Federal prosecutors in Brooklyn have unsealed an indictment charging Julio Cesar Montero Pinzon, also known as “El Tarjetas,” and his half-sister Griselda Margarita Arredondo Pinzon with conspiracy to commit wire fraud and money laundering in connection with a large-scale timeshare fraud scheme. Montero Pinzon is also charged with providing material support to a foreign terrorist organization.
The indictment alleges that both individuals are senior members of the Cartel de Jalisco Nueva Generacion (CJNG), a criminal group based in Mexico. CJNG was designated as a Foreign Terrorist Organization (FTO) on February 20, 2025. The defendants, who are Mexican nationals and not currently in U.S. custody, allegedly continued their fraudulent activities after the FTO designation.
Attorney General Pamela Bondi commented, “This senior leader of a foreign terrorist organization allegedly defrauded innocent citizens to fuel terrorism against the American people. The CJNG and other cartels are on notice: no scheme, plot, or conspiracy will evade the reach of this Justice Department.”
United States Attorney Joseph Nocella, Jr. for the Eastern District of New York stated, “As alleged, Montero Pinzon and Arredondo Pinzon filled the coffers of a violent foreign terrorist and narcotics trafficking organization through a sophisticated fraud scheme that victimized thousands of American timeshare owners. CJNG funds its criminal terrorist operations using multiple tactics, from trafficking dangerous narcotics to executing complex fraud schemes, and our Office will continue to use all available tools and resources to protect American investors and the public at large, and bring to justice those who provide support to the cartel.”
The investigation involved multiple agencies including the FBI, DEA New York Division, IRS Criminal Investigation New York office, and U.S. Customs and Border Protection.
FBI Assistant Director in Charge Christopher G. Raia said, “For more than a decade, Julio Montero Pinzon, a senior CJNG cartel leader, and Griselda Arredondo Pinzon allegedly defrauded timeshare owners before laundering the illicit proceeds to fund their terrorist organization. This alleged scheme spanned the globe and exploited thousands of victims, reflecting the cartel’s evolution of developing various mechanisms for criminal financing. Today’s significant disruption emphasizes the FBI’s determined resolve to not only eliminate any monetary source fueling criminal enterprises but also defend our nation against foreign adversaries.”
DEA New York Special Agent in Charge Frank A. Tarentino III remarked on CJNG’s broad criminal impact: “CJNG has repeatedly victimized our communities through widespread drug trafficking, ruthless violence, money laundering, fraud, and other criminal schemes. Their cartel operations extend well beyond Mexico, pumping poison into American streets, fueling addiction, tearing apart neighborhoods, and corrupting financial systems. Thanks to the relentless work of DEA’s Trident Initiative—an initiative built with our federal law enforcement partners and created specifically to target and dismantle drug cartels and their leadership—the DEA remains relentless in dismantling these cartels and our pursuit for justice. This is our global fight—and our promise to save lives.”
IRS-CI New York Special Agent in Charge Harry T. Chavis Jr., described how CJNG ran its operation: “Cartel de Jalisco Nueva Generacion ran this timeshare fraud scheme like a business… The CJNG cannot continue to operate with impunity—pocketing massive profits from narcotics trafficking and flat-out deception—which is why federal law enforcement will continue partnering in these investigations until this entire criminal organization is dismantled.”
According to court documents since about 2012 CJNG orchestrated an advance fee fraud targeting timeshare owners—many residing in the United States—by promising sales or rentals for upfront payments under false pretenses. Victims did not receive promised funds or recover their fees; some were later contacted by perpetrators posing as officials offering help for additional fees.
Montero Pinzon is accused of managing financial networks for receiving victim funds while Arredondo Pinzon worked at offices overseeing call center operations tied to the scheme.
On August 13, 2025 the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) sanctioned Montero Pinzon for his role; Arredondo Pinzon had previously been sanctioned by OFAC as well. Over 70 individuals or entities have been sanctioned by OFAC due to involvement with CJNG-related timeshare frauds.
Between 2019-2024 approximately 6,000 U.S. victims reported losses totaling around $350 million linked to these scams.
If convicted each defendant faces up to 20 years imprisonment per count; they are presumed innocent unless proven guilty.
Victims are encouraged to file complaints at IC3.gov or access resources via the FBI Timeshare Fraud Victim Resource Page.
The case is prosecuted by Assistant United States Attorneys Benjamin Weintraub and Andrew Wang along with Justice Department trial attorneys Brant Cook and Maryann McGuire.
