The U.S. Treasury Department sanctioned six targets tied to the Cartel del Noreste (CDN) on April 14, targeting a money laundering and cash smuggling network that funneled cartel proceeds through casinos near the Texas border.
The Office of Foreign Assets Control (OFAC) designated three individuals and two casinos connected to CDN, which the U.S. government has classified as a Foreign Terrorist Organization (FTO). One of the sanctioned casinos, Casino Centenario in Nuevo Laredo, Tamaulipas, sits just two miles from the U.S. border. The second, Diamante Casino, operates in Tampico, Tamaulipas.
Human Smuggling and Cash Stash Houses
Among the individuals designated is Eduardo Javier Islas Valdez, known as “Crosty,” who OFAC identified as the head of CDN human smuggling operations in Nuevo Laredo. According to Treasury, Islas oversees human smugglers called pateros and controls who crosses the Rio Grande into Texas. He also manages cash stash houses in Nuevo Laredo that sustain the cartel’s cross-border operations.
Jesus Reymundo Ramos Vázquez, born March 15, 1971, in Tamaulipas, was also designated. The sanctions were issued under Executive Order 14059, which targets the international proliferation of illicit drugs, and Executive Order 13224, which targets terrorists and their supporters.
Third Round of CDN Sanctions Under Trump
The State Department confirmed this is the third round of sanctions targeting CDN’s leadership and affiliates during the Trump Administration. Previous rounds in May and August 2025 targeted other high-ranking CDN members, including Francisco Daniel Esqueda Nieto, known as “Franky de la Joya,” who took over tactical operations in Nuevo Laredo after a CDN leader’s arrest.
CDN, formerly known as Los Zetas, controls territory along the border near Laredo, Texas, the busiest land port of entry on the southern U.S. border. The cartel’s operations include fentanyl trafficking, human smuggling, money laundering, and extortion. CDN attacked the U.S. Consulate in Nuevo Laredo in March 2022.
What the Sanctions Mean for U.S. Citizens
The designations freeze any U.S.-based assets held by the sanctioned individuals and businesses. Any U.S. person or entity that conducts transactions with the designated targets faces severe federal penalties. Casino Centenario was established in 2023, according to OFAC records, while Diamante Casino has operated since 2021.
While CDN’s primary zone of influence is in Tamaulipas and Coahuila rather than Baja California, the sanctions apply nationwide. U.S. citizens anywhere in Mexico who unknowingly transact with sanctioned entities or individuals could face legal consequences.
Zeta Tijuana first reported on the Treasury action on April 14.