversey Avenue in Chicago. Prior to this meeting, agents outfitted CI-2 with a concealed audio recording device and searched CI-2 and his/her vehicle for large amounts money and contraband, finding found none. CI-2 traveled under constant surveillance from a staging location to the meeting. Surveillance observed LEIVA park next to CI-2’s vehicle and speak briefly with Cl- 2. 143. During this meeting, LEIVA and CI-2 spoke in English, consistent with UM 2918's earlier representation that LEIVA did not speak Spanish well. LEIVA stated, “Hey, um I will follow you [to Cl-2’s office, to count the narcotics proceeds together] okay.” CI-2 stated, “Okay, uh, they said 150 [$150,000] correct.” LEIVA responded, “Yeah, yeah, yeah.” CI-2 stated, “Okay, before we go, we have to count like one time, okay? If you short, we count two times, okay? That's the most I can count for you.” LEIVA stated, “Yeah no worries, let’s go.” CI-2 stated, “Okay you follow me.” LEIVA stated, “I'll follow you.” CI-2 and LEIVA then returned to their respective vehicles and left the Walgreens parking lot together. 144. At approximately 2:18 p.m., police working with agents on this investigation performed a traffic stop of CI-2 under the guise of issuing CI-2 a % Agents identified LEIVA as follows: As discussed below, on September 11, 2013, CI- 2 met with, and attempted to obtained narcotics proceeds from, a man who arrived at a designated meeting location. On September 12, 2013, that same individual was pulled over by Chicago Police Department and identified himself as Anthony LEIVA and produced an Dlinois driver's license with that same name and photograph. 107citation for expired registration. Agents arranged for this traffic stop to allow law enforcement an opportunity to identify and follow LEIVA and to delay his anticipated delivery of narcotics proceeds. During the traffic stop, surveillance observed LEIVA drive around in the area of the traffic stop before departing the area. Agents maintained surveillance of LEIVA. 145, At approximately 2:40 p.m., CI-2 had a consensually recorded call with ‘UM2918. During this call, Cl-2 stated, “They [police] stopped me because, I have to change cars, Okay, your, your cousin [LEIVA] is fine and everything, so he doesn't start up with things. ... One of those traffic things. My thing [registration] was expired, my ticket was expired. ... I was on the phone and they stopped me, but it was just, it was a routine thing. So that guy [LEIVA] doesn’t go to with things.” UM 2918 stated, “All right, no... so they don’t think over there [Mexican associates] that we are acting dumb [drawing law enforcement's attention to the MLO] here.” UM 2918 and CI-2 agreed to speak again later. 146. On or about September 11, 2013, at approximately 3:28 p.m., surveillance observed LEIVA park in front of an auto repair shop located at located at 4201 W. Schubert in Chicago. Shortly thereafter, LEIVA retrieved a cardboard box from the rear cargo area of his vehicle, LEIVA then entered the W. Schubert address with the cardboard box. At approximately 3:55 p.m., surveillance observed LEIVA exit the address without the cardboard box and drive to a residence located at 217 E. Medill Ave in Northlake, Illinois (“Leiva Residence 1”). 108147. Between 3:50 p.m. and 5:33 p.m., CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange: a. CI-2 stated, “We weren't able to do it [collect narcotics proceeds from LEIVA] today.” ABEL asked, “Why?... Everything okay? They already got worried over here [in Mexico].” CI-2 responded, “Everything is fine. My sticker [vehicle registration sticker] was expired that's why they [police] stopped me.” ABEL asked, “That's why you couldn't meet with them?” CI-2 stated, “The cousin (LEIVA] was behind me on his way to the office {to count the narcotics proceeds). And when the law stopped me he [LEIVA] took off.” ABEL stated, “Oh, okay. But tomorrow you will (collect the narcotics proceeds from LEIVA]?” CI-2 responded, “Yeah, I already called him [UM2918].” b. ABEL stated, “Okay. ... But did they [police] check [search] the car? Or