U.S. Treasury accuses three Mexican banks of aiding cartel transfers as Mexico pushes back

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Full Story

The U.S. Treasury Department has accused three financial institutions in Mexico of helping drug cartels move millions of dollars. Mexican President Claudia Sheinbaum responded firmly, telling President Trump that Mexico is “no one’s piñata.”

The Treasury’s allegations center on claims that the three unnamed Mexican institutions facilitated illicit transfers. These funds allegedly helped drug trafficking groups launder profits from cross-border narcotics operations.

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The Context

Drug cartels in Mexico have long relied on financial networks to move money between the U.S. and Latin America. U.S. agencies have previously used sanctions and banking restrictions to disrupt these financial routes.

President Sheinbaum’s sharp comment marks a diplomatic shift in tone as Mexico asserts more autonomy in bilateral matters. Her statement appeared to be a direct rebuttal to perceived pressure from Washington.

The U.S. Treasury has used its authority under existing law to designate foreign institutions involved in money laundering. Such designations can block access to U.S. financial systems and impose other penalties.

The long-standing U.S.–Mexico security cooperation includes anti-money laundering coordination, but tensions often emerge over sovereignty and enforcement priorities. Past friction has stemmed from differences over extradition and cartel crackdowns.

While some in the U.S. support tighter enforcement and more aggressive measures, others warn that diplomatic friction could undermine cross-border security collaboration. Critics argue mutual respect is necessary to combat transnational crime effectively.

Supporters of President Sheinbaum’s position see it as an effort to resist scapegoating Mexico for U.S. drug policy failures. Others believe firm U.S. measures are needed to address the financial networks sustaining drug cartels.