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

ELITES AND CRIME / 4 DEC 2013

Authorities in Guatemala have arrested 21 people in raids targeting a money laundering ring linked to Mexico's Sinaloa Cartel, the…

ARGENTINA / 14 AUG 2015

Japanese crime families operate throughout much of the island nation. But some mobsters have transplanted to Latin American nations…

BRAZIL / 22 DEC 2016

Brazilian construction conglomerate Odebrecht and its affiliate Braskem agreed to pay $3.5 billion in fines after pleading guilty to bribery…

About InSight Crime

THE ORGANIZATION

InSight Crime’s Greater Focus on US-Mexico Border

20 JUL 2021

InSight Crime has decided to turn many of its investigative resources towards understanding and chronicling the criminal dynamics along the US-Mexico border.

THE ORGANIZATION

Key Arrests and Police Budget Increases Due to InSight Crime Investigations

8 JUL 2021

With Memo Fantasma’s arrest, InSight Crime has proven that our investigations can and will uncover major criminal threats in the Americas.

THE ORGANIZATION

Organized Crime’s Influence on Gender-Based Violence

30 JUN 2021

InSight Crime investigator Laura N. Ávila spoke on organized crime and gender-based violence at the launch of a research project by the United Nations Development Programme.

THE ORGANIZATION

Conversation with Paraguay Judicial Operators on PCC

24 JUN 2021

InSight Crime Co-director Steven Dudley formed part of a panel attended by over 500 students, all of whom work in Paraguay's judicial system.

THE ORGANIZATION

Combating Environmental Crime in Colombia

15 JUN 2021

InSight Crime presented findings from an investigation into the main criminal activities fueling environmental destruction in Colombia.