A former Bandido, who an FBI agent testified on Monday was the highest-ranking member in the Houston area before leaving the motorcycle group in 2023, was granted bail after a U.S. magistrate judge ruled that the government had failed to meet the legal standard of proving that it was more likely than not that he would fail to appear in court.
Michael Dunphy is set for release Monday evening on an unsecured $50,000 bond, co-signed by his wife. If Dunphy violates the conditions of his release, the couple will be liable for the full bond amount.
Assistant U.S. Attorney Kelly Zenon-Matos argued that releasing Dunphy on bond would allow him to associate with other Bandidos, presenting a threat to public safety. She also suggested he might be a flight risk, citing Bandido chapters in Mexico. However, U.S. Magistrate Judge Yvonne Ho ruled that the government had not proven Dunphy would fail to appear in court or be a danger to the community.
“I find there is no clear and convincing evidence you directed the attack,” Ho said of a 2023 altercation between the Bandidos and members of the Greybeard Motorcycle Club. “I also find that there is no clear and convincing evidence that you left the Bandidos on such terms that you would rejoin or continue to be involved in the gang.”
As part of his release conditions, Dunphy must maintain employment at a Houston-area tattoo shop or seek employment elsewhere, stay within the Southern District of Texas, avoid contact with Bandidos, remove all weapons from his home, and refrain from drug and alcohol use. Although Dunphy will not be placed under GPS monitoring, Judge Ho stated that she would reconsider the decision if Dunphy was found to be violating the terms of his release.
The ruling comes less than a week after federal, state, and local authorities announced that Dunphy, along with 13 other current and former members of the Bandidos Outlaw Motorcycle Gang, had been indicted on federal charges, including racketeering conspiracy, murder, attempted murder, assault, cocaine trafficking, and arson. Among those indicted was also a two-time Survivor alum Brandon Hantz.
Dunphy, known within the Bandidos as “Money Mike,” was specifically charged with racketeering conspiracy under the rarely used Racketeer Influenced and Corrupt Organizations Act (RICO) and assault in aid of racketeering activity.
By charging Dunphy with racketeering conspiracy, authorities allege that the tattoo artist “knowingly and intentionally” conspired to violate federal law through a pattern of racketeering activity, defined as two or more violations within a ten-year period. Five others face the same charge. The indictment lists several underlying offenses, including murder, robbery, arson, and drug trafficking.
Highest-ranking member in the Houston area
Joshua Lyons, an FBI agent who investigated Dunphy and others, testified in court on Monday that Dunphy was a Bandido for approximately ten years. Before leaving the group in 2023, Lyons said Dunphy held the rank of national sergeant at arms, making him the highest-ranking member in the Houston area. In that role, Dunphy oversaw at least 17 other chapters and was responsible for enforcing Bandido rules, regulations, and discipline.
Authorities say the Bandidos were embroiled in a turf war with a rival motorcycle gang, Brothers East (B*EAST), during this time. Lyons testified in November at a separate detention hearing for one of the 14 Bandidos charged that Brothers East was originally a Bandido-sponsored club formed in 2015. However, the two groups split under unclear circumstances, sparking a violent conflict.
In 2020, Dunphy allegedly issued an order to “smash on-site,” directing Bandidos members to assault or kill any Brothers East members they encountered. “That they needed to clean their own backyard of B*EASTs,” Lyons said of the order.
Over the next three years, Bandidos – both those named in the indictment and others – killed two Brothers East members and attempted to kill three more, authorities allege. Dunphy is not accused of personally carrying out the killings.
Authorities also say that the Bandidos’ criminal activities extended beyond their rivalry with Brothers East.
On the night of February 23, 2023, Dunphy, along with five other Bandidos named in the indictment, attended a local chapter meeting at Bimboz Bar and Grill near Tomball. At least 14 members of the Greybeard Motorcycle Club also attended the meeting.
A fight broke out between the two groups and Dunphy, along with the other five Bandidos, is accused of assaulting and robbing the Greybeard members of their cuts, which are denim or leather jackets. Taking a member’s cut is considered the ultimate act of disrespect, according to authorities.
However, during cross-examination, Lyons acknowledged that Dunphy was not seen participating in the fight on the bar’s surveillance footage. He also said that authorities had no direct evidence showing that Dunphy ordered the assault on the Greybeards. Lyons testified that Dunphy was seen on the surveillance video motioning for the Bandidos to leave the bar after the altercation ended.
Dunphy’s court-appointed attorney, Ali Fazel, questioned Lyons, asking, “Do you have anything other than your assumption that Dunphy ordered the assault?”
Lyons responded, “It’s really not an assumption. He’s the national sergeant-at-arms. That’s all I can say.”
Dunphy is also accused in the indictment of telling prospective Bandidos to “put their gloves on” and rough up any Greybeards who tried to leave the bar, though the allegation was not raised during Monday’s detention hearing. Lyons stated that the Greybeards suffered broken bones and concussions as a result of the altercation.
Lyons said much of the evidence authorities relied on in charging Dunphy was based on statements, texts, and images found on Dunphy’s phone. Lyons said the phone was seized in April 2023 by the Montgomery County Sheriff’s Office when Dunphy showed up at the scene of fatal shootings of motorcyclists on I-45.
Lyons said it is unclear whether Dunphy left the Bandidos on good terms. He explained that when Bandidos members leave the group on bad terms, other members typically take their bikes, cuts, flags, and other paraphernalia.
However, when Dunphy was arrested at his home last week, authorities found various Bandido items, suggesting he left on good terms. These items included a Bandido flag, belt buckle, medallion, stickers, and a patch. Authorities also found brass knuckles and body armor, which Lyons said many Bandidos purchased as the war between Brothers East dragged on. Authorities lastly found firearms, which Fazel stated were all legally owned.
Fazel said he was pleased with Ho’s ruling, adding it would take some time to review all the evidence the government has gathered during its six-year investigation of Houston-area Bandidos.
Another Bandido arrested last week, Jeremy Cox, was also granted release on a $50,000 unsecured bond by U.S. Magistrate Judge Dena Palermo on Monday. According to court records, a detention hearing was not held for Cox, who faces charges related to the alleged assault and attempted robbery of a Brothers East member at Hawg Stop Bar and Grill in 2020. During the altercation, a Bandido shot and killed the rival gang member. The shooter was not named in the indictment.
Republish our articles for free, online or in print.