was it just papers [traffic ticket]?” CI-2 responded, “No, nothing. Just a ticket for an expired sticker.” ABEL stated, “Oh, okay. I'll check in at 830 and see what's up.... Are you okay with everything else? Little light bulbs or something. Stop turning signals.” CI-2 responded, “ wverything is fine over here.” ABEL stated, “I mean, with the car [CI-2 needs to use a car that will give police no excuse to pull him/her over].” CI-2 stated, “Yes, everything is fine. The thing is the squad car made a turn behind me and it went behind me and it stopped me.” ABEL stated, “Oh, okay.” 109148. On September 12, 2013, at approximately 6:42 a.m., surveillance observed LEIVA exit Leiva Residence 1, drive to the auto repair shop at 4201 W. Schubert, and pull his vehicle into the bay area. At approximately 7:16 a.m., surveillance observed LEIVA departed 4201 W. Schubert in his vehicle. Agents continued to maintain constant surveillance of LEIVA., 149. On September 12, 2013, at approximately 7:41 a.m. CI-2 had a consensually recorded call with UM2918. During this call, UM 2918 stated, “They, they told me to cancel on you [Mexican associates instructed UM 2918 not to deliver narcotics proceeds to CI-2].... They told me to cancel on you. Um, if you want, if you want ask, if you want to ask Sordo [UM 2918's boss}... so he can also agree. But they told me to cancel.” CI-2 stated, “Okay, all right then.” 150. According to toll records, between 7:36 a.m. and 7:59 a.m., UM 2918 Phone 1 was in contact with telephone number (224) 251-0218 (‘Leiva Phone 1”). 151. On September 12, 2013, between 8:02 am. and 8:07 am, CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, CI-2 stated, “They [UM 2918] cancelled on me.” ABEL asked, “Why?” CI-2 responded, “I don't know, probably because of yesterday [encounter with police].” ABEL stated, “Mmm, Let me tell them. ... He's going to see if he could send them again.” 152. At approximately 8:10 am., while agents maintained their surveillance of LEIVA from the W. Schubert address, CPD officers conducted a traffic stop of LEIVA in his vehicle at 10500 S. Indianapolis in Chicago. During the 110traffic stop, LEIVA gave officers verbal consent to search his vehicle. During this search, officers found two cardboard boxes which contained a total of $290,704. The number “150 [$150,000]" was written on one box and the number “140,690 ($140,690}” was written on the other box. Agents also found Leiva Phone 1 in LEIVA’s possession. 153. Based on my familiarity with this case, including the aforementioned calls and communications between CI-2 and ABEL, UM 2918, and LEIVA, I believe that the $290,704 in cash seized from LEIVA on September 12, 2018, were all or some of the same narcotics proceeds that LEIVA intended to deliver to Cl-2, at the direction of ABEL. 154. Following his traffic stop, and after being advised of his Miranda rights, LEIVA agreed to speak with agents without the assistance of counsel. During that interview, LEIVA told agents that he worked for a man whom he knew as “Tio,” who paid LEIVA to collect and deliver large quantities of marijuana and narcotics proceeds. LEIVA advised that his associates typically stored approximately 2,000 pounds of marijuana at a time in the garage located at 4201 W. Schubert in Chicago, and LEIVA would parcel out various quantities of the drug as directed by Tio. LEIVA stated that he has picked up five or six loads of marijuana, each load approximately 2000 pounds, over the course of his employment by Tio. LEIVA stated that Tio also instructed him to collect various amounts of money from multiple individuals and, once collected, to deliver the consolidated amounts of money to unknown individuals. SBE155. LEIVA gave agents verbal consent to search the garage located at 4201 W. Schubert. During this search, agents seized approximately 13 large bundles of a substance that appeared to be marijuana. CPD submitted this substance to its lab for testing, which determined that the recovered substance was approximately 325 pounds of marijuana. LEIVA was released without charges so