By Jim Mishler | Tuesday, December 23, 2025
The U.S. Department of the Treasury has launched an enforcement operation targeting more than 100 money services businesses operating along the southwest border.
These entities were cited for potential violations related to money laundering and illicit finance activities.
The initiative is being led by the Treasury Department’s Financial Crimes Enforcement Network (FinCEN), which oversees compliance with the Bank Secrecy Act for nonbank financial institutions, including money transmitters, currency exchangers, and check cashers.
According to FinCEN, the operation focuses on businesses in high-risk areas near the U.S.-Mexico border that may be exposed to proceeds from drug trafficking, human smuggling, and other criminal activities.
The Treasury reported that the review has resulted in six notices of investigation, dozens of examination referrals to the Internal Revenue Service, and more than 50 compliance outreach letters.
Treasury Secretary Scott Bessent stated that the enforcement effort follows directives from President Donald Trump to disrupt cartel-related financial activity and strengthen border security.
FinCEN noted that the actions are intended to address vulnerabilities created by money services businesses that appear to be out of compliance with federal anti-money-laundering laws.
The department cited an analysis of more than 1 million Currency Transaction Reports and approximately 87,000 Suspicious Activity Reports submitted by financial institutions as the basis for the operation.
Treasury officials emphasized that the review remains ongoing and could lead to civil penalties, injunctions, warning letters, or referrals to criminal authorities for willful violations of the Bank Secrecy Act.
FinCEN said it is coordinating with the Homeland Security Task Force, the Internal Revenue Service, and state and federal law enforcement agencies and regulatory partners in the investigation.
The federal probe employs advanced data processing technology to identify illicit financial networks and convert large volumes of financial data into investigative leads.
This southwest border operation follows a separate Treasury enforcement action in mid-November targeting cartel-related money laundering networks operating in Mexico and Europe.
In that November action, the Office of Foreign Assets Control and FinCEN, working with the Mexican government, sanctioned 27 individuals and entities linked to the Hysa Organized Crime Group and proposed measures to sever 10 Mexico-based gambling establishments from the U.S. financial system.
Treasury officials indicated that the group used gambling venues and other businesses to launder narcotics trafficking proceeds with the consent of the Sinaloa Cartel.
As part of the November action, FinCEN proposed restrictions under the USA PATRIOT Act that would block U.S. financial institutions from processing transactions involving the designated gambling establishments and impose enhanced due diligence requirements.
The Treasury stated that the November initiative reflected increased U.S.-Mexico cooperation to combat narcotrafficking and cartel-related financial crime.
