HomeNewsBriefTraffickers Launder $85bn a Year in US
BRIEF

Traffickers Launder $85bn a Year in US

MONEY LAUNDERING / 9 FEB 2012 BY CHRISTOPHER LOOFT EN

According to a US Department of Justice official, international drug traffickers launder $85 billion a year in the United States.

El Universal reports that the Jennifer Shasky, chief of the department's Asset Foreclosure and Money Laundering Section, said the Sinaloa Cartel, one of the largest in Mexico, uses shell companies registered in the US as part of its money-laundering operations.

In her testimony, Shasky said that US law makes it easy to establish shell companies and difficult to investigate them.

InSight Crime Analysis

Shasky's testimony highlights the key role US businesses and financial institutions play in international money laundering.

The advanced, efficient financial system of the US allows traffickers to easily launder large amounts of money, with the added benefit of conferring legitimacy on the money that passes through it.

US authorities have been criticized for not taking action against the laundering of profits from organized crime through the banking system. One example is Wachovia bank, which was accused of wilfully failing to implement money laundering regulations, but managed to avoid prosecution.

share icon icon icon

Was this content helpful?

We want to sustain Latin America’s largest organized crime database, but in order to do so, we need resources.

DONATE

What are your thoughts? Click here to send InSight Crime your comments.

We encourage readers to copy and distribute our work for non-commercial purposes, with attribution to InSight Crime in the byline and links to the original at both the top and bottom of the article. Check the Creative Commons website for more details of how to share our work, and please send us an email if you use an article.

Was this content helpful?

We want to sustain Latin America’s largest organized crime database, but in order to do so, we need resources.

DONATE

Related Content

COCAINE / 23 MAR 2022

The United States government has ramped up its pursuit of one of Guatemala’s most enduring drug clans – the so-called…

BRAZIL / 26 APR 2022

A protagonist in one of Brazil’s most infamous corruption scandals is behind bars again, accused of participating in an international…

BRAZIL / 28 JUL 2022

Former Paraguay president, Horacio Cartes, is accused of money laundering at home, with US authorities also on his tail.

About InSight Crime

THE ORGANIZATION

Venezuela Coverage Receives Great Reception

27 MAY 2023

Several of InSight Crime’s most recent articles about Venezuela have been well received by regional media. Our article on Venezuela’s colectivos expanding beyond their political role to control access to…

THE ORGANIZATION

InSight Crime's Chemical Precursor Report Continues

19 MAY 2023

For the second week in a row, our investigation into the flow of precursor chemicals for the manufacture of synthetic drugs in Mexico has been cited by multiple regional media…

THE ORGANIZATION

InSight Crime’s Chemical Precursor Report Widely Cited

THE ORGANIZATION / 12 MAY 2023

We are proud to see that our recently published investigation into the supply chain of chemical precursors feeding Mexico’s synthetic drug production has been warmly received.

THE ORGANIZATION

InSight Crime’s Paraguay Election Coverage Draws Attention 

5 MAY 2023

InSight Crime looked at the various anti-organized crime policies proposed by the candidates in Paraguay’s presidential election, which was won on April 30 by Santiago Peña. Our pre-election coverage was cited…

THE ORGANIZATION

InSight Crime Cited in OAS, CARICOM Reports

28 APR 2023

This week, InSight Crime’s work was cited nine times in a new report by the Organization of American States (OAS) titled “The Impact of Organized Crime on Women,…