LOS ANGELES: A Mexican national has been arrested in California on charges of helping drug traffickers launder more than $60 million in proceeds through an elaborate scheme.
Gustavo Barba, 59, of Guadalajara, was detained on Tuesday as he sought to enter the US through San Diego, authorities said on Thursday.
Three of his associates were also jailed and charged in the 32-count indictment that details how the group laundered millions of dollars in drug proceeds through legitimate businesses in Mexico and South America.
Barba’s organization allegedly laundered the money by using a “Black Market Peso Exchange” (BMPE) scheme to convert millions of dollars in drug money generated in the United States into pesos that were then delivered to drug cartels in Mexico.
“The BMPE involves both illegal drug trafficking and legitimate businesses operating throughout the Americas, and the scheme solves problems faced by both groups,” prosecutors said in a statement.
“Drug cartels have massive amounts of US currency, often in small denominations, that is difficult to transport in bulk or to deposit into financial institutions,” it added.
“At the same time, some legitimate businesses in Mexico want US dollars in the United States to pay domestic suppliers and manufacturers so they can avoid incurring fees and taxes that would result if they wired the money to the US through legitimate channels.”
The BMEP brings the two groups together through a broker, according to the indictment, which was handed down last July but remained sealed until Thursday.
Once the peso broker facilitates the transactions for both sides, the cartels and the legitimate businesses, the proceeds are turned over to drug dealers or intermediaries, completing the cycle, authorities said.
Three other suspects are being sought in the case, including Barba’s 77-year-old father-in-law, Roberto Castaneda, who allegedly coordinated the delivery of the drug profits.
The other two suspects allegedly acted as couriers.
Mexican drug ringleader nabbed in US
Mexican drug ringleader nabbed in US
Stranded in paradise: Mideast war traps thousands in Bali
- Limited flights from UAE begin as governments seek to extract citizens from Middle East
- At least 4,400 people had flights to Doha, Dubai and Abu Dhabi canceled between Saturday and Monday
DENPASAR, LONDON, BERLIN: Passengers stranded on the Indonesian resort island of Bali clamored for flight news on Tuesday as the outbreak of war in the Middle East grounded planes and turned a tropical holiday dream into an ordeal for many.
Hundreds were crowded at Ngurah Rai International Airport, many dressed in shorts, flip-flops and summer dresses, their expressions dour.
Many sat on the floor, exhausted, and one man repeatedly hit a wall in frustration. “I just kind of want to see my family ... right now it’s a bit stressful,” British tourist Adam Woo, transiting through Bali after holidaying on the neighboring island of Lombok, said. The 23-year-old student said he saw the missiles start flying on the news “and I was a bit worried about my flight” — especially after Dubai airport was hit in Iran’s response to a US-Israeli attack.
“Obviously, everyone around the world at the moment is kind of stuck,” said Woo. “All the travel agencies are swamped with people calling in. So, it’s literally impossible to even get on the phone with someone.”
He said he was looking for an alternative flight via China.
Around Woo, many at the airport were lugging around heavy luggage with slumped shoulders, frustration etched on many a face.
Many queued on foot and on chairs outside information centers hoping for news on replacement flights, receiving occasional briefings with little news.
The airport’s immigration office said in a statement at least 4,400 people had flights to Doha, Dubai and Abu Dhabi canceled between Saturday and Monday.
With would-be passengers at risk of overstaying their visas, the Bali immigration office introduced a same-day emergency stay permit free of charge for affected foreigners.
Thirty-five have applied so far, according to immigration head Felucia Sengky Ratna.
Airports company Angkasa Pura said 15 flights from Bali to Doha and Abu Dhabi, and vice versa, have been canceled between Saturday and Monday.
National carrier Garuda Indonesia has grounded all flights to Doha until further notice.
Meanwhile, stranded travelers began departing the UAE aboard a small number of evacuation flights on Monday, even as most commercial air traffic across the Middle East remained suspended.
The limited flights out of Dubai and Abu Dhabi took place as the US State Department urged its own citizens in 13 countries, including UAE, Jordan, Saudi Arabia, Egypt, Lebanon and Oman, to “depart now via commercial means due to serious safety risks.”
Sweeping airspace closures and flight cancelations across the region left many fewer options for heeding the advice.
The State Department has evacuated non-emergency personnel and families in six nations, adding the UAE to its list on Tuesday.
In Italy, the government has assisted with flights to Milan and Rome in the wake of mounting criticism against Defense Minister Guido Crosetto.
The minister sparked a political controversy at home after being stuck in Dubai with his family during the initial phase of the attack on Iran.
Crosetto returned to Rome on Sunday on a military aircraft. The left-wing opposition has called for Crosetto’s resignation, saying he should not have traveled to the Middle East during a crisis.
