Chinese National Sentenced to 14 Years in Prison for Laundering Drug Proceeds on Behalf of Traffickers in Mexico
2021-04-27 · Press release
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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