Starting from a methamphetamine drug investigation back in December 2010, FBI discovered that three Ketchikan men had laundered over $400,000 dollars. The men, all pleading guilty to the charge of money laundering, were sentenced to federal prison on December 14.

Francisco Arca Seludo was sentenced to 87 months in prison, Herman Arca Seludo Jr. was sentenced to 46 months in prison, and Jeremiah Miguel Perez was sentenced to 50 months in prison.

Assistant U.S Jack S. Schmidt, who prosecuted the case, stated that the charges rose from a State of Alaska drug investigation starting back in December 2010.

Herman Seludo was stopped by Ketchikan Police on December 21, 2010 at which time they found 20 baggies of methamphetamine inside his jacket.

While on release in February 8, 2012, Herman Seludo was arrested again after the search warrant resulted in the recovery of 26.2 grams of methamphetamine, packing materials, drug ledgers, drug paraphernalia, digital scale, and over $1,100 in cash.

Francisco Seludo was contacted by Ketchikan Police Department on November 1, 2011 when they discovered that he had received a package containing approximately eight ounces of methamphetamine.

Jeremiah Perez was stopped by police on February 7, 2012, police discovered that Perez had with him 3 grams of methamphetamine along with $980 in cash.

All men were charged by the State of Alaska for drug distribution.

With the sentencing of Perez, and Herman and Francisco Seludo, the Federal Bureau of Investigation (FBI) became intrigued and began their own investigation. They initiated their investigation by looking into both Selduos’ and Perez’s bank and wire remittance transactions.

The investigation revealed that Francisco Seludo, 42, had laundered over $400,000 dollars between January 2008-November 2011; Herman Seludo, 34, had laundered $41,150 dollars between April 2008-February 2012; and Jeremiah Perez, 35, had laundered $44,810 dollars between June 2010-November 2011.

The men pled guilty to federal money laundering charges which resulted in their jail sentence on December 14.

Along with the federal money laundering charges the men were also sentenced with various other charges. Francisco Seludo was convicted of state drug charges and was sentenced to serve two years. Herman Seludo was convicted of two state drug charges and sentenced in state court to a composite sentence of four years. Perez was convicted of drug charges and sentenced to serve two years.

All defendants laundered the drug proceeds in order to promote drug trafficking or to conceal and disguise the nature, locations, source, ownership and control of the drug proceeds according to the authorities.