Federal Grand Jury in El Paso Indicts Two More in Corruption Investigation

United States Attorney John E. Murphy and Federal Bureau of Investigation Special Agent in Charge David Cuthbertson announced today that a federal grand jury has indicted 62-year-old New York businessman Joseph O'Hara and 55-year-old former El Paso Independent School District Associate Superintendent Tomas Gabaldon in connection with the El Paso corruption investigation.

The indictment, returned last week and unsealed yesterday, charges the defendants with one count of conspiracy to commit mail fraud and deprivation of honest services; one count of conspiracy to commit wire fraud and deprivation of honest services; and one count of mail fraud. The indictment alleges that between February 2003 and October 2007, O'Hara and an unindicted co-conspirator bribed Gabaldon as well as an EPISD trustee in order to secure and maintain a lucrative EPISD contract.

Each of the charges contained in the indictment call for up to 20 years in federal prison and a maximum $250,000 fine upon conviction.

Gabaldon, who turned himself into FBI agents yesterday in El Paso, is currently on a $25,000 unsecured bond. O'Hara, who turned himself into authorities in New York yesterday, is currently on a personal recognizance bond. No trial date has been scheduled.

This is the eighth indictment stemming from a large scale FBI investigation which began in 2004. The Department of Education Office of Inspector General assisted in this portion of the investigation. To date, 13 individuals have pleaded guilty to criminal conduct stemming from this investigation. The eight indictments include a total of 19 charged defendants. Assistant United States Attorneys Laura Franco Gregory and Antonio Franco are prosecuting this case on behalf of the government.

An indictment is merely a charge and should not be considered as evidence of guilt. The defendants are presumed innocent until proven guilty in a court of law.