Hidalgo businessman held without bond in federal wire fraud case

McALLEN, Texas (ValleyCentral) — A businessman who allegedly submitted fraudulent paperwork to avoid tariffs and taxes was held without bond Friday.

Mauro Esteban Garza-Torres, 51, of Hidalgo owns GMT Machinery, which exports heavy equipment from the United States to Mexico.

“I’m going to order you detained without bond pending trial,” U.S. Magistrate Judge Nadia S. Medrano said Friday morning, when Garza appeared in court.

Garza entered the United States on a business visa in June 2011, according to the criminal complaint against him.

People with business visas may stay in the United States for a maximum of six months, according to information published by U.S. Citizenship and Immigration Services, unless they apply for an extension.

When the visa expired, however, Garza remained in the United States.

Garza purchased a 5,100-square-foot home near the Cimarron Country Club in Mission and started a business, GMT Machinery.

He also got married — twice.

Garza wed an 18-year-old woman in 2011, according to information published by the Hidalgo County Clerk’s Office, less than two months after he arrived in the United States.

The marriage didn’t last.

They separated that December and Garza requested a divorce in 2012, citing “discord or conflict of personality.”

Garza married again in March 2021, according to documents filed with the Hidalgo County District Clerk’s Office.

His wife, a 21-year-old woman, requested an annulment less than four months later.

“Respondent was already legally married in Mexico,” according to a petition filed by her attorney. “Respondent’s prior marriage was never dissolved by divorce or annulment or terminated” by death.

Hidalgo County Court-at-Law Judge Arnoldo Cantu determined the allegations were “substantially correct,” according to the annulment paperwork, and voided the marriage.

Homeland Security Investigations, which is part of U.S. Immigration and Customs Enforcement, received information about Garza roughly two years ago, Special Agent Wesley G. Jones said during a hearing last week.

“We uncovered additional information which indicated that Mr. Garza’s most recent marriage, which concluded several years ago, may not have, in fact, been a legitimate marriage,” Jones said. “And that there may have been financial motivation for his spouse, the counterparty in the marriage, to engage in it.”

Garza claimed his ex-wife had assaulted him and filed a petition to adjust his immigration status under the federal Violence Against Women Act.

What, exactly, his ex-wife allegedly did remains unclear.

Homeland Security Investigations couldn’t find any proof Garza had actually been assaulted.

When agents questioned him, Garza denied that his wife physically assaulted him, Jones said.

Attorney Alex Martinez of McAllen, who represents Garza in the immigration proceeding, said abuse isn’t required to be physical.

“It can also come in the form of psychological assault or psychological abuse,” Martinez said on Friday, when he took the witness stand to discuss Garza’s immigration status.

Assistant U.S. Attorney Patricia Cook Profit responded by reading from a document filed in the immigration case that claimed Garza’s ex-wife had scratched and pushed him.

Attorney Edward P. Sanchez of McAllen, who represented Garza’s ex-wife in the annulment, didn’t respond to a request for comment.

Garza’s application to adjust his immigration status remains pending. Prosecutors never charged him with any crime related to marriage fraud.

In January 2025, agents received additional information about Garza.

A witness told Homeland Security Investigations that Garza had participated in a scheme to avoid tariffs and taxes.

Garza would export heavy equipment from the United States to Mexico. As part of the export process, Garza and the witness created several sets of paperwork.

They would make a real invoice for the customer, which showed the sale price; a fraudulent invoice for U.S. customs, which showed a lower price to reduce taxes; and a fraudulent invoice for Mexican customs, which showed an even lower price to reduce tariff expenses, according to the criminal complaint.

The witness provided Homeland Security Investigations with four sets of documents from 2023, which showed how the scheme worked.

Agents arrested Garza on March 20.

“Mr. Garza, to my best recollection, claimed that this process was commonplace and that it was permitted by Mexican customs officials,” Jones said. “We corrected Mr. Garza and stated that it is, in fact, not permitted — and, moreso, illegal — in Mexico to do such a thing. And we also stated that it is, in fact, illegal in the United States to falsely valuate or falsely declare the value of merchandise being exported.”

Prosecutors charged Garza with wire fraud, a federal felony.

The day after his arrest, Homeland Security Investigations shared photos of Garza’s home and heavy equipment on X, the social media network formerly known as Twitter.

Homeland Security Investigations said agents had seized luxury vehicles, cash and heavy equipment during operations in the Rio Grande Valley.

Attorney Carlos A. Garcia of Mission, who represents Garza in the criminal case, questioned whether the federal investigation was motivated by the prospect of seizing property.

“No, sir,” Jones said.

Garcia pressed the point.

“I mean, did the government find a target and say: ‘You know what, that’s a lot of value there and we’re going to find a reason to take it from him?” Garcia said.

Profit, the federal prosecutor, objected.

“I’ll withdraw the question, judge,” Garcia said.

Medrano, the federal magistrate judge, ordered Garza held without bond.

Garza lived in Mexico for about 37 years, Medrano said, and could flee to Mexico if released.

“That’s the concern,” Medrano said.

If convicted on the wire fraud charge, Garza faces a maximum of 20 years in prison.