Federico 'Fred' Machado - Narco Jet king

Federico 'Fred' Machado is an Argentine businessman who was extradited to the US, accused of laundering drug money. He is also a key leader of a scheme that defrauded investors and lenders out of hundreds of millions. The transnational criminal organization acquired and operated a fleet of aircraft from the United States and other places to facilitate the smuggling of drugs and drug proceeds, as well as to launder money. They operated a complex network of companies whose front was Aircraft Guarantee Corp, established in a Texas city with no airport. The scheme included the fraudulent use of registrations and titles to hide the true nature, location, ownership, and control of the aircraft. Trusts and illicit business entities accomplished this.

At the same time, they used commercial entities to defraud lenders into paying large sums for aircraft that did not exist, are legally inoperable, or are unsaleable. Gangsters tried to get the coveted 'N' in front of the registration number indicating that it had been registered in the United States. That letter gave them some leeway to operate: the foreign countries through which they flew were less likely to inspect drug-laden jets or force them to land.

Debra Lynn Mercer-Erwin

The Department of Commerce, the Bureau of Industry and Security, the Office of Export Control and the Division of Homeland Security Investigations of the United States launched an investigation after noticing irregularities in aircraft registrations. AGC acted as trustee and registered thousands of aircraft on behalf of foreigners, which is illegal.

22 aircraft registered with AGC became involved in drug smuggling. A narco jet flown out of a Guatemala jungle in early 2020 was one of AGC's aircraft.

See ----->Guatemala Narco Jets
See ----->https://interactive.wfaa.com/pdfs/Onalaskindictment.pdf