ETHICS PANEL. Moderator HARRY GEE, JR., Houston Harry Gee, Jr. & Associates

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1 ETHICS PANEL Moderator HARRY GEE, JR., Houston Harry Gee, Jr. & Associates WAFA ABDEL ABDIN, Houston Supervising Attorney Cabrini Center for Immigrant Legal Assistance, Catholic Charities JOHN W. OWENS, Houston Managing Attorney, Houston Consumer Protection Office Office of Attorney General Submitted by: JOHN W. OWENS, Houston Managing Attorney, Houston Consumer Protection Office Office of Attorney General State Bar of Texas IMMIGRATION LAW 2004 May 6-7, 2004 Houston CHAPTER 12

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3 Moderator HARRY GEE, JR. EDUCATION Harry Gee, Jr. graduated from Rice University with a Bachelor of Arts degree in Business Administration and Economics in Thereafter, he enrolled at the University of Texas School of Law and attained his Bachelor of Law degree in 29 months when he graduated in January of PROFESSIONAL He was licensed to practice on April 30, 1963 and in May was appointed as Assistant Attorney General of the State of Texas where he served in the taxation; bonds, insurance and banking; and the highway divisions under Attorney General Waggoner Carr. In 1966, he began the private practice of law in Houston, Texas. When the State Bar of Texas adopted board certification, he was among the first group of attorneys to be qualified as a Board Certified Specialist in Immigration and Nationality Law in He has chaired the Examination Committee for Immigration Board Specialization for five years. Mr. Gee has been recognized as an authority in the field of immigration law, having lectured at seminars and institutes conducted by the University of Texas, Rice University, University of Oklahoma, Texas Tech University, University of Houston and the American and the Texas Immigration Lawyers Association. PROFESSIONAL ORGANIZATIONS Actively involved in various legal organizations, Mr. Gee served as President of the National Asian Pacific American Bar Association, , an organization comprised of more than 6,000 attorneys of Asian ancestry throughout the country. He has also served as a member of the Board of Governors of the American Immigration Lawyers Association, Chairman of the Texas Chapter of AILA for two years, Chairman of the Immigration and the Law Day Committees of the Houston Bar Association, and as President of the Asian American Bar Association of Houston. In 1993, he was honored by his colleagues in his election to the Board of Directors of the State Bar of Texas. His family has established a Presidential Scholarship at the University of Texas in the field of Immigration Law. CIVIC ORGANIZATIONS Mr. Gee has also served the community as the President and Chairman of the Friends of the Houston Public Library. For two years, he served on the Advisory Board of the Child Abuse Prevention Council. He has also served as President of the Chinese Professional Club and during his term of office, the club raised and made its largest contribution to its scholarship fund.

4 Harry Gee, Jr. Page 2 For two years, he had also served as President of the Chinese American Citizens Alliance and also as a Director of the National Conference of Christians and Jews, and of the Mickey Leland Kibbutz Program. He presently serves as a member of the board of the Greater Houston Community Foundation, the Institute of International Education, the University of Houston Law School Advisory Board and the Rice University Alumni Association Board and on the Advisory Board of Chase Bank, Houston. Mr. Gee was also a founding member of the Asian American Coalition and the Institute of Chinese Culture. He is a member of the Greater Houston Partnership Board and served as chair of the Asian Business Group. He is a Senior Fellow of the American Leadership Forum In 1999, Mr. Gee was elected as chair of LEAP, a national organization promoting the advancement of Asians into positions of leadership within their companies, educational institutions and communities and instituting research and publication of public policy analysis germane to the Asian community. He also has been selected to join the prestigious Committee of 100. He is presently serving as President of Sister Cities of Houston, Inc., an organization dedicated to the promotion of cultural, educational and economic interests between Houston and its thirteen sister cities throughout the world. He had previously served as president of the Houston Taipei Society for three years. Also, he is Chair of the Houston Council on Foreign Relations. Because of his concern about education, he has served as a member of the Board of Directors of St. Thomas University, the Annenberg Challenge, the Concerned Houstonians for Effective and Superior Schools Committee, the Citizen's Initiative for Higher Education, Class Chairman of the Rice University Alumni Fund Drive, President of the Rice University Chinese Alumni Association and as an Executive Advisory Committee Member of the University of Houston Creative Partnerships Campaign. Mayor Bob Lanier appointed Mr. Gee as a founding member of the Steering Committee of Imagine Houston and appointed him as the first Asian to the board of the Metropolitan Transit Authority. Mayor Lee Brown had appointed Mr. Gee to the Board of Houston 2012, a non-profit foundation which promoted Houston as the site of the 2012 Olympics. FAMILY Harry has been happily married to the former Antje Wuelfrath for more than 30 years and they are the proud parents of three children: Andrew, Claudia, and Sonja, who are 1997, 1999 and 2001 graduates of Rice University respectively. w:\home\hgee\resume\hg-bio Rev. 05/2002

5 Wafa Abdin Wafa Abdin is the supervising attorney at Cabrini Center for Immigrant Legal Assistance at Catholic Charities. She graduated from the University of Houston with a J.D., and also holds an M.A. from Lamar University and a B.A. from the University of Jordan. Ms. Abdin represents lowincome Immigrants in removal proceedings, asylum, VAWA, citizenship, and family petition cases before the Immigration and Naturalization Service, the Immigration Court, and the Board of Immigration appeals. Among her clients are detained adults and juveniles and victims of crime seeking immigration benefits. Ms. Abdin supervises two staff attorneys, three accredited representatives, and three caseworkers in their immigration work. She gives rights presentations to the public, both on site at Catholic charities and off site at schools, community centers, and hospitals and speaks about immigration law and the rights of immigrants at conferences, trainings, and lectures.

