Beauty pageant organizing firm Gloria Promociones has stripped Zuniga of her title in the Hispanoamerican Queen pagent, the Associated Press reported on Sunday.
She is being detained for 40 days as police continue to investigate, Reuters reported.
The company did not cite the specific rule which was broken, however it said her title was stripped for "failure to comply with the regulations of the title she represents."
Zuniga also won the Miss Sinaloa title in July but the firm organizing the contest is awaiting the results of a police investigation, AP reported.
Last week Mexican police detained Zuniga along with seven men, including suspected drug traffickers. They had weapons and more than $50,000 in cash.