Pubdate: Sat, 18 Jun 2011 Source: Wall Street Journal (US) Copyright: 2011 Dow Jones & Company, Inc. Contact: http://www.wsj.com/ Details: http://www.mapinc.org/media/487 Authors: Justin Scheck and John R. Emshwiller ROGUE INFORMANTS IMPERIL MASSIVE U.S. GANG BUST As a paid undercover informant, Jaime Martinez helped federal agents take down the San Francisco chapter of Mara Salvatrucha, or MS-13, a violent gang spanning the U.S. and Central America. But while providing information to federal authorities from 2005 to 2008, Mr. Martinez also served as the gang's leader. He ordered underlings to kill and steal, while he himself stole cars and led a home robbery that ended with a stabbing, among other transgressions. Federal rules allow informants to engage in certain nonviolent criminal acts-such as drug dealing-to maintain their covers as long as they get prior authorization from agents. In testimony last month, Mr. Martinez detailed a pattern of violent behavior that violated those rules. "I honestly didn't pay much attention" to those rules, Mr. Martinez said in his May testimony as a government witness at a San Francisco federal court trial of several MS-13 members. The MS-13 probe is one of the federal government's biggest criminal investigations and a centerpiece of its highly publicized assault on street gangs, which Attorney General Eric Holder has called one of the nation's "most overwhelming and intractable challenges." The Justice Department has filed indictments and won convictions against scores of alleged MS-13 members. But the alleged misdeeds of Mr. Martinez and other MS-13 informants could significantly damage that effort by tainting cases against gang members, a review of the national MS-13 probe shows. Already, questionable activities by MS-13 informants appear to have factored into the acquittal of one alleged gang member as well as the Justice Department's decision to drop death-penalty charges against at least one other. The government's handling of the MS-13 informants points to bigger questions about how well government officials are controlling criminal cooperators, who legal experts say are often vital to big-time investigations. "It's hard to break into any organized criminal group without an informant," says Michael Rich, a professor at the Elon University School of Law in North Carolina who studies informants. Although the government won't disclose how many confidential informants it has, the number has likely been rising post-9/11 as federal investigators focus on domestic counterterrorism probes, white-collar prosecutions and organized-crime cases including big street gangs, Mr. Rich says. Informants-usually criminals themselves-aren't an easy group to manage. It's like playing "hardball with hand grenades," says Stephen Trott, a federal judge and ex-prosecutor. A 2005 Justice Department Inspector General's review of 120 Federal Bureau of Investigation informants, the most recent such study available, found over 85% of the cases contained violations of agency guidelines, ranging from paperwork errors to unauthorized illegal acts. In handling informants, there is "inadequate training at every level," the report said. The FBI said after the report that it was working to improve its informant-control systems. A February report from the Brennan Center for Justice at New York University criticized the Justice Department for relaxing its informant rules over the past decade. Among other things, the study said, the department has let agents use more informants more frequently by expanding the types of investigations in which informants could be used and allowing them to take part much earlier in a probe. "Disrupting and dismantling violent gangs and criminal organizations requires the use of all our investigatory and prosecutorial tools," a Justice Department spokeswoman says, "including utilizing informants with inside knowledge of these groups." An FBI spokesman says the bureau uses a variety of mechanisms to ensure the information collected from the informant is accurate and obtained in compliance with regulations and the law. Last year, the government attempted to deport a federal drug informant who was caught smuggling drugs into the U.S. and was involved in at least one murder in Mexico while working for the government. The informant's government handler was fired. In the MS-13 cases, federal agents sometimes didn't know about the informants' questionable behavior, court records indicate. In other instances, agents appear to have condoned it-once even providing money for a gang leader to buy guns in El Salvador, a possible