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7 JOHN OWENS John Owens is currently the Office Manager of the Houston Regional Office in the Consumer Protection Division of the Texas Attorney General s Office. John graduated from the University of Texas at Austin in 1981 with an Economics degree and then attended Baylor University School of Law, obtaining his law degree in After law school, John was twice elected as County Attorney of Henderson County where he maintained a private practice in addition to his prosecutorial functions. In May of 1991, John became an Assistant Attorney General, working in the General Litigation Division of the Texas Attorney General s Office in Austin. In October of 1994, John accepted a position in the Consumer Protection Division, operating out of Houston, where he currently resides. John received his board certification in Civil Trial Law in December of 1997.

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9 CONSUMER PROTECTION FROM THE UNAUTHORIZED PRACTICE OF IMMIGRATION LAW Representation as Attorney Tex. Gov't Code (2003) (a) A person commits an offense if the person is a notary public and the person: (1) states or implies that the person is an attorney licensed to practice law in this state; (2) solicits or accepts compensation to prepare documents for or otherwise represent the interest of another in a judicial or administrative proceeding, including a proceeding relating to immigration to the United States, United States citizenship, or related matters; (3) solicits or accepts compensation to obtain relief of any kind on behalf of another from any officer, agency, or employee of this state or the United States; (4) uses the phrase "notario" or "notario publico" to advertise the services of a notary public, whether by signs, pamphlets, stationery, or other written communication or by radio or television; or (5) advertises the services of a notary public in a language other than English, whether by signs, pamphlets, stationery, or other written communication or by radio or television, if the person does not post or otherwise include with the advertisement a notice that complies with Subsection (b). (b) The notice required by Subsection (a)(5) must state that the notary public is not an attorney and must be in English and in the language of the advertisement and in letters of a conspicuous size. If the advertisement is by radio or television, the statement may be modified, but must include substantially the same message. The notice must include the fees that a notary public may charge and the following statement: "I AM NOT AN ATTORNEY LICENSED TO PRACTICE LAW IN TEXAS AND MAY NOT GIVE LEGAL ADVICE OR ACCEPT FEES FOR LEGAL ADVICE." (c) It is an exception to prosecution under this section that, at the time of the conduct charged, the person is licensed to practice law in this state and in good standing with the State Bar of Texas. (d) Except as provided by Subsection (e) of this section, an offense under this section is a Class A misdemeanor. (e) An offense under this section is a felony of the third degree if it is shown on the trial of the offense that the defendant has previously been convicted under this section. (f) Failure to comply with this section is, in addition to a violation of any other applicable law of this state, a deceptive trade practice actionable under Chapter 17, Business & Commerce Code. 1

10 OFFICE of the ATTORNEY GENERAL G R E G A B B O T T April 9, 2003 VIA CERTIFIED MAIL Amnistia Confidencial 1550 Hawkins, Suite 7 El Paso, Texas Re: Legislation Affecting Notaries Public Dear Business Owner: As of September 1, 2001, Texas law specifically forbids notaries public from preparing immigration documents and from providing immigration counseling or legal advice of any kind. The new law provides for stiff fines for anyone who violates it and repeat offenders can now face criminal charges and jail time. Enclosed for your information is a description of the law and its penalty provisions. From the advertising you present to the public, it appears that you may be in violation of this law. You will be given thirty (30) days from the date of this letter to bring yourself and your business into compliance. Our office will be vigorously enforcing this law. Although, the Office of the Attorney General cannot represent or provide legal advice to individual consumers or businesses, we will gladly assist with any questions that arise regarding the enforcement of the new law. Sincerely, James A. Daross Assistant Attorney General Consumer Protection Division El Paso Regional Office 401 E. Franklin, Suite 530 El Paso, TX /

11 OFFICE of the ATTORNEY GENERAL G R E G A B B O T T May 15, 2003 Mr. Director, Avenida América 3801 N. Capital of Texas Highway, Suite E240 Austin, TX CERTIFIED MAIL # Dear Mr. Puente: The "Páginas Amarillas de Austin" published by your company contains a section "Notarios Publicos" that could be deceptive. In Texas, a notary is someone licensed to witness the signing of legal documents. In most Latin American countries, however, a "notario" implies that the person is a licensed attorney. Texas law specifically prevents notaries from providing any type of immigration service unless they hold a separate license to practice law. Moreover, Texas law prohibits a notary from using the phrase "notario" or "notario publico" to advertise the services of a notary public, whether by signs, pamphlets, stationary, or other written communication or by radio or television. If a notary advertises the services of a notary public in a language other than English, the advertisement must contain a notice that the notary public is not an attorney and must include the following statement "I AM NOT AN ATTORNEY LICENSED TO PRACTICE LAW IN TEXAS AND MAY NOT GIVE LEGAL ADVICE OR ACCEPT FEES FOR LEGAL ADVICE." TEX. GOV T CODE While Avenida América may not have intended to deceive the users of its Páginas Amerillas de Austin, the heading on page 90, "Notarios Publicos" is contrary to the letter and the spirit of the law intended to protect Spanish-speaking consumers. I have enclosed a copy of the page in question for your convenience. I request that you take steps to address the reference to "Notarios Publicos" in the Páginas Amerillas de Austin. Please contact me within ten business days of receipt of this letter to inform the Office of the Attorney General what steps you have taken to remedy this situation. Sincerely, Leela R. Fireside Assistant Attorney General Austin Regional Office Consumer Protection Division Office of the Attorney General of Texas Tel: (512) Fax: (512)

