Massive Cartel Money Laundering Scheme Busted; $6 Million Cash, Guns, Half-Ton Of Drugs Recovered

A massive international money laundering operation based on San Diego has been taken down by a multi-agency task force involving 15 agencies and 24 offices, including the FBI, IRS, DOJ, DEA, ICE, San Diego law enforcement, Mexican Federal Police and the Mexican Financial Intelligence Agency (UIF). 

According to recently unsealed indictments, 40 individuals have been charged in connection with an international money-laundering operation with ties to the Sinaloa Cartel in Mexico. The recent indictments brings the total number of defendants in the case to 75, spanning five states and Mexico. 

Jose Roberto Lopez-Albarran, a significant money broker for a Mexican-based international money laundering organization, along with other members of the organization, allegedly laundered tens of millions of dollars in narcotics proceeds from the United States to Mexico between 2015 and 2018. As a result of the investigation, law enforcement seized more than $6 million dollars in United States currency as well as 95 kilograms of methamphetamine, 63 kilograms of heroin, 10 kilograms of fentanyl, 92 kilograms of cocaine, 252 kilograms of marijuana, worth millions of dollars on the streets, and 20 firearms, including semiautomatic assault rifles and handguns. -Justice.gov

Lopez-Albarran oversaw the scheme to transfer millions of dollars in narcotics proceeds from the United States to drug suppliers in Mexico, including individuals working for the Sinaloa Cartel. 

The syndicate coordinated their operation using, among other things BlackBerry devices - which as we reported Yesterday, authorities arrested the San Diego-based CEO of a company which provides ultra-secure BlackBerries to the Sinaloa cartel and other organizations involved in the drug trade. 

Undercover agents from San Diego were able to infiltrate Lopez-Albarran's organization - gaining his trust over two years until they were tasked with picking up bulk currency across the United States - identifying "money movers" lower down the totem pole in the process. In addition to San Diego, indictments were issued for defendants in Ohio, Kentucky, Kansas and Washington.

Cash pickups took place in parking lots, hotels and restaurants across the country - using hidden vehicle compartments, luggage, duffel, bags and shoeboxes. The cash would then be deposited into funnel bank accounts and wire transferred to Mexican bank accounts associated with fake Mexican companies controlled by the money laundering operation. 

"By targeting these money movers, law enforcement was able to discover multiple drug trafficking cells across the United States responsible for importing and distributing substantial quantities of fentanyl, heroin, methamphetamine and cocaine," said the Justice Department in a release. 

Lopez-Albarran was arrested February 9 in San Diego and remains in federal custody along with several co-defendants arrested between January 11 and January 17, all in San Diego as well. Another lead defendant, Manuel Reynoso Garcia and several co-conspirators were charged last month in San Diego federal court for their roles in the sophisticated money laundering operation. 

We have siphoned the cash and the life out of a San Diego-based international money laundering organization with ties to the Sinaloa Cartel,” said U.S. Attorney Adam Braverman. “By following the money, we have discovered large quantities of fentanyl, heroin and methamphetamine that are no longer destined for the streets of America. That’s a one-two punch that takes these organizations completely out of the ring and makes our communities safer.”

The charges include Conspiracy to Distribute Controlled Substances, in violation of Title 21 U.S.C. §§ 841(a)(1) and 846, and Conspiracy to Launder Monetary Instruments (18 U.S.C. 1956(h)). The penalties range from 10 years to life and fines of up $500,000 or twice the value of the contraband recovered by authorities. 

“These types of complex investigations, spanning across the nation and our international boundaries, requires a fundamental change in how we share information, coordinate and collaborate. These joint investigations, where shared awareness and decentralized execution was the norm, can and must be how we disrupt these drug trafficking and money laundering networks in the future,” said Special Agent in Charge John A. Brown of the San Diego Division of the Federal Bureau of Investigation.  “This case model is built upon the incredible collaboration of the federal, state, and local partners across the United States and in Mexico. Today, this case exemplifies how dedicated collaboration equals success.

Comments

any_mouse Whoa Dammit Mon, 03/12/2018 - 20:34 Permalink

How many of the #semiautomatic #assaultrifles were part of Fast & Furious?

Only semi auto? Geez, I'd expect full auto, and not accept anything less, from a drug cartel.

Guessing that the Sinaloa cartel missed some payoffs, or the other cartels made better payoffs.

Luckily they pulled this off somewhere other than Oakland.

In reply to by Whoa Dammit

gregga777 Tallest Skil Mon, 03/12/2018 - 20:06 Permalink

The banking gangsters bezzled $ trillions to cause the Great Fnancial Crisis. And some of them now have or had offices in the White House and/or US Treasury. Launder a few $ million: go to prison. Launder a few $ trillion: get an office in the White House or US Treasury.

Look at Martin Shrkeli: he bezzled a few $ Million and he's now on his way to prison, whereas Mnuchin has an office in the US Treasury and Cohn had an office in the White House (or maybe "just" the Old Executive Office Building).

 

 

In reply to by Tallest Skil

navy62802 Mon, 03/12/2018 - 19:56 Permalink

By the way, what the hell is that AR-15 type weapon in the bottom of the photo? It looks like an air rifle or something ... definitely not an actual firearm.

izzee Mon, 03/12/2018 - 20:02 Permalink

well gollie, so what was the last Atty Gen doing?  Lynch?  Oh yeh going after states that refused to have "gender neutral" bathrooms.

 

east of eden Mon, 03/12/2018 - 20:31 Permalink

OK, I applaud the effort. But a lot more effort will be needed. This is just a drop in the bucket, but if at least keeps another 1K people from becoming addicted, then it is a beginning.

You know, I've never actually really thought about it, but, what the Mexican cartels are doing amounts to war, while the bureaucrats in Mexico play the polka with NAFTA. They probably couldn't care less.

When are we going to hear that Mexico and the US have combined forces to eradicate these drug gangs on BOTH sides of the border, simultaneously. Then, I would be really impressed.

As I remember how NAFTA was sold to us, it was supposed to be about brining Mexican standards of living UP, not having ours DROP. So the multi-nationals are front and centre for blame, followed closely by the Mexican Government (whatever that is, today). They didn't demand decent wages, nor decent living conditions and what little money was paid, remained local, in the Machialidores, which didn't help the Mexican economy one iota. Thus, virtual lawlessness in half the country, with the rest of Latin America badly infected as well.