A "highly reliable source" in the National Drug Control Directorate (DNCD) told the afternoon news daily El Nacional yesterday that it not only arrested seven associates of accused Mexican money launderer Carlos Cabal Periche, but also has arranged to freeze bank accounts and close five phantom businesses connected to them. Cabal Periche, wanted in Mexico for laundering some US$300 million, was arrested last month in Australia. Mexican authorities announced on Monday that his seven associates – two Dominicans, two Puerto Ricans and three Italians – were arrested in the DR this past weekend by Dominican authorities and Interpol agents. The phantom operations, all listed under the names of the two Italians, included a nonexistent hotel in Sosúa and a fictional ranch with 100 head of cattle. Dominican investigators are still looking into the business operations of the group to see if they can identify any other money laundering fronts. Mexican authorities and DNCD are to meet today to exchange documents and evidence that would help Dominican authorities trace any illicit operations run by the group. The DNCD source also said that a lawyer who allegedly helped the group set up the false enterprises has been arrested, and arrests have been ordered for several people accused of providing false Dominican passports to Cabal Peniche and his family. As to where the seven alleged money launderers will be tried, the DR’s Solicitor-Generalís Office points out that Mexico and the DR do not have a bilateral extradition treaty, so delivery of the seven to Mexican authorities for trial in that country is unlikely.
