Sad Day for the San Antonio Retail Porn Market

[ACP]

Guillermo Contreras
Express-News Staff Writer


Federal agents this week shut down four adult video stores in San Antonio and were to shutter more than 20 others in three states after a porn mogul was sent to federal prison for dodging taxes and obtaining obscene items across state lines.

Agents from U.S. Immigration and Customs Enforcement, known as ICE, and the Internal Revenue Service's Criminal Investigation Division changed the locks and kicked out employees at four of the stores in San Antonio, six others in Austin and more in other Texas cities.

Shutdowns continued today in Dallas, Houston, Corpus Christi and Brownsville, among other cities, investigators said.

"We shut down as many as we could yesterday and we're continuing today," Alonzo R. Peña, special agent in charge of ICE in San Antonio, said in an interview. "We didn't take the inventory out yet. All we've done is get them to quit operating — shut them down, turn off the lights, lock the doors, change the locks."

The inventory, which includes pornographic videos, DVDs and other adult-oriented items, will be destroyed later.

"Anybody who may claim an interest in the properties has a period of time to (do so), and it will be adjudicated in the courts," Peña said. "What we wanted to accomplish right now is to get them to quit doing business."

The shutdowns came as a result of the end to a racketeering case that targeted John Kenneth Coil, 61, of Highland Village, some of his relatives and his business associates.

As part of a plea deal this June, Coil gave up interest in 27 adult oriented businesses in Texas, New Mexico and Arizona. Prosecutors say he forfeited all his properties in Texas, which include more than 40 pieces of realty and 20 hard-core pornography stores valued at $8.1 million, the U.S. Attorney's Office said.

The stores in San Antonio are nondescript tan or beige buildings with bright red "ADULT VIDEO" on the storefronts. The forfeited properties here also included a parking lot and a vacant lot.

Coil was sentenced Sept. 17 in Austin to five years and three months in prison for his guilty plea to obscenity involving the interstate transportation of a film called "Nympho Bride," and mail fraud for mailing a fraudulent tax return.

Other charges were dropped, but he admitted using front companies with names such as Louisiana Development, Rex Temple, and Trinity Christians of America to run the pornography stores in Texas, Louisiana and other states, U.S. Attorney Johnny Sutton said in a news release.

The news release said Coil put some properties in the name of his children and in "trusts" for his children without their knowledge, yet still under his control.

Coil also skimmed money from the stores, sent it to accounts overseas, and failed to file tax returns or disclose the income, investigators said. The total tax loss was more than $4.5 million from 1981 and 2003.

"Judge Oliver Wendell Holmes noted that 'Taxes are the price we pay for a civilized society,'" said Martin J. Sheil, acting special agent in charge of the IRS' criminal investigations arm in San Antonio. "The communities of San Antonio and Austin are a little more civilized today than they were yesterday, thanks to the IRS Criminal Investigation Division."

The case was spawned from a five-year investigation by customs agents and the IRS. It resulted in convictions for Coil's wife, two of his sons, one of his daughters, his bookkeeper and two business associates.

gcontreras@express-news.net

[Jason R]

That's an awesome name. I could see George Gervin in full assault gear step in the place and glide through a wave of bullets in the name of the department of ICE.

[To be named later]

Before anyone gets worried, NO - this doesn't cancel LadySpurs bridal shower.

Fortunately, she chose the Adult Video Megaplex, instead of the Adult Video Store.

[Barb-A-Coa]

Shut them all down... this city doesn't need that kinda trash.

[ladyspur]

Originally Posted by To be named later

Before anyone gets worried, NO - this doesn't cancel LadySpurs bridal shower.

Fortunately, she chose the Adult Video Megaplex, instead of the Adult Video Store.

You werent suppose to announce it.

[Lucky®]

"Anybody who may claim an interest in the properties has a period of time to (do so), and it will be adjudicated in the courts," Peña said.

Cool!

[Spurs21 Cowboys21]

Why won't they leave the porn industry alone

[leealaniz]

they shouldn't destroy everything...they should sell it and get some of their money back...

there is absolutely nothing wrong with porn..