12 OFFICE of the ATTORNEY GENERAL G R E G A B B O T T April 4, 2000 VIA HAND DELIVERY Hilda Ybarra Hernandez P.O. Box 1015 La Blanca, TX RE: Statutory Notice Prior to Lawsuit Dear Mrs. Ybarra: Pursuant to Section 17.47(a) of the TEXAS BUSINESS AND COMMERCE CODE, notice is hereby given that the following described conduct is believed by the Office of the Attorney General, Consumer Protection Division, to constitute a deceptive trade practice in violation of the Texas Deceptive Trade Practices - Consumer Protection Act, TEX. BUS. & COM. CODE et seq. (Vernon 1987 and Supp. 1999)(hereinafter DTPA ), namely: Representing that you can get legal resident status and a work permit for consumers who are ineligible for legal resident status or a work permit in the United States; and Failing to disclose that you services would be ineffectual to achieve legal resident and work status for consumers who are ineligible for such status. The Consumer Protection Division may request civil penalties of $2,000 per violation of this act, not to exceed a total of $10,000, an injunction to restrain and prevent violations of the act, attorney s fees, court costs, and such orders or judgments as are necessary to restore money or property which may have been acquired by means of any unlawful act or practice. The Texas Deceptive Trade Practices - Consumer Protection Act authorizes this office to institute court action seven days after you are contacted and informed of the alleged unlawful conduct. Sincerely, Ric Madrigal Assistant Attorney General Consumer Protection Division 4

13 NO. C C THE STATE OF TEXAS, IN THE DISTRICT COURT Plaintiff, v. HILDA YBARRA HERNANDEZ HIDALGO COUNTY, TEXAS d/b/a YBARRA S IMMIGRATION SERVICES AND RODOLFO JAVIER JUAREZ, d/b/a THE LAW OFFICE OF RUDY JUAREZ, 139th JUDICIAL DISTRICT Defendants TO THE HONORABLE JUDGE OF SAID COURT: PLAINTIFF S FIRST AMENDED ORIGINAL PETITION AND APPLICATION FOR INJUNCTION COMES NOW THE STATE OF TEXAS, Plaintiff in the above-entitled and numbered cause, acting by and through Attorney General of Texas JOHN CORNYN, and files this first amended original petition, complaining of HILDA YBARRA HERNANDEZ, doing business as YBARRA S IMMIGRATION SERVICES, and RODOLFO JAVIER JUAREZ, doing business as THE LAW OFFICE OF RUDY JUAREZ, hereinafter referred to as Defendants, and for cause of action would respectfully show: DISCOVERY CONTROL PLAN 1. The discovery in this case is intended to be conducted under Level 2 pursuant to TEX. R. CIV. P (b)(3). NATURE OF THIS SUIT 2. The Attorney General, acting within the scope of his official duties under the authority granted to him under the Constitution and the laws of the State of Texas, brings this lawsuit in the name of the State of Texas through his Consumer Protection Division against Defendants for violations of the Texas Deceptive Trade Practices - Consumer Protection Act, TEX. BUS. & COM. CODE ANN , et seq. (Vernon 1987 and Supp.1999) (hereinafter DTPA ). The DTPA grants authority to the Attorney General to seek injunctive relief and civil penalties for violations of its provisions. TEX. BUS. & COM CODE ANN

14 DEFENDANTS 3. Defendant HILDA YBARRA HERNANDEZ ( Ybarra ) is an individual doing business in Hidalgo County, Texas, under the assumed name of YBARRA S IMMIGRATION SERVICES, and resides at Mile 19 ½ Road on Farm Market Road 493, La Blanca, Texas, 78558, Hidalgo County, Texas. Defendant Ybarra has been served with process and has answered. No service of process is necessary at this time. 4. Defendant RODOLFO JAVIER JUAREZ ( Juarez ) is an individual doing business in Hidalgo County, Texas, under the name of The Law Offices of Rudy Juarez, and residing in Hidalgo County, Texas. Defendant Juarez may be served with process at 3309 North 27 ½ Street, McAllen, Texas JURISDICTION 5. This Court has jurisdiction over this action pursuant to 17.47(b) of the DTPA. VENUE 6. Venue of this suit lies in Hidalgo County, Texas, for the following reasons: A. Under TEX. CIV. PRAC. & REM. CODE ANN (a)(1) (Vernon Supp. 1999), venue is proper because all or a substantial part of the events or omissions giving rise to the claim occurred in the county of suit; and B. Under DTPA 17.47(b), venue is proper because Defendants have done business in the county of suit. PUBLIC INTEREST 7. Plaintiff STATE OF TEXAS has reason to believe that Defendants are engaging in, have engaged in, or are about to engage in, the unlawful acts or practices set forth below, that Defendants have, by means of these unlawful acts and practices, caused damage to and acquired money or property from persons, and that Defendants adversely affects the lawful conduct of trade and commerce, thereby directly or indirectly affecting the people of this State. Therefore, the Consumer Protection Division of the Office of the Attorney General of the State of Texas believes and is of the opinion that these proceedings are in the public interest. TRADE AND COMMERCE 8. Defendants have, at all times described below, engaged in conduct which constitutes trade and commerce, as those terms are defined by 17.45(6) of the DTPA. 6

