On Monday, the United States Treasury Department imposed sanctions on seven companies and six individuals accused of laundering money for the Mexican Sinaloa Cartel. The Treasury was able to identify and target these entities and individuals thanks to a joint investigation conducted by U.S. and Mexican security agencies.
The move is part of a broader strategy devised by the U.S. government to disrupt the ability of drug cartels to smuggle fentanyl and expand their influence within the United States. These sanctions specifically aim to cripple the financial operations of the Sinaloa Cartel, which has relied on front companies to conceal its illicit money-laundering activities. According to the U.S. Treasury Department, the cartel has even used unsuspecting individuals with simple pickup trucks as part of its laundering schemes.
Those listed used a network of front companies and shell corporations.
U.S. Treasury
Today’s action is the culmination of a coordinated investigation by the U.S. Attorney’s Office for the Southern District of California, the Drug Enforcement Administration, the Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigations, Homeland Security Investigations, and the Government of Mexico, including the Unidad de Inteligencia Financiera, Mexico’s Financial Intelligence Unit.
U.S. Treasury
Although the designation of the Sinaloa Cartel as terrorist organisation won’t justify military action, experts say it will strengthen law enforcement efforts. With cartels expanding beyond drug trafficking to Avocado farm and human trafficking, new tools are crucial to counter their growing influence.