US Sanctions Mexican Banks Over Alleged Cartel Money‑Laundering Ties
The U.S. Treasury Department has imposed sanctions on several Mexican banks, alleging they facilitated money laundering on behalf of drug cartels. The move targets two privately held regional banks and their owners, who are accused of “knowingly permitting illicit financial activity” linked to organized crime.
U.S. officials say the sanctioned banks processed millions of dollars in suspicious transactions originating from cartel-operated businesses, including shell companies and beneficiaries tied to illicit activity. The action freezes the accused institutions’ assets under U.S. jurisdiction and prohibits American individuals and companies from conducting business with them.
Treasury Secretary Janet Yellen stated that blocking these financial conduits is a necessary step to break the cartels’ hold on cross-border illicit cash flows. She emphasized that the sanctions were imposed only after “extensive investigation and substantial evidence.” Mexican officials have acknowledged the U.S. action and pledged to cooperate in stemming financial misconduct—but have not yet lifted operations or licenses of the targeted banks.
This marks one of the most aggressive U.S. moves to date aimed at disrupting cartel financing mechanisms. The administration hopes the sanctions will push Mexico to increase enforcement and oversight of its banking sector and help reduce cartel-related violence and corruption.
With input from Al Jazeera
