Dineh Benally, a resident of Shiprock, New Mexico, has pleaded guilty in federal court to leading an extensive illegal marijuana cultivation and distribution operation that spanned several years. The case involved environmental violations and the exploitation of workers on tribal lands.
Benally admitted guilt to 15 charges, including two counts of drug trafficking conspiracy for orchestrating the illegal activities. He also pleaded guilty to four counts related to manufacturing and possessing with intent to distribute large quantities of marijuana, maintaining premises for drug activity, discharging pollutants into the San Juan River without permits, possessing firearms in furtherance of drug trafficking, unlawfully employing undocumented immigrants, smuggling undeclared pesticides into the United States, and concealing records during a federal investigation.
Court documents state that from January 2018 through November 2020, Benally and his associates established more than 30 farms across over 400 acres on land leased from Navajo Nation members. To finance these operations, Benally traveled to California with a co-conspirator where they set up front companies targeting Chinese investors. These investors were charged cash fees between $20,000 and $50,000 for fake cannabis cultivation licenses. They were misled into believing they were growing legal hemp rather than marijuana and required to pay a share of their harvests.
The operation built over 1,100 greenhouses and used both local Navajo workers and Chinese foreign laborers—some undocumented—to grow and transport marijuana out of New Mexico. Authorities said Benally constructed an illegal sandbag dam on the San Juan River and filled in a river channel using sand, rocks, and agricultural waste to irrigate crops. This led to unpermitted discharge of pollutants into federally protected waters in violation of the Clean Water Act.
Law enforcement dismantled the criminal enterprise after seizing about 260,000 marijuana plants and 60,000 pounds of processed marijuana in November 2020.
A second phase occurred between January 2022 and January 2025 near Estancia, New Mexico. Although Benally initially received a state license for marijuana cultivation there, inspectors found pest infestations and other violations that resulted in revocation of his license on December 23, 2023—a decision accompanied by a $1 million fine. Despite this order to cease operations, Benally continued growing marijuana illegally—including tampering with utility meters to steal electricity.
On January 23, 2025 federal and state law enforcement raided two additional farms linked to Benally near Estancia as well as his residence. They discovered approximately 8,500 pounds of marijuana along with $35,000 in cash; illegal pesticides; methamphetamine; firearms; and a bulletproof vest.
“This case shows the human and environmental costs when the law is ignored,” said U.S. Attorney Ryan Ellison. “It underscores our office’s commitment to protecting New Mexico’s communities and natural resources alongside our federal, state Tribal and local partners… Exploiting workers desecrating land and poising rivers for profit is not business it is criminal—and it will be met with justice.”
“The FBI remains committed to identifying investigating—and dismantling—criminal organizations operating in New Mexico,” stated Justin A. Garris Special Agent in Charge at FBI Albuquerque Division.” Mr.Benally’s guilty plea demonstrates that those who engage in criminal activity will face real consequences.This case highlights the importance of collaboration between state local tribal,and federal agencies in delivering justice ensuring safety…and protecting land within our tribal communities.”
“The crimes here represent nothing less than foreign interests poisoning our land wildlife,and people both up- and downstream.Benally orchestrated smuggling illegal Chinese pesticides into communities…” said Kim Bahney Special Agent-in-Charge EPA Criminal Investigation Division.“The San Juan River is vital resource for Navajo Nation,and water United States.Benally must be held accountable for claiming it as his own.”
“I commend cooperation all Tribal Federal State law enforcement officials who worked tirelessly together across jurisdictions bring end dangerous marijuana farms Dineh Benally had flagrantly operated both on adjacent Navajo Nation,” said acting Navajo Nation Attorney General Colin Bradley.
Under his plea agreement,Benally faces mandatory minimum sentence fifteen years up life imprisonment,a possible drug-related fine not exceeding greater ten million dollars or twice pecuniary gain plus environmental fines ranging five thousand fifty thousand dollars per day violation.Upon release he will serve supervised release no less than five years up life.
The announcement was made by Acting U.S.Attorney Ryan Ellison,FBI Special Agent-in-Charge Justin A.Garris,and EPA Special Agent-in-Charge Kim Bahney.The investigation was conducted by multiple agencies including FBI Albuquerque Field Office,EPA,Bureau Indian Affairs,U.S.Drug Enforcement Administration,Navajo Nation Police Department among others.Supervisory Assistant U.S.Attorney Matthew McGinley along with Assistant U.S.Attorneys Eva Fontanez Michael Pahl are prosecuting case.
