(Reuters) – Mexico’s Congress on Thursday approved a long-awaited law to crack down on money laundering in a bid to attack the finances of the country’s powerful drug cartels.
The law, proposed two years ago by President Felipe Calderon as part of his offensive against drug gangs, was passed by the Senate on Thursday. The lower house passed it earlier this year.
The new federal law puts restrictions on cash purchases of real estate, jewelry, armored cars and other assets that criminals use to launder illicit funds. Companies will be required to report large cash purchases under the law.