A bill that would classify Mexican drug cartels as terrorist entities could result in more asset freeze orders for banks, say sources. The legislation, first introduced in March by Rep. Michael McCaul (R-TX) and co-sponsored by 12 Republican lawmakers, including House Homeland Security Committee chairman Peter King (R-NY), would expand foreign terrorist organization (FTO) designations to Mexican cartels in efforts to shift counterterrorist resources towards Mexico and U.S. border states. If adopted, McCaul's proposal would apply banking sanctions to all associates of the Arellano Feliz Organization, Los Zetas, the Beltran Leyva Organization, La Familia, the Sinaloa Cartel, and the Gulf...
American officials are investigating whether banks accepting cash declared by individuals entering the United States from Mexico are filing regulatory reports with the U.S. Treasury Department, say compliance professionals.
A broad anti-money laundering measure that would create and strengthen criminal penalties and impose reporting requirements on non-bank institutions in Mexico is likely to pass into law this month, say former government officials.
Thousands of lightly regulated currency exchange centers in Mexico are suspected of laundering criminal proceeds for drug trafficking organizations, according to analysts and former Mexican government officials.
Despite reports that 30 percent of Mexico's currency is derived from illicit funds, many compliance officers are just now waking up to the reality of the country's extensive money laundering problems, according to an AML consultant who works with MSBs.