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Bombshell claim by Mexico prosecutors about alleged murder coverup backs up story of cartel boss held in U.S.
Police, prosecutors and forensic examiners in the northern Mexico state of Sinaloa all conspired to cover up the killing of an opponent of the ruling-party state governor, using a blood-stained truck found at the crime scene, federal prosecutors said Sunday.
The bombshell statement by federal prosecutors backs up the version of imprisoned drug lord Ismael “El Mayo” Zambada. Zambada claims he was forced aboard an airplane on July 25 by another drug capo who flew them both to the United States and turned them in to U.S. authorities.
Zambada said in a letter in August that Héctor Cuén, an opponent of ruling-party Gov. Ruben Rocha, was murdered on July 25 at the same time and the same ranch where Zambada was kidnapped. Federal prosecutors revealed Sunday that Cuén’s blood was indeed found at the ranch.
Gov. Rocha has not responded publicly to Sunday’s statement by prosecutors, but he has said in the past that Cuén was killed by gunmen in a random botched robbery at a gasoline station miles away later that day, and Sinaloa state prosecutors showed security camera footage of the alleged attack.
But federal prosecutors quickly noted something was wrong with that video: post-mortem records showed Cuén’s body had four gunshot wounds, while only one gunshot can be heard on the security camera footage, and gas station employees said they didn’t hear any.
Cuén’s bullet-ridden body could not help solve the riddle, because Sinaloa officials violated all murder investigation rules by allowing the body to be cremated almost immediately.
The gasoline station footage was later proved to be a falsification, but something about the white pickup truck seen in the footage was real: it had the blood of one of Zambada’s trusted bodyguards in the cargo bed.
Elizabeth Williams / AP
That implied that Sinaloa state police, crime scene investigators and prosecutors either found the bodyguard’s corpse in the truck and got rid of the body, or at very least took the blood-stained vehicle from a crime scene to fake a gunpoint robbery at the gas station.
“All of the above confirms the police and prosecution investigation that has confirmed the presumed administrative and criminal responsibilities of Sinaloa police, detectives, forensic examiners and state prosecutors who have been exhaustively investigated regarding their participation in the death of Héctor (Cuén)” the federal Attorney General’s Office said in a statement Sunday.
The news appears to complicate further the position of Gov. Rocha, who belongs to President Claudia Sheinbaum’s ruling Morena Party. Sheinbaum has strongly backed Rocha so far. But Rocha has done little or nothing to quell the bloody fighting that broke out between the rival factions of the two Sinaloa drug cartel capos that broke out after July 25.
Instead, Rocha has sought to downplay the gunbattles, killings, kidnappings and cartel roadblocks that have sprung around the state capital, Culiacan. On Thursday, hours before gunmen opened fire on the offices of a local newspaper, Gov. Rocha said “there is nothing to worry about” and “everything is under control.”
Rocha – a close associate of former president Andrés Manuel López Obrador, who left office Sept. 30 – has been implicated in the events of July 25 from the start, though he denies it.
Zambada has said that Joaquín Guzmán López – a leader of a rival cartel faction who he nonetheless trusted – had invited him to the meeting to help iron out the fierce political rivalry between Gov. Rocha and Cuén, who were feuding.
Zambada was famous for eluding capture for decades because of his incredibly tight, loyal and sophisticated personal security apparatus. But he said that on July 25, he left most of his security team behind and entered with only two bodyguards because he expected both Cuén and Gov. Rocha to be present.
The two bodyguards have not been heard from since.
The fact that Zambada would knowingly leave all his security behind to meet with the politicians suggests he viewed such a meeting as credible and feasible. The same goes for the idea that Zambada, as the leader of the oldest wing of the Sinaloa cartel, could act as an arbiter in the state’s political disputes.
Rocha has denied he knew of or attended the meeting where Zambada was abducted, claiming he had borrowed a businessman’s private jet to fly to California that day. But while a flight record of that plane exists, Rocha has never shown the immigration documents he would have filed to enter the United States, leading to doubts that he was aboard the plane.
Zambada pleaded not guilty last month in a U.S. drug trafficking case that accuses him of engaging in murder plots and ordering torture.
The perceived betrayal of Zambada has led to fierce fighting between his followers, known as “Mayitos,” and the followers of Guzmán López, who – as one of the sons of imprisoned drug lord Joaquín “El Chapo” Gúzman – was a co-leader of the faction known as the “Chapitos.”
According to an indictment released by the U.S. Justice Department last year, the “Chapitos” and their cartel associates used corkscrews, electrocution and hot chiles to torture their rivals while some of their victims were “fed dead or alive to tigers.” El Chapo’s sons were among 28 Sinaloa cartel members charged in a massive fentanyl-trafficking investigation announced in April 2023.