as not to compromise the ongoing investigation 156. Between 12:51 p.m, and :22 p.m, CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange: a. ABEL asked, “What exactly did they [UM2918] tell you in the morning? Or was it yesterday when they [UM 2918] cancelled?” CI-2 responded, “This morning when I told him [UM 2918] I was on my way and he said they [UM 2918's boss] cancelled on him.” ABEL asked, “Do you have a picture of the ticket [traffic ticket]. ... Because these guys [UM 2918's associates] are being assholes. And they don't believe [that police stopped Cl-2 for only a traffic violation]. Can you send it [the traffic ticket] to me?” CI-2 responded, “I'll send it [the traffic ticket] to you right now.” ABEL stated, “Because they think that they stopped you for something else. ... That's why with the picture [of the traffic ticket].” b. — CL-2 stated, “They [the police] stopped me for an expired sticker and it was because the cop made a turn right behind me and he was behind me for a while. The light turned yellow, I kept going, and that’s when he stopped me.” ABEL stated, “Yeah, they already told them [UM 2918's associates]. But they say they 112want to see the picture [of the traffic ticket]. You know how they are.” CI-2 responded, “I'm on my way to the office, I'll send it [the traffic ticket] to you as soon as I get there.” ABEL stated, “All right. Because they (UM 2918's associates] don't want to take anymore [deliver narcotics proceeds to CI-2].” XIV. ABEL Directs CI-2 to Collect and Launder $100,220 in Narcotics Proceeds from HERRERA (September 13, 2013). 157. On or about September 12, 2018, between approximately 3:54 p.m. and 6:02 p.m., CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, CI-2 stated, “I already committed to the refinery [putative gold supplier], and he’s fucking bothering me down there about when I'm going.” ABEL stated, “Tomorrow. Can you do [collect] one for 100 [$100,000] and another one for 80 [$80,000].” CI-2 responded, “One I can. Have them [money couriers] call me so I can meet with him early. I hope I am able to send it [gold purchased with the narcotics proceeds] to you.” ABEL responded, “Okay.” 158. At approximately 8:46 p.m., CI-2 had a consensually recorded call with MARIO HERRERA, who was using telephone (773) 517-4204 (“Herrera Phone 1”).26 % Agents identified MARIO HERRERA and his voice as follows: On or about January 25, 2012 - prior to C! cooperation with law enforcement — surveillance observed CI-2 meet with a man in a dark gray Dodge Durango and then walk together into the location where Cl-2 used to meet with couriers to collect narcotics proceeds. On January 31, 2012, in the course of a traffic stop conducted by Chicago Police Department officers on the same Durango, the driver of the Durango told officers that his name was “Mario Herrera” and produced a Mexican identification card bearing the same name and the driver's photograph. Agents compared that photograph to the individual they saw on surveillance and determined it was the same individual. After CI-2 began cooperating with law enforcement in April 2013, agents showed CI-2 a photograph of HERRERA and CI-2 identified HERRERA as one of the individuals who had delivered narcotics precedes to him/her at 113During this call, HERRERA stated, “Yeah, cousin, they told me to call you on behalf of [Individual K, codename to vouch for trustworthiness}.” HERRERA and CI-2 then discussed possible places to meet the next day. 159. At approximately 8:49 p.m., CI-2 had a consensually recorded call with HERRERA, who was using telephone Herrera Phone 1. During this call, CI-2 stated, “They [ABEL] said that the car had a hundred miles [$100,000 in narcotics proceeds], eighty [$80,000], or a hundred miles, they told me it had.” HERRERA stated, “A little less.” CI-2 stated, “Okay, all right then. I'll call you. I'll call you when I'm around there. ... Yeah, so we can go get something to eat [HERRERA can deliver the narcotics proceeds], so we can have-some lunch. Okay?” HERRERA stated, “Alright.” 