Stop Fentanyl Money Laundering Act of 2025

The bill would authorize the Secretary of the Treasury to designate foreign financial institutions, classes of transactions, or types of accounts as being of "primary money laundering concern" in connection with illicit fentanyl and narcotics financing. Once designated, Treasury could require domestic financial institutions to take special measures — such as enhanced reporting on transactions involving the flagged entity or activity — and could pursue civil injunctions and penalties for violations. Classified information used to support a designation may be submitted to courts in private review.

Separately, the bill would require the Financial Crimes Enforcement Network (FinCEN) to issue an updated advisory to banks specifically on identifying Chinese professional money laundering tied to fentanyl trafficking, consolidating three earlier advisories. FinCEN would also have to issue guidance for filing suspicious activity reports on narcotics transactions by transnational criminal organizations and brief Congress on its results. Additionally, the Government Accountability Office would be required to report on lessons learned from past drug crises and their applicability to the current opioid epidemic.

Domestic banks and financial institutions that would face new reporting and compliance obligations when Treasury designates a foreign entity or transaction type as a money-laundering concern. Foreign financial institutions operating outside the United States could face restrictions on their access to U.S. financial channels. FinCEN, Treasury, and Congressional oversight committees are also directly engaged by the bill's requirements.

If enacted, domestic banks would have clearer obligations and updated regulatory guidance to identify and report fentanyl-related money flows, while Treasury would gain a targeted new tool to cut off foreign financial facilitators without requiring a full sanctions designation. The focus on Chinese professional money-laundering networks and transnational criminal organizations reflects the primary financial infrastructure behind the current fentanyl supply chain.

Treasury would issue orders or regulations designating foreign financial entities or transactions as primary money-laundering concerns; domestic banks would then comply with special measures mirroring those in 31 U.S.C. § 5318A(b). FinCEN must update and consolidate existing advisories within one year of enactment and issue suspicious-activity report guidance within 180 days. FinCEN's Director must brief four congressional committees within one year on the guidance's usefulness. The GAO must deliver a report and briefing within 360 days on lessons from prior drug crises. Civil enforcement and penalties follow an existing framework from the FY2021 NDAA.