El Chapo is serving a life sentence in a maximum security prison in Colorado after being convicted in 2019 on charges including drug trafficking, money laundering and weapons-related offenses.
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Borrowing from your home equity can be a wise way to improve your financial health, especially in today’s economy. For example, you can tap into home equity to fund home renovations that may improve your home’s value. Similarly, home equity loans and home equity lines of credit (HELOCs) typically offer lower rates than credit cards and other types of borrowing products, making them a useful option for consolidating debt and reducing interest costs. And with Americans sitting on an average of $319,000 in home equity currently, these loans may offer higher borrowing limits than other options.
Current economic factors, including inflation and interest rates, are also boding well for borrowers right now, making it an even better time to consider this type of borrowing. For starters, the Federal Reserve is confident enough in the downward inflation trend to cut the federal funds rate at the last three Fed meetings. While the Fed doesn’t set mortgage rates, the federal funds rate influences the interest rates lenders charge on their lending products. While not at pre-pandemic levels, interest rates on home equity loans and HELOCs are slowly improving. The average home equity loan interest rate is currently 8.41%, while the average HELOC interest rate is 8.52% (as of December 19, 2024).
Still, the only economic constant is change. Inflation increased slightly in October, and other factors could alter the borrowing environment going forward. With that in mind, choosing between a HELOC and home equity loan will depend on your financial goals and how these products respond to changes in the market. Let’s explore which of these two home equity options might make sense for your situation.
Start comparing your home equity borrowing options online now.
Why a HELOC could be better than a home equity loan in 2025
HELOCs work like credit cards, offering a line of credit that can be borrowed from multiple times (up to the credit limit). This type of home equity borrowing can be a useful option if you want to use funds as needed over time, as opposed to getting one large lump-sum payment like a home equity loan. For example, if you’re renovating your home with multiple projects, a HELOC lets you access funds as needed for each phase, helping you avoid borrowing more than necessary upfront.
Just remember, HELOC repayment terms usually start with interest-only payments for a set number of years, typically five or 10 years.
“This is for someone who wants a low starting monthly payment, but keep in mind you may not be paying off all the principal,” says Adam Spigelman, senior vice president at Planet Home Lending. “If you borrow $50,000 and you make interest-only payments for five years, at the end of five years, you’ll still owe $50,000.”
Also keep in mind that HELOCs have variable rates that are tied to an index such as the prime rate, which is typically around 3% higher than the federal funds rate. So if you anticipate the Fed’s rate-cutting trend will continue, a HELOC might save you money in the short term. On the other hand, you might think twice about getting a HELOC if you believe rates will increase during your repayment term.
“When that index rate rises, your monthly payment may also rise. That higher payment can leave you with less money in your pocket, which can make it harder to stay out of debt. If the higher interest rate comes at a time when you’re starting to do the principal repayment, it can lead to payment shock,” Spigelman notes.
Find out how affordable the right home equity borrowing option could be today.
Why a home equity loan could be better than a HELOC in 2025
If you’re looking for more predictable financing, you may prefer a home equity loan for its fixed interest rate and monthly payment that remains the same during the life of the loan, regardless of rate adjustments.
“A home equity loan is a fixed rate and doesn’t fluctuate based on what the Federal Reserve does,” says Jeremy Schachter, branch manager at Fairway Independent Mortgage Corp. “So when the rates come down, your fixed rate doesn’t go down.”
While the Fed’s ongoing rate cuts might reduce borrowing costs on HELOCs in 2025, a home equity loan might be a better long-term option if you expect rates to rise during your loan term.
Home equity loans are a great option if you need a large, lump-sum payment to fund a large expense. You might use one to fund a major home renovation, consolidate high-interest debt or even cover your child’s college tuition. Since home equity loans often have lower rates than private student loans, they may help you save money in the long run.
Should you borrow from your home equity now or wait?
Deciding whether to borrow now or wait until 2025 or later depends on your financial situation, goals and borrowing preferences. As Schachter explains, the type of loan you choose matters, as fixed-rate and variable-rate options affect how your monthly payments change over time.
“Depending on your needs and goals with the funds for the loan, it may make sense not to wait to take out a HELOC because it does change with rates changing. If you are looking for a home equity loan, it may make sense to hold off until next year if your projects or use of the funds can be pushed out,” says Schachter.
The bottom line
Heading into 2025, the choice between a home equity loan and a HELOC comes down to how stable you want your payments to be, and which direction you anticipate interest rates are trending. So, take time to weigh the pros and cons of each option and how they might impact your budget. Finally, remember that home equity loans and credit lines are secured by your home, so you should never borrow more than you need, and make sure the payments fit comfortably into your budget before signing for one.
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