160. On or about September 13, 2013, at approximately 9:41 a.m., CI-2 had a consensually recorded call with HERRERA, who was using telephone Herrera Phone 1. During this call, CI-2 stated, “Yeah, ub, I'll be there [to collect the money]. I didn’t understand there if it was the car that had eighty miles [$80,000] or a his/her money laundering location. CI-2 stated that he/she laundered HERRERA's money through the purchase of gold, and that he/she only met with HERRERA when HERRERA had narcotics proceeds to deliver. As discussed below, on September 12 and 13, 2013, CI-2 had several consensually recorded calls with the man who was using Herrera Phone 1. During these calls, the man using Herrera Phone 1 arranged to meet CI-2 at approximately 1:80 p.m. on September 13, 2013, at a Walmart in Chicago, Illinois. Following these calls, surveillance observed CI-2 meet with, and obtain proceeds from, a man at the designated time and place. Agents conducting surveillance recognized and positively identified the man who delivered narcotics proceeds to CI-2 on September 13, 2013, as HERRERA. In addition, prior to the September 13 meeting, agents outfitted CI-2 with a concealed audio recording device, which captured HERRERA’s voice. After reviewing the recording of the September 13 meeting, agents compared the voice of the man with whom CI-2 met to the voice of the man who was using Herrera Phone 1 in numerous, consensually recorded calls with CI-2, and determined that HERRERA was the user of Herrera Phone 1. 14hundred miles [$100,000].”. HERRERA stated, “It’s about a hundred [$100,000].” CE-2 stated, “About a hundred [$100,000]. Okay, um, I'll be there around twelve [p.m], around there. When I'm in the area I'l, okay. He said there around fifty- ninth [59th Street] and the, and the polish one [Pulaski Avenue], right?” HERRERA answered, “Uh-huh.” HERRERA and CI-2 then agreed to meet at “a big store around there.” CI-2 stated, “Okay, I'll give you a call when I’m close by there. Around twelve [p.m.], one [p.m.], so you don’t get anxious. Because I'm over here, okay?” HERRERA responded, “No, no, no, no, nothing like that. That's why I'm here . . . to serve you.” 161. Between approximately 12:46 p.m. and 1:10 p.m., CI-2 had a series of consensually recorded calls with HERRERA, who was using telephone Herrera Phone 1. During these calls, HERRERA and CI-2 arranged to meet at approximately 1:15 p.m, at a Walmart near the intersection of 71st Street and Cicero Avenue in Chicago. 162. At approximately 1:30 p.m., CI-2 and HERRERA met in the Walmart parking lot located at 7050 South Cicero Avenue, Chicago, Illinois. Prior to this meeting, agents outfitted CI-2 with a concealed audio recording device and searched Cl-2 and his/her vehicle for large amounts money and contraband, finding none. CL-2 traveled under constant surveillance from a staging location to the meeting. Surveillance video taped the meeting and observed HERRERA arrive in a Caravan, park next to CI-2’s vehicle, hand CI-2 a black plastic bag, which CI-2 in turn placed in his/her vehicle. During this meeting: 115a. HERRERA asked, “And you're not with the same over there? You're not in the same [location where HERRERA used to deliver narcotics proceeds to CI-2].” CI-2 responded, “No, they changed us to another place.” HERRERA stated, “Yeah?” CI-2 stated, “Yes, they changed us to another place. If] would have known [that HERRERA was someone for whom CI-2 previously laundered money] I would have met with you in another place. Yes.” HERRERA replied, “Yes.” b. CL2 stated, “Yes. Okay, just drop it [narcotics proceeds] in there. ... How much?” HERRERA responded, “Look, there are forty of two, like the way you know I count them [the way HERRERA delivered money to CI-2 in the past]... And four rolls of five [$5,000] each.” CI-2 stated, “So then there are?” HERRERA responded, “One hundred [$100,000]. One hundred.” 163. Following this meeting, CI-2 drove under constant surveillance to a predetermined meeting location where agents retrieved from CI-2's vehicle a black bag containing approximately $100,220 in cash. Agents transported the money to the HSI Chicago Field Office, where a canine trained to detect the odor of narcotics sniffed the money and alerted positive for the presence of narcotics. 