In the Official Gazette of October 9, 2025, the Special Law for the Prevention, Control, and Sanction of Money Laundering, Financing of Terrorism, and Financing of the Proliferation of Weapons of Mass Destruction was published.<\/p>\r\n
The law repeals the previous legislation and establishes a new prevention framework in El Salvador. Its main objective is to align national legislation with international standards in this area.<\/p>\r\n
\u00a0<\/p>\r\n
The Interinstitutional Committee for the Prevention, Control and Sanction of Money Laundering, Financing of Terrorism, and Financing of the Proliferation of Weapons of Mass Destruction (CIPLAFT) is established as a strategic coordination body responsible for designing and proposing policies and action plans to the Executive Branch.<\/p>\r\n<\/li>\r\n\t
The number of obligated entities is reduced from 20 to 10. Among the main sectors excluded are: private or mixed-economy corporations and institutions; construction companies; travel agencies; hotel companies; vehicle importers and exporters. In the case of non-governmental organizations (NGOs), their inclusion will depend on the level of risk determined after an assessment.<\/p>\r\n<\/li>\r\n\t
The CIPLAFT may propose the inclusion or exclusion of obligated entities; however, such changes will require a legal reform to take effect.<\/p>\r\n<\/li>\r\n\t
Supervision and oversight of obligated entities will be carried out directly by the competent authority, depending on the type of entity. For example, the Superintendency of the Financial System (SSF) will oversee financial entities, while the Superintendency of Commercial Obligations (SOM) will supervise corporate entities covered under the law. These institutions may charge fees for their supervisory services.<\/p>\r\n<\/li>\r\n\t
The former role of Compliance Manager has been replaced by the Compliance Officer, which is now mandatory for both financial institutions and other obligated entities. The law also provides clearer rules regarding the structure and operation of compliance offices and committees.<\/p>\r\n<\/li>\r\n\t
New reporting deadlines:<\/p>\r\n
Suspicious transactions: 15 business days for analysis and 24 hours for reporting.<\/p>\r\n<\/li>\r\n\t
Regulated transactions: 5 business days after the transaction.<\/p>\r\n<\/li>\r\n\t
Specific thresholds will be defined in the Regulations of the Law.<\/p>\r\n<\/li>\r\n<\/ul>\r\n<\/li>\r\n\t
An administrative sanctions regime is introduced, to be enforced by the relevant supervisory authority. Violations are classified as serious and very serious, with economic and administrative penalties varying by type of obligated entity:<\/p>\r\n
\u00a0<\/p>\r\n
| \r\n Type of violation\u00a0<\/strong><\/p>\r\n<\/td>\r\n Obligated entity\u00a0<\/strong><\/p>\r\n<\/td>\r\n Financial penalty\u00a0<\/strong><\/p>\r\n<\/td>\r\n Administrative sanction<\/strong><\/p>\r\n<\/td>\r\n<\/tr>\r\n Serious\u00a0<\/p>\r\n<\/td>\r\n Legal Entity\u00a0<\/p>\r\n<\/td>\r\n 50 to 500 minimum wages<\/p>\r\n (US $20,440.00 \u2013 US $204,400.00)\u00a0<\/p>\r\n<\/td>\r\n Suspension of operations for up to 12 months.<\/p>\r\n<\/td>\r\n<\/tr>\r\n Serious\u00a0<\/p>\r\n<\/td>\r\n Directors, administrators, managers, officers, or employees\u00a0<\/p>\r\n<\/td>\r\n Up to 100 minimum wages<\/p>\r\n (US $40,880.00)\u00a0<\/p>\r\n<\/td>\r\n Removal from office and disqualification from practice for up to 5 years.<\/p>\r\n<\/td>\r\n<\/tr>\r\n Serious\u00a0<\/p>\r\n<\/td>\r\n Individuals<\/p>\r\n<\/td>\r\n Up to 200 minimum wages<\/p>\r\n (US $81,760.00)\u00a0<\/p>\r\n<\/td>\r\n Cancellation of operations and potential forced dissolution and liquidation.<\/p>\r\n<\/td>\r\n<\/tr>\r\n Legal Entity\u00a0<\/p>\r\n<\/td>\r\n 501 to 1,000 minimum wages<\/p>\r\n (US $204,808.80 \u2013 US $408,800.00)\u00a0<\/p>\r\n<\/td>\r\n Cancellation of operations and forced dissolution and liquidation.<\/p>\r\n<\/td>\r\n<\/tr>\r\n Directors, administrators, managers, officers, or employees\u00a0<\/p>\r\n<\/td>\r\n 101 to 200 minimum wages<\/p>\r\n (US $41,288.80 \u2013 US $81,760.00)\u00a0<\/p>\r\n<\/td>\r\n Removal from office and disqualification from practice for up to 10 years.<\/p>\r\n<\/td>\r\n<\/tr>\r\n Individuals<\/p>\r\n<\/td>\r\n 201 to 400 minimum wages<\/p>\r\n (US $82,168.80 \u2013 US $163,520.00)\u00a0<\/p>\r\n<\/td>\r\n <\/p>\r\n A dedicated chapter is incorporated to address the crime of money laundering, its forms, precautionary measures, and the inclusion of a special regime for legal entities.<\/p>\r\n<\/li>\r\n\t The law includes an entire section focused on the national risk assessment and the coordination and cooperation mechanisms, both domestic and international, for crime prevention.<\/p>\r\n<\/li>\r\n<\/ul>\r\n The Executive Branch will have a 90-day period, starting from the law\u2019s entry into force, to issue its implementing regulations.<\/p>\r\n For any questions or further analysis regarding the implications of this new legislation, our team of specialists is available to provide support in the evaluation, process adaptation, and compliance with the new obligations established by the law.<\/p>","protected":false},"excerpt":{"rendered":" In the Official Gazette of October 9, 2025, the Special…<\/p>\n","protected":false},"author":7,"featured_media":43197,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[229],"tags":[],"class_list":["post-43218","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"_links":{"self":[{"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/posts\/43218","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/comments?post=43218"}],"version-history":[{"count":24,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/posts\/43218\/revisions"}],"predecessor-version":[{"id":43470,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/posts\/43218\/revisions\/43470"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/media\/43197"}],"wp:attachment":[{"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/media?parent=43218"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/categories?post=43218"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/garciabodan.com\/en\/wp-json\/wp\/v2\/tags?post=43218"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}} |