Spouses and Agents Liable for Offences: Circumstances and Consequences

In a landmark decision, Argentina’s federal criminal courts have ruled that spouses and agents of individuals accused of bribery and corruption can also be held liable for their actions. This ruling is part of the country’s efforts to combat financial crime and corruption.

Associated Persons Not Considered Principal Offenders

While associated persons are not considered principal offenders, they can still be punished as accomplices if they facilitate the commission of a crime. In such cases, they will face the same penalties as the main perpetrator.

Authorities with Powers of Prosecution, Investigation, and Enforcement

The Argentine federal criminal courts have broad powers under the Code of Criminal Procedure, including:

• Requesting reports from public and private agencies
• Ordering searches and detaining suspects
• Seizing assets and issuing search warrants
• Conducting investigations and gathering evidence with the assistance of national and local police forces

Powers of Interview, Search, and Compel Disclosure

The authorities have the power to:

• Conduct interviews and witness interviews
• Perform or execute witness interviews by order of said authorities
• Conduct searches or compel disclosure by order of the federal courts

Court Orders and Injunctions

The federal courts can issue court orders or injunctions, including:

• Requests for reports from public and private agencies
• Lifting secrecy orders
• Detaining suspects
• Prohibiting individuals from leaving the country
• Seizing and freezing assets
• Confiscating assets

Decision to Charge and Alternative Methods of Disposal

The decision to charge is made by the authorities, based on the evidence collected during the investigation. There are alternative methods of disposal, including:

• Civil or administrative proceedings
• Penalties
• Civil or criminal lawsuits

Sanctions for Participating in Bribery and Corruption

The sanctions for participating in bribery and corruption include:

• Imprisonment from one to six years
• Perpetual special disqualification from public office
• Removal from the state registry of suppliers and contractors

Safeguards and Appeal Process

To safeguard the conduct of investigations, there is a process of appeal and judicial review. The authorities also have measures in place to:

• Prevent obstruction of justice
• Ensure that evidence is collected fairly and impartially

Tax Treatment of Payments Arising from Blackmail or Extortion

While payments arising from blackmail or extortion are not explicitly prohibited as business expenses under the Income Tax Law, they are considered non-deductible losses. The government has also stated that the deductibility of bribes is implicitly prohibited by Argentine tax law.

In summary, the decision to hold spouses and agents liable for bribery and corruption serves as a significant deterrent against financial crime and corruption in Argentina.