US embassy cable - 05TEGUCIGALPA1936

UNCLAS SECTION 01 OF 04 TEGUCIGALPA 001936 
 
SIPDIS 
 
PASS TO DS/IP/WHA, DS/CR/CIL, DS/IP/ITA, DS/FO/HUFO 
SATE FOR S/CT, INL/LP, WHA/PPC, WHA/CEN, CA/FPP, AND 
CA/OCS/ACS/WHA 
 
E.O. 12958: N/A 
TAGS: ASEC, PGOV, SNAR, PTER, CPAS, KCRM, KJUS, HO 
SUBJECT: A DISTURBING TREND OF U.S. CRIMINALS OBTAINING 
HONDURAN PASSPORTS. 
 
 
1. (SBU) Summary:  In the month of September RSO and the 
Consular section's Anti-Fraud unit (AFU) have has tracked two 
separate cases of U.S. felons/fugitives who have obtained a 
valid Honduran passport under fraudulent means.  RSO is also 
aware of one other case where a Salvadoran gang member was 
involved in the rape of a minor in Houston, Texas  procured a 
Honduran passport. RSO believes in these three cases alone 
that as many as six Honduran passports were fraudulently 
obtained.  RSO has been working with Honduran Prosecutors and 
investigators to determine how these dangerous individuals 
obtained these documents.  The Consul General has met with 
representatives of the MFA and the Ministry of Government and 
Justice to urge them to investigate the breakdowns in 
procedures that permitted the issuance of these passports to 
the U.S. felons. Honduran prosecutors are conducting their 
own investigations into the leads provided by RSO. end summary 
 
 
THE THREE AMIGOS 
 
2.  (SBU) In early September RSO Tegucigalpa was informed by 
Diplomatic Security agents in Houston that AmCit Andy Burwig 
was arrested entering Houston International Airport. Burwig 
was arrested on an outstanding Felony Arrest Warrant from 
Utah for multiple counts of forgery.  While DHS agents 
conducted a search after arrest they discovered that Burwig 
had three Honduran passports in his possession.  The Honduran 
passports appeared to be valid books.  RSO and Consular AFU 
checks with Honduran authorities confirmed that the books 
were genuine Honduran passport books but that the information 
contained therein was fraudulent and that they had not been 
issued through the Honduran passport system.  The first 
Honduran passport is listed in the name of Sergio Sanchez 
Bonelli. Passport number B144837, in doing a comparison RSO 
and DS Filed office in Houston, noticed the photo in this 
passport appears to match the photo on Burwig's U.S. passport 
application.  Burwig has a valid U.S. passport, passport 
number 057273898. The second Honduran passport found was in 
the name of Hans Andres Schnidet Lopez, passport number 
B068121.  DS Field office and RSO in doing a comparison 
observed that the photo in this passport appears to match the 
photo of U.S. passport application of Terry Lund, U.S. 
passport number 057825397.  The third Honduran passport found 
was in the name of Max Alberto Kreigmann Rodriguez passport 
number B074458.  In examining the Honduran passport photo, DS 
field office and RSO found an apparent match between Lopez 
and James Burns. US passport number 057706380.  According to 
DSS Houston agents, Burns may in fact be in Honduras at this 
time.  The Consul General has requested that the Honduran 
Central bank, which stores and tracks these books, provide 
information to shed light on the path these books followed 
from their warehouse to the felon's hand. 
 
3. (SBU)  In further investigation, RSO has determined that a 
disturbing trend in this case. All three individuals involved 
in this passport scam have criminal records.  Burwig is 
currently in custody awaiting extradition back to Utah for 
his outstanding forgery charges. He will be charged in 
Federal court for 18 USC 1546 for possession of fraudulent 
documents, once his legal problems in Utah are settled. In 
conducting criminal record checks on all three subjects, RSO 
has determined that Lund and Burns have extensive criminal 
histories. Before his current legal troubles, Burwig had only 
been arrested one other time and spent three days in a 
Californian jail for disobeying a court order.  In contrast 
to Burwig, Terry Lund has a criminal history that spans over 
25 years. Lund has been arrested for various criminal acts 
ranging from fraud, theft, illegal possessions of a shotgun, 
possession of controlled substance with the intent to sell to 
issuing fraudulent checks. In March 1999 Lund pled guilty to 
fraud in connection with bankruptcy and money laundering and 
received 33 months in prison and 36 months of supervised 
release. 
 
