The US Department of Justice (DOJ) alleged that the Mexican Sinaloa Cartel collaborated with wealthy Chinese nationals in Southern California to launder up to $50 million from drug trafficking.
US DOJ Alleges Alliance Between Chinese Nationals and Mexican Sinaloa Cartel
The reported partnership involved money-laundering groups based in the San Gabriel Valley with links to Chinese underground banking.
The DOJ's indictment alleged that these associates worked with Chinese money-laundering groups to move drug proceeds between the Mexican Sinaloa Cartel and Chinese underground exchanges.
Following coordination with the DOJ, Chinese, and Mexican law enforcement recently apprehended these fugitives named in the indictment who had fled the US after initial charges were filed last year.
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'Operation Fortune Runner'
The multi-year investigation, named "Operation Fortune Runner," led to the indictment of 24 defendants. Charges include conspiracy to distribute cocaine and methamphetamine, money laundering, and operating an unlicensed money-transmitting business.
The indictment claimed the Mexican Sinaloa Cartel's network used various methods, such as trade-based money laundering and cryptocurrency purchases, to disguise the origins of the funds.
Law enforcement has seized approximately $5 million in drug proceeds, along with substantial amounts of narcotics and firearms. Twenty defendants are set to be arraigned in Los Angeles in the coming weeks.
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