According to federal authorities, Penaloza offered to sell her own 14-year-old daughter and two other underage girls to an undercover federal agent during a human trafficking investigation in Puerto Rico.
Investigators say Penaloza brought her daughter and two other girls to the Sheraton Hotel at the San Juan Convention Center for the planned sexual encounter. Penaloza allegedly demanded $500 for sex with her daughter and $250 for each of the other two girls.
Penaloza, who goes by the nickname "Fatty the Maneater," is also accused of prostituting other young girls and may face additional charges as the investigation continues.
A list of charges was not immediately available. Penaloza remains in jail pending her initial hearing.
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