Discovery Made in Monthslong Homeland Security Task Force Investigation
June 2, 2026 – SAN DIEGO, CA – A Homeland Security Task Force federal drug investigation of a supposed retail store in Otay Mesa has resulted in the discovery of a sophisticated cross-border tunnel and charges against four people for conspiring to distribute more than a ton of cocaine estimated to be worth $45 million.
The subterranean passageway, stretching from Tijuana, Mexico to the purported retail store near the Otay Mesa Port of Entry known as “Buy 4 Less,” is estimated to be about 1,933 feet long, 55 feet deep and 4.5-feet in height, with reinforced walls, rail and ventilation systems and electricity.
The defendants include Gregorio Epifanio Hernandez Lopez of San Diego; Brandon Escalante Sandoval of Mexico; Jose Jimenez of San Diego; and Antonio Cortez of Mexico. Hernandez Lopez is charged with Conspiracy to Use a Cross-Border Tunnel and Conspiracy to Import Controlled Substances; all are charged with Conspiracy to Distribute Controlled Substances.
According to a federal complaint, investigators from Homeland Security Investigations Tunnel Task Force maintained regular surveillance on the Buy 4 Less warehouse from December 2025 to May 2026 due to suspicious activity there.
In December 2025, a new group of around seven or eight “employees” were seen regularly, in and around Buy 4 Less. These individuals included defendant Hernandez, whom agents observed at Buy 4 Less beginning in at least January 2026. During the surveillance, the activity around the Buy 4 Less location did not appear to be consistent with a normal retail location. For example, investigators observed minimal foot traffic from customers coming in and out of the Buy 4 Less store.
Hernandez and the other supposed “employees” that regularly frequented the store engaged in unusual activity such as transporting large numbers of suitcases out of the store and into vehicles or walking the suitcases across the border into Mexico. Based on how Hernandez and the others handled the suitcases, they appeared to be empty so law enforcement did not intervene.
According to the complaint, on May 29, 2026, while conducting surveillance on Buy 4 Less, agents observed a male loading three large, heavy items into a white van which departed Buy 4 Less and ultimately parked on the street near a mechanic shop located at 923½ Coolidge Ave. A male on a bicycle, later identified as defendant Brandon Escalante, was seen conducting counter surveillance in the area by riding his bicycle while looking around and into parked cars.
Escalante later approached the van, removed the vehicle key that had been concealed in the gas cap area, got into the van and reversed it into 923½ Coolidge Avenue. Agents observed that the van was backed up to another white van with the rear doors from both vans open. A white stake bed truck then entered 923½ Coolidge Avenue. Agents watched people remove three deep freezers from the first van and place them onto the bed of the truck, then load the deep freezers with packages.
After the packages were loaded into the deep freezers, the truck exited 923½ Coolidge Avenue and parked a short distance away. Escalante was seen exiting the truck, grabbing his bicycle from the truck bed, placing the keys underneath the truck on the passenger side, and departing the area. Agents then observed another male, later identified as Defendant Jimenez, grab the vehicle keys and drive away in the truck. San Diego County Sheriff’s deputies subsequently conducted a traffic stop of the truck, with lights flashing, and a K9 police dog alerted to the presence of controlled substances.
Shortly after the traffic stop of the truck, agents watching Buy 4 Less observed two unidentified males take heavy boxes out of Buy 4 Less and load them into a second truck. Hernandez entered the second truck and drove away. San Diego County Sheriff’s deputies conducted a traffic stop of that second truck a short distance away from the Buy 4 Less, and a K9 police dog alerted to the presence of controlled substances.
San Diego Sheriff's deputies also stopped the second van, driven by a male later identified as Antonio Cortez, at 923½ Coolidge Avenue. Sheriff’s deputies again received a positive K9 alert for the presence of controlled substances in the vehicle.
According to the complaint, following the traffic stops, federal agents discovered the following during inspections of the second van and two trucks:
- 173 total packages in the truck stopped near 923½ Coolidge Avenue, with a total approximate weight of 286.20 kgs (630.96 lbs.);
- 423 total packages in the truck stopped near Buy 4 Less, with a total approximate weight of 469.40 kgs (1034.84 lbs.); and
- 255 total packages in the van stopped near 923½ Coolidge Avenue, with a total approximate weight of 274 kgs (604.06 lbs.).
The packages contained a substance, a sample of which field tested positive for cocaine, with a total approximate weight of 1,029.60 kgs (2,269.87 pounds)—or well over 1 ton.
Following seizure of the suspected cocaine on May 29, 2026, a U.S. Magistrate Judge signed warrants authorizing searches at Buy 4 Less and 923½ Coolidge Avenue. At Buy 4 Less, agents found the exit point of the subterranean tunnel, concealed under the floor of a storage room within the store. The tunnel, which was accessed using a sophisticated hydraulic lift, is approximately 55 feet deep and extends approximately 1,064 feet from its exit point at Buy 4 Less to the U.S./Mexico International Border, where agents estimate it continues for another approximately 800 feet to its entry point. The tunnel is equipped with electricity and ventilation and, at some points, is up to 4.5 feet tall.
“For these defendants, it wasn’t a light at the end of the tunnel. It was lights and sirens,” said U.S. Attorney Adam Gordon.
