Since the third semester of 2021, within the framework of the implementation of Resolution 36/2021 “Which Approved the Action Plan of the General Directorate of Supervision and Regulations”, the Secretariat for the Prevention of Money and Property Laundering (Secretaría de Prevención de Lavado de Dinero o Bienes r “SEPRELAD”) began to carry out random controls on the obliged subjects of Law 1,015/97 "On Prevention of Asset Laundering", such as banks, finance companies, insurance companies, bureaux de change, companies and securities agencies (stock brokerage firms), investment companies, mandate companies, mutual fund managers for investment and retirement, cooperatives, gambling operators, real estate companies, non-profit organizations, pawnshops, government entities, non-financial activities and professions, such as vehicle sellers, people or companies engaged in financial intermediation, the trade of jewelry, precious stones and metals, of objects of art and antiques, philatelic or numismatic investment, money transfer companies and credit houses, requiring proof of compliance with the regulatory regulations on the prevention of asset laundering that SEPRELAD imposes on them.
Among other things, within the framework of the audits, SEPRELAD requires proof of: having a manual for the prevention of asset laundering; have appointed a Compliance Officer; have done trainings on money asset laundering prevention to their collaborators, and others.
Failure to comply with these requirements may give rise to administrative sanctions against legal entities and natural persons under Law 1,015/97. The individuals involved, whether they are obligated subjects or managers and their staff, may be sanctioned with: warning; public reprimand; a fine of up to 500 minimum wages (approximately US$ 162,000); a fine of between 1% and 10% of the amount of the transaction involved; removal from office with disqualification from three to 10 years for the exercise of management and administration positions; the cancellation of authorizations they hold; and for shareholders with managerial positions, the suspension of dividend distribution for up to three years. For their part, legal persons can be sanctioned with: warning; public reprimand; a fine of up to 5,000 minimum wages (approximately US $ 1,620,000); a fine of up to 50% of the amount of the transaction involved; suspension, closure or temporary disqualification of the license to operate for up to one year; or revocation of the authorization to operate.