Within the next six months, the approximately 1,500 laid off workers of the International Educational Services will know whether the company will be successful in appealing the cutting off of its funding by the federal government as a result of alleged misappropriation of funds amounting to some $30 million.
In 2015, the Department of Health and Human Services Administration for Children and Families Office of Refugee Resettlement (federal grants, etc.) awarded IES $72,031,060, $59,494,409 of which went toward operations, and salaries to its management of $7,695,477
In 2001, the non-profit listed its income before expenses at $2,723,787 and listed one compensated employee, executive director Dr. Ruben Gallegos Sr., at a $75,712 salary with about $4,500 in benefits.
That has changed drastically in the latest report available to the public (2015). To see IES's Internal Revenue Service report for 2015, click on link below: http://990s.foundationcenter.org/990_pdf_archive/742/742478708/742478708_201609_990.pdf
Whether they are successful in their appeal or not, we're sure the government will be looking closely at the generous manner the non-profit compensates their administrators and contractors.
Among those were:
President Dr. Ruben Gallegos Sr.: $488,003 with $31,200 in other compensation
Chief Operating Officer Ruben Gallegos Jr. (his son): $474,002 with $31,200 in other compensation.
Chief Financial Officer Juan J. Gonzalez: $359,073 with $31,200 in other compensation.
Operations Director Ricco Halloway: $161,553 with $4,840 in other compensation.
VP of Business Affairs Norberto Perez: $190,190 with $11,410 in other compensation.
Grant Writer Nellie Weaver: $188,751 with $5,660 in other compensation.
Dir. of Banking: Edgar Osiel Vela: $167,000 with $5,010 in other compensation.
VP of Legal Eduardo Andres Lucio: $119,559 with $3,580 in other compensation. (This is State Rep. Eddie Lucio III, son of Sen. Eddie Lucio)
But that's not everyone who was doing business with IES. Below are some contractors listed on their latest IRS Form 90 report as having been paid more than $100,000 and their yearly take:
Danny Ybarra Constr., Brownsville: $4,875,022
Chuy's Custom Sports, San Benito: $1,768, 918
Hector Peña, atty., Brownsville: $359,419
SR Enterprises, Brownsville: $236,499
All Star Printing, Harlingen: $205,116
(Sources say that Ruben Cortez, on the board of directors for Region 1, took in $75,000 as a "grant writer" and did not make the $100,000+ list. Currently, he is seeking reelection as a District 2 representative on the Texas State Board of Education [TSBOE])