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Chinese National Sentenced to 14 Years in Prison for Laundering Drug Proceeds on Behalf of Traffickers in Mexico

2021-04-27 · Press release

Mentions 1960 Verified 1960

Summary: Chinese National Sentenced to 14 Years in Prison for Laundering Drug Proceeds on Behalf of Traffickers in Mexico

CHICAGO — A federal judge in Chicago today sentenced a Chinese national to 14 years in prison for laundering illegal narcotics proceeds on behalf of drug traffickers in Mexico.

XIANBING GAN schemed in 2018 to have approximately $534,206 in narcotics proceeds picked up in Chicago and transferred to various bank accounts in China, with the money ultimately intended for drug traffickers in Mexico.  Unbeknownst to Gan, a purported money courier who picked up the drug proceeds in Chicago was an undercover law enforcement agent.

Gan, 51, is a Chinese national who facilitated the money transfers while residing in Guadalajara, Mexico.  U.S. authorities arrested him in November 2018 at Los Angeles International Airport during a layover on a flight from Hong Kong to Mexico.  He has remained in U.S. custody since then.

A federal jury in Chicago last year convicted Gan on three counts of money laundering and one count of operating an unlicensed money transmitting business.  U.S. District Judge Thomas M. Durkin imposed the sentence today after a hearing in federal court in Chicago.

The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Angie Salazar, Special Agent-in-Charge of Homeland Security Investigations in Chicago; and Tamera Cantu, Acting Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago. 

“The defendant was part of a recent phenomenon in which a relatively small network of Chinese money brokers based in Mexico have come to dominate international money laundering markets,” Assistant U.S. Attorneys Sean J.B. Franzblau and Richard M. Rothblatt argued in the government’s sentencing memorandum.  “Like defendant, many of these brokers are also engaged in legitimate business, and use that business as cover for and to further money laundering activity.  It does not matter that defendant never personally distributed narcotics – drug distribution and money laundering are two-sides of the same malignant coin.”

district_office
Northern District of Illinois
usa_name
John R. Lausch, Jr.
event_type
sentencing
judge_name
Thomas M. Durkin
judge_title
U.S. District Judge
case_number
max_penalty_text
sentence_summary
14 years in prison
money_amounts
$534,206
crypto_assets
statutes_json
timeline_json
press_release_url
https://www.justice.gov/usao-ndil/pr/chinese-national-sentenced-14-years-prison-laundering-drug-proceeds-behalf-traffickers
extras_json
participant_id name role title organization location age nationality status
1934 XIANBING GAN defendant Guadalajara, Mexico 51 Chinese sentenced
1935 Thomas M. Durkin judge U.S. District Judge U.S. District Court Chicago
1936 John R. Lausch, Jr. prosecutor United States Attorney U.S. Attorney's Office for the Northern District of Illinois Chicago
1937 Angie Salazar Special Agent-in-Charge Special Agent-in-Charge Homeland Security Investigations Chicago
1938 Tamera Cantu Acting Special Agent-in-Charge Acting Special Agent-in-Charge IRS Criminal Investigation Division Chicago
1939 Sean J.B. Franzblau prosecutor Assistant U.S. Attorney U.S. Attorney's Office for the Northern District of Illinois Chicago
1940 Richard M. Rothblatt prosecutor Assistant U.S. Attorney U.S. Attorney's Office for the Northern District of Illinois Chicago
agency_id agency_name abbreviation role office_location agents_mentioned contribution
1207 United States Attorney's Office for the Northern District of Illinois USAO prosecution Northern District of Illinois John R. Lausch, Jr., Sean J.B. Franzblau, Richard M. Rothblatt Prosecuted the case, announced the sentence, and argued in the sentencing memorandum
1208 Homeland Security Investigations HSI investigation Chicago Angie Salazar Led the undercover operation and investigation into the money laundering scheme
1209 Internal Revenue Service Criminal Investigation Division IRS CI investigation Chicago Tamera Cantu Assisted in investigating financial transactions related to the money laundering operation
charge_id charge_description statute severity max_penalty fine_amount defendant status participant_id cl_docket_id count_num is_1960 verified_1960 source updated_at
998 Money Laundering XIANBING GAN convicted 0 enrichment
999 Money Laundering XIANBING GAN convicted 0 enrichment
1000 Money Laundering XIANBING GAN convicted 0 enrichment
1001 Operating an Unlicensed Money Transmitting Business XIANBING GAN convicted 1 enrichment 2026-09-16T19:45:57+00:00
2928 operating an unlicensed money transmitting business 1 press 2026-09-16T19:45:57+00:00
2929 unlicensed money transmitting business 1 press 2026-09-16T19:45:57+00:00
fin_id action_type amount currency description asset_type defendant status
380 seizure $534,206 USD narcotics proceeds picked up in Chicago cash XIANBING GAN completed
victim_id victim_type description number_affected loss_amount geographic_scope vulnerability_factors impact_description
263
quote_id quote_text speaker_name speaker_title speaker_organization quote_type context significance
1195 The defendant was part of a recent phenomenon in which a relatively small network of Chinese money brokers based in Mexico have come to dominate international money laundering markets. Sean J.B. Franzblau Assistant U.S. Attorney U.S. Department of Justice statement Government’s sentencing memorandum Explains the defendant's role in a broader criminal network
1196 Like defendant, many of these brokers are also engaged in legitimate business, and use that business as cover for and to further money laundering activity. Sean J.B. Franzblau Assistant U.S. Attorney U.S. Department of Justice statement Government’s sentencing memorandum Describes the method used by money brokers to conceal illegal activities
1197 It does not matter that defendant never personally distributed narcotics – drug distribution and money laundering are two-sides of the same malignant coin. Sean J.B. Franzblau Assistant U.S. Attorney U.S. Department of Justice statement Government’s sentencing memorandum Emphasizes the equal culpability of money laundering in drug trafficking operations
theme_id theme_name description significance related_statutes geographic_scope temporal_aspects stakeholders
1279 Chinese Money Brokers in Mexico A network of Chinese brokers based in Mexico dominating international money laundering markets. They represent a significant threat to global financial integrity and law enforcement efforts. 18 U.S.C. § 1956 International Recent development Chinese brokers, Law enforcement, Financial institutions

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