- Associated Press - Tuesday, January 20, 2015

HOUSTON (AP) - The ex-CEO of a South Texas trucking company serving Mexico factories faces up to 20 years in prison for his role in a $26 million credit scheme.

Sergio Lagos on Tuesday pleaded guilty to conspiracy to commit wire fraud and six counts of wire fraud.

Prosecutors in Houston say Lagos formerly led USA Dry Van Logistics in McAllen. Two other executives in 2013 pleaded guilty to conspiracy to commit wire fraud.

The case involved a revolving line of credit with GE Capital Corp. and funds borrowed from 2008 through 2010.

Prosecutors say USA Dry Van Logistics concealed its declining performance before going bankrupt, causing $26 million in losses to GE Capital Corp.

Lagos and his two co-defendants are no longer associated with the company, which emerged from bankruptcy protection.

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