Mexican President Claudia Sheinbaum has responded sharply to U.S. government sanctions blocking transfers from three Mexican financial institutions, saying Washington hasn’t shown evidence of its allegations of money laundering.

Mexico's banking regulator will temporarily step in to replace the administration of two banks sanctioned by the U.S. for alleged involvement in money laundering linked to organized crime, it said on Thursday.

The U.S. Treasury on Wednesday prohibited certain transactions with Mexico-based financial institutions CIBanco, Intercam Banco and Vector Casa de Bolsa as part of its new fentanyl sanctions authorities.