WOBURN, MASS. (WHDH) - The U.S. Homeland Security Investigations, including U.S. Immigration and Customs Enforcement and other federal agencies, raided two popular restaurants in downtown Woburn Tuesday morning.

Authorities made arrests at The Dog House and Tudo Na Brazil. The case is being handled by the U.S. Attorney’s Office.

HSI agents poured into The Dog House Tuesday morning, moving several boxes of evidence, including some filled with money. A father and son were arrested and charged with human smuggling in the ordeal.

“In the early hours this morning, Homeland Security Investigations and the Department of Labor Office of Inspector General, with assistance from Woburn Police, executed federal search and arrest warrants at several residences and businesses in Woburn,” HSI said in a statement. “As this investigation is ongoing, we are unable to provide further details and any additional questions should be directed to the U.S. Attorney’s Office for the District of Massachusetts.”

According to a complaint filed in U.S. District Court, the suspects named include Woburn resident Jesse James Moraes, 64, and his son Hugo Giovanni Moraes, 42. Marcos Chacon, 29, also of Woburn, was charged with knowing transfer of a false identification document knowing that such document was produced without lawful authority, and with illegal reentry by a deported alien.

Following an initial appearance in U.S. District Court Tuesday, the three men were detained pending a detention hearing.

They and others, including Brazil resident Chelbe Williams Moraes, stand accused of encouraging Brazilians to come for work, despite knowing that doing so will be in violation of the law. Chelbe WIlliams Moraes and his coconspirators allegedly charged a fee of up to $22,000 to smuggle the Brazilians to the U.S. through Mexico.

Once in the U.S., many of them went to Massachusetts and were employed at the two restaurants, where they were paid in cash, often well below the minimum wage, according to the complaint. Much of their pay was withheld and applied to their rent or smuggling debt.

The complaint also detailed a first-hand story from one of the workers smuggled into the country. Referred to as an “SOI,” or “source of information,” the worker told investigators that “the work was very hard” and that they were “required to carry heavy sacks of potatoes and other heavy items” while being paid $3 per hour, not receiving any tips and working from 7 a.m. to 9 p.m.

The indictment said when the worker complained and said they could no longer work at the restaurant, they were allegedly told to get out of the home where some of the migrants stayed on Center Street, walking distance from both restaurants.

Residents in the area were shocked by the unfolding scene.

“I’ve been here 30 years – amazed, absolutely amazed,” said resident Ted Keating. “I have no idea why this happened.”

“It’s horrible because I bet you these people came down here to get dreams, to do something better than what they had in the country, and to do something like that to them – that’s sad,” said Woburn native Leslie Jean Baptiste.

Those in the group named also allegedly sold fake Green Cards and Social Security cards, encouraged unrelated migrants to claim they were part of the same family and gave migrants false documents to support these claims.

These charges can carry a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $500,000, or twice the amount involved in the transaction, whichever is greater.

Several other family members are also under investigation.

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