By Eric Green
Washington File Staff Writer

Washington -- Law enforcement authorities from the United States and Mexico have announced the arrest of a Mexican national charged with embezzling about $4.9 million and laundering those illicit funds through U.S. and European financial institutions.

The U.S. Immigration and Customs Enforcement (ICE) Agency said in an April 21 statement that Jaime Ross-Castillo was arrested in Cancun, Mexico, on the money-laundering charges and is being held in Mexico City, where he awaits trial. Money laundering involves the process by which criminals conceal illicitly acquired funds by converting them into seemingly legitimate income.

ICE said that during its probe of Ross-Castillo's dealings, the agency seized a Learjet, valued at about $6 million, which was allegedly purchased with a portion of the illicit funds from Ross-Castillo's embezzlement scheme. ICE said Mexican authorities have seized two additional aircraft during the course of the investigation -- a Cessna plane valued at $1.6 million, and a helicopter valued at $3.3 million.

The case "demonstrates the value of cross-border cooperation [by the United States and Mexico] in combating international financial crimes," said ICE. "Mexican authorities worked closely with ICE agents to target this important money-laundering and embezzlement scheme." The agency said the case also illustrates how ICE is participating with foreign law enforcement agencies "to attack those schemes that threaten U.S. economic security."

The U.S. State Department's annual "International Narcotics Control Strategy Report," covering the year 2003, devotes an entire volume to money laundering and financial crimes and to the intensified crackdown on global crime networks following the September 2001 terrorist attacks against the United States.

As of December 2003, $140 million in terrorist assets had been blocked since September 2001, about a 12 percent increase over the $125 million total at the end of 2002, said the report, which was released March 1. In addition, the report found an "increasing willingness" on the part of the international community to cooperate in the fight to stop the flow of money to and from criminal enterprises.

"Progress will require strong, imaginative and well-resourced leadership from the United States. But we need not go it alone," the report said.

Meanwhile, ICE also announced that an Ecuadoran fugitive, wanted on murder charges in Ecuador, has been arrested for being illegally present in the United States.

ICE agents arrested Frank Paul Torres-Jara after it was determined he had overstayed his visitor visa and was living in the United States illegally, making him eligible for apprehension by the United States.