News Release
FOR IMMEDIATE RELEASE
Date: May 11, 2010
Contact: Mike Turner
Number: 720-895-4214

Mexican Drug Lord Sentenced to 20 Years in Federal Prison for Cocaine Distribution

Authorities Seize Over 2300 Kilograms of Cocaine and Over $10,000,000 in Cash from Arriola Drug Trafficking Organization

MAY 11 -- DENVER – Miguel Arriola, age 42, of Mexico, was sentenced late Friday afternoon, May 7, 2010, by U.S. District Court Judge Robert E. Blackburn to serve 240 months (20 years) in federal prison, followed by 4 years of supervised release, for conspiracy to possess with intent to distribute and distribution of 5 kilograms or more of cocaine, conspiracy to import 5 kilograms or more of cocaine into the United States, and money laundering conspiracy, U.S. Attorney David Gaouette and Drug Enforcement Administration (DEA) Special Agent in Charge Jeffrey Sweetin announced today. Judge Blackburn also ordered the defendant to pay a $250,000 fine.

The investigation into the Arriola drug trafficking organization, operated by Miguel Arriola and brother Oscar Arriola, led to the seizure of over 2300 kilograms of cocaine, and more than $10,000,000 in cash. The case against Oscar Arriola is pending, and he is presumed innocent unless and until proven guilty.

Miguel Arriola was indicted by a federal grand jury in Denver on December 16, 2003. He was extradited from Mexico in January of 2007. Miguel Arriola pled guilty on November 16, 2009. He was sentenced on May 7, 2010.

According to the stipulated facts contained in Miguel Arriola’s plea agreement, in January 2002, Arriola knowingly and intentionally joined and participated in a conspiracy to import cocaine from Mexico in multi-kilogram to hundred kilogram quantities, working in conjunction with his brother, Oscar Arriola, and others in the conspiracy to distribute cocaine in the United States, including but not limited to the locations of: Colorado Springs, Colorado, Denver, Colorado, El Paso, Texas, Chicago, Illinois, New York City, New York, Burlington, North Carolina, St. Louis, Missouri, and Atlanta, Georgia, as well as other cities. Miguel Arriola was a manager of the criminal narcotics distribution and money laundering operation, with his brother, Oscar Arriola, as a higher ranking manager.

In early 2002, DEA and local law enforcement initiated an investigation of a major cocaine trafficking organization operation in the Colorado Springs, Colorado area. Agents had been receiving information that a large scale cocaine smuggling and distribution organization was centered at a ranch located in Peyton, Colorado. Additional and independent information related to the narcotics trafficking activities that later became associated with the Arriola brothers was received on January 24, 2003, when 265 kilograms of cocaine was seized in Pennsylvania in a random assist rendered by the Pennsylvania State Patrol during a blizzard. The investigation revealed that the driver of the truck picked up the cocaine from a large blue barn located in Peyton, Colorado. That shipment was headed to New York.

During the course of the investigation, a total of over 2,300 kilograms was seized, including, but not limited to, the 265 kilograms from Pennsylvania, 14 kilograms seized in Chicago on August 18, 2003, and 538 kilograms of cocaine seized in Chicago on September 15, 2003. Amounts of cocaine arriving at the barn in Peyton, Colorado, from Mexico ranged from 25 kilograms to over 100 kilograms per shipment, which came either bi-monthly or monthly, depending on the supply and need.

Agents and officers also seized money proceeds from the sale of cocaine. A total of over $10,377,471 in cash was seized during the investigation. Those seizures include but are not limited to the February 3, 2003, seizure of $1,656,587.00 in New York, a May 25, 2003, seizure of $1,937,667.00 in Pueblo, Colorado, a July 30, 2003 seizure of $692,543.00 in El Paso, Texas, a October 20, 2003, $1,396,085 seizure, as was $830,000 between November 9th through the 12 th, 2003. A vast majority of the proceeds were delivered to Miguel and Oscar Arriola, and the Arriola drug trafficking organization. Money shipments were made to Mexico first hidden in heavy equipment transports. Later co-conspirators began driving cars with proceeds stored in suitcases, with amounts transported reaching up to $2,500,000 per trip.

“DEA’s investigation of Miguel Arriola was a long-term, highly complex effort,â€