ST. LOUIS – John Cruz, a 31-year-old from Rochester, New York, has admitted to continuing his trade of counterfeit Xanax on the dark web despite being out on bond for previous similar charges. In a gritty plea deal in U.S. District Court in St. Louis, Cruz faced one count of conspiracy to misbrand, introduce misbranded drugs, and sell counterfeit drugs.
Cruz, who pleaded guilty on November 29, 2023, had been caught purchasing the anti-anxiety drug Xanax from the darknet and reselling it between October 2019 and May 2021. His brazen behavior did not stop there; after his initial plea, Cruz continued his illegal activities, operating a website on the darknet offering four types of counterfeit/misbranded pills.
An FBI Special Agent, working undercover, made several purchases from Cruz using cryptocurrency. The U.S. Postal Inspection Service also played a role, making an undercover purchase through one of Cruz’s co-defendants, Jared James. On April 9, 2024, a court-approved search at James’ residence turned up a stockpile of pills in various colors. The previous day, officers had seen James send packages containing around 1,000 counterfeit or misbranded pills to addresses across the United States.
Investigators also tracked down $145,502 from an account Cruz held in Monero cryptocurrency, which they believe was proceeds from his illegal sales. Cruz is set to be sentenced on October 7, facing up to five years in prison and a fine of $250,000 for each count against him.
His co-defendant, Jared James, aged 48 from Lexington, Kentucky, received a sentence of 32 months in prison after pleading guilty to the same charge. This case has been a collaborative effort by the FBI, Drug Enforcement Administration, U.S. Postal Inspection Service, and U.S. Immigration and Customs Enforcement, with Assistant U.S. Attorneys John Ware and Kyle Bateman taking on the prosecution.
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Key Facts
- State: Missouri
- Agency: DOJ USAO
- Category: Drug Trafficking|Fraud & Financial Crimes|Cybercrime|Public Corruption|Weapons|Human Trafficking|White Collar Crime|Organized Crime
- Source: Official Source ↗
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