Medford Business Owner Accused of Laundering 13 Million Dollars in Drug Proceeds Through Southern Oregon Stores
MEDFORD, Ore. — An illegal resident from Mexico, who used his Oregon businesses to launder narcotics trafficking proceeds involving more than $13 million, appeared in court yesterday, charged with money laundering.
Jose Alonso Paramo Arguello (45) is scheduled to reappear in court on March 23, 2026.
According to court documents, as the owner and operator of Tienda Santa Maria II LLC, Arguello used his businesses to structure financial transactions in an attempt to evade law enforcement suspicion.
- Jan. 2, 2024 to Dec. 3, 2025 : More than $13 million wired to Mexico
- Nov. 2025 to Jan. 2026 : IRS informant sends more than $45,000 in 22 transfers
- March 18, 2026 : Arguello appears in federal court in Medford
- March 23, 2026 : Further court proceeding is scheduled
The Money was Laundered at His Business Premises in Phoenix, Medford, and Central Point
He allegedly used his three Oregon businesses, located in Phoenix, Medford, and Central Point, to transfer the proceeds of drug trafficking to Mexico.
He broke down transactions into smaller amounts and used fake names and addresses to conceal the nature and source of the funds.
Court documents reveal that Arguello transferred more than $13 million to Mexico between January 2024 and December 2025.
The IRS Used an Informant to Transfer Cash Via the Mexican’s Business
An informant from the Internal Revenue Service’s Criminal Investigation (IRS-CI) was provided with cash with instructions to wire the money to Mexico. Arguello laundered over $45,000 in 22 different wire transfers of ‘drug trafficking proceeds’ from the informant between November 2025 and January 2026.
Arguello received 10% of the funds as a commission for his services.
He remains in custody in Medford until his next court appearance on Monday, next week.
The case is under investigation by the IRS-CI, assisted by Jackson County Sheriff’s Office, Homeland Security Investigations, and the Illegal Marijuana Enforcement Team (IMET).
Assistant U.S. Attorneys Christopher Cardani and Julia Jarrett are prosecuting the case.
The arrest is part of the Homeland Security Task Force (HSTF) initiative dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the U.S. and abroad.