Puerto Vallarta News
Puerto Vallarta News

The most local news coverage in Puerto Vallarta

How your vacation money in Mexico is funding the most violent drug cartels

Puerto Vallarta (PVDN) – As American youth prepares to pack up their books and hit the beaches, many are hearing an increasingly strong warning from the U.S. Government: think twice before traveling to Mexico.

Experts believe that some resorts, which have long been considered safe areas, may actually be controlled by Mexican drug cartels.

“There is a cartel presence in these resorts,” said Robert Almonte, a former U.S. marshal in the western district of Texas.

Almonte isn’t just referring to drugs being sold to tourists; he says cartels own some of those popular resorts as a way to launder money.

“They’re not going to have their name on there,” he said. “They’re going to other individuals that have interest in the companies already and I think one of the main reasons is to launder their money.”

The U.S. Treasury Department is currently pursuing such a connection with the case of Sergio Armando Orozco Rodriguez, also known as “Chocho.”

Using the Kingpin Act, federal authorities allege “Chocho” is a member of the Jalisco New Generation Cartel (CJNG) who extorts businesses for protection money in Puerto Vallarta and launders drug proceeds through ties to all the high-end nightclubs and restaurants along the city’s main boardwalk.

A common part of doing business in Mexico is the need for business owners to pay cartels money or face harm to their business or family, this is the case in Puerto Vallarta for many businesses being threatened by thugs like Chocho.

You may be interested in: Americans are ignoring travel warnings and moving to places in Mexico considered to be dangerous by the US government

Earl Anthony Wayne, a former U.S. ambassador to Mexico, says money laundering through hospitality services, real estate, and other foreign trade that appears legitimate, all boils down to Mexican cartels supplying drugs and American demand for them. A portion of every tourist dollar spent in these popular vacation areas goes right into the cartel’s pockets. You don’t need to be buying drugs to support cartels any longer, you just need to stay at a hotel, enjoy a nice restaurant, or go out for drinks in tourist destinations like Puerto Vallarta and many other popular beach destinations in Mexico.

“One of the things we’ve discovered about these groups is they may be bad and evil but they’re often pretty smart in finding ways to move their profits around,” said Wayne.

As of today, the U.S. State Department has issued its strongest possible “do not travel” warning for five Mexican states due to “crime and kidnapping:” Colima, Michoacan, Sinaloa, Tamaulipas, and Zacatecas.

A sixth state, Guerrero, is on the do not travel list due to “crime.”

Of the 32 Mexican states, just two have the lowest level of “normal precautions” designation.

The popular tourist state of Quintana Roo, which includes vacation hotspots such as Tulum, Playa Del Carmen, and Cancun, has a level two “exercise increased caution” warning.

Almonte thinks it’s time for Americans to avoid the country as a message to the cartels and the Mexican government.

“We’ve had enough,” he said. “We’re not going to Mexico until you guys get your house in order.”

Tourist data suggests that Americans aren’t really concerned that their vacation money is making its way to the pockets of some of the world’s most violent drug cartels, such as the cartel controlling Puerto Vallarta. More than 30 million U.S. citizens traveled to Mexico in 2022, a record number, and it’s only expected to get stronger this year.

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