In this paper, we address blind separation of spatially correlated signals mixed by multiple-input multiple-output (MIMO) finite-impulse-response (FIR) systems. We propose to first preprocess the source signals using precoders in transmitters and then the coded signals are transmitted. On the receiving side, the Z-domain features of the precoders are exploited to separate the coded signals, from which the source signals can be recovered. Different from the traditional blind source separation methods, the proposed method does not require the source signals to be uncorrelated, sparse, or nonnegative. Compared with the existing precoder-based methods, the new method can deal with dynamic mixing systems. Numerical simulations demonstrate the performance advantages of the proposed algorithm over the existing state-of-the-art convolutive BSS methods.