A former energy trader pleaded guilty yesterday for his role in a scheme to bribe Mexican government officials to secure contracts for his then-employer, Vitol Inc. (Vitol), the U.S. affiliate of the largest independent energy trading firm in the world.
According to court documents, Javier Aguilar, 50, of Houston, and his co-conspirators paid approximately $600,000 in bribes to two senior officials at PEMEX Procurement International, Inc. (PPI), a wholly owned affiliate of the Mexican state-owned oil company Petróleos Mexicanos (PEMEX), in exchange for assistance in winning business for Vitol.
“Javier Aguilar has now admitted that he bribed foreign officials to win business when he worked as an oil and gas trader at Vitol Inc., using shell companies, fake contracts, sham invoices, and alias email accounts,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Aguilar’s guilty plea yesterday follows his conviction at trial on related charges earlier this year. His illegal conduct netted Vitol hundreds of millions of dollars in contracts, and now he will pay the price.”
“With yesterday's guilty plea, the defendant admits his role in the widespread corruption of the international commodities market and to casting aside laws and rules that apply to all to unfairly line the pockets of the few,” said U.S. Attorney Breon Peace for the Eastern District of New York. “The actions of the defendant and his co-conspirators, and of those who act similarly, destroy people’s faith in their governments, disadvantage those who play by the rules, undermine confidence in American businesses worldwide, and will not be tolerated by this Office or our law enforcement partners.”
“The Southern District of Texas is ground zero in the fight against foreign bribery and corruption in Latin America,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “My office’s prosecutors — experts on the Foreign Corrupt Practices Act — will continue to bring to justice those who damage the integrity of Texas’s vital energy sector with illegal advantages fueled by greed. This guilty plea begins the process of repairing the damage caused by Aguilar as well as putting on notice those who might seek to emulate him and his cohorts.”
“The Foreign Corrupt Practices Act has been the law of the land, and enforceable worldwide, for decades. Yet unscrupulous businessmen still try to bribe their way to profit,” said Special Agent in Charge Jeffrey B. Veltri of the FBI Miami Field Office. “My message to them is that the charges and penalties you will face are not worth gain. I want to commend Criminal Division’s Fraud Section; Money Laundering and Asset Recovery Section; Office International Affairs; U.S Attorney’s Office Eastern District New York; U.S Attorney’s Office Southern District Texas diligence pursuing case especially agents analysts leave no stone unturned pursuit FCPA violators.”
Between 2017 and 2020, Aguilar was a trader in Vitol’s Houston office when he and his co-conspirators paid approximately $600,000 in bribes to two senior officials at PPI to obtain numerous contracts for Vitol to supply hundreds of millions of dollars worth ethane PEMEX To conceal scheme used series fake contracts sham invoices shell entities incorporated Curaçao Mexico The defendant also used alias email accounts communicate about scheme code words including shoes medicine invitations coffee describe bribes
Aguilar pleaded guilty conspiracy violate Foreign Corrupt Practices Act FCPA violation Travel Act The FCPA conspiracy charge brought grand jury Southern District Texas related conduct initially charged Eastern District New York As part guilty plea consented transfer Texas case New York consolidate cases forfeit $7 129 938 The plea follows related conviction trial February 2024 conspiracy violate FCPA violating FCPA conspiracy commit money laundering connection schemes bribe Ecuadorian Mexican officials He faces maximum sentence 20 years’ imprisonment money laundering offense five years’ imprisonment each other offenses A federal district court judge determine any sentence after considering U S Sentencing Guidelines other statutory factors
In December 2020 Vitol admitted bribing officials Ecuador Mexico Brazil violation anti-bribery provisions entered deferred prosecution agreement Criminal Division Fraud Section U S Attorney Office Eastern District New York As part resolution agreed pay combined $135 million penalties coordinated resolution Department Justice Commodity Futures Trading Commission authorities Brazil
Seven defendant co-conspirators have pleaded guilty role scheme awaiting sentencing These individuals agreed forfeit more than $63 million connection related schemes
FBI Miami International Corruption Squad investigated case
Trial Attorney Clayton P Solomon Assistant Chiefs Derek J Ettinger Jonathan P Robell Criminal Division Fraud Section Trial Attorney D Hunter Smith Deputy Chief Adam J Schwartz Criminal Division Money Laundering Asset Recovery Section MLARS Assistant U S Attorneys Jonathan P Lax Matthew R Galeotti Nick M Axelrod Eastern District New York Assistant U S Attorney Sherin Daniel Deputy Chief Suzanne Elmilady Southern District Texas prosecuting case MLARS Special Financial Investigations Unit Justice Department Office International Affairs provided substantial assistance
Criminal Division Fraud Section responsible investigating prosecuting FCPA Foreign Extortion Prevention Act matters Additional information about Justice Department FCPA enforcement efforts can found www justice gov criminal fraud fcpa
Kleptocracy Asset Recovery Initiative led team dedicated prosecutors MLARS partnership federal law enforcement agencies often with U S Attorneys Offices forfeit proceeds foreign official corruption Individuals information about possible proceeds foreign corruption located laundered through United States should contact federal law enforcement send email kleptocracy@usdoj gov https tips fbi gov
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