The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has announced sanctions against five Colombian nationals and two Mexico-based businesses under Executive Order 14059, “Imposing Sanctions on Foreign Persons Involved in the Global Illicit Drug Trade.” The sanctioned individuals are leaders within Colombia's Clan del Golfo (CDG), also known as Los Urabeños, a major drug trafficking organization. The sanctioned businesses are owned by designated Sinaloa Cartel fentanyl traffickers.
“President Biden and Vice President Harris are committed to using every tool at our disposal to combat the cartels that are poisoning our communities with fentanyl and other deadly drugs,” said Deputy Secretary of the Treasury Wally Adeyemo. “This action also targets the ability of criminal organizations like the Colombia-based CDG to operate migrant smuggling networks northwards through the Darién Gap and to America’s southern border. Treasury will remain relentless in disrupting the financing that fuels illicit fentanyl trafficking, including the business ventures that line the pockets of Sinaloa Cartel members.”
The sanctions result from collaboration with Colombian National Police, Drug Enforcement Administration (DEA), and Mexican authorities, including La Unidad de Inteligencia Financiera. OFAC Acting Director Lisa Palluconi is visiting Colombia and Mexico this week to strengthen regional ties and promote sanctions compliance.
Treasury has been actively countering fentanyl trafficking as part of President Biden’s Unity Agenda. Over two years, more than 350 targets involved in drug trafficking have been sanctioned. Last year, Secretary Yellen launched the Counter-Fentanyl Strike Force to combat financial crimes linked to drug trafficking.
The CDG was identified as a significant foreign narcotics trafficker under the Kingpin Act on May 31, 2013, and designated under E.O. 14059 in December 2021. Key figures such as Jose Miguel Demoya Hernandez and Alexander Celis Durango have been indicted for cocaine trafficking in U.S. federal courts.
In addition to drug trafficking, CDG is involved in human smuggling through the Darién Gap between Colombia and Panama. OFAC has sanctioned Jose Gonzalo Sanchez Sanchez, Jose Emilson Cordoba Quinto, and Wilder de Jesus Alcaraz Morales for their roles within CDG.
In Mexico, Sinaloa Cartel members use proceeds from drug trafficking to establish ostensibly legitimate businesses like Nieves y Paletas EVI and Farmacia y Mini Super Trinidad. These entities have now been sanctioned by OFAC for being controlled by cartel members.
All property of these designated persons within U.S jurisdiction is blocked, prohibiting transactions involving their assets without specific authorization from OFAC. Violations can lead to civil or criminal penalties.
Today's actions aim to counter global threats posed by illicit drugs entering the United States while supporting efforts outlined in a recent FinCEN advisory on new trends related to fentanyl supply chains.
OFAC emphasizes that its goal is not punishment but positive behavioral change through sanctions enforcement consistent with legal standards.
