Government intervenes in banks due to drug ties; is your money safe?

In an unprecedented move, the Mexican government has taken administrative control of CIBanco and Intercam Banco. The measure is a direct response to the harsh sanctions imposed by the United States, which accuses these institutions of laundering money for drug cartels.

Mexico City – The Mexican financial system is facing one of its biggest crises of confidence in years. The U.S. Treasury Department, through its Financial Crimes Enforcement Network (FinCEN), imposed devastating sanctions against three well-known Mexican institutions: CIBanco, Intercam Banco, and the brokerage firm Vector Casa de Bolsa.

The US indictment is explosive: it alleges that these entities played a "vital role" in laundering millions of dollars for cartels such as the Jalisco Nueva Generación (CJNG) and Sinaloa cartels, while also facilitating payments for the purchase of chemical precursors to manufacture fentanyl in China.

The Mexican government's response has been immediate and on two fronts, demonstrating a complex strategy of damage control and political defiance.

• Intervention to "Protect Savers": The National Banking and Securities Commission (CNBV) announced the temporary takeover of the management of CIBanco and Intercam. The objective, according to the official statement, is to "protect the interests of savers and public creditors." This measure is a crucial firewall to prevent a potential bank run, where panicked customers withdraw their funds en masse, which could destabilize not only these banks but the entire sector.
• Political Challenge to Washington: At the same time, President Claudia Sheinbaum strongly rejected the US accusations, demanding hard evidence, not just words. In a statement setting the tone for the bilateral relationship, she affirmed: "We are not anyone's piñata. Mexico is respected." Sheinbaum argued that Mexico's own investigations only found minor "administrative infractions," not the crimes of which they are accused.

US sanctions are a form of "financial warfare." As of July 21, 2025, any US financial institution is prohibited from processing transactions originating from or directed to the Mexican operations of CIBanco, Intercam, and Vector. This effectively isolates them from the dollar-based global financial network.

• For Customers and Businesses: Any person or business in the U.S. that transacts with these entities risks severe fines and criminal penalties. For customers in Mexico, the CNBV's intervention seeks to guarantee the security of their deposits and the continuity of operations nationwide.

"Financial facilitators like CIBanco, Intercam, and Vector are enabling the poisoning of countless Americans by moving money on behalf of cartels, making them vital cogs in the fentanyl supply chain," said U.S. Treasury Secretary Scott Bessent.

This crisis reveals how the fight against fentanyl has moved to the financial battlefield. The United States is using its dominance of the global financial system as a leverage to force Mexico to take more forceful action against the cartels. For Mexicans, the result is a situation of heightened economic uncertainty and a critical test of the government's ability to protect both national sovereignty and the stability of its banking system.