4. (SBU)  Another concern RSO has in relation to Lund, it 
appears that he has not left the U.S. in the last couple of 
years.  DSS agents in Houston confirmed that he was in prison 
and has been on State Parole in Utah for the last couple of 
years, making it difficult for him to travel to Honduras to 
obtain a Honduran passport. RSO believes that Andy Burwig 
obtained this travel document for him. In the case of James 
Burns, RSO has determined that he is a convicted felon whose 
criminal history spans the last ten years.  In February 1997, 
Burns was convicted of wire and communication fraud and was 
sentenced to one to 15 years in jail. RSO was informed by DSS 
Houston agents that Burns has been in communication with them 
via cell phone and e-mail.  Burns has stated that he wants to 
cooperate with authorities in this investigation. DSS Houston 
agents has informed Burns that he can walk into the U.S. 
Embassy in Tegucigalpa and make a statement to the RSO. At 
this time Burns has failed to comply.  Burns did state to DSS 
Houston agents that he was lured to Honduras by Burwig and 
another accomplice named Abdiel Rivera, who promised him a 
job.  Burns related to agents that he submitted his photo 
believing that he was receiving a Honduran work permit. 
Burns also told agents that Burwig and Rivera have a home in 
an upper class section of Tegucigalpa and they engage in 
criminal activity in this home to include sex with underage 
Honduran females.  RSO, in coordination with DSS Houston, 
believe that Abdiel Rivera is a former doctor convicted in 
1993 of narcotics distribution. He was sentenced to 78 months 
to federal prison in Utah.  RSO will continue to investigate 
these allegations made by Burns. 
 
5. (SBU)  It appears that all four of these men are connected 
by prison system and the state of Utah. Burwig has lived in 
Utah and Burns told investigators that he was a cell mate of 
Terry Lund and that Lund introduced him to Burwig and Rivera. 
 Rivera also did time in a Utah prison. RSO is working with 
local prosecutors and law enforcement authorities to try and 
develop various investigative leads. Local authorities 
believe that all three passports were purchased in the San 
Pedro Sula area. In examining the national identification 
numbers used on the passports, two are fraudulent. The bio 
data used on the passports is written in and not 
electronically inscribed.  Honduran prosecutors have told RSO 
that the passports are not maintained properly and that 
corruption and fraud is still prevalent within Honduran 
immigration, despite the recent shakeup and scandal, that now 
has control over the Honduran passport.  GOH law enforcement 
authorities will continue to investigate. 
 
THE FRENCH CONNECTION 
 
 
6.  (SBU)  In March 2004, Embassy Drug Enforcement 
Administration (DEA) agents, received a lead that two 
fugitives from U.S. justice, Teddy Lee French and his son 
Christopher French were hiding in Honduras.  Both were wanted 
in the State of Arkansas for narcotics trafficking, involving 
a methamphetamine lab.  DEA, in working with Honduran law 
enforcement agencies, had Teddy Lee and Christopher French 
arrested and then voluntarily returned to the U.S. to face 
their outstanding charges. In the course of the investigation 
DEA discovered that the entire French family had or were in 
the process of obtaining Honduran identity documents to 
include a national identity card (cedula) birth certificates, 
and passports.  During his brief detention and questioning by 
GOH law enforcement, Teddy Lee French, claimed that his true 
name was Fernando Guardado Guardado born in Omoa Honduras. 
Once confronted with the fact that his Honduran documents 
were fraudulently obtained and that his wife confirmed this, 
Teddy Lee confessed to his true identity and explained how he 
was able to obtain said documents. 
 
7.  (SBU)  Teddy Lee French told investigators that a 
passport facilitator named Sardy Javier Reyes Rodriguez, 
located in Omoa, offered to provide the whole French family 
with Honduran identity documents to include passports. French 
stated that Rodriguez charged him USD 125,000 for the whole 
family.  French stated that he traveled to Omoa to obtain a 
Honduran birth certificate, and to San Pedro Sula for a 
Honduran driver's license, and to be processed for a Honduran 
passport.  French stated that his wife Karen went through the 
same process.  Teddy Lee obtained a Honduran passport in the 
name of Fernando Guardado Guardado, passport number B046138, 
and a cedula number 0503-2004-00116. His wife, Karen French 
received a Honduran passport in the name of Ana Maria 
Gonzalez Ayala, passport number B046450, and a cedula number 
0503-2004-00117.  At the time of their detention, Teddy Lee' 
son Christopher and his wife Amamda French were also in the 
process of obtaining Honduran passports. During the 
investigation, Honduran investigators found Honduran 
government applications and other documents that pending 
their completion, would have given Christopher and Amamda 
French new identities. Christopher French would have been 
known as Christopher Charles Guardado Gonzalez and Amada 
would have been Amanda Maria Gonzalez Ayala. However, the 
long arm of the law apprehended them before the process could 
be completed. 
 
