Financial Crime World

Chile’s New Law on Economic Crimes: A Game-Changer for Businesses

Santiago, Chile - In a major move aimed at combating corruption and economic crimes, Chile has introduced a new law that holds businesses accountable for their actions. The Law on Economic Crimes, which comes into effect in August 2024, imposes stricter regulations on companies operating in the country.

Key Requirements for Businesses

To comply with the new law, businesses must ensure they have:

  • Adequate resources
  • Direct reporting lines to senior management
  • Necessary authority to act

They must also establish a program of compliance that meets the standards set out in the law. This program should include measures such as:

  • Conducting regular audits and monitoring by independent third-party auditors
  • Implementing a system for investigating and reviewing third-party relationships
  • Establishing a code of conduct and ethics
  • Providing training to employees on anti-corruption and compliance

Impact on Investment Climate

Chile has long been an attractive destination for foreign investment, thanks to its stable legal framework, low corruption levels, and strong anti-corruption laws. The new law is expected to further enhance the country’s reputation as a safe and reliable place to invest.

Foreign investors should familiarize themselves with the new law and ensure that any companies they invest in have implemented effective programs of compliance that meet Chilean standards.

Advice for Businesses

To navigate the new law, businesses are advised to:

  • Review their current compliance programs and identify areas for improvement
  • Establish a system for investigating and reviewing third-party relationships
  • Provide training to employees on anti-corruption and compliance
  • Ensure that senior executives have direct reporting lines and the necessary authority to act

Get in Touch

Miller & Chevalier’s team of experts is available to provide guidance on how to comply with Chile’s new law on economic crimes. Contact us today to learn more about our services.