FinCEN Geographic Focus on Southwest Border

Continuing the redirection of federal anti-money laundering resources towards the Mexican border, Treasury’s Financial Crimes Enforcement Network (FinCEN) has issued a Geographic Targeting Order (GTO) to curb illicit financial activities and money laundering by Mexico-based cartels and other criminal entities along the southwest U.S. border.

The GTO mandates that money services businesses (MSBs) in 30 ZIP codes across California and Texas file Currency Transaction Reports (CTRs) with FinCEN for cash transactions of $200 or more.

Secretary of the Treasury Scott Bessent announced the move, noting “Treasury remains focused on leveraging all our available tools and authorities to better identify and counter these criminal activities.”

In January, President Trump issued an Executive Order designating certain cartels as Foreign Terrorist Organizations (FTOs) or Specially Designated Global Terrorists (SDGTs). In February, the Departments of the Treasury and State designated eight organizations, including six major Mexico-based cartels, under these classifications.

The GTO takes effect 30 days after its publication in the Federal Register and will remain in force for 179 days. It applies to specific ZIP codes in California, and Texas.

 Additional information on the GTO is available at www.fincen.gov.