164. Between approximately 1:48 p.m. and 1:52 p.m., CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, ABEL asked, “How's it going.” Cl-2 responded, “I'm on my way to the office [to count HERRERA’s narcotics proceeds].” ABEL asked, “With the things [narcotics proceeds]?” CI-2 responded, “Yes.” ABEL asked, “Was it the 116one with 100 [$100,000] or 80 [$80,000]... Which one?” CI-2 stated, “A hundred {$100,000].” ABEL stated, “Okay.” 165. Between approximately 4:13 p.m. and 4:18 p.m., CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, CI-2 stated, “Put me down for 100 [CI-2 confirmed HERRERA delivered $100,000 in narcoties proceeds].” ABEL responded, “Done. Are you going to be able to send [gold purchased with HERRERA’s narcotics proceeds to Refinery AJ.” CI-2 responded, “No, I just finished verifying [counting], but I'm going to store at the refinery [CI-2’s putative gold supplier].”. ABEL responded, “Oh, okay.” 166. On or about September 17, 2013, using shipping labels provided by ABEL in an email, agents sent to Refinery A approximately 2,199.45 grams of 24- Karat gold, which agents had purchased with approximately $96,577.08 of the proceeds obtained from HERRERA on September 13, 2013. Agents also enclosed in this shipment a Refinery A packing list that identified the shipping company as “Chicago Gold” and described the contents of the boxes as containing a total of 2,199.45 grams of 24-Karat gold. According to FedEx records, this shipment arrived at Refinery A on or about September 18, 2013. 167. On or about September 18, 2013, between approximately 1:48 p.m. and 1:52 p.m., CI-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, CI-2 stated, “Close 2200 of the fine one at 1345 [CI-2 purchased 2,200 grams of 24 Karat gold at the current fair market 117value of $1,345 per ounce, using narcotics proceeds collected from HERRERA.” ABEL responded, “At 43 [$1,343 per ounce]. Willy [PARRA-PEDROZA] says.” CI-2 responded, “Okay.” ABEL stated, “It’s at 41 [$1,341 per ounce].” CI-2 stated, “Now it’s at 43 ($1,343 per ounce].” ABEL responded, “Okay. ... But I already closed it [reach an agreement with Refinery A on the price of the gold]... . 2200 [grams of 24 karat gold] at 43 [$1,343 per ounce].” XV. ABEL Directs CI-2 to Collect and Launder $50,000 in Narcotics Proceeds from URQUIZA-OSORIO (September 20, 2013). 168. On or about September 18, 2013, between approximately 4:25 p.m. and 9:31 p.m., CL-2 exchanged a series of consensually captured BBMs with ABEL, who was using MLO Device 1. During this exchange, ABEL stated. “512-424-9323 [Urquiza-Osorio Phone 1] with Flaco's father on behalf of [Individual K, codenames to vouch for trustworthiness]. ‘That if you can call him [to collect narcoties proceeds}.” Cl-2 responded, “Okay.” 169. On September 19, 2013, at approximately 11:11 am., CI-2 had a consensually recorded call with PEDRO URQUIZA-OSORIO, who was using telephone number (512) 424-9323 (“Urquiza-Osorio Phone 1”).27 During this call, 2% Agents identified PEDRO URQUIZA-OSORIO as follows: As discussed below, between September 19 and 20, 2013, CI-2 had several consensually recorded calls with the man who was using Urquiza-Osorio Phone 1. During these calls, the man using Urquiza- Osorio Phone 1 arranged to meet CI-2 in person at the parking lot of a Jewel store located at 7122 40th Street in Berwyn, Illinois, on September 20, 2013, at approximately 1:20 p.m., for the purpose of delivering narcotics cash proceeds. Following these phone calls, surveillance observed CI-2 meet with, and obtain proceeds from, a man at the designated time and place. Agents conducting surveillance subsequently viewed a Mexican identification card of "Pedro Urquiza-Osorio,” and positively identified URQUIZA-OSORIO as the individual who delivered narcotics proceeds to CI-2 on September 20, 2013. In addition, as discussed below, following this meeting, agents followed URQUIZA-OSORIO to 118