HomeNewsBriefUS Downgrades Argentina Over Money Laundering
BRIEF

US Downgrades Argentina Over Money Laundering

ARGENTINA / 8 MAR 2012 BY EDWARD FOX EN

Argentina was listed as a country of "primary concern" for money laundering in the latest State Department report, which calls on the country to "urgently address" deficiencies in its handling of the crime.

The·International Narcotics Control Strategy Report (INCSR), published annually by the US State Department, moved Argentina down from the "Countries of Concern" category. According to the report, numerous observers, both international and within Argentina, have said that the country's financial system is a site for laundering money from drugs trafficking, corruption and contraband.

The report notes Argentina's failure to comply with 46 of 49 Financial Action Task Force (FATF) Recommendations, and the lack of judicial processes against money laundering. In the last two years there have been only two convictions for money laundering, and five prosecutions are ongoing.

InSight Crime Analysis

Argentina's inclusion in the "Country of Primary Concern" section marks the first time the US has criticized the country in this way, reported Clarin. It joins some 66 others listed in the section, including South American countries such as Bolivia, Brazil, and Colombia.

The report notes that drug funds are an important driver of money laundering. The country is·a key transshipment point for drug flights going to Europe. It is also·an attractive site for traffickers to base themselves, with·prominent figures within the Mexican and Colombian underworld allegedly using Argentina to hide out.

One example of this came last year when the alleged financial head of a cartel linked to Daniel "El Loco," Barrera was arrested in Argentina for allegedly running a money laundering operation through one of the country's soccer clubs.

Argentina narrowly escaped sanctions from the FAFT in February 2011, when the body ruled that the government was "fully cooperating" with its recommendations.

share icon icon icon

Was this content helpful?

We want to sustain Latin America’s largest organized crime database, but in order to do so, we need resources.

DONATE

What are your thoughts? Click here to send InSight Crime your comments.

We encourage readers to copy and distribute our work for non-commercial purposes, with attribution to InSight Crime in the byline and links to the original at both the top and bottom of the article. Check the Creative Commons website for more details of how to share our work, and please send us an email if you use an article.

Was this content helpful?

We want to sustain Latin America’s largest organized crime database, but in order to do so, we need resources.

DONATE

Related Content

BRAZIL / 26 APR 2022

A protagonist in one of Brazil’s most infamous corruption scandals is behind bars again, accused of participating in an international…

ARGENTINA / 1 JUN 2023

Ransom kidnapping became a lucrative criminal economy in Argentina. But since 2015, they've nosedived. Why?…

DOMINICAN REPUBLIC / 7 SEP 2022

President Luis Abinader has vowed to root out corruption in the Dominican Republic. But this is much easier said than…

About InSight Crime

THE ORGANIZATION

All Eyes on Ecuador

2 JUN 2023

Our coverage of organized crime in Ecuador continues to be a valuable resource for international and local news outlets. Internationally, Reuters cited our 2022 Homicide Round-Up,…

WORK WITH US

Open Position: Social Media and Engagement Strategist

27 MAY 2023

InSight Crime is looking for a Social Media and Engagement Strategist who will be focused on maintaining and improving InSight Crime’s reputation and interaction with its audiences through publishing activities…

THE ORGANIZATION

Venezuela Coverage Receives Great Reception

27 MAY 2023

Several of InSight Crime’s most recent articles about Venezuela have been well received by regional media. Our article on Venezuela’s colectivos expanding beyond their political role to control access to…

THE ORGANIZATION

InSight Crime's Chemical Precursor Report Continues

19 MAY 2023

For the second week in a row, our investigation into the flow of precursor chemicals for the manufacture of synthetic drugs in Mexico has been cited by multiple regional media…

THE ORGANIZATION

InSight Crime’s Chemical Precursor Report Widely Cited

THE ORGANIZATION / 12 MAY 2023

We are proud to see that our recently published investigation into the supply chain of chemical precursors feeding Mexico’s synthetic drug production has been warmly received.