Feb 22
2006

Carlos Jorge Hinojosa, of Mercedes, Texas, plead guilty on February 22, 2006 in the United States District Court, Southern District of Texas, Brownsville Division, to money laundering charges. Hinojosa was sentenced to 167 months in prison, 3 years supervised release and ordered to pay $6,659.493.90 in restitution ($3,559,493.90 to be paid jointly by Francisco Loya, Jr.). Francisco R. Loya, Jr., of Harlingen, Texas plead guilty on April 6, 2004 in the United States District Court, Southern District of Texas, Brownsville, Division, to securities fraud. Loya was sentenced to 27 months in prison and ordered to pay $3,559,493.90 in restitution jointly with Carlos Jorje Hinojosa. Hinojosa was charged with collecting over $7 million from over 300 investors through Economic Solutions, El Crucero, and Asset Management Services. He promised to invest money contributed by investors in highly lucrative offshore debenture trading programs that did not exist. Loya was charged with assisting Hinojosa through Asset Management Services.