Cirilo 'Chilo' Madrid found guilty

Madrid, 67, convicted of fraud, embezzlement

POSTED: 07:42 AM MST Dec 14, 2012    UPDATED: 08:04 PM MST Jan 14, 2014 
EL PASO, Texas -

After four hours of deliberations, a jury found Cirilo "Chilo" Madrid guilty of public corruption charges Friday.

Madrid, 67, is convicted of conspiracy to defraud the United States, theft or embezzlement of federal funds and mail fraud.

Judge Frank Montalvo ordered Madrid immediately taken into custody.   Defense attorney Leon Schydlower asked Montalvo to consider granting bond, saying that Madrid is not a flight risk.

Montalvo said the facts of the case have not changed, but said, "He has reasons, several years worth of reasons to abscond."  Madrid was not cuffed in the courtroom, but instead led by bailiffs to a small chamber adjacent to the courtroom to prepare for transfer to detention.

Before leaving the courtroom, the judge admonished Madrid not to make any unusual financial transactions prior to sentencing.  He gave specific examples, telling Madrid not to give a family member a large Christmas gift, not to make a large lump sum payment on a mortgage, and, "If you've been wanting a new car, don't go into that showroom, or you'll make things very difficult for your family."

Federal prosecutors had said Madrid, who once served as CEO of the nonprofit behavioral treatment center Aliviane, worked with others to bribe a former county judge in exchange for government contracts.

His alleged co-conspirator was Ruben "Sonny" Garcia, the former head of LKG Enterprises. Federal authorities say from 2005 to 2006, Madrid and Garcia bribed former county judge Dolores Briones $24,000 in exchange for government contracts for LKG totaling $600,000.

According to the ABC-7 archive, LKG was supposed to conduct evaluations of children being treated in the Border Children's Mental Health Collaborative, a federally funded program that aimed to keep children from being sent out of town for treatment of mental and behavioral issues.

ABC-7 reported that the county, which was in charge of the federal grant to fund the collaborative, eventually dropped LKG for not conducting the evaluations despite receiving hundreds of thousands of government dollars to do so.

Garcia and Briones have pleaded guilty. Sentencing for Madrid, Garcia and Briones is scheduled for March 22, 2013.