White-Collar Crime

New indictment accuses jailed lawyer of defrauding utility of millions

Jailed since November, when federal prosecutors accused him of a role in a claimed conspiracy to launder $600 million in Mexican drug cartel money, a once-prominent South Texas lawyer is now facing a new indictment issued Wednesday by a federal grand jury in El Paso.

Marco Delgado, 46, also known as Marco Delgado Licon, is charged with wire fraud and money laundering, accused of diverting $32 million that should have gone to a Nevada company into an offshore account he controlled in the Caribbean, according to the Pittsburgh Tribune-Review. Delgado reportedly brokered a deal in which the Nevada company, FGG, was to provide turbogenerators to a Mexican state-owned utility.

Delgado allegedly used some $1.5 million from the offshore account to purchase two homes and furnishings and to make a hefty contribution to Carnegie Mellon University, where he formerly served as a trustee. The feds are now seeking forfeiture of $2.5 million in cash, notes a KBTX article about the indictment.

Additional coverage:

ABAJournal.com: “Texas Lawyer Indicted and Jailed re Claimed Role in Alleged Mexican Drug Money-Laundering Conspiracy”

We welcome your comments, but please adhere to our comment policy and the ABA Code of Conduct.

Commenting is not available in this channel entry.