The U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) has taken decisive action against Los Chapitos, a faction of the Sinaloa Cartel involved in fentanyl trafficking. This group operates laboratories that produce counterfeit pills containing fentanyl, which are trafficked to the United States. Gunmen linked to the cartel were implicated in the death of former U.S. Marine Nicholas Quets in Sonora, Mexico.
OFAC has designated Archivaldo Ivan Guzman Salazar and Jesus Alfredo Guzman Salazar, both sons of Joaquin "El Chapo" Guzman Loera and fugitive leaders of Los Chapitos. The U.S. Department of State is offering a reward for information leading to their arrest or conviction.
“Los Chapitos is a powerful, hyperviolent faction of the Sinaloa Cartel at the forefront of fentanyl trafficking into the United States,” stated Secretary of the Treasury Scott Bessent. He emphasized that these actions align with efforts to dismantle drug cartels and combat violent leadership.
A regional network based in Mazatlan, Sinaloa, Mexico, also faced sanctions for its involvement in drug trafficking and other criminal activities. These measures were coordinated with the U.S. Drug Enforcement Administration (DEA).
Today's sanctions fall under Executive Order 14059 and Executive Order 13224, aimed at curbing illicit drugs and targeting terrorists and their supporters. This marks OFAC's ninth action against cartels since this administration began.
The Sinaloa Cartel remains a significant threat due to its extensive narcotics operations and violent activities on both sides of the border.
Known as Los Chapitos, El Chapo's four sons have taken control over parts of the cartel's operations despite some being held in custody in the U.S. Their dominance is attributed to their ability to source precursor chemicals for fentanyl production through secret labs.
Sanctions also targeted key individuals like Victor Manuel Barraza Pablos who manages violent activities in Mazatlan supported financially by Jose Raul Nunez Rios through various business ventures aimed at laundering drug proceeds.
Nunez’s wife, Sheila Paola Urias Vazquez is implicated as well for her role within his network using her businesses as fronts for operations linked to Los Chapitos.
These designations mean all assets related to these individuals or entities within U.S jurisdiction are blocked requiring reporting obligations under OFAC regulations prohibiting transactions involving them without authorization from OFAC itself.
Sanctions violations could lead to penalties while foreign financial institutions risk secondary sanctions if they engage with designated persons under strict conditions imposed by OFAC on maintaining accounts associated with them within America’s financial system framework aiming ultimately towards behavioral change rather than punishment alone according officials' guidance provided online regarding petition processes available seeking removal from sanctioned lists should circumstances permit review thereof accordingly moving forward collectively toward compliance objectives set forth hereinabove aforementioned contextually relevant thereto...
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