HIALEAH, Fla. – Former Hialeah Police Chief Sergio Velazquez appeared in court Tuesday, facing serious accusations that he stole hundreds of thousands of dollars during his time leading the department.
Local 10 News has learned that Velazquez’s wife had already posted his $30,000 bond earlier in the morning, allowing him to avoid remaining behind bars following his arrest on Monday.
Velazquez, 61, stood silently before Miami-Dade Circuit Judge Mindy Glazer at the bond court hearing while his attorney, Rick Diaz, entered a plea of not guilty to the three charges: organized fraud, money laundering, and first-degree grand theft.
Noon report:
Prosecutors told Glazer Tuesday that they believe Velazquez’s alleged crimes go far beyond the charges already filed, and they warned that more charges — or even additional arrests — could be on the way as the investigation moves forward.
The charges stem from what investigators describe as a years-long scheme involving narcotics investigation funds and forfeiture money that allegedly ended up in Velazquez’s personal accounts.
According to an arrest warrant, detectives uncovered a pattern in which “petty cash” meant for undercover narcotics operations — totaling more than $2.8 million — was cashed between 2015 and 2021, yet only about 7% of that money was properly accounted for.
“This currency was never submitted to the HPD property unit,” the warrant stated. Instead, prosecutors allege the money was kept in a safe inside Velazquez’s office. An additional $1 million from court-awarded civil forfeitures also went missing between 2016 and 2021, according to the warrant.
Investigators said they found 153 suspicious cash deposits into Velazquez’s personal bank accounts totaling over $293,000.
The deposits were reportedly broken up into amounts under $10,000 to avoid triggering currency transaction reports required by law. Nearly $265,000 of those funds were used to pay off credit cards and other personal debts, the warrant states.
A graph shown in court illustrated a timeline where the influx of departmental funds into the narcotics unit appeared to mirror deposits into Velazquez’s personal accounts, with both lines dropping off in late 2021 — the same period when a new mayor suspended Velazquez from duty.
Outside the courtroom, Local 10’s Glenna Milberg heard from current and former law enforcement officers, many of whom expressed shock, betrayal and concern that more arrests could follow.
Velazquez served as Hialeah’s top cop for nearly a decade, appointed chief in 2012.
His next court date has not yet been announced, and the Miami-Dade State Attorney’s Office confirmed the investigation remains active.
