Indictments target aldermen’s vote to use Refugio EDC funds for town insurance
REFUGIO — The indictments against three current or former Refugio aldermen center on a single Town Council vote that prosecutors allege improperly authorized the use of Refugio Economic Development Corporation money to pay for the town’s windstorm and terrorism insurance policies.
REFUGIO — The indictments against three current or former Refugio aldermen center on a single Town Council vote that prosecutors allege improperly authorized the use of Refugio Economic Development Corporation money to pay for the town’s windstorm and terrorism insurance policies.
Separate true bills of indictment charge former aldermen Frank Hosey, Michael Rocha and current Mayor Pro Tem Ixtlazihuatl Vasquez with abuse of official capacity involving property valued at $30,000 or more but less than $150,000. Each charge is a third-degree felony under Texas Penal Code Section 39.02(c)(5).
Unlike the indictments against Mayor Wanda Dukes and Town Secretary Callie Shreckengost, which identify a series of transactions over two years, the allegations against the three aldermen focus specifically on their actions as council members on Oct. 27, 2025.
According to each indictment, the alderman intentionally or knowingly misused government property — money belonging to the Refugio Economic Development Corporation — by voting to authorize spending the money on the Town of Refugio’s windstorm and terrorism insurance policies.
The grand jury alleges the expenditure was not an authorized use of economic development corporation money under Chapter 505 of the Texas Local Government Code.
The indictments do not state the precise amount of EDC money involved. Instead, each alleges the value was at least $30,000 but less than $150,000, the range corresponding to the third-degree felony charge.
The charging language is essentially identical for Hosey, Rocha and Vasquez.
Each indictment alleges the defendant was acting as an alderman on the Refugio Town Council when the vote occurred and that the EDC money had come into the alderman’s “custody or possession by virtue of the Defendant’s office.”
Prosecutors allege each alderman knew the expenditure for the town’s windstorm and terrorism policies was not a purpose authorized under Chapter 505 when voting to approve it.
The indictments therefore focus not on whether the insurance policies themselves were legitimate municipal expenses, but on whether Refugio Economic Development Corporation funds legally could be used to pay for them.
All three indictments list Oct. 27, 2025, as the offense date and Texas Ranger Cody Lankford as the witness presented to the grand jury.
The true bills were returned during the July 2026 term of the 24th Judicial District Court and filed Aug. 11.
An indictment is a formal accusation and does not constitute a finding of guilt.