Seven people have been charged in a federal firearms trafficking case that prosecutors say involved straw purchases and an alleged plan to smuggle weapons overseas, including to North Korea.
An indictment accuses Shenghua Wen, 39, a Chinese national whose U.S. visa expired in 2013, of leading the scheme, and court records show he has appeared in federal court in Houston.
According to the indictment, Wen and his girlfriend, Jin Yang, bought a gun store and directed the purchase of specific firearms.
Prosecutors allege the weapons were then sold to straw purchasers who bought guns on Wen’s behalf.
Those charged include Chinese nationals Sifu Zhao, 24; Yiyang Wu, 40; and Mingtong Tan, 27, who prosecutors say lived in Houston. Also charged are Yang, 60, of Ontario, California; Max Mingze Li, 36, of Houston; and Richard Arredondo, 51, a U.S. citizen who prosecutors say lived in Mexicali, Mexico.
The indictment alleges that between 2023 and 2024, the group obtained about 170 firearms and several thousand rounds of ammunition. Prosecutors say Wen recruited Zhao and Tan to act as straw purchasers. Zhao, Tan, Li and Arredondo are accused of buying firearms for Wen, according to the charges.
Investigators also allege Wu recruited at least one straw purchaser and transported pistols to another Houston-area gun dealer for resale to members of the group.
Wen and Yang are charged with conspiracy and conspiracy to commit firearms trafficking, which prosecutors said carry potential sentences of up to five years and 15 years in prison if convicted. Wen also faces seven counts of aiding and abetting false statements to a federal firearms licensee, which could add up to five years per count, prosecutors said.
Li, Arredondo, Wu, Zhao and Tan are each charged with one count of conspiracy and various counts of aiding and abetting false statements to a federal firearms licensee, with potential penalties of up to five years in prison on each count, prosecutors said.
Prosecutors said the charges also carry a possible maximum fine of $250,000.