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Argentina’s Anti-Money Laundering (AML) Regulations

AML Fines and Penalties

In Argentina, individuals and businesses convicted of money laundering crimes can face imprisonment and fines up to 10 times the amount of the illegal transaction. In cases where the illegal transaction is less than AR$300,000 (approximately $2,700), the penalty is reduced.

  • Individuals and businesses convicted of money laundering crimes:
    • Can face imprisonment
    • Fines up to 10 times the amount of the illegal transaction
  • Reduced penalty for transactions under AR$300,000:
    • Penalty reduced

Regulatory Requirements

Obligated subjects must report suspicious transactions to the UIF within 48 hours. The maximum fine for failing to comply with AML requirements is up to 10 times the value of the goods/services or transaction. If the value cannot be determined, the maximum fine is AR$100,000 (approximately $900).

  • Reporting suspicious transactions:
    • Obligated subjects must report suspicious transactions to the UIF within 48 hours
  • Failing to comply with AML requirements:
    • Maximum fine up to 10 times the value of goods/services or transaction
    • Maximum fine AR$100,000 if value cannot be determined

Recent Developments

Argentina continues to propose new regulations to combat money laundering, including expanding AML laws to include cryptocurrency businesses in 2022.

  • Expanding AML laws:
    • Including cryptocurrency businesses
    • Proposed in 2022

FAQs

Q: What is AML compliance? A: A set of measures aimed at preventing money laundering and terrorist financing.

Q: What is the purpose of AML? A: To stop the reintroduction of proceeds from illegal activities into the financial system.

Q: What is AML transaction monitoring? A: Analyzing customer transaction data to identify suspicious transactions.

Argentina’s AML Environment

Has Argentina made progress in developing its AML regulations?

Yes, over the last decade, Argentina has improved its AML regulations and been recognized by the FATF.

  • Improved AML regulations:
    • Recognized by the FATF
  • Law 25.246 (AML Law):
    • Enacted in April 2000
    • Provides definitions of money laundering and auxiliary crimes
    • Creates the Financial Information Unit (UIF)
    • Establishes a stricter regulatory framework for the financial sector

Obligated Subjects

Who needs to comply with Argentine AML regulations?

Regulated companies subject to AML regulations, including:

  • Financial institutions
  • Exchange offices
  • Natural and legal persons engaged in games of chance (e.g., casinos)
  • Stockbrokers and stock brokerage firms and intermediaries engaged in the purchase, lease, or borrowing of securities in the field of stock exchanges
  • Intermediaries registered with futures and options markets
  • Insurance companies