José Ángel Del Villar, the CEO of Latin music conglomerate Del Records and Del Entertainment Inc., was sentenced to four years in federal prison for violating the Foreign Narcotics Kingpin Designation Act. The sentencing took place in Los Angeles, where United States District Judge Maame Ewusi-Mensah Frimpong also imposed a $2 million fine on Del Villar. His company, Del Entertainment, received three years of probation and a $1.8 million fine.
A federal jury found both Del Villar and his company guilty on March 27 after a nine-day trial. The charges included one count of conspiracy to transact in property of specially designated narcotics traffickers and ten counts of violating the Kingpin Act.
The case centers on business dealings with Jesús Pérez Alvear, known as “Chucho,” who operated Gallistica Diamante (Ticket Premier) out of Guadalajara, Mexico. Pérez promoted concerts for Del Entertainment until March 2019. On April 6, 2018, the U.S. Treasury Department identified Pérez and his company as specially designated narcotics traffickers under the Kingpin Act due to their involvement in laundering money for criminal organizations such as Cartel de Jalisco Nueva Generación (CJNG) and Los Cuinis. The law prohibits U.S.-based individuals or entities from conducting business with those sanctioned.
Despite knowing these restrictions, prosecutors said that "Far from being an unwitting participant in a ‘gotcha’ crime, [Del Villar] orchestrated a sophisticated criminal scheme sustained over a lengthy period of time and involving myriad unlawful transactions." Evidence showed that even after FBI agents warned a musician associated with Del Entertainment about the prohibition against working with Pérez, performances organized by Pérez continued to take place. For example, on April 28, 2018, the musician performed at an event organized by Pérez in Aguascalientes, Mexico; records show that Del Villar’s credit card paid for transportation to this concert.
Further collaborations between Pérez and Del Villar involved arranging concerts throughout Mexico during 2018 and 2019. Co-defendant Luca Scalisi pleaded guilty earlier this year to conspiracy charges related to these activities; his sentencing is scheduled for October.
Pérez himself pleaded guilty before being murdered in Mexico in December last year.
Recently, another artist linked to Del Villar’s companies—Ricardo Hernández Medrano (“El Makabelico” or “Comando Exclusivo”)—was added by the Treasury Department to its list of specially designated narcotics traffickers based on findings that he used concerts and royalties to launder money for Cartel del Noreste.
The investigation involved multiple agencies including the FBI and IRS Criminal Investigation division. Significant assistance came from the Treasury Department’s Office of Foreign Assets Control.
Assistant United States Attorneys Benedetto L. Balding (Transnational Organized Crime Section) and Alexander B. Schwab (Deputy Chief of Criminal Division) prosecuted the case.
This prosecution falls under Operation Take Back America—a national effort led by the Department of Justice targeting illegal immigration issues as well as transnational criminal organizations through initiatives like Project Safe Neighborhoods (PSN) and support from Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF aims to disrupt high-level criminal groups threatening U.S. security using coordinated efforts across agencies led by prosecutors; more details are available at https://www.justice.gov/OCDETF.
