NEDERLAND, Texas – Nine people have been taken into custody in connection with a drug trafficking operation based out of Nederland, Texas, according to U.S. Attorney Stephen Cox.
In a news release, Cox announced that Jake Ellis Daughtry, 34; Joseph Ellis Daughtry, 64; Sandra Miller Daughtry, 72; Jordan Lee King, 31; Tanner John Jorgensen, 28; Austin Wayne Dial, 28; Kip William Daughtry, 46, of Vidor; and Jesse Lee Hackett, 37, of The Woodlands, were federally indicted on drug trafficking and money laundering charges. A ninth, unidentified person was also taken into custody.
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According to court documents, the group is believed to be the head of a drug trafficking organization operating on a national scale.
The Drug Enforcement Administration began investigating the group in 2018 after intercepting packages that contained the chemical 1,4 butanediol (BDO), which is commonly used as a floor stripper or vehicle wheel cleaner. However, when ingested, BDO metabolizes into GHB, a common date-rape drug, court documents showed.
Investigators said they were able to trace the origin of the packages to Right Price Chemicals on Twin City Highway in Nederland, Texas, a business owned by Jake Daughtry, Joseph Daughtry and Sandra Daughtry.
Also on the property is a firework stand called “Jake’s Fireworks,” and investigators were able to determine it served as a front where people could purchase BDO, officials said. Purchases could be made from Jake’s Fireworks either in person or online, according to court documents.
Right Price Chemicals would also distribute bulk quantities of BDO to other dealers, who would sell it to individuals, according to the release.
Agents determined that since 2016, Right Price Chemicals distributed approximately 7,000 gallons of BDO through thousands of orders to 48 states and that those sales generated $4.5 million, court documents showed.
Proceeds from the trafficking amounted to over $1 million, which were laundered through several now-seized bank and retirement accounts throughout southeast Texas, according to the release.
If convicted, the group could face up to life in federal prison.