Asset Stripping

The asset stripping crime is regulated in Article 257 of the Criminal Code, under the chapter on fraud. It is an economic crime, which is one of Chabaneix Abogados Penalistas specialities, which consists in frustration of execution to the detriment of its creditors.

Asset stripping can be committed simply by hiding your assets from creditors or by carrying out any act of disposal of assets or generating obligations that delay, hinder or impede the effectiveness of a seizure or of an executive or enforcement procedure, judicial, extrajudicial or administrative, initiated or foreseeable to be initiated. In both cases shall be punishable by imprisonment for a term of one to four years and a fine of twelve to twenty-four months.

There are aggravated forms of the asset stripping crime, such as defrauding more than 50,000 euros with the conduct or when it is committed with abuse of the personal relationship between victim and fraudster, or when the fraudster takes advantage of the victim’s business or professional credibility.

This crime may also be committed by legal entities, in which case they shall be punished, in accordance with article 258bis, by a fine of between six months and five years.