Treasury's Assault on Fentanyl-Trafficking Cartel: Cutting off the Financial Lifeline

In a major move to combat the drug crisis in the United States, the Treasury Department has imposed sanctions on eight individuals linked to the La Nueva Familia Michoacana, one of Mexico's most notorious drug cartels. The cartel is accused of trafficking fentanyl and other illegal substances into the country, fueling a deadly opioid epidemic. Treasury Secretary Janet Yellen emphasized the importance of cutting off the cartels' financial channels to disrupt their illicit operations.

On Thursday, Treasury Secretary Janet Yellen outlined the Biden administration's initiatives to curb fentanyl trafficking and drug smuggling into the United States. The Treasury Department, in collaboration with the US Drug Enforcement Administration (DEA) and US attorneys in Atlanta, has levied sanctions on eight members of the La Nueva Familia Michoacana drug cartel.

Treasury's Assault on Fentanyl-Trafficking Cartel: Cutting off the Financial Lifeline

La Nueva Familia Michoacana is one of the most violent and influential cartels in Mexico, responsible for human smuggling and the trafficking of fentanyl, cocaine, and methamphetamine into the US. According to a press release from the Treasury Department's Office of Foreign Assets Control, the cartel's activities have contributed to the opioid crisis in the United States.

"We aim to impede their operations by severing their access to the US financial system and the dollar," Yellen explained. The sanctions will effectively disrupt the cartel's ability to launder money and purchase supplies.

Treasury's Assault on Fentanyl-Trafficking Cartel: Cutting off the Financial Lifeline

Addressing concerns about the use of cryptocurrency in drug trafficking, Yellen acknowledged its existence but noted that it represents only a small portion of the illicit funds. She emphasized the department's efforts to address both traditional and emerging means of financing criminal activities.

In the past two years, the Treasury Department has sanctioned over 250 individuals for alleged involvement in drug trafficking networks, targeting organizations from transportation providers to chemical suppliers. These actions seek to dismantle the infrastructure that supports drug cartels.

Treasury's Assault on Fentanyl-Trafficking Cartel: Cutting off the Financial Lifeline

Yellen refuted allegations that the government had delayed action against drug cartel funding, stating that the Treasury Department had been diligently gathering evidence in collaboration with law enforcement and Mexican authorities. She welcomed the cooperation with Mexico and expressed optimism for a productive relationship with incoming President Claudia Sheinbaum.

Fentanyl, a highly potent synthetic opioid, has claimed the lives of over 1 million people since 2000, according to Yellen. The US Centers for Disease Control (CDC) estimates that 115 Americans die daily from opioid overdoses. The Biden administration has made combating the overdose epidemic a top priority.

Treasury's Assault on Fentanyl-Trafficking Cartel: Cutting off the Financial Lifeline

Yellen outlined the multifaceted approach adopted by the government. "Each agency plays a crucial role. Homeland Security, DEA, and law enforcement are essential. Treasury's expertise in narcotics trafficking lies in disrupting financial channels," she said.

Drug trafficking organizations rely on the flow of money to sustain their operations. The Treasury Department's actions aim to cut off their access to the US dollar-based financial system, effectively disrupting their ability to launder proceeds and finance illegal activities.

Treasury's Assault on Fentanyl-Trafficking Cartel: Cutting off the Financial Lifeline

The sanctions against La Nueva Familia Michoacana represent a significant step in the fight against drug cartels and the ongoing opioid crisis. The Treasury Department remains committed to working with other agencies and international partners to combat the trafficking of illicit substances and protect the health and safety of Americans.