FEDERAL GRAND JURY INDICTS FOUR ON MONEY-LAUNDERING CHARGES

Two officers of a Houston investment firm and two others have been indicted
by a federal grand jury in an alleged money-laundering scheme.

Jose Mari Delgado, president of Frankwell Investment Services, and Yiu
Cheong Wong, a Frankwell officer, are accused of conspiring to avoid
reporting more than $100,000 in currency transactions over a 12-month period.

Jose Matias Diaz and Jose Luis Gomez are charged with conspiracy to hide
money transactions.

Delgado and Wong are free on bond, Assistant U.S. Attorney Bob Stabe said,
while Diaz and Gomez are fugitives.

Charley Davidson, an attorney for Frankwell, said he expects Delgado and
Wong "to be vindicated and that the company's practices are in no way
suspect."

A U.S. Customs investigation that began in December 1996 identified Diaz
"as an individual with the ability to launder proceeds from the sale and
distribution of illegal narcotics," says a search warrant affidavit
unsealed this week.

An undercover agent allegedly gave Diaz $50,000, saying it was from the
sale of cocaine, and asked him to transfer it to a bank in Tokyo.

Delgado and Wong ordered those funds and others to be transferred to the
undercover bank account, the indictment says.

All four were indicted before Frankwell's Transco Tower offices were
searched.

Checked-by: Mike Gogulski