US Sanctions on Mexican Banks over Alleged Money Laundering Affect International Perception of Financial System
On June 25, 2025, the Financial Crimes Enforcement Network (FinCEN) of the US Department of the Treasury announced formal sanctions against three Mexican financial institutions: CI Banco, Intercam, and Vector Casa de Bolsa. The accusations center on their alleged involvement in money laundering schemes linked to fentanyl trafficking by Mexican cartels, particularly the Sinaloa Cartel, the Jalisco New Generation Cartel (CJNG), and the Gulf Cartel.
The US Treasury’s actions are framed under the FEND Off Fentanyl Act, which strengthens oversight and penalties for financial institutions that may be directly or indirectly involved in financing operations tied to drug trafficking and terrorism. The allegations focus on transactions that took place between 2013 and 2024, including payments to Chinese companies connected to fentanyl chemical precursors, as well as meetings between bank representatives and alleged members of organized crime.
In response, Mexico’s National Banking and Securities Commission (CNBV) ordered the immediate appointment of management monitors at all three institutions to oversee their operations and safeguard clients’ assets. According to Mexican authorities, including the Ministry of Finance and Public Credit (SHCP), the banking system remains stable, since CI Banco, Intercam, and Vector account for just 1% of total national deposits.
The affected institutions strongly rejected the accusations, and the SHCP demanded convincing evidence from the US government, assuring their willingness to cooperate in accordance with the law. Meanwhile, rating agencies such as HR Ratings downgraded the credit ratings of CI Banco and Intercam, highlighting their vulnerability to reputational risk amid the crisis.
This episode is unprecedented: it marks the first time Mexican banks have been directly named by the US Treasury in a money laundering case tied to drug trafficking networks. Beyond the size of the banks involved, the potential harm to the image and international confidence in Mexico’s financial system is significant, especially in the eyes of foreign investors and trading partners.
There are cautionary precedents in the international arena. Institutions such as HSBC and BNP Paribas also faced multimillion-dollar sanctions and operating restrictions following similar money laundering investigations, resulting in stricter regulations and heightened global scrutiny. While the limited size of the Mexican banks involved reduces immediate systemic risks, the possibility of blocked international transactions, the loss of correspondent relationships, and client withdrawals cannot be ruled out.
For account holders, the intervention aims to ensure the safety of their savings and the continuity of operations. Nevertheless, customers are advised to stay informed and, should any concerns arise, to remember that the Bank Savings Protection Institute (IPAB) insures deposits up to 400,000 UDIS, currently equivalent to about 3.4 million pesos.
In the medium term, these investigations and sanctions are likely to drive further reforms in the regulation and oversight of Mexico’s financial system. They could also affect relationships with international banks and raise anti-money laundering standards in Mexico—a challenge the banking sector and authorities have already been facing amid increasing global scrutiny.
In conclusion, although the sanctions target banks with a marginal presence in the local market, the case highlights the importance of strengthening internal controls and international cooperation to prevent the financial system from being used by criminal networks. The swift response from national supervisors sends a reassuring message to users, though the main challenge ahead will be to restore the sector’s reputation and build a more robust financial crime prevention framework across the entire Mexican financial industry.
