Jael Watts and Luis Pino-Copete are shown taking a picture. (Photo courtesy of the Department of Justice)
A man and woman were by a jury convicted of arranging a nationwide scheme to steal millions of dollars in federal program funds allocated by the U.S. Department of Transportation (DOT) and the U.S. Department of Housing and Urban Development (HUD), designed to benefit elderly, disabled, and homeless Americans.
Jael Watts, 45, of Alloway, New Jersey, and Luis Pino-Copete, 42, of Bogota, Colombia were convicted for their crimes.
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The Department of Justice said in a release that Watts was convicted of one count of false statement, one count of aggravated identity theft, five counts of wire fraud; and Watts and Pino-Copete were convicted of one count of wire fraud conspiracy, one count of false document, and one count of aggravated identity theft.
‘Operation Thunder Hole’ $13 million fraud scheme
Dig deeper:
Jael Watts and Luis Pino-Copete ran a shell company called Pearl Transit Corporation in New Jersey which employed drivers all over the United States who gave rides to older and disabled individuals and was involved in outreach for homeless people.
Department of Justice officials said Pearl Transit Corporation didn’t perform the services or employ workers for those duties. Between July 2019 and October 2025, Watts concocted and carried out a scheme to defraud state and local administrators of federal funds to support those in need.
During that time, Watts and Pino-Copete sought reimbursement of more than $13 million in federal funds through false claims and submissions.
Jael Watts and Luis Pino-Copetes spend their fraudulent earnings in hotel. (Photo courtesy of the Department of Justice)
The duo lived an extravagant lifestyle off more than $1.6 million in federal funds they illegally obtained through the scheme, including on exotic car rentals, luxury clothes and vacations.
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In 2023, Watts married Pino-Copete in Colombia, and he joined the fraud scheme in January 2024. According to the DOJ, Pino-Copete entered the United States in January 2025 on a visa issued in December 2024, and his role in the crimes increased after Watts was initially charged with wire fraud tied to the scheme in July 2025.
Luis Pino-Copete shows off fraudulent earnings. (Photo courtesy of the Department of Justice)
According to the DOJ, in another part of the scheme Watts and Pino-Copete sought Housing and Urban Development (HUD) Community Development Block Grant restitution alleging they provided free dental implants to homeless individuals.
However, Watts and Pino-Copete printed dentures at their home with a 3-D printer and charged homeless individuals’ money for scamming their mouths and fitting the dentures.
A joint federal and state probe exposed a multi-year nationwide scheme by Watts to steal federal program funds perpetrated against administrators of federal programs across the country.
Jael Watts is shown in jail. (Photo courtesy of the Department of Justice)
According to the DOJ, Watts and Pino-Copete face a mandatory minimum of two years in prison, a maximum of twenty years in prison, fines up to $250,000, and supervised release terms of up to three years.
Watts and Pino-Copete also face a restitution order of roughly $1.9 million. In addition, Pino-Copete, who is not an American citizen, faces removal and deportation after completion of any term of imprisonment. Sentencing is scheduled for Jan. 21, 2027.
The Source: Information for this story was provided by a Department of Justice release detailing the case and charges against Jael Watts and Luis Pino-Copete. This story was reported from Washington, D.C.