Treasury Department Sanctions 3 in Alleged China-Linked Cartel Money-Laundering Scheme

The Treasury Department sanctioned a Mexican resident and two Chinese residents previously indicted in a federal drug money-laundering scheme.

The seal of the U.S. Treasury Department on the U.S. Treasury Department building in Washington on Jan. 19, 2023, Saul Loeb/AFP via Getty Images

The U.S. Treasury Department has sanctioned one Mexican resident and two Chinese residents suspected of laundering drug-trafficking proceeds for the Sinaloa cartel.

The Treasury Department identified Mexico-based Diego Acosta Ovalle and China-based Tong Peiji and He Jiaxuan as suspected cartel moneymen on July 1. The Treasury Department sanctioned the trio, in accordance with a December 2021 executive order, authorizing sanctions on suspected participants in the global illicit drug trade.