(The Center Square) The U.S. Treasury Department on Wednesday slapped sanctions on three Mexican-based banks that it said were used to launder millions of dollars for cartels.
The move, officials said, would cut the banks off from the U.S. financial system.
Treasury’s Financial Crimes Enforcement Network identified three Mexico-based financial institutions – CIBanco S.A., Institution de Banca Multiple (CIBanco), Intercam Banco S.A., Institución de Banca Multiple (Intercam), and Vector Casa de Bolsa, S.A. de C.V. (Vector) – laundering money in connection with illicit opioid trafficking.
The orders are the first actions by FinCEN under the Fentanyl Sanctions Act and the FEND Off Fentanyl Act, which gives Treasury additional authorities to target money laundering associated with the trafficking of fentanyl and other synthetic opioids, including by cartels. The moves comes as Trump looks to crack down on fentanyl trafficking, especially by Mexican cartels.
CIBanco is a commercial bank with more than $7 billion in total assets. Intercam holds more than $4 billion in total assets. Vector, a brokerage firm, manages nearly $11 billion in assets.
FinCEN alleges all three “played a longstanding and vital role in laundering millions of dollars on behalf of Mexico-based cartels and facilitating payments for the procurement of precursor chemicals needed to produce fentanyl.”
“Financial facilitators like CIBanco, Intercam, and Vector are enabling the poisoning of countless Americans by moving money on behalf of cartels, making them vital cogs in the fentanyl supply chain,” Treasury Secretary Scott Bessent said. “Through the first use of this powerful authority, today’s actions affirm Treasury’s commitment to using all tools at our disposal to counter the threat posed by criminal and terrorist organizations trafficking fentanyl and other narcotics.”
The move away from plant-based drugs to synthetics has helped the cartels rake in even more cash. Cartels maintain steady supply chains for precursor chemicals, primarily from China and India, needed to produce these synthetic drugs.
In the 12 months ending in October 2024, the United States recorded 52,385 overdose deaths from synthetic opioids – a 33% decline – while overall overdose deaths, from any drug, declined about 26%, according to the most recent available CDC provisional data. Provisional data from the CDC showed that 74,702 of the 107,543 total drug overdose deaths in 2023 involved synthetic opioids, primarily fentanyl. That’s about 69% of all overdose deaths in the U.S.
The DEA seized about 29% less fentanyl in 2024 compared to the prior year. In 2024, the DEA seized 21,936 pounds of fentanyl. The agency also seized 61.1 million fake pills in 2024, a 24% decrease from the previous year. Data from the El Paso Intelligence Center’s National Seizure System – which consolidates drug seizure data from federal, state, and local agencies throughout the United States – indicated a similar trend, with 23,256 total kilograms seized in 2024, down from the previous year.
Fentanyl purity also fell last year, according to DEA testing. In 2024, the average fentanyl pill contained 1.94 milligrams of fentanyl, ranging from a low of 1.58 mg to a high of 2.18 mg. Based on these analyses, DEA forensic laboratory results found that about 5 out of 10 fake pills contain 2mg or more of fentanyl. The average purity of fentanyl powder samples was 11.36%, ranging from exhibits that contained almost no fentanyl (0.07%) to 82% purity.
