Sinaloa Cartel Casinos Used Simulated Bets, Transfers to Launder Millions, U.S. Treasury Alleges
CULIACÁN,MEXICO – A network of ten casinos across Mexico allegedly laundered over $2 million for the Sinaloa Cartel between 2017 and 2024,utilizing simulated bets and large international transfers,according to a recent U.S. Treasury Department investigation. The Financial Crimes Enforcement Network (FinCEN) detailed the scheme, which involved casinos Midas, Emine, Mirage, Palermo, and Skampa, located in Sonora, Sinaloa, Baja California, and Tabasco. The sanctions come amid increased scrutiny of Mexican financial institutions and a crackdown on money laundering operations linked to drug trafficking.
The U.S. Treasury’s Office of Foreign Assets Control (OFAC) complaint alleges senior managers at the Midas Casino in Mazatlán made monthly disbursements to the cartel as part of a standing agreement with a high-ranking member. The Emine casinos in San Luis Río Colorado and Palermo in Nogales (both in Sonora), along with Skampa Casino in Ensenada, Baja California, and Mirage in Culiacán, Sinaloa, reportedly operate under the same Midas directors, extending the illicit network to additional locations in Agua Prieta, Guamúchil, Los Mochis, and Mazatlán (all in Sonora), Rosarito (Baja California), and Villahermosa (Tabasco).
FinCEN’s report indicates cartel operatives provided casino management with specific instructions to evade anti-money laundering controls. these included limiting deposits to designated bank accounts to no more than 90,000 pesos (approximately $4,354 USD) and avoiding consecutive-day deposits to prevent account blockage. Alternatively, cartel members were permitted to directly withdraw funds in person at the Midas Casino in Mazatlán.
The investigation revealed the cartel utilized over 30 Mexican-based shell company bank accounts for cash deposits, further obscuring the source of funds. These actions follow the recent blocking of accounts at 13 other Mexican casinos by Mexican authorities, prompted by similar concerns regarding cash operations, international flows, and the use of unregulated digital platforms. The U.S.actions underscore growing international pressure on Mexico to combat financial crimes fueling the drug trade.