HOUSTON, TX (Covering Katy News) - Shady small car dealers selling Texas paper license plates, allowing criminals to drive cars that police can't track, has led to the arrest of a woman who resides in Houston illegally.
Leidy Areli Hernandez Lopez, 41, pleaded guilty to conspiracy to commit wire fraud, according to U.S. Attorney Alamdar S. Hamdani. As part of her plea, she admitted to working with others to send and deliver thousands of fraudulent plates nationwide. She also revealed that she and her co-conspirators submitted falsified information to the Texas Department of Motor Vehicles to fraudulently obtain a used car dealer license so they could print and sell authentic state-issued buyer tags.
An investigation by NBC 5 revealed numerous small car dealerships, some of which did not have a car for sale at their location, issued tens of thousands of paper plates. People then purchase the plates for less than $100 online.
Dallas TV station NBC 5 reports that selling the plates could be a $200 million criminal enterprise. Some law enforcement leaders estimate 1.8 million fraudulent plates are on the road today.
The systemic problem caused the head of the Texas Department of Motor Vehicles to resign last year because of security problems that allow criminals to create and sell the plates.
Lopez will be sentenced in October, facing up to five years in federal prison and a possible $250,000 fine. Even though she is in the United States illegally, Lopez was still permitted to remain on bond before being sentenced.
More suspects remain on the run. Emmanuel Padilla Reyes, also known as Christian Hernandez Bonilla or Noel Rivera, is still a fugitive. The FBI offers a $5,000 reward to anyone providing information that directly leads to his arrest. Tipsters should call 1-800-CALL-FBI.