McALLEN, Texas (ValleyCentral) — Former Starr County Attorney Victor Canales Jr., who misappropriated thousands of dollars in taxpayer money, was sentenced to three years in prison Tuesday.
Canales promised not to prosecute certain people if they paid a fine or a fee to Starr County. When they paid, however, Canales pocketed the money.
“I have embarrassed my family. I have embarrassed myself,” Canales said. “I have lost everything I worked for — for 20-plus years.”
Canales admitted to stealing nearly $10,000. An investigation conducted by the FBI and the Texas Attorney General’s Office, though, suggested the amount could be more than $95,000.
The investigation also raised questions about how Canales spent money from a crime prevention account.
Canales approved questionable Christmas bonuses, a scholarship for a friend’s child and $2,000 for ads in a quinceañera magazine.
Assistant U.S. Attorney Patricia Cook Profit, who prosecuted the case, said Canales also made payments to his mistress.
Chief U.S. District Judge Randy Crane said the case against Canales troubled him.
“I just see this culture of corruption in public office by public servants,” Crane said. “Not just in Starr County but elsewhere.”
Canales represented Starr County for more than 17 years.
As the county attorney, Canales advised the Commissioners Court, represented Starr County in civil cases and prosecuted misdemeanors.
Canales frequently clashed with the Commissioners Court, which kept the County Attorney’s Office on a tight budget, said his attorney, Arnulfo Guerra Jr. of McAllen.
“He wasn’t part of the compadre system,” Guerra said.
Canales abruptly resigned in April 2022.
“He already knew the jig was up when the FBI showed up,” Guerra said.
A grand jury indicted Canales in April 2023, charging him with four counts of theft, four counts of extortion and one count of violating the federal Travel Act.
Canales pleaded guilty to one count of extortion. Prosecutors dropped the other eight charges.
As part of his plea, Canales admitted that he arranged for the County Attorney’s Office not to prosecute a man on misdemeanor charges.
In May 2021, the Texas Department of Public Safety charged a man with possession of marijuana and possession of a controlled substance.
The arrest created a major problem for the man, who already had a drunken driving charge pending in Cameron County. New charges would prevent him from participating in a pre-trial diversion program.
Concerned, his mother — identified as “LG” in the indictment — sent Canales a message on WhatsApp.
“Victor Canales told LG that he could take care of it,” Profit, the prosecutor, said during a hearing in September 2023. “But he needed a dollar commitment and that, for $1,500, he could take care of the Starr County tickets.”
Someone placed three $500 money orders in Canales’ mailbox, Profit said, and Canales informed Cameron County that he wouldn’t prosecute LG’s son.
“Victor Canales then deposited the three money orders into his personal checking account,” Profit said, rather than the County Attorney’s Office account.
On Tuesday morning, when he returned to court for sentencing, Canales attempted to draw a distinction between accepting bribes and pocketing the money orders.
“He never asked for a bribe,” Guerra said. “And he was never given a bribe.”
Canales also objected to a report prepared by the U.S. Probation Office, which summarized the federal investigation.
After analyzing his bank accounts, the FBI and the Attorney General’s Office concluded that Canales had accepted more than $95,000 in bribes. Investigators based that amount on cash and money orders Canales deposited.
Guerra spent more than an hour pushing back against that conclusion on Tuesday. He said Canales also deposited money from other clients, the sale of cattle and rent payments.
The investigation was “really, really shoddy,” Guerra said, adding that he considered the report 95% junk.
Profit disagreed.
“This was a very careful accounting of cash,” Profit said.
Crane, the federal judge, determined a $7,000 cash deposit in November 2020 probably wasn’t linked to any criminal activity.
Without additional information, Crane said he couldn’t make a determination on the remaining $88,000.
“I didn’t get a good explanation from either side,” Crane said. “They’re just unexplained.”
Crane decided to hold Canales accountable for about $44,000, half the unexplained deposits.
“Cash is the currency of criminals,” Crane said. “That’s what we see here.”
Crane sentenced Canales to three years and one month in prison followed by three years on supervised release.
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