Texas Owner Indicted in Alleged 57-Driver Hauling Scheme

A federal grand jury indicted Armando Martinez Varela, owner of Laredo-based VMS Transport, over allegations that he hired 57 drivers on B-1 visas to haul domestic freight, which their visa status does not authorize. Prosecutors say the drivers made 1,044 trips between February and May, and that VMS arranged housing for them rather than having them return to Mexico. The indictment alleges the company paid them 25 to 50 cents per mile, below the roughly 70 cents paid to authorized drivers, saving about $299,606. Varela faces charges including employing unauthorized workers, harboring aliens and making false statements; if convicted, he could receive up to 10 years in prison and a $250,000 fine. The indictment is an accusation, and Varela is presumed innocent unless proven guilty.