 
8.  RSO has provided this information to GOH prosecutors and 
investigators.  On September 16, GOH investigators conducted 
an inspection of the National Registry for Person office 
(RNP) in Omoa. (The RNP is where Honduran nationals obtain 
their cedulas.)  The Honduran investigators found the 
application for the Teddy Lee and Karen French. They also 
found other irregularities that will require more 
investigation. GOH investigators acknowledge that there is 
serious problems in the Omoa office.  GOH investigators have 
indicated to RSO that the whole procedure for acquiring 
passports and cedulas is for sale to the highest bidder. One 
facet of this investigation that RSO is most troubled by, is 
the French family were able to procure these official 
documents in less than a month.  This is not an organized 
narcotics or terrorist group, just a fugitive family on the 
run. 
 
EVIL IS AS EVIL DOES 
 
9. (SBU) In August 2005, Houston Police officers (HPD) 
assigned to gang enforcement arrested a Latino gang member 
for having sex with a female minor.  Upon further 
investigation, HPD officers learned that the person in 
custody had a Honduran passport and identity card in his 
possession bearing the name of Rudi Renan Amador Martinez, 
Honduran passport number B155320. HPD officers discovered 
that Martinez was really an El Salvadoran gang member named 
Francis Funes.  During the initial investigation and in 
consultation with DSS Houston agents, and Consular section's 
AFU, RSO believes that Funes obtained his Honduran passport 
at the Honduran Consulate in Houston.  On August 26, the AFU 
and Consul General confronted representatives of the MFA and 
passport-issuing agency with evidence from their own 
databases that showed the system had been corrupted.  Post 
continues to press for an explanation of this failure.  RSO 
informed GOH prosecutors. GOH prosecutors expressed concern 
that Funes acquired this passport under fraudulent means. GOH 
prosecutors stated that the Honduran Consul General in 
Houston  is not a trustworthy person and that they suspect 
that most Honduran consuls posted in the U.S. are susceptible 
to bribes and fraud.  DSS Houston agents have filed passport 
fraud charges against Funes and he is currently incarcerated 
in a Houston penal facility for the aforementioned Texas 
charges. 
 
CONCERNS FOR US NATIONAL SECURITY 
 
10. (SB) Recently, the Embassy Tegucigalpa in conjunction 
with International Narcotics and Law Enforcement affairs 
(INL) had spent over USD 400,000 on a machine readable 
passport project with the GOH. As the previous cases 
illustrate regardless of security of the documents itself, 
what is key is the personnel who are responsible for the 
accountability of the documents.  The persons involved in 
these cases are all criminals, though possibly dangerous, not 
overly sophisticated or organized.   The disturbing part is 
that all managed to procure a Honduran passport with relative 
ease. One of the  individuals, Terry Lund, did not even have 
to leave the confines of Utah to do so.  GOH law enforcement 
officials have expressed legitimate concern that Honduran 
identity documents lack any accountability controls to stop 
the illegal use by criminals.  Despite the current Honduran 
immigration scandal, and the intervention that Post hoped 
would to stop such action, and constant denials by GOH 
cabinet officials, it appears that a Honduran passport is 
still easily obtained for the right price.  At this time RSO 
has no evidence that dangerous, sophisticated, organized 
crimes groups, such as Colombian drug cartels, Russian 
organized crime for example, or extremist terrorists groups 
have obtained, utilized or traveled with Honduran passports. 
However, Post fears that, if any of these dangerous 
organizations wanted to they could acquire said documents and 
there would be no way in deterring or stopping such action. 
If this were to happen now or in the future the consequences 
for the U.S. could be grave.  RSO and the Consular section's 
AFU will continue to track all investigative leads.  RSO also 
requests that all DSS field offices in the U.S. check all 
criminal cases to determine if any suspects were carrying, 
traveling with or had obtained a Honduran passport. This will 
assist RSO in gauging how widespread the problem is. 
Williard