The Guadalajara Cartel was a Mexican drug cartel which was formed in the 1980s by Rafael Caro Quintero, Miguel Ángel Félix Gallardo and Ernesto Fonseca Carrillo in order to ship heroin and marijuana to the United States. Among the first of the Mexican drug trafficking groups to work with the Colombian cocaine mafias, the Guadalajara cartel prospered from the cocaine trade.
After the arrest of Rafael Caro Quintero and Ernesto Fonseca Carrillo, Félix Gallardo kept a low profile and in 1987 he moved with his family Guadalajara city. "The Godfather" then decided to divide up the trade he controlled as it would be more efficient and less likely to be brought down in one law enforcement swoop. In a way, he was privatizing the Mexican drug business while sending it back underground, to be run by bosses who were less well known or not yet known by the DEA.
Félix Gallardo "The Godfather" convened the nation's top drug narcos at a house in the resort of Acapulco where he designated the plazas or territories. The Tijuana route would go to the Arellano Felix brothers. The Ciudad Juárez route would go to the Carrillo Fuentes family. Miguel Caro Quintero would run the Sonora corridor.
The control of the Matamoros, Tamaulipas corridor - then becoming the Gulf Cartel- would be left undisturbed to Juan García Abrego. Meanwhile, Joaquín Guzmán Loera and Ismael Zambada García would take over Pacific coast operations, becoming the Sinaloa Cartel. Guzmán and Zambada brought veteran Héctor Luis Palma Salazar back into the fold. Félix Gallardo still planned to oversee national operations, he had the contacts so he was still the top man, but he would no longer control all details of the business; he was arrested on April 8, 1989.
According to Peter Dale Scott, the Guadalajara Cartel, Mexico's most powerful drug-trafficking network in the early 1980s, prospered largely because it enjoyed the protection of the Dirección Federal de Seguridad, under its chief Miguel Nassar Haro, a CIA asset."