US sanctions people and firms over alleged Jalisco cartel links

The United States announced sanctions on Thursday targeting more than 50 Mexican individuals and entities allegedly linked to the Jalisco New Generation Cartel, including a man Washington says is the cartel's new leader.

According to the US Treasury Department, dual US-Mexican national Juan Carlos Gonzalez took control of the cartel, known by its Spanish acronym CJNG, after the killing earlier this year of its previous chief, Nemesio Oseguera, known as El Mencho.

The Treasury said Gonzalez, also known as Pelon, is Oseguera's stepson. It said Gonzalez is charged in a US federal drug trafficking case in Washington. The US State Department is offering a reward of up to $5 million for information leading to his arrest or conviction.

The report describes CJNG as a violent Mexico-based paramilitary gang involved in extortion, money laundering and a global drug trafficking network.

Oseguera was injured and captured in a military sweep in Mexico's Jalisco state in February and died of his injuries on the way to hospital. His killing led to violence across Mexico, with the cartel setting up highway blockades and setting vehicles and buildings on fire in 20 of the country's 32 states. More than 70 people died in that violence, most of them in Jalisco.

In April, Mexican authorities said they had captured two top criminals, including Audias Flores Silva, who was described as Oseguera's right-hand man and had been expected by many to succeed him as head of CJNG. The US Treasury identified Silva as one of Gonzalez's deputies.

The Treasury said the sanctions disrupt a wide range of criminal activities benefiting CJNG across multiple Mexican states. The sanctions target people and companies that Washington says are linked to CJNG leadership through business or family ties and are used by the cartel to launder or conceal assets.

The measures also target an alleged cocaine trafficking network and a group of people and companies accused of involvement in Mexico's fuel smuggling sector.