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Man pleads not guilty to voyeurism after allegedly installing hidden cameras in Expedia restrooms

Investigators said at least 10 victims using the restroom were captured on the hidden spy cameras.

SEATTLE — A Lynnwood man is facing charges of voyeurism after he was arrested in connection to spy cameras hidden under toilets at Seattle's Expedia offices.

According to court documents, Marcelo Vargas-Fernandez faces four counts of first-degree voyeurism after an Expedia employee spotted a camera hidden beneath a toilet in December 2023. Investigators said at least 10 victims using the restroom were caught on the cameras.

Police said Vargas-Fernandez, a former Expedia employee, was arrested on Feb. 1 outside his Lynnwood apartment following a months-long investigation. Officers found 15 more spy cameras, 22 SD drives and at least six hard drives with 20-plus Terabytes of storage after a search warrant of his Lynnwood apartment.

Vargas-Fernandez pleaded not guilty on Feb. 15.

An Expedia employee noticed the camera while he was in the restroom on Dec. 4, according to court documents. The employee spotted a white box with cellphone-like devices attached with black Velcro at the bottom of the toilet. At that point, the employee described "immediate fear" after seeing a camera lens and realizing his face was looking directly back at him. 

Court documents indicated that the employee notified company security, but the devices were not taken at that time because they thought it was a music device or battery backup for a soap dispenser. 

Once the cameras were discovered, police said Vargas-Fernandez removed the cameras and waited a month to reinstall the cameras in the same restroom. During the investigation, investigators identified him as a person of interest after repeatedly capturing him going in and out of the restroom with what appeared to be a device in his hand, according to court documents.

Witnesses told police Vargas-Fernandez was very nervous about why the Expedia restrooms were out of service in January.

Police said a search warrant revealed that Vargas-Fernandez purchased the same model of spy camera on Amazon that was used in the Expedia restroom in October 2023. 

Following Vargas-Fernandez's arrest, he told police he used spy cameras to surveil his ex-wife in her own home without her knowing. The suspect also told police he used spy cameras in his apartment by a television and under his bathroom sink so he could record himself and his 4-year-old daughter because his ex-wife had concerns for her safety, according to court documents. 

Officials set Vargas-Fernandez's bond at $200,000. If he posts bail, officials said in court documents he must wear an electronic GPS, he cannot leave Washington, his passport would be taken away and he cannot be allowed to have cameras that take pictures and videos and cannot possess any SD cards for storage.

Vargas-Fernandez has no criminal convictions, but prosecutors believe the suspect could commit a violent sexual offense and has "significant concern for victim and community safety because of his alleged actions."

An Expedia spokesperson said in a statement Tuesday that the company fired Vargas-Fernandez.

"We are committed to protecting the privacy, safety, and security of our employees and guests at our offices," the spokesperson said in a statement to KING 5. "Although we do not typically provide comment on internal situations, we felt necessary to share an update on the matter. We took immediate action the moment we discovered the issue and contacted local law enforcement to assist. In addition, the employee is no longer employed by Expedia Group. We continue to take this matter very seriously and are working closely with the appropriate authorities."

An internal email on Tuesday was the first time the company communicated with Seattle employees about the incidents. In the email, Expedia Group acknowledged a news report about the voyeurism incident and provided limited details about the investigation, as well as support resources. 

    

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