A twist in the fraud case against Adan Caro and his wife comes as a woman admitted to pocketing money from Koch Pipeline Company.

Adan Caro was a candidate for Jim Wells County Sheriff.

According to the Corpus Christi Caller-Times, Joanna Jackson plead guilty to money laundering in a U.S. District Court in Corpus Christi for her part in the scam.

According to Corpus Christi Caller-TImes, Jackson will testify against the Caros and other defendants as part of her plea agreement.

Caro and his wife, Sandra Caro were arrested on June 28 by the Federal Bureau of Investigations (FBI) in connection with a money scheme totaling $439,000.

The Caro's were charged with two counts of fraud by wire, radio or television and one count of money laundering.

The couple was arrested at their residence on the 1100 block of Live Oak Drive by the FBI along with the assistance of the Internal Revenue Services (IRS) and Alice Police Department.

According to US District Court records, the Caros were indicted in connection with a scam against Koch Pipeline Company, LP (KPL).

Also listed in the indictment were Eulalio “Lalo” Orta III, Joshua Price and Jackson.

Orta, son of Sandra Caro and Adan Caro's stepson, was a project engineer for KPL at the time of the fraudulent scheme that started in June 2011.

KPL owns and operates approximately 4,000 miles of pipeline that transports crude oil, refined petroleum products, chemicals and natural gas liquids to distribution centers across the nation.

According to the indictment, the Caro's, Price and Jackson submitted fictitious invoices for repair work on a silt fence, which was approved by Orta for final payment.

The money was then transferred through wire communication in interstate commerce. One transaction for $239,625 was transferred into M&I bank account on July 29, 2011 and another for $199,375 on Aug. 17, 2011, court documents stated.

According to court records, the five suspects decided between, on or about June 15, 2011 through June 30, 2011 to "knowingly and intentionally conspire and agree together... to conduct and attempt to conduct financial transactions affecting interstate and foreign commerce..."

Trials are scheduled for June 7 in Senior US District Judge Hayden Head's court.