The U.S. Department of the Treasury’s Office of Foreign Assets Control announced that it has sanctioned more than a dozen individuals and entities connected to two separate networks associated with the Sinaloa Cartel and its fentanyl trafficking activities.
The move targets financial mechanisms supporting the cartel, which is responsible for a significant portion of illicit fentanyl entering the United States and causing tens of thousands of deaths each year. The sanctions are intended to disrupt money laundering operations that enable drug distribution in U.S. communities.
Secretary of the Treasury Scott Bessent said, “As President Trump has made clear, this Administration will not allow narco-terrorists to flood our borders with poison. Treasury will continue to target terrorist cartels and their fentanyl trafficking networks to protect our communities and Keep America Safe.”
According to the announcement, Armando de Jesus Ojeda Aviles leads one network involved in laundering proceeds from narcotics sales through bulk cash collection in the United States and conversion into cryptocurrency for transfer back to Mexico. Another network led by fugitive Jesus Gonzalez Penuelas traffics drugs into the United States while also laundering funds for the cartel using businesses based in Mexico. The action is part of a coordinated investigation involving Homeland Security Task Forces, the Drug Enforcement Administration, and Mexico’s financial intelligence unit.
The Sinaloa Cartel was designated as a Foreign Terrorist Organization by the U.S. Department of State in February 2025 following years as a major player in international drug trafficking and violence. Leadership within the cartel remains divided among Joaquin “El Chapo” Guzman Loera’s sons—known collectively as Los Chapitos—with some currently detained while others remain at large.
Under these new measures, all property or interests belonging to those designated are blocked if they fall under U.S. jurisdiction or control by American persons. The prohibitions extend broadly: unless authorized by OFAC licenses or exemptions, all transactions involving blocked persons are forbidden for both U.S.-based and certain foreign parties.
Bessent said that these actions demonstrate an ongoing commitment not only to identifying criminal organizations but also targeting their support structures: “The ultimate goal of sanctions is not to punish, but to bring about a positive change in behavior.”
