Fayao Rong, Marijuana Trafficking, Oregon 2021

A major marijuana trafficking operation in Oregon has been dismantled after a 14-month investigation by the Oregon State Police (OSP). Fayao ‘Paul’ Rong, 51, a Houston, Texas man, has been indicted for his leadership role in the conspiracy to traffic large quantities of marijuana illegally grown in Oregon for redistribution and sale in other states.

Rong, 51, has been charged with conspiring to manufacture and possess with intent to distribute marijuana. According to court documents, beginning at an unknown time and continuing until early September 2021, Rong conspired with others to illegally manufacture and possess with intent to distribute thousands of marijuana plants.

As part of the conspiracy, Rong purchased numerous residential houses in Oregon using several different identities and converted them for use as indoor marijuana grows. Rong’s organization grew, harvested, and transported the marijuana to states where the possession and use of marijuana remains illegal. Investigators believe that, in a 12-month period beginning August 2020, Rong trafficked more than $13.2 million dollars in black market marijuana.

On September 8 and 9, 2021, a coordinated law enforcement operation led by the U.S. Drug Enforcement Administration (DEA) and the Oregon State Police (OSP) Northwest Region Marijuana Team targeted Rong’s organization. Federal, state, and local law enforcement partners executed search warrants on 25 Oregon residences and Rong’s Houston home.

During the investigation and ensuing search warrants, investigators seized nearly 33,000 marijuana plants, 1,800 pounds of packaged marijuana, 23 firearms, nine vehicles, $20,000 in money orders, and more than $591,000 in cash. In the weeks following the operation, the U.S. Attorney’s Office for the District of Oregon filed an action in federal court seeking to forfeit 16 properties used for the illegal manufacturing of marijuana. Together, the properties are worth approximately $6.5 million.

Rong was arrested today by DEA agents in Houston and made his initial appearance in federal court before a U.S. Magistrate Judge in the Southern District of Texas. He was released on conditions pending his first appearance in the District of Oregon. If convicted, Rong faces a maximum sentence of life in prison with a ten-year mandatory minimum, a $10 million fine, and five years’ supervised release.

The investigation was led by the DEA, OSP, and U.S. Marshals Service with assistance from the FBI; Homeland Security Investigations; Oregon Department of Justice; Portland Police Bureau; the Yamhill, Clatsop, Marion, Multnomah, Columbia, and Polk County Sheriff’s Offices; Central Oregon Drug Enforcement Team; and Linn Interagency Narcotics Enforcement Team. The case is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.

Related Federal Cases