The U.S. Treasury Department announced sanctions on a Mexican criminal organization involved in fuel theft and on its imprisoned leader.
Officials said the group operates as a fuel-theft cartel in Mexico. The organization is involved in the illegal extraction, sale, and distribution of petroleum products. The cartel has financed operations by tapping fuel pipelines and diverting oil and gas.
The sanctions block all property of the cartel and its leader under U.S. jurisdiction and prohibit U.S. citizens and entities from transactions with them.
Fuel-theft cartels in Mexico have caused losses for the state-owned energy company and posed safety risks. Illegal pipeline tapping has led to explosions, fires, and other accidents.
The sanctions reflect U.S.-Mexican cooperation, including information sharing on cartel structures, financial networks, and smuggling routes. The Treasury did not release the size of operations or exact value of stolen fuel.
Officials said additional groups and individuals could face sanctions if found involved in the theft, sale, or transport of stolen oil and gas.
