Mexican Bank’s License Revoked Amid Money Laundering Allegations
The financial landscape in Mexico faces a significant shift as CIBanco, a bank recently sanctioned by the U.S. government, is set to liquidate following the revocation of its operational license. This development marks the latest chapter in a series of actions targeting financial institutions suspected of illicit activities.
CIBanco was one of three banks in Mexico implicated by the Trump administration in providing financial services and laundering money for drug cartels. This accusation has led Mexico’s banking and securities commission to withdraw the bank’s federal license, prompting the commencement of its liquidation process.
The sanctions from the Trump administration’s Treasury Department were imposed during the summer, effectively barring certain transactions with these financial institutions. This move was part of a broader effort to curb financial networks tied to drug trafficking.
In an official statement, the Treasury Department indicated that these sanctions represent the inaugural application of a newly enacted law. This legislation extends the Financial Crimes Enforcement Network’s authority to target financial entities linked to fentanyl smuggling.
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