The son-in-law of a notorious Mexican drug lord has pleaded guilty to his role in a violent scheme aimed at controlling the used-car market along the U.S.-Mexico border. The scheme involved threats and violence to fix prices and monopolize the market.
Carlos Favian Martinez, who is related to former Gulf Cartel leader Osiel Cárdenas Guillén, entered his guilty plea in a Houston federal court. He faces multiple charges, including conspiracy to fix prices, monopolization, extortion, and money laundering. His indictment is part of a larger case, involving nine others indicted in November 2022.
The illegal enterprise reportedly began in 2011, targeting forwarding agency services in Los Indios, Texas, just northwest of Brownsville. This area serves as a crucial port for migrants purchasing used vehicles in the U.S. to transport back to Central America.
Court documents reveal a disturbing history of beatings, kidnappings, and fatalities linked to the defendants’ tactics against those who offered lower prices or resisted their extortion demands.
Details of Martinez’s connection to Cárdenas Guillén emerged during a July 2023 detention hearing, where federal agents noted that he had referenced his cross-border ties during a kidnapping incident. Cárdenas Guillén, a central figure in cartel violence and the formation of the Zetas, has a significant history in organized crime.
Martinez’s recent guilty plea, initially reported by local sources, includes an agreement for an 11-year prison sentence, with a formal sentencing hearing set for May.
Attorney Kent A. Schaffer stated, “After two years of litigation, we reached a mutual agreement that allows for a sentence of eleven years. Mr. Martinez has been in custody for over two years and hopes this resolution will facilitate his return home soon.”
Martinez’s father-in-law, Cárdenas Guillén, has recently been deported back to Mexico after serving part of his sentence in the U.S. and is currently facing additional drug, organized crime, and money laundering charges in Mexico.