15 ACTS OF AGENTS 9. Whenever in this petition it is alleged that Defendants did any act, it is meant that Defendants performed or participated in the act, or that the officers, agents or employees of Defendants performed or participated in the act on behalf of and under the authority of Defendants. NOTICE BEFORE SUIT 10. The Consumer Protection Division contacted Defendant Ybarra in writing to inform her in general of the alleged unlawful conduct at least seven days before this suit was filed, as may be required by 17.47(a) of the DTPA. 11. The Consumer Protection Division did not inform Defendant Juarez of the alleged unlawful conduct prior to filing the lawsuit because Defendant Juarez was not a named defendant at the time the original petition was filed. The factual bases for bringing this lawsuit against Defendant Juarez for violations of the Texas Deceptive Trade Practices - Consumer Protection Act, by joining and naming him as a party-defendant in this lawsuit, were discovered through discovery conducted in this case subsequent to the filing of this lawsuit. NATURE OF DEFENDANTS OPERATIONS 12. Defendant Juarez is an attorney who was licensed to practice law in Texas 1, and Defendant Ybarra holds herself out as Immigration Specialist. Defendants purport to provide immigration services to persons seeking legal immigrant status, but sold their services to Mexican nationals who are ineligible to immigrate legally into the United States. SPECIFIC FACTUAL ALLEGATIONS 13. Defendant Ybarra owns and operates a business that purports to provide immigration services to persons who purchase her services. Defendant uses the name of YBARRA S IMMIGRATION SERVICES to conduct business and represents herself to be an Immigration Specialist. She advertised her business primarily by word-of-mouth and distributes a business card, a copy of which is attached hereto as State s Exhibit 1 and incorporated herein for all purposes. Her office is located in a mobile home in rural Hidalgo County, Texas. 14. On or about January 1998, Defendant Juarez entered into an agreement with Defendant Ybarra whereby Defendant Juarez appointed Defendant Ybarra as his agent for the management and administration of the business 1 Defendant Juarez s license to practice law in Texas was suspended in May 1999 for failure to pay his State Occupational Tax and State Bar dues. 7

16 functions and services related to [Juarez s] provision of Immigration Services. Under this written agreement, titled SERVICE AGREEMENT, Defendant Ybarra was authorized to market and promote her immigration business, make contact with prospective clients, accept retainers on behalf of Defendant Juarez, conduct client interviews, collect biographical information supporting a client s application/petition for immigration, complete clients applications/petitions for legal resident status and other forms and file them with the U.S. Immigration and Naturalization Service ( INS ), maintain client files, bill and collect fees from clients, and keep financial records relating to clients accounts. 15. Defendant Ybarra was approached at her place of business by persons seeking to inquire about her services. Defendant Ybarra offered her services for sale and at such time made misrepresentations to these persons in order to induce them into purchasing her services. Specifically, Defendant Ybarra misrepresented that she would get legal resident status and a work permit for those persons who purchased her services. Defendants clients were mainly Mexican nationals who sought to immigrate legally to the United States, but who were ineligible for legal resident status or a work permit in the United States. 16. In reliance on Defendant Ybarra s representations, consumers purchased her services by paying a fee of approximately $ For these consumers, herein referred to as clients, Defendant Ybarra completed and issued a form document titled Notice of Representation ( Notice ). The photograph and fingerprint of the client was affixed to the Notice. The Notice was given to the clients for the purpose of being carried on their person and was used to notify U.S. Immigration agents, in the event of a client s apprehension, that the named client was being represented by Defendant Juarez and that Defendant Juarez had filed a petition for legal resident status on the client s behalf. 17. The Notice is a form document, primarily written in English, that was authored and signed by Defendant Juarez and printed on his law office stationery. A copy of a sample Notice is attached hereto as State s Exhibit 2 and incorporated herein for all purposes. Even though Defendant Juarez did not know whether or not clients qualified for legal resident status or a work permit, Defendant Juarez authorized Defendant Ybarra to issue the Notices of Representation to clients on his behalf. 18. Defendant Ybarra misrepresented to clients that the Notice would protect them from being deported if they were to be apprehended by U.S. Immigration agents. Defendant Ybarra also misrepresented to clients that this Notice would allow them to work legally in the United States while the clients applications for immigration were pending with the INS. 8

17 As a consequence, Defendants clients believed that they could work and travel legally in the United States when in fact they were subject to immediate deportation if apprehended by U.S. Immigration agents. 19. At the times Defendant Ybarra made the misrepresentations concerning her services and the Notice, as alleged in paragraphs 15 and 18 above, she was acting as an agent on behalf of and under the authority of Defendant Juarez and was acting within the scope of her authority. 20. On or about December 1998, Defendant Juarez terminated the Service Agreement with Defendant Ybarra. Thereafter, Defendant Ybarra continued to engage in the business practices alleged above in paragraphs 13, 15, 16 and 18, except as follows. The Notice of Representation, which Defendant Ybarra issued and gave to clients who purchased her services, was not printed on Defendant Juarez stationery and was revised in minor respects. A sample of the revised Notice, used by Defendant Ybarra after December 1998, is attached hereto as State s Exhibit 3 and incorporated herein for all purposes. 21. At the time Defendant Ybarra offered her services for sale to persons who were ineligible for legal resident or work status in the United States, Defendant Ybarra knew her services would be ineffectual to achieve legal resident and work status for them, but failed to disclose this information concerning her services. Such failure to disclose was intended to induce these persons into purchasing her immigration services, a transaction into which these persons would not have entered had the information been disclosed. DTPA VIOLATIONS 22. Defendants, as alleged above, have in the course of trade and commerce engaged in false, misleading and deceptive acts and practices declared unlawful in 17.46(a) and (b) of the DTPA as follows: A. By representing that they can get legal resident status and a work permit for consumers who are ineligible for legal resident status or a work permit in the United States, Defendants are representing that their services have characteristics, uses or benefits which they do not have, in violation of 17.46(b)(5) of the DTPA; and B. By failing to disclose that their services would be ineffectual to achieve legal resident and work status for consumers who are ineligible for such status, when such failure to disclose was intended to induce these consumers into purchasing her immigration services, a transaction into which these consumers would not have entered had the information been disclosed, Defendants are in violation of 17.46(b)(23) of the DTPA. 9