“This investigation and seizure represent a significant blow to the Jalisco New Generation Cartel. The discovery and dismantlement of this sophisticated cross-border tunnel, along with the seizure of more than a ton of cocaine, underscore the commitment and collaboration of Homeland Security Investigations and our Homeland Security Task Force (HSTF) partners” said Kevin Murphy, acting Special Agent in Charge for HSI San Diego. “HSI Special Agents and task force members worked tirelessly to disrupt the flow of dangerous narcotics into our communities, and we remain steadfast in our mission to protect the public and keep our communities safe.”
“Criminal organizations continue to look for ways to exploit our border, but they underestimate the determination of the men and women protecting it,” said U.S. Border Patrol San Diego Sector Chief Patrol Agent Justin De La Torre. “This tunnel’s discovery is a testament to our strong partnerships and the unwavering commitment of law enforcement on both sides of the border.”
“Law enforcement collaboration is the backbone of dismantling sophisticated transnational drug cartels, as these organizations rely on vast illicit supply chains spanning multiple jurisdictions,” said San Diego County Sheriff Kelly Martinez. “Joint operations disrupt trafficking networks, choke illicit financial flows, and prevent transnational cartels from exploiting jurisdictional gaps. The Sheriff's Office is grateful for the partnerships, hard work, and dedication of everyone involved in this investigation and we will continue to support our federal partners in cases that keep our communities safe.”
“The San Diego Imperial Valley HIDTA proudly supports federal, state and local law enforcement agencies in their efforts to target transnational criminal organizations who place a priority on proceeds from drug trafficking over human lives,” said David King, Executive Director of San Diego Imperial Valley HIDTA. “The drugs recovered from this sophisticated cross border tunnel will thankfully never make it into communities throughout California and the United States thereby saving countless lives from the scourges of drug addiction and overdose deaths.”
There have been 99 subterranean passages discovered in the Southern District of California since 1993. Of those, 28 were considered sophisticated. The last operational tunnel discovered in the Southern District of California was in 2022.
The defendants are scheduled to be arraigned this afternoon by U.S. Magistrate Judge Valerie E. Torres.
This case is being prosecuted by Assistant U.S. Attorneys Michael Deshong and Jordan Arakawa.
View videos of the tunnel below:
https://youtube.com/shorts/PkMfeXh6C6Y
https://youtube.com/shorts/6D0kSckaSE0
DEFENDANTS Case Number 26mj03219
Gregorio Epifanio Hernandez Lopez Age: 29 San Diego, California
Jose Jimenez Age: 32 San Diego, California
Antonio Cortez Age: 18 Mexico
Brandon Escalante Sandoval Age: 26 Mexico
SUMMARY OF CHARGES
Constructing, Financing, or Using Unauthorized Tunnels—Title 18, U.S.C., Section 555
Maximum penalty: Life in prison and $10 million fine
*Hernandez Lopez
Importation of a Controlled Substance—Title 21, U.S.C., Section 841 and 846
Maximum penalty: Life in prison and $10 million fine
*Hernandez Lopez
Distribution of a Controlled Substance—Title 21, U.S.C., Section 841 and 846
Maximum penalty: Life in prison and $10 million fine
*All defendants
INVESTIGATING AGENCIES
Homeland Security Investigations
U.S. Border Patrol
San Diego County Sheriff’s Office
Drug Enforcement Administration
U.S. Customs and Border Protection
Federal Bureau of Investigation
High Intensity Drug Trafficking Area Program
California Department of Justice
*Indictments and criminal complaints are merely allegations and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. HSTF San Diego comprises agents and officers from FBI, Homeland Security Investigations, DEA, ATF, U.S. Marshals, Department of Defense, U.S. Postal Inspection Service, Naval Criminal Investigative Service, IRS Criminal Investigation, U.S. Coast Guard, U.S. Customs and Border Protection and Interpol, with the prosecution being led by the United States Attorney’s Office for the Southern District of California.
High Intensity Drug Trafficking Areas (HIDTA) program, created by Congress with the Anti-Drug Abuse Act of 1988, provides assistance to Federal, state, local, and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States. This grant program is administered by the Office of National Drug Control Policy (ONDCP). There are currently 33 HIDTAs, and HIDTA-designated counties are located in 50 states, as well as in Puerto Rico, the U.S. Virgin Islands, and the District of Columbia.
Source: DOJ Release
Statement from San Diego County Sheriff's Office: On Monday, June 1, San Diego County Sheriff Kelly Martinez joined our law enforcement partners in announcing the discovery of an elaborate cross-border tunnel in Otay Mesa. The San Diego County Sheriff's Office is proud to be a part of the investigation that led to four arrests and the seizure of more than $45 million worth of cocaine that was transported through the tunnel. Sheriff Martinez said: "I am proud of our long-standing partnerships with our federal partners in the region and our collaborative efforts in this investigation. Sheriff detectives were dedicated and persistent in providing the investigative support over several months utilizing members from five of our task forces to include our pilots, analysts, canine and patrol teams. Working together we can continue to identify, investigate and dismantle organizations that threaten the safety of our region."
View press conference video on X (Twitter) here.
Source: San Diego County Sheriff's OfficeOn Monday, June 1, San Diego County Sheriff Kelly Martinez joined our law enforcement partners in announcing the discovery of an elaborate cross-border tunnel in Otay Mesa. The San Diego County Sheriff's Office is proud to be a part of the investigation that led to four arrests… pic.twitter.com/n96lX0UevM
— San Diego Sheriff (@SDSheriff) June 2, 2026
