The Triborder region of South America is where the borders of Argentina, Brazil, and Paraguay intersect. The Triborder’s reputation has been one of a hub of illegal activities, such as pirating, trafficking in drugs, weapons, and illegal immigrants. Also, due to the Triborder’s relatively unregulated financial sector fostering the laundering of billions of criminal funds, loss of capital has become an annual occurrence. Even though reports that the region is a terrorist haven seem exaggerated, Arabs’ extensive participation in the Triborder underground economy is believed to generate funds on behalf of Islamic extremists in the Middle East, especially Hezbollah and Hamas. Efforts to crack down on pirate businesses and alleged terrorist financiers have been constrained by government apathy, widespread police and judicial corruption, and a lack of effective antiterrorist legislation. In addition, many of the Triborder’s inhabitants are dependant on the regions’ underground economy and associated financial services limiting the governments’ capacity for action. In a continued effort to curb terrorist money flow in the region, Triborder governments should persist in targeting illegal businesses. Figures and appendixes