18 INJURY TO CONSUMERS 23. Defendants have, by means of these unlawful acts and practices, obtained money or other property from identifiable persons to whom such money or property should be restored or who, in the alternative, are entitled to an award of damages. 24. Because Defendants have engaged in the unlawful acts and practices described above, Defendants have violated the law as alleged in this petition. Unless restrained by this Honorable Court, Defendants will continue to violate the laws of the STATE OF TEXAS and cause damage to the general public. PRAYER WHEREFORE, Plaintiff prays that Defendants be cited according to law to appear and answer herein; that after due notice and hearing a TEMPORARY INJUNCTION be issued; and upon final hearing a PERMANENT INJUNCTION be issued, restraining and enjoining Defendant Ybarra, her officers, agents, servants, employees and attorneys and any other person in active concert or partic ipation with Defendant Ybarra from engaging in the following acts or practices: A. Offering to render or rendering immigration services unless Defendant is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; B. Engaging in the practice of immigration law unless Defendant is licensed to practice law by the Supreme Court of the State of Texas or is accredited to practice immigration law by the United States Board of Immigration Appeals; C. Representing, direc tly or by implication, herself as an immigration specialist, immigration counselor or immigration consultant, unless recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; D. Holding herself out to the public by any title or designation incorporating the word immigration, or an abbreviation thereof, unless Defendant is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; E. Affixing the title or designation Immigration Specialist, Immigration Counselor. or Immigration Consultant to any business card, pamphlet, stationery, letterhead, public document, or other means of 10

19 identification in conjunction with an address, place of business or telephone number of Defendant that is in the State of Texas, unless Defendant is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; F. Advertising or promoting immigration services in any telephone directory, newspaper, magazine, pamphlet, flier or any other medium for advertising in conjunction with an address, place of business or telephone number of Defendant that is in the State of Texas, unless Defendant is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; G. Showing, directly or by implication, any affiliation, connection, or association of any address or telephone number in the United States with any immigration service in Mexico; H. Representing, directly or by implication, that Defendant can get legal resident status and a work permit for persons who purchase her services; I. Representing, directly or by implication, that the Notice of Representation will protect a person from deportation or that it allows a persons to work legally in the United States; J. Accepting any money or other valuable consideration for providing immigration services or documents to persons seeking to immigrate or work in the United States, unless Defendant is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; K. Representing, directly or by implication, that this Court, the Immigration and Naturalization Service or the Office of the Attorney General has approved any good or service sold or offered for sale by Defendant, or approved of any of Defendant s business practices. In addition, Plaintiff STATE OF TEXAS respectfully prays that this Court will: A. Adjudge against each Defendant civil penalties in favor of Plaintiff STATE OF TEXAS in the amount of $2,000 per violation of the DTPA, not to exceed a total of $10,000; B. Order Defendants to restore all money or other property taken from identifiable persons by means of unlawful acts or practices, or in the alternative award judgment for damages to compensate for such losses; C. Adjudge against each Defendant reasonable attorney s fees and court costs pursuant to TEX. GOV T. CODE ANN (Vernon 1990); 11

20 D. Adjudge against each Defendant prejudgment and postjudgment interest at the highest lawful rate; and E. Adjudge that all fines, penalties or forfeitures payable to and for the benefit of the State are not dischargeable under bankruptcy pursuant to 11 U.S.C. 523(a)(7). Further, Plaintiff STATE OF TEXAS respectfully prays this Court for all other relief to which Plaintiff STATE OF TEXAS may be justly entitled. Respectfully submitted, JOHN CORNYN Attorney General of Texas HOWARD G. BALDWIN, JR. First Assistant Attorney General JEFFREY S. BOYD Deputy Attorney General for Litigation PAUL D. CARMONA Chief, Consumer Protection Division RIC MADRIGAL Assistant Attorney General State Bar No Office of the Attorney General Consumer Protection Division 3201 N. McColl, Suite B McAllen, TX (956) ; Fax (956) Attorney for Plaintiff 12

21 VERIFICATION STATE OF TEXAS COUNTY OF HIDALGO BEFORE ME, the undersigned authority, on this day personally appeared affiant Rozanne N. Lopez, who proved to me through current Texas Driver License to be the person whose name is subscribed to this Verification and who acknowledged to me that she executed the same, and after she was duly sworn, upon her oath, she deposed and said that the affiant is an investigator for the Office of Attorney General, and is authorized to make this affidavit, that the affiant has carefully read the allegations in the foregoing PLAINTIFF S AMENDED PETITION, and has reason to believe that each and all said allegations are true and correct; and affiant signs this Verification, pursuant to Rule 682 of the TEXAS RULES OF CIVIL PROCEDURE. ROZANNE N. LOPEZ INVESTIGATOR SUBSCRIBED AND SWORN TO before me on the day of, NOTARY PUBLIC IN AND FOR THE STATE OF TEXAS 13

