SPAIN Law and Practice Contributed by: Gabriel Rodríguez-Ramos, RODRIGUEZ RAMOS ABOGADOS
• misappropriation of public funds (Article 434 CC); • tax fraud (Article 305.6 CC); • social security payments fraud (Article 307.5 CC); • social security benefits fraud (Article 307 ter.6 CC); • grant fraud (Article 308.8 CC); and • crimes related to urban development, against cultural heritage and natural resources (Article 340 CC). Incentives are also designed for corporations which (Article 31 quarter CC): • proceeded, before knowing that the legal proceedings are directed against them, to confess to authorities; • collaborate with the investigation by provid - ing evidence, at any time during the process, that was new and decisive to clarify criminal responsibilities; • proceeded at any time during the procedure and prior to trial, to repair or diminish the damage caused by the crime; and • establish, before the trial, effective measures to prevent and uncover crimes that could be committed in the future under the cover of the legal entity. 5. Penalties for Violations 5.1 Penalties on Conviction See 3.1 Limitation Period for natural persons. Penalties for legal persons can be: • in the form of a fine – timely defined or pro - portional to the benefit obtained; • dissolution of the legal entity. The dissolution will result in the definitive loss of its legal per -
sonality, as well as its capacity to act in any way in legal transactions or to carry out any kind of activity, even if lawful; • suspension of its activities for a period not exceeding five years; • closure of its premises and establishments for a period not exceeding five years.; • prohibition from carrying out in the future the activities in which the crime was committed, favoured, or concealed. This prohibition may be temporary or permanent. If it is temporary, the period shall not exceed 15 years; • disqualification from obtaining subsidies and public aid, from contracting with the public sector, and from enjoying tax benefits and incentives from Social Security, for a period not exceeding 15 years; and • judicial intervention to safeguard the rights of workers or creditors for as long as deemed necessary, which shall not exceed five years. Penalties for the above offences are as follows. • Bribery of public officials and authorities (Arti - cle 427 bis CC): (a) fine – up to five years or five times the benefit obtained; or (b) dissolution, suspension, closure of prem - ises, prohibition of activities, disqualifica - tion to obtain subsidies, judicial interven - tion. • Improper influence over public officials and (b) dissolution, suspension, closure of prem - ises, prohibition of activities, disqualifica - tion to obtain subsidies, judicial interven - tion. • Misappropriation of public funds (Article 435.5 CC): (a) fine – up to five years or five times the benefit obtained; or authorities (Article 430 CC): (a) fine – up to two years; or
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