Illegal Alien Who Led Massive International Drug and Firearms Trafficking Ring from Behind Bars Sentenced to Federal Prison with 14 Others (DOJ)

ATLANTA - Servando Corona Penaloza, who is a Mexican illegal alien and Georgia state prison inmate, was sentenced to 25 years in federal prison for orchestrating the sale of more than 1,000 kilograms of methamphetamine and fentanyl and the purchase of over 200 military-style firearms that were transported to Mexico for use by Mexican cartels. Fourteen other members of Corona Penaloza's organization have been convicted and sentenced, with two defendants awaiting sentencing in the coming months.

"These defendants flooded our community with deadly drugs and used the proceeds of their drug deals to arm narco-terrorist Mexican cartels with high-powered weapons of war," said U.S. Attorney Theodore S. Hertzberg. "As a result of the exceptional and dedicated work by our federal, state, and local law enforcement partners under the auspices of Atlanta's Homeland Security Task Force, there are no more drugs coming in-or firearms going out-at Corona Penaloza's direction."

"This investigation reflects strong coordination among agencies at every level. Through that collaboration, we disrupted a dangerous operation and enhanced the safety of our communities," said ATF Assistant Special Agent in Charge Ryan Todd.

"This operation not only prevented a massive quantity of methamphetamine from reaching our streets but also took firearms out of the hands of individuals who pose a serious threat to public safety," said Jae W. Chung, Special Agent in Charge of the DEA Atlanta Field Division. "Every kilogram seized, and every weapon recovered, is a step toward safer communities."

"This case demonstrates Homeland Security Investigations' determination to root out violent gangs and criminal cartels from our communities," said Steven N. Schrank, Special Agent in Charge of Homeland Security Investigations in Georgia and Alabama. "By working side-by-side with our federal, state, and local partners, we have stopped the flow of deadly drugs and weapons and delivered a clear message: We will relentlessly pursue those who threaten the safety of American families."

According to U.S. Attorney Hertzberg, the charges, and other information presented in court: In March 2024, federal agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives ("ATF") identified numerous cash purchases of M249S firearms from federally licensed firearms dealers in the Atlanta area. M249S firearms are belt-fed, single shot, civilian versions of the U.S. Army's Squad Automatic Weapon, with a retail cost of $10,000 to $12,000 per unit. Throughout its investigation, the ATF determined that numerous individuals were purchasing, or coordinating the purchase of, M249S firearms and other military-style weapons in the Atlanta area on behalf of Corona Penaloza, who organized the smuggling of those firearms to Mexico for use by Mexican narcoterrorists.

In March 2024, while ATF investigated Corona Penaloza for firearms trafficking, the Drug Enforcement Administration ("DEA") began investigating him for large-scale drug trafficking. During its investigation, the DEA learned that Corona Penaloza had brokered several large-scale cocaine and methamphetamine transactions and coordinated the importation and distribution of hundreds of kilograms of fentanyl and thousands of kilograms of methamphetamine on behalf of a large Mexican drug cartel. For instance, on October 23, 2024, the DEA identified and seized a shipment of over 1,000 kilograms of methamphetamine delivered to an auto mechanic shop in DeKalb County, Georgia.

The investigation revealed that Corona Penaloza coordinated the drug and firearm sales by using a contraband cell phone while serving a 30-year state prison sentence. To source firearms, he worked with certain individuals who acted as firearms purchase coordinators. Those coordinators then instructed numerous other individuals to buy the firearms at various FFLs in the Atlanta area and deliver them to the coordinators. Some of the purchasers facilitated smuggling the firearms to Mexico by wrapping them in plastic bags and hiding them in trap compartments in vehicles, including in the gas tanks of a recreational vehicle.

During the investigation, the ATF determined that Corona Penaloza and his conspirators organized the purchase and trafficking of at least 223 firearms to Mexico. The value of these firearms was over $700,000, and the vast majority of the firearms were purchased with cash obtained through the sale of narcotics. In the United States, agents seized 105 firearms purchased by members of the conspiracy. Mexican authorities recovered an additional 20 firearms in Mexico that were connected to this investigation. An M2 belt-fed .50 caliber rifle, a M240 7.62mm belt-fed rifle, eleven M249S belt-fed rifles, and a Barrett .50 caliber rifle were among the firearms recovered in the United States. An additional Barrett .50 caliber rifle and seven more M249S belt-fed rifles were recovered by Mexican authorities.

Two illegal aliens, Teresa Gonzalez Hoopo and Berenice Macias Montes, laundered Corona Penaloza's drug proceeds for him, exchanging money through CashApp and other applications, so they could provide funds to the firearms purchase coordinators and straw purchasers.

Today, U.S. District Judge Mark H. Cohen sentenced Servando Corona Penaloza, a/k/a Armani, 38, of Mexico, to 25 years in prison-at least 15 years of which will be served consecutively to his state sentence-to be followed by ten years of supervised release. On November 13, 2025, Corona Penaloza pleaded guilty to conspiracy to traffic firearms, conspiracy to possess with the intent to distribute fentanyl and methamphetamine, and conspiracy to engage in concealment money laundering.