22 NO. C C THE STATE OF TEXAS, IN THE DISTRICT COURT Plaintiff, v. HILDA YBARRA HERNANDEZ HIDALGO COUNTY, TEXAS d/b/a YBARRA S IMMIGRATION SERVICES AND RODOLFO JAVIER JUAREZ, d/b/a THE LAW OFFICE OF RUDY JUAREZ, Defendants 139th JUDICIAL DISTRICT FINAL JUDGMENT AND PERMANENT INJUNCTION On April 1, 2002, the Court called this action for trial. Plaintiff, STATE OF TEXAS, acting by and through Attorney General of Texas JOHN CORNYN, appeared and announced ready for trial. Defendant HILDA YBARRA HERNANDEZ d/b/a YBARRA S IMMIGRATION SERVICES appeared in person and through her attorney and announced ready for trial. Defendant RODOLFO JAVIER JUAREZ, d/b/a THE LAW OFFICE OF RUDY JUAREZ appeared pro se and announced ready for trial. The Court determined it had jurisdiction over the subject matter and the parties to this proceeding. The Court then impaneled and swore the jury, which heard the evidence and arguments of counsel. The Court submitted questions, definitions, and instructions to the jury. In response, the jury made findings that the Court received, filed, and entered of record. The questions submitted to the jury and the jury s answers are attached as State s Exhibit 1 and incorporated by reference. Plaintiff, STATE OF TEXAS, moved for judgment on the verdict. The Court considered the motion and renders judgment for Plaintiff STATE OF TEXAS, as set forth below. 14

23 PROHIBITORY INJUNCTIVE RELIEF IT IS THEREFORE ORDERED, ADJUDGED AND DECREED by the Court that Defendant HILDA YBARRA HERNANDEZ ( Defendant Ybarra ) and her agents, servants, employees, and all persons acting in concert with Defendant Ybarra, who receive actual notice of this injunction by personal service or otherwise, are hereby permanently enjoined from engaging in or attempting to engage in the following described acts: A. Offering to render or rendering immigration services unless Defendant Ybarra is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; B. Engaging in the practice of immigration law unless Defendant Ybarra is licensed to practice law by the Supreme Court of the State of Texas or is accredited to practice immigration law by the United States Board of Immigration Appeals; C. Representing, directly or by implication, herself as an immigration specialist, immigration counselor or immigration consultant, unless recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; D. Holding herself out to the public by any title or designation incorporating the word immigration, or an abbreviation thereof, unless Defendant Ybarra is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; E. Affixing the title or designation Immigration Specialist, Immigration Counselor or Immigration Consultant to any business card, pamphlet, stationery, letterhead, public document, or other means of identification in conjunction with an address, place of business or telephone number of Defendant Ybarra that is in the State of Texas, unless Defendant Ybarra is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; F. Advertising or promoting immigration servic es in any telephone directory, newspaper, magazine, pamphlet, flier or any other medium for advertising in conjunction with an address, place of business or telephone number of Defendant Ybarra that is in the State of Texas, unless Defendant Ybarra is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; 15

24 G. Showing, directly or by implication, any affiliation, connection, or association of any address or telephone number in the United States with any immigration service in Mexico; H. Representing, directly or by implication, that Defendant Ybarra can get legal resident status and a work permit for persons who purchase her services; I. Representing, directly or by implication, that the Notice of Representation will protect a person from deportation or that it allows a persons to work legally in the United States; J. Accepting any money or other valuable consideration for providing immigration services or documents to persons seeking to immigrate or work in the United States, unless Defendant Ybarra is recognized and certified by the U.S. Immigration and Naturalization Service to provide immigration services; and K. Representing, directly or by implication, that this Court, the Immigration and Naturalization Service or the Office of the Attorney General has approved any good or service sold or offered for sale by Defendant Ybarra, or approved of any of Defendant Ybarra s business practices. IT IS FURTHER ORDERED, ADJUDGED AND DECREED by the Court that Defendant RODOLFO JAVIER JUAREZ ( Defendant Juarez ) and his agents, servants, employees, and all persons acting in concert with Defendant Juarez, who receive actual notice of this injunction by personal service or otherwise, are hereby permanently enjoined from engaging in or attempting to engage in the following described acts: A. Engaging in the practice of immigration law unless Defendant Juarez is licensed to practice law by, and is an attorney in good standing with, the Supreme Court of the State of Texas; B. Appointing an agent for the provision of any immigration or immigration-related service, including but not limited to client solicitation, client interviews, client consultations, marketing and advertising, billing and fee collection, management, administration, financial record keeping and reporting; and C. Representing, directly or by implication, that this Court, the Immigration and Naturalization Service or the Office of the Attorney General has approved any good or service sold or offered for sale by Defendant Juarez, or approved of any of Defendant Juarez business practices. 16

