The U.S. Treasury Department imposed sanctions Monday against three individuals from Mexico and China accused of laundering money for the Sinaloa drug cartel.

Diego Acosta Ovalle, a Mexico-based man, is accused of concealing and managing drug trafficking proceeds before transferring them to cartel associates. According to a Treasury statement, Ovalle has played a crucial role in the cartel's financial operations.

Additionally, Tong Peiji and He Jiaxuan, based in China, were sanctioned for laundering "illicit drug proceeds belonging to the Sinaloa cartel."

Tong and He are accused of facilitating the transfer of drug proceeds into U.S. currency, with He reportedly handling bulk cash deliveries on behalf of criminal groups as instructed by Tong.

Tong is said to have traveled to Mexico to negotiate agreements with Sinaloa cartel members for laundering drug proceeds.

"Today we are taking action to cut off the financial flows of major money launderers who are facilitating the trafficking of fentanyl and other illicit drugs into the United States," U.S. Deputy Treasury Secretary Wally Adeyemo said in a statement.

He emphasized the Treasury's commitment to disrupting drug trafficking networks that contribute to the deaths of many Americans annually.

The sanctions are part of efforts by the U.S. government, in collaboration with Mexico, to disrupt drug trafficking and the flow of illicit narcotics, particularly fentanyl.

Some information for this report came from Agence France-Presse.