Two Utah residents are facing federal charges for allegedly supporting a Mexican cartel recently designated as a terrorist organization by the U.S. government.
Maxwell Sterling Jensen, 25, and James Lael Jensen, 68, both from Sandy, Utah, have been indicted for conspiring to materially support the Jalisco New Generation Cartel (CJNG), money laundering, and smuggling-related crimes. According to the Department of Justice, the father and son duo allegedly helped funnel proceeds from illegally smuggled crude oil to fuel cartel operations.
Authorities say the pair ran an enterprise called Arroyo Terminals in Rio Hondo, Texas, which they used as a front to conceal the origin of oil shipments. Investigators allege they assisted in the fraudulent entry of 2,881 shipments of crude oil.
During their arrests, law enforcement seized:
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Four tank barges carrying crude oil
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Three commercial tanker trucks
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One personal vehicle
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An Arroyo Terminal pickup truck
The Jalisco cartel was officially labeled a foreign terrorist organization by the State Department on February 20.
Prosecutors say they will pursue a $300 million judgment if the Jensens are convicted. They face more than 20 years in prison if found guilty.
“What started as a DEA drug trafficking probe turned into a multifaceted investigation uncovering a complex oil-smuggling operation—CJNG’s largest funding stream,” said William Kimbell, acting DEA special agent in charge in Houston.
“This case has serious implications for both the U.S. and Mexico. We’ll keep tracking every lead until these operations are dismantled.”