25 MONETARY JUDGMENT IT IS FURTHER ORDERED, ADJUDGED AND DECREED by the Court that Plaintiff STATE OF TEXAS have and recover from Defendant HILDA YBARRA HERNANDEZ the sum of $225, comprised of the following amounts: A. The amount of $178, as civil restitution to the STATE OF TEXAS to restore money acquired by means of false, misleading, or deceptive acts or practices of Defendant; B. The amount of $10, as civil penalties to the STATE OF TEXAS; C. The amount of $37, as reasonable and necessary attorney s fees to the STATE OF TEXAS in the prosecution of this action; and post judgment interest on the sum of $225, at the rate of 10% per annum from the date of this judgment until paid. IT IS FURTHER ORDERED, ADJUDGED AND DECREED by the Court that Plaintiff STATE OF TEXAS have and recover from Defendant RODOLFO JAVIER JUAREZ the sum of $36, comprised of the following amounts: A. The amount of $16, as civil restitution to the STATE OF TEXAS to restore money acquired by means of false, misleading, or deceptive acts or practices of Defendant; B. The amount of $10, as civil penalties to the STATE OF TEXAS; C. The amount of $10, as reasonable and necessary attorney s fees to the STATE OF TEXAS in the prosecution of this action; and post judgment interest on the sum of $36, at the rate of 10% per annum from the date of this judgment until paid. The Court, after duly considering the evidence and the law, is of the opinion and so finds that the $9, in United States currency seized by the Hidalgo County Sheriff s Office and the United States Immigration and Naturalization Service, as a result of a search warrant executed on or about April 6, 2000, at the residence of Defendant Ybarra located at Mile 19 ½ North and FM 493, was money acquired from consumers by Defendant Ybarra by means of false, misleading, or deceptive acts or practices in the conduct of her business. With respect to such U.S. currency, 17

26 held by Rene Guerra, Criminal District Attorney in and for Hidalgo County, Texas, as contraband subject to forfeiture in Cause No. C A, IT IS ORDERED, ADJUDGED AND DECREED by the Court that the $9, in United States currency, together with all accumulated interest, be and is hereby forfeited to Plaintiff STATE OF TEXAS, through the Consumer Protection Division of the Attorney General of Texas, for the benefit of consumers, to be used to make restitution to those consumers who are victims of Defendants unlawful business practices. IT IS FURTHER ORDERED, ADJUDGED AND DECREED by the Court that with respect to amounts of civil restitution that the STATE OF TEXAS may collect from Defendant Ybarra or Defendant Juarez, the review, determination and allocations of amounts of money to be restored to identifiable persons shall be within the sole discretion of the Consumer Protection Division of the Attorney General of Texas. IT IS FURTHER ORDERED, ADJUDGED AND DECREED by the Court that Defendants are jointly and severally liable for all costs of court expended or incurred in this cause. IT IS FURTHER ORDERED that the clerk of the court shall issue a writ of injunction that conforms with this judgment and all legal requirements, and that Plaintiff shall have all writs of execution and other process necessary to enforce this judgment. All relief not expressly granted herein is denied. SIGNED on, PRESIDING JUDGE APPROVED AS TO FORM: RIC MADRIGAL Assistant Attorney General State Bar No Office of the Attorney General of Texas Consumer Protection Division 3201 N. McColl, Suite B McAllen, TX (956) ; Fax (956) Attorney for Plaintiff 18

27 NO STATE OF TEXAS IN THE DISTRICT COURT OF Plaintiff, V. HARRIS COUNTY, TEXAS YULIYA FROLOV, ALEKSANDR NOVIKOV VLADLEN BREGER d/b/a INTERNATIONAL AUTOMOBILE DRIVERS, Defendants 61 st JUDICIAL DISTRICT PLAINTIFF S ORIGINAL VERIFIED PETITION AND EX PARTE APPLICATION FOR TEMPORARY RESTRAINING ORDER, TEMPORARY INJUNCTION AND PERMANENT INJUNCTION COMES NOW the State of Texas, Plaintiff, by and through Attorney General GREG ABBOTT (referred to herein as Attorney General ), on behalf of the interest of the general public of the State of Texas, and complains of Yuliya Frolov 2, Aleksandr Novikov 3 and Vladlen Breger, doing business as International Automobile Drivers, Defendants. The Plaintiff would respectfully show the Court the following: DISCOVERY 1. Discovery shall be conducted under LEVEL 2 of Rule 190.3, of the Texas Rules of Civil Procedure. JURISDICTION 2. This action is brought by Attorney General Greg Abbott in the name of the STATE OF TEXAS and in the public interest under the authority granted by of the Deceptive Trade Practices-Consumer Protection Act, TEX. BUS. & COM. CODE ANN et seq. (hereinafter DTPA ), on the grounds that Defendants have engaged in false, deceptive, and misleading acts and practices in the course of trade and commerce as defined in, and declared unlawful by the DTPA. See TEX. BUS. & COM. CODE ANN (a) and 17.46(b). This action is also brought pursuant to TEX. BUS. & COM. CODE ANN et seq. (Uniform Fraudulent Transfer Act). 2 Yuliya Frolov is also known as Yoliya Frolov and Julia Frolov. 3 Alexandr Novikov is also known as Alexander Novikav. 19

28 DEFENDANTS 3. Aleksandr Novikov is an individual residing in Kings County, New York, who can be served with process by serving him at 921 Brighton 1 st Road, Apt. 5B,Brooklyn, New York or alternatively at 249 Brighton Beach Avenue, Brooklyn, New York, Vladlen Breger is an individual residing in Kings County, New York, who can be served with process by serving him at 921 Brighton 1 st Road, Apt. 5B, Brooklyn, New York or alternatively at 249 Brighton Beach Avenue, Brooklyn, New York, Yuliya Frolov is an individual residing in Harris County, Texas, who can be served with process at 305 Sage Road, #906, Houston, Texas VENUE 6. Venue for this action lies in Harris County pursuant to 17.47(b) of the DTPA because Defendants resided, did business, and had their principal place of business in Harris County, Texas. Venue also lies in Harris County, Texas pursuant to TEX. CIV. PRAC. & REM. CODE ANN (a)(1)-(3) because Harris County is the place where all or a substantial part of the events or omissions giving rise to this claim occurred, and because all of the individual Defendants residences and their principal place of business were situated in Harris County at the time this cause of action accrued. PUBLIC INTEREST 7. Because the Attorney General has reason to believe that Defendants have engaged in, and will continue to engage in the unlawful practices set forth below, the Attorney General has reason to believe defendants have caused and will cause immediate, irreparable injury, loss and damage to the State of Texas, and will also cause adverse effects to legitimate business enterprises which lawfully conduct trade and commerce in this State. Therefore, the Attorney General believes and is of the opinion that these proceedings are in the public interest. TRADE AND COMMERCE 8. Defendants have, at all times described below, engaged in conduct constituting trade and commerce, as those terms are defined in 17.45(6) of the DTPA. 20

