CIBanco and Intercam: The Treasury protects trusts and users

In a strategic move to protect users of the Mexican financial system, the Ministry of Finance and Public Credit (SHCP) announced the spin-off of the trust business of CIBanco and Intercam Banco, two institutions recently targeted by the United States government for their alleged involvement in money laundering linked to opioid trafficking.

On the afternoon of July 4, the SHCP announced that it would begin the temporary transfer of the trusts managed by these entities to Mexican development banks, as part of a strategy to ensure their operational continuity and protect the interests of the trustors, beneficiaries, and third parties involved.

This decision is in line with the Credit Institutions Law, particularly the powers contemplated in Article 129, which allow for managerial intervention in institutions whose operations could compromise the stability of the financial system.

The National Banking and Securities Commission (CNBV) and other financial authorities will actively participate in this process, providing ongoing oversight to ensure the necessary regulatory and operational controls are maintained.

The plan also contemplates the eventual permanent transfer of the trusts to private financial institutions, provided they meet the legal and operational conditions required to guarantee transparency, legality, and user protection.

The measure follows a series of actions taken after the U.S. Department of the Treasury's Financial Crimes Enforcement Network (FinCEN) issued warrants against CIBanco, Intercam Banco, and Vector Casa de Bolsa on June 25. The investigations point to these institutions' alleged involvement in activities related to money laundering from illicit opioid trafficking.

In response, the CNBV temporarily intervened in CIBanco and Intercam on June 26, replacing their administrative bodies with the goal of safeguarding the rights of savers and creditors, as well as guaranteeing the integrity of the national financial system.

On July 1, the Mexican Banking Association (ABM) reiterated that both CIBanco and Intercam continue to operate within the Mexican financial system and are not legally impeded from doing so.

This position seeks to provide peace of mind to users while the federal government moves forward with firm and structured measures that seek to protect the Mexican financial system from any potential impact resulting from international accusations.

The Treasury's decision does not imply the dissolution or cancellation of the trusts, but rather a temporary change in their administration. Clients will retain their rights and benefits, and the transition is expected to be transparent and seamless.

Although the Treasury has not specified which public entities will assume this temporary administration, institutions such as Banobras, Nafin, and Bancomext, which have operational experience in public and private trusts, are likely to participate.

Following the intervention and temporary transfer phase, the SHCP will initiate a process for the final transfer to private financial sector players, with strict eligibility criteria. The goal is to restore trust, preserve user resources, and ensure the legality of the fiduciary process.