violation of federal law. In addition to Mr. Martinez, two other federal MS-13 informants, Jorge Pineda and Roberto Acosta, were also high-ranking gang members who have been implicated in violent crimes while providing information to federal authorities. Justice Department officials declined to answer questions about Messrs. Martinez, Pineda and Acosta. An attorney for Mr. Martinez declined comment. Mr. Pineda couldn't be located. Salvadoran immigrants in Los Angeles formed MS-13 during the 1980s to protect themselves from other gangs, say law-enforcement officials. By the early 2000s, the gang had spread and become a top law-enforcement concern. Officials estimate there are 8,000 to 10,000 MS-13 members in about 30 states, and thousands more in Central America. One early informant recruit was Mr. Pineda, a Salvadoran native who moved to Los Angeles and became a MS-13 gang member and drug dealer nicknamed "Dopey." Mr. Pineda said he offered his services to the FBI in 2000 in an effort to adopt a "Christian life," according to his testimony in a 2008 trial of other alleged MS-13 members. Mr. Pineda testified he helped agents track gang activities and identify high-ranking MS-13 leaders, known as "shot callers" and "big homies,' nationally and overseas. The Justice Department rules for informants allow certain nonviolent infractions to maintain cover. But they prohibit informants from committing violent crimes. Penalties can include forfeiture of the agreement for leniency, criminal prosecution and deportation. In his 2008 testimony, Mr. Pineda said that after agreeing to become an informant in 2001, he stabbed a man outside a Los Angeles nightclub that year and was given a prison sentence of about three years. The FBI kept using him in prison, he testified, providing a cellphone and arranging for him to secretly record conference calls with gang leaders, including Nelson Comandari, identified in court documents and interviews as a top MS-13 figure. Over a several-year period, he said, he received $127,000 in government pay. He once helped Mr. Comandari avoid arrest by lying to the FBI about the top gang leader's whereabouts, Mr. Pineda acknowledged in his testimony. He said he feared other gang members would know he was an informant if Mr. Comandari was apprehended. Last year, New York federal prosecutors dropped capital-murder charges against an alleged MS-13 member after his attorneys argued misdeeds by Mr. Pineda had tainted the case. In a recording made by another informant, Mr. Pineda gave guidance to gang members on when to commit murders, according to one of the defendant's lawyers, Russell Neufeld. The alleged gang member pleaded guilty to causing a death with a firearm and is now serving a 35-year prison sentence. A Justice Department spokesman in New York declined to comment. While he was on the government payroll, Mr. Pineda asked San Francisco MS-13 members in a 2004 phone call about their plans to retaliate for the murder of their leader by a rival. He asked if they "are going to commit a massacre," adding that "now is the time," according to an FBI report reviewed by The Wall Street Journal. He ordered Los Angeles gang members to bring weapons, including an M14 machine gun, to San Francisco, the report said. The San Francisco gang, known as the 20th St. clique, "became more bloodthirsty beginning in 2004 and 2005," with the arrival of MS-13 gang members from Los Angeles and elsewhere, according to a court filing in the San Francisco case. One arrival was Roberto Acosta, a Honduran native who in early 2005 became an informant for Immigration and Customs Enforcement, or ICE, another major federal agency in the MS-13 investigation. Mr. Acosta recorded conversations with San Francisco gang leaders and gave younger gang members MS-13 tattoos-which prosecutors later used as evidence of gang membership, according to court documents and testimony. While an informant, Mr. Acosta sold crack cocaine and encouraged gang members to extort and beat other drug dealers, according to taped transcripts and testimony by Mr. Martinez, who said he witnessed some of the acts. ICE deported Mr. Acosta to Honduras in 2006 for cutting off contact with his handler, according to people briefed on the matter. By then, federal agents had turned to Mr. Martinez, a Salvadoran native who came to San Francisco as a teen and had become leader of the city's MS-13 gang. Mr. Martinez was arrested on a firearms charge around 2005, he has testified, and cut an informant deal with ICE "to save my own skin." In 2006, while an informant, Mr. Martinez and three other gang