US Treasury sanctions a chain of ice cream shops and a pharmacy tied to the Sinaloa Cartel

The U.S. Treasury Department on Tuesday said it sanctioned two Mexican businesses — an ice cream chain and a local pharmacy — for allegedly using proceeds of fentanyl trafficking to finance their operations tied to the Sinaloa cartel.

Treasury’s Office of Foreign Assets Control — the U.S. agency that combats illicit funds and money laundering — said people previously cited for money laundering had set up a chain of ice cream and popsicle shops in the state of Sinaloa.

The Sinaloa cartel often uses their earnings from international drug trafficking to establish businesses, pouring cash into everything from fraudulent timeshare operations to restaurants to launder money.

OFAC said that another individual set up a pharmacy and convenience store using drug proceeds in the northern state of Sonora.

​​“President Biden and Vice President Harris are committed to using every tool at our disposal to combat the cartels that are poisoning our communities with fentanyl and other deadly drugs,” said Deputy Secretary of the Treasury Wally Adeyemo in a statement.

The sanctions come days after the U.S. rejected accusations by Mexico’s President that the U.S. was partly responsible for a surge in cartel warfare that left at least 30 people dead in Sinaloa.

The cartel is responsible for a significant portion of fentanyl trafficking into the U.S. They precursor chemicals from China and India to make the synthetic opioid and smuggle it into the United States, where it causes about 70,000 overdose deaths annually.

Jesús Norberto Larrañaga Herrera, known as “El 30”, and Karla Gabriela Lizárraga Sánchez, established “Nieves y Paletas,” an ice cream chain with several storefront locations around the capital using drug proceeds, according to the