Cardenas Autoplex guilty of corporate crime

Cardenas Autoplex Inc. was fined $100,000 on Friday and ordered to serve a five-year probation sentence for violating the Bank Secrecy Act.

The corporation, as authorized by its president, Renato "Rene" G. Cardenas, and secretary Edith McCumber, pleaded guilty before U.S. District Judge Andrew S. Hanen to one count of violating the Bank Secrecy Act. The company willfully failed to report the cash sale of an automobile in an amount over $10,000 to the U.S. government, according to court documents.

A three-count indictment was returned in June 2007 against the corporation and Cardenas Enterprises Inc., according to court documents.

In return for its guilty plea, U.S. Attorney for the Southern District of Texas Donald J. DeGabrielle Jr. and Assistant U.S. Attorney Arthur R. Jones agreed to seek the dismissal of the remaining two counts against the two corporations.

Cardenas Autoplex Inc. is required under federal law to file a report with the government within 15 days of receiving more than $10,000 in currency in one transaction or two or more related transactions, according to court documents.

Cardenas Autoplex Inc. failed to file an IRS Form 8300 when they conducted the cash sale of a Mercedes Benz, a Toyota Camry and a BMW in 2003 and 2005, in violation of federal regulations.

"At the time the corporation entered its guilty plea, it admitted that it entered into an agreement with a customer to sell a 2003 Mercedes-Benz E55 automobile for a total price of $86,701.11, minus a trade-in allowance, receiving the balance of $44,289.35 in three cash payments of $20,000, $18,500 and $5,789.35 in July and August 2003," a news release issued Friday by the U.S. Attorney's Office Southern District of Texas states.

jborjon@brownsvilleherald.com