In addition to Corona Penaloza, the following defendants were previously sentenced in this case:

• Ulises Hernandez-Pineda, 38, of Suffolk, Virginia, was sentenced to 10 years, and one month in prison, to be followed by five years of supervised release, after pleading guilty to conspiracy to traffic firearms, and conspiracy to possess with the intent to distribute fentanyl and methamphetamine.
• Jared Thompson, 41, of Snellville, Georgia, was sentenced to 10 years in prison, to be followed by five years of supervised release, after pleading guilty to conspiracy to possess with intent to distribute controlled substances and possession with intent to distribute controlled substances.
• Carlos Sambrano, 29, of Rex, Georgia, was sentenced to nine years in prison, to be followed by three years of supervised release, after pleading guilty to conspiracy to traffic firearms and possession of a firearm by a convicted felon.
• Kevin Delrio-Oliva, 23, of Lawrenceville, Georgia, was sentenced to seven years, and three months in prison, to be followed by three years of supervised release, after pleading guilty to conspiracy to traffic firearms and money laundering.
• Marlon Geovanie Chen, 33, of Belize, was sentenced to five years, and three months in prison, to be followed by deportation proceedings, after pleading guilty to conspiracy to possess with intent to distribute methamphetamine and possession with intent to distribute methamphetamine.
• Jairo Najera, 26, of Conyers, Georgia, was sentenced to four years, and nine months in prison, to be followed by three years of supervised release, after pleading guilty to conspiracy to traffic firearms.
• Teresa Gonzalez-Hoopo, 57, of Mexico, was sentenced to three years, and ten months in prison, to be followed by deportation proceedings, after pleading guilty to conspiracy to engage in concealment money laundering and possession of a firearm by an illegal alien.
• Berenice Macias Montes, 32, of Mexico, was sentenced to three years, and ten months in prison, to be followed by deportation proceedings, after pleading guilty to conspiracy to engage in concealment money laundering and making false statements to a licensed firearms dealer.
• Torres Simmons, 28, of Atlanta, Georgia, was sentenced to three years, and ten months in prison, to be followed by three years of supervised release, after pleading guilty to making false statements to a licensed firearms dealer.
• Timothy Dennis, 30, of Atlanta, Georgia, was sentenced to three years, and five months in prison, to be followed by three years of supervised release, after pleading guilty to making false statements to a licensed firearms dealer.
• Cameron Vick, 23, of Winston-Salem, North Carolina, was sentenced to three years, and five months in prison, to be followed by three years of supervised release, after pleading guilty to making false statements to a licensed firearms dealer.
• Adalberto Alexander Avila Antuuez, 23, of Honduras, was sentenced to two years in prison, to be followed by deportation proceedings, after pleading guilty to conspiracy to possess with intent to distribute cocaine and possession with intent to distribute cocaine.
• Jason Castillo, 22, of Lawrenceville, Georgia, was sentenced to one year, and six months in prison, to be followed by three years of supervised release, after pleading guilty to making false statements to a licensed firearms dealer.
• Jessica Smith, 41, of Atlanta, Georgia, was sentenced to one year, and one day in prison, to be followed by three years of supervised release, after pleading guilty to making false statements to a licensed firearms dealer.

Additionally, two defendants are awaiting sentencing:

• Victor Mendoza-Ortiz, 25, of Winston-Salem, North Carolina, pleaded guilty to making false statements to a licensed firearms dealer, and will be sentenced on May 19, 2026.
• Salvio Garcia, 25, of Lawrenceville, Georgia, pleaded guilty to conspiracy to traffic firearms, and money laundering, and will be sentenced on June 11, 2026.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, and Homeland Security Investigations. Valuable assistance was provided by the Georgia Department of Corrections, DeKalb County Police Department, Gwinnett County Police Department, Atlanta Police Department, South Fulton Police Department, Lilburn Police Department, Douglas County Sheriff's Office, Henry County Police Department, Lake Charles (LA) Police Department, and the Refugio County (TX) Sheriff's Office.

Assistant U.S. Attorneys Calvin A. Leipold III, Dwayne A. Brown Jr., and Bethany L. Rupert prosecuted the case. Assistant U.S. Attorney Nicholas Evert substantially assisted with the judicial forfeiture of the seized firearms and drug proceeds.

These prosecutions are part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. The Atlanta Wilhelm HSTF comprises agents and officers from ATF, CGIS, DEA, FBI, ICE-HSI, IRS-CI, DOL-OIG, DSS, USMS, USPIS, and USSS, as well as numerous state and local agencies, with the prosecution being led by the U.S. Attorney's Office for the Northern District of Georgia.

For further information please contact the U.S. Attorney's Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney's Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.