Banks Financing Mexico Gangs Admitted in Wells Fargo Deal

Just before sunset on April 10, 2006, a DC-9 jet landed at the international airport in the port city of Ciudad del Carmen, 500 miles east of Mexico City. As soldiers on the ground approached the plane, the crew tried to shoo them away, saying there was a dangerous oil leak. So the troops grew suspicious and searched the jet.

They found 128 black suitcases, packed with 5.7 tons of cocaine, valued at $100 million. The stash was supposed to have been delivered from Caracas to drug traffickers in Toluca, near Mexico City, Mexican prosecutors later found. Law enforcement officials also discovered something else. The smugglers had bought the DC-9 with laundered funds they transferred through two of the biggest banks in the U.S.: Wachovia Corp. and Bank of America Corp., Bloomberg Markets magazine reports in its August 2010 issue.

This was no isolated incident. Wachovia, it turns out, had made a habit of helping move money for Mexican drug smugglers. Wells Fargo & Co., which bought Wachovia in 2008, has admitted in court that its unit failed to monitor and report suspected money laundering by narcotics traffickers — including the cash used to buy four planes that shipped a total of 22 tons of cocaine.

The admission came in an agreement that Charlotte, North Carolina-based Wachovia struck with federal prosecutors in March, and it sheds light on the largely undocumented role of U.S. banks in contributing to the violent drug trade that has convulsed Mexico for the past four years.

Yeah, it’s an old story, and it didn’t get much attention. But back then, we didn’t have the power to do what we so obviously need to do.



  1. Somebody says:

    That won’t happen until you get everyone you know to watch “The Money Masters” on YouTube.

    Do it.

  2. hwo says:

    Co-responsibility

  3. Breetai says:

    If Obama did that…. I’d switch my vote.

    • e? says:

      If you could be arrested for aiding Mexican gangs, Obama would already be in jail with his henchman, Eric Holder. Their half-assed law enforcement programs that never result in arrests really make sense when you think of them as logistical support for the cartels.

      Those two have laundered more drug money than the banks via the DEA, shipped firearms to arm the cartels while they subvert the Mexican government’s sovereignty (Gunwalker), and gone easy on border protection to give the cartels clear supply routes into the USA and an illegal workforce that won’t stand up to their bosses. They couldn’t have better friends in Washington if they paid for them.

  4. bobbo, we think with words, and flower with ideas, but what we want is MONEY!!! says:

    What part of Rich = Criminal has escaped your attention?

  5. scandihoovian says:

    This story was the cherry on top that made me leave Wells Fargo after 18 year of loyal butt pain.

    • mharry860 says:

      Yeah, they have our mortgage, not by our choice. I’m always wanting to ask them to show me the paper, because they don’t have it, it’s been rehypothecated. The funny thing is the teller was trying to sell my wife on opening an account, since they have our mortgage. She said “Fuck no, I hate you people” to the teller, poor girl must have been dumbfounded, my wife is smarter than I thought.

  6. Cash Money says:

    People – it’s called cash flow. Capitalism does not require it’s members to enforce ANY laws – NONE. Cash flow is cash flow. You got to keep it moving. Money doesn’t break the law. People break the — oh yeah – I think I get it now. Uuuuh never mind.

  7. ECA says:

    aND WHO KNOWS…
    Arrests, and convictions??

    Any of us do money laundering and we would be in jail 10-20..

  8. Hmeyers2 says:

    Legalize the drugs, then these people will have to find a job or something else to do.

    The “War On Drugs” isn’t working.

    I’m no fan of boneheads getting high, but the the whole entire hemisphere is unstable because of an illegal market and Mexico and a fair chunk of the Southwestern USA are in danger.

    Get rid of the black market and you take away funding for all these criminal activities instead of financially encouraging the activity.

    • Cursor_ says:

      Legalise coke?

      Why don’t we just go back to the 1860 model then? When doctors were prescribing opium pills to anyone, even children?

      Drug use was greater per capita than it is now back then. Do we really want to repeat history again?

      Cursor_

      • McCullough says:

        You can buy opiate based cough syrup in many British territories…over the counter at the Apothecary (drug store). They have no worse drug problems than any one else.

        • Cursor_ says:

          In the UK you must ask for it from the Chemist, be 18 or older, sign for it and you are only allowed a small quantity.

          It is highly regulated. As it should be.

          Drugs are NOT toys. And if you use them as such you not only put yourself at risk but you also encumber your fellow citizen with your health and safety issues.

          No man is an island.

          Cursor_

      • scandihoovian says:

        Legalization needs to be paired with Education, otherwise it’s doomed to fail. You can’t strip the genetic code of an addict, but you can surely educate them.

        • orchidcup says:

          We educate people concerning the dangers of drinking alcohol and driving, and we solved the problem of drunk driving.

          Right?

          • scandihoovian says:

            Education and an easily accessed, well thought out mass transit system can help with the drunk driving issues. The insane penalties are no doubt working as well. In MN, we’re seeing the lowest numbers in 20 years.

          • President Amabo & my wife Chewbacca (Give us a flat, chronological (civilised) comment view please) says:

            Cabs are fine for drunks. Mass transit is evil and should be outlawed.

  9. Money is like a shit sandwich, the more bread you have, the less shit you eat.

    • msbpodcast says:

      Love the aphorism…

    • bobbo, we think with words, and flower with ideas, but what we want is MONEY!!! says:

      I don’t think thats true. Same amount of shit, just less in proportion? But that is about the best picture you have ever posted. One of the new girls I assume?

    • President Amabo & my wife Chewbacca (Give us a flat, chronological (civilised) comment view please) says:

      Damn, I love that.

  10. In G.O.D We Trust

    Gold
    Oil
    Drugs

  11. Sting says:

    Da da da, goo goo goo, is all I want to say to you.

  12. Glenn E. says:

    Between these major banks helping finance the trade, and the major drug makers providing the raw materials to make the stuff. It’s not much of a “war on drugs” when none of the principles are ever held responsible for profiting from its existence. Is it?

  13. chris says:

    New York and Miami have got to be the top two dirty money centers in the western hemisphere. You might have to go the Caribbean to get some kinds of products, but for volume it’s right here in the USA.

  14. Anonymous says:

    I can tell you from PERSONAL EXPERIENCE that Wachovia’s fake value was a huge reason that a lot of people are now OUT OF A JOB!

    Wachovia probably would not have survived if they didn’t merge with somebody. So in stepped Wells Fargo (formerly Norwest from yet another merger). And yet, Wells Fargo isn’t even the same company that started way back in the 1850’s since they too are nothing but a previous conglomeration of other banks. Wells Fargo just kept the name since it was a great marketing strategy that still appeals to the mass numbers of idiots who are too stupid to do their banking at a CREDIT UNION!

    Still, you just have to wonder if Wells Fargo would have ever acquired Wachovia if they knew the kind of “poor investments” Wachovia was making – or accepting! Then again, Wells Fargo is also a bank who can only see dollar signs.

    Don’t be fooled. Wells Fargo cares nothing about your finances despite their current claims that they’ll “be with you” – or whatever the latest feel good slogan is. Wells Fargo, like any commercial bank, only cares about the money and the quickest way they can separate you from it. In many ways, they’re like the GOVERNMENT! So why you would choose to do business with them or any commercial bank is bewildering. DO YOUR BANKING AT A CREDIT UNION!!!

  15. Lou says:

    Just another day at the office.


0

Bad Behavior has blocked 5385 access attempts in the last 7 days.