members, including one nicknamed "Psycho," robbed a grocery-store worker in San Francisco. In the May testimony, Mr. Martinez said he held the victim against a wall while Psycho took the man's house keys. The robbers went to the house, where Mr. Martinez said he watched the others stab a man who lived there. No one was arrested, he said. Mr. Martinez persuaded ICE agents to give him $200 in March 2007 to send to a high-ranking MS-13 member in El Salvador to buy guns, he testified. ICE gave him a similar amount of money to send to El Salvador later that year, Mr. Martinez testified. Some of the money went to buy a cellphone, the government said. That October, Mr. Martinez was arrested with a stolen car. He testified that he called his ICE agent to complain about being held for possible deportation. ICE reviewed Mr. Martinez's informant status, reminded him he wasn't allowed to commit crimes and then released him from custody, the agent testified in a San Francisco federal trial last year. ICE continued using him as an informant-though in 2008 he spent more than six months in a county jail for the auto theft. In a statement, ICE said it takes "significant steps" to oversee informants, including the training of ICE agents and the auditing of case files. Several days after his October 2007 arrest, Mr. Martinez testified, he was riding in San Francisco with a relative in a stolen van when they spotted a party that seemed to include members of a rival gang. Mr. Martinez said he and his relative got a shotgun and two other gang members and returned to the party. "I listened for them to do the shooting. When they came back I just took off driving," Mr. Martinez said. No arrests were made. "He was an informant for the government when he was driving the getaway car?" Judge William Alsup, who is presiding over the MS-13 trial in San Francisco, asked in court. "Yes," said Wilson Leung, the assistant U.S. attorney. "It doesn't look good when the government's people are out there helping commit crimes, maybe even murders," the judge replied. On Oct. 25, 2007, ICE agents signed a new agreement with Mr. Martinez, apparently unaware of the shotgun incident. The agreement provided him with a $2,000 monthly salary, replacing a previous agreement that paid him $300 to $600 per tip. All told, Mr. Martinez has received more than $100,000 from the government, according to a person briefed on the matter. A San Francisco federal grand jury indicted 31 alleged MS-13 members in October 2008. About half the defendants have pleaded guilty. The only San Francisco defendant to get a jury verdict was acquitted on car theft and conspiracy charges last year after Mr. Martinez, the government's key witness, testified that he helped orchestrate the car thefts while an informant. Mr. Leung, the assistant U.S. attorney on the case, has acknowledged in court hearings that Mr. Martinez broke federal informant rules. He explained in another MS-13 trial last year that while Mr. Martinez "reminded his fellow gang members of the need to go attack" rivals and snitches, he "did not authorize any particular hits that resulted in any particular violence." Mr. Leung and other federal officials declined to answer questions about Mr. Martinez, who is now in a federal witness-protection program, prosecutors said in recent hearings. He has pleaded guilty to an MS-13 conspiracy charge and recently testified he expected leniency for his cooperation. Around 2008, meanwhile, Mr. Acosta illegally re-entered the U.S., court records and testimony show, and federal officials allowed him to resume his informant work, spending over $175,000 relocating him and 10 family members. Last February, as prosecutors prepared to try seven alleged San Francisco MS-13 members on conspiracy charges, Mr. Acosta, a potential star witness, allegedly made a shocking admission in a private meeting with prosecutors, according to court records. While in Honduras, he had murdered at least eight people, including some on a public bus, according to those records and people briefed on the matter. The government indicted Mr. Acosta for lying about his Honduran activities when he re-entered the informant program. A lawyer for Mr. Acosta, Elena Condes, declined to comment on whether her client has admitted to killing people. But she said Mr. Acosta disputes prosecutors' accusation that he lied about his criminal past, and said he plans to stand trial next month on the charge of making false statements to investigators. Mr. Pineda's whereabouts are unknown. No criminal charges are known to be pending against him. - --- MAP posted-by: Jo-D