29 ACTS OF AGENTS 9. Whenever in this petition it is alleged that Aleksandr Novikov, Vladlen Breger and Yuliya Frolov did any act or thing, it is meant that Aleksandr Novikov, Vladlen Breger and Yuliya Frolov performed or participated in such act or thing or that such act was performed by the officers, agents or employees of Aleksandr Novikov, Vladlen Breger and Yuliya Frolov and in each instance, the officers, agents or employees of Aleksandr Novikov, Vladlen Breger and Yuliya Frolov were then authorized to and did in fact act on behalf of Aleksandr Novikov, Vladlen Breger and Yuliya Frolov or otherwise acted under the guidance and direction of Aleksandr Novikov, Vladlen Breger and Yuliya Frolov. NOTICE 10. Pursuant to 17.47(a) of the Deceptive Trade Practices Act, contact has not been made with the Defendants to inform them of the unlawful conduct alleged herein, because Plaintiff is of the opinion that there is good cause to believe that such an emergency exists that immediate and irreparable injury, loss or damage would occur as a result of such delay in obtaining a temporary restraining order, and that Defendants would evade service of process, destroy relevant records and secrete assets if prior notice of this suit were given. SPECIFIC FACTUAL ALLEGATIONS 11. Defendants, Aleksandr Novikov and Vladlen Breger filed an Assumed Name Certificate on February 17, 2000, to do business as International Automobile Drivers. (Exhibits 1 [para.5] & 8 ). The business address listed on the assumed name certificate is 5312A Bellaire Boulevard, Bellaire, Texas (Exhibits 1 [para.5 & 10], 8 & 31 [p. 37, lines ). Defendant Yuliya Frolov is a business associate of Novikov and Breger and is also the girlfriend of Breger. (Exhibits 1 [para.9, 12, & 13], 24 [para.5], 41 & 42 ). 12. Defendants offer consumers identification cards labeled as International Driver s Licenses for a fee ranging from $150 to $200 each. (Exhibits 1 [para. 10], 31 [p. 18, lines 11-16] & 32 [p.70, lines 5-9] ). 13. Defendants represent to consumers that this form of identification can be legally valid as a driver s license in any state, including the State of Texas, and in any nation around the world, and is therefore more valuable than a Texas driver s license. (Exhibit 31 [p. 87, lines 20-23; p.92, lines 2-7] ). 14. Defendants represent to consumers that police officers will accept the International Driver s Licenses sold by them in place of a valid Texas driver s license. 21

30 15. Defendants represent to consumers that the driver s licenses sold by them are sufficient for consumers to obtain automobile insurance in Texas. (Exhibit 31 [p. 90, lines 2-5; p.91, lines 19-22] & 32 [p.31, line 16] ). 16. Defendants advertised in local newspapers and periodicals that these driver s licenses are valid in any U.S. State for a period of ten years. (Exhibits 2 & 32 [p.62, lines 6-8] ). 17. Defendants falsely represented to consumers that their product was validated as a driver s license by the United States government through an agreement sponsored by the United Nations. (Exhibits 31 [p.93, lines 11-23] & 32 [p. 63, lines 21-25; p. 64, lines 1-8] ). 18. Defendants specifically targeted immigrant victims by advertising primarily in Spanish-language newspapers throughout the Houston area. (Exhibits 1 [para.3 & 4], & 2-7 ). 19. The Mexican Consulate received several complaints from Mexican nationals who purchased these fraudulent licenses after being misled by Defendants. 20. Defendants affirmatively misrepresented to consumers the regulations set forth by the United Nations Conference on Road Traffic by implying that said regulations allowed the Defendants to issue International Driver s Licenses and that the United States and other nations agreed to accept such licenses issued by Defendants. (Exhibit 1 [para. 14], & 43"). 21. The International Convention on Road Traffic of 1949 only authorized two organizations, the American Automobile Association and the American Automobile Touring Alliance to sell International Driving Permits (IDP s) to United States Citizens. (Exhibit 1 [para. 14], & 43 ). These permits allow U.S. citizens with a valid U.S. drivers license to drive in foreign countries that participated in the treaty. (Exhibit 43 ). 22. Defendants are not authorized by either the State of Texas, the United States government, or the United Nations to issue International Driver s licenses. (Exhibit 43 ). The driver s licenses issued by Defendants are completely bogus. (Exhibits 43 ). 23. Defendants also operate a location in Dallas at 509 North Winnetka, Suite 206. (Exhibits 1 [para. 4 & 10], 3 & 10 ). Defendants paid the rent at this Dallas location, and have paid for advertising at this location, with checks drawn on their Houston business checking account. (Exhibits 1 [para. 4 & 10], 3, 31 [p. 50, lines 16-25; p. 51 lines 1-15], 22