By: Richard L. Smith
Two men have been arraigned on federal charges for allegedly participating in a drug trafficking operation that transported approximately 20 kilograms of cocaine from California to Newark, federal officials announced.
According to information released by U.S. Attorney Robert Frazer, Oscar Salvador Pelayo-Guzman, 55, a Mexican national most recently residing in Missouri, and Michael Brandon Araiza, 27, of California, were charged with conspiracy to distribute controlled substances.
Both men appeared September 10 before U.S. District Judge Jamel K. Semper in Newark federal court and pleaded not guilty.
Federal authorities allege Pelayo-Guzman is associated with the Jalisco New Generation Cartel in Mexico and was a principal member of a Kansas City-based drug trafficking organization involved in moving narcotics internationally and across state lines.
Investigators said the conspiracy began in January 2025 and involved plans to transport large quantities of cocaine into New Jersey.
In April 2025, Pelayo-Guzman and Araiza allegedly traveled to New Jersey and arranged for approximately 20 kilograms of cocaine to be transported from California to Newark by truck.
Authorities said the drugs were delivered in exchange for more than $300,000 in cash.
Two other men involved in the alleged operation, Jose Manuel Amaya Villarreal and Reymond Alex Avina Samaniego, both of California, were arrested following the delivery and later pleaded guilty to drug conspiracy charges.
Villarreal was sentenced in August to 57 months in federal prison, while Samaniego is scheduled to be sentenced November 9.
Pelayo-Guzman and Araiza were arrested shortly after the 2025 drug delivery.
If convicted, the charge carries a mandatory minimum sentence of 10 years in federal prison, a potential maximum of life imprisonment and a fine of up to $10 million.