Representative Henry Cuellar, a Texas Democrat in a crucial swing district, and his wife have been charged in a $600,000 bribery scheme involving Azerbaijan and a Mexican bank, as per a federal indictment unsealed in Houston on Friday.
The accusations against Mr. Cuellar, 68, and his wife Imelda, 67, revolve around allegations of bribery and money laundering related to their work on behalf of an oil and gas company owned by Azerbaijan’s leaders and an unnamed bank in Mexico City, according to the 54-page complaint.
Mr. Cuellar, a Laredo native first elected in 2004, is also accused of acting as an agent of a foreign entity while a U.S. government official, by delivering a speech favoring Azerbaijan in Congress and inserting provisions into aid bills to benefit those who were paying bribes to his family.
The government alleges that Mr. Cuellar was paid to support legislation that would hinder regulation of the payday loan industry and weaken money laundering laws affecting Mexico’s banking sector.
The couple was released on Friday after posting a $100,000 bond each, following a brief appearance before a federal magistrate in Houston. Mr. Cuellar has vehemently denied any wrongdoing, and Representative Hakeem Jeffries of New York stated that Mr. Cuellar would take leave from his position as the top Democrat on the Homeland Security Appropriations Subcommittee while fighting the charges.
The indictment has cast doubt on the Democratic Party’s chances of holding the district, which runs along the border with Mexico and holds significant political importance. Mr. Cuellar, known as one of the more conservative Democrats in the House, has maintained his innocence and vowed to continue his re-election campaign despite the allegations.