Treasury Extends Deadline on Mexico-Based Financial Institutions Under Fentanyl Sanctions Powers

The United States Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) has extended the implementation timeline for orders targeting three Mexico-based financial institutions identified as primary money laundering concerns linked to fentanyl trafficking. Covered financial institutions now have until 4 September 2025 to comply with prohibitions on certain transmittals of funds involving CIBanco S.A. Institution de Banca Multiple (CIBanco), Intercam Banco S.A. Institución de Banca Multiple (Intercam), and Vector Casa de Bolsa S.A. de C.V. (Vector).

This move follows the landmark orders issued by FinCEN on 25 June 2025 under new authority granted by the Fentanyl Sanctions Act and the FEND Off Fentanyl Act. The orders are a direct response to findings that these institutions present significant risks of facilitating illicit finance related to opioid trafficking.

In explaining the extension, FinCEN highlighted ongoing cooperation with Mexican authorities, who have taken additional steps to mitigate the concerns raised, including assuming temporary management of the institutions involved. FinCEN Director Andrea Gacki stressed the importance of safeguarding the US financial system from exploitation by transnational criminal organisations and narcotics traffickers.

The extension underscores FinCEN’s commitment to working in partnership with the Government of Mexico while maintaining a robust and flexible approach to tackling money laundering and disrupting the financial flows supporting fentanyl trafficking. Treasury has indicated it will continue to monitor developments closely and consider all relevant factors before making further decisions on the orders’ implementation deadlines.

Financial institutions operating cross-border payment and remittance services should take note of this development and ensure preparedness to comply with enhanced due diligence obligations under these orders by the revised deadline of 4 September 2025.

For further information, FinCEN’s updated order and the original determinations against CIBanco, Intercam, and Vector remain publicly available.

Read the press release here.