In Nicaragua, the key anti-bribery and anti-corruption legislation is the Criminal Code, published in The Gazette Official Newspaper number 83, 84, 85, 86 and 87 of May 5^th, 6^th, 7^th, 8^th and 9^th, 2008.

In addition, Nicaragua enacted Law No. 438, Law of Probity of Public Servants (Ley de Probidad de Los Servidores Publicos), published on August 7, 2002. Articles 7 and 8 specify, among other obligations for public servants, that it is prohibited to use their position to benefit any individual or legal person in detriment of the government and to request or receive presents or profits from a person or other public servant that implies a commitment to act or omit an action in the exercise of their position.

As mentioned above, anti-bribery and anti-corruption provisions are included in the Criminal Code published in May 2008.

Yes. The Criminal Code prohibits offering or granting, directly or by third parties, to an authority, official or public employee, a gift, money, favors, promises, advantages or any object of pecuniary value, for that authority, official or public employee or for another person or entity, in exchange for doing, delaying, expediting or omitting any act in the exercise of its functions. (Criminal Code, article 446).

Yes The Criminal Code, article 449, states that “the non-resident foreigner who offers, promises, gives or grants a national authority, official or public employee, or the resident national or foreigner, who incurs the same conduct, regarding officials of another state or of an international organization or entity, directly or by person or entity interposed, any object of pecuniary value or other benefits, such as gifts, money, favors, promises or advantages, in exchange for the authority, official or public employee, to make or omit any act in the exercise of his/her functions, related to the economic or commercial activity of an international nature, will be punished from four to eight years in prison and from five hundred to one thousand days of fine.”

Also, the same article establishes the penalty for the authority, official or public employee that requests or accepts from a non-resident foreigner, directly or indirectly, a gift, money, favors, promises or advantages or any object of pecuniary value, for himself or for another person or entity, in exchange of carrying out or omitting or have carried out or omitted any act, in the exercise of its functions, related to the economic or commercial activity of international character.

The criminal law only punishes the conduct of individuals who act for the benefit and on behalf of the legal entity, not the corporate entity per se. However, there are accessory consequences for the corporate entity. (Criminal Code, article 45) (please see our response to "Is there criminal liability for corporate entities who have either paid or accepted a bribe payment?").

Regarding the jurisdictional reach of the law, the Nicaraguan Criminal Law is applicable to crimes and offenses committed in Nicaraguan territory, separate from the exceptions established under international conventions ratified by Nicaragua. It also applies to acts committed on ships, aircraft and boats of the Nicaraguan flag. (Criminal Code, article 13).

Please note that the Nicaraguan criminal laws are applicable to the acts foreseen in them as crimes, even if they were committed outside the territory, provided that the defendants are Nicaraguan citizens or foreigners who have acquired Nicaraguan nationality after the commission of the felony and where the following requirements are met:

• That the act is punishable at the place of execution;
• That the victim, offended or aggrieved or the representation of the state shall bring an indictment to the Nicaraguan courts; and
• That the offender has not been acquitted, amnestied or pardoned or has not served the sentence abroad. If he had only partially fulfilled it, it will be taken into account to lower it proportionately. In the case of a pardon, the latter must meet the requirements of the special law. (Criminal Code, article 14).

Also, criminal laws are applicable to felonies carried out outside Nicaraguan territory by national or foreign individuals, and that is accomplished by Authorities, officials and Nicaraguan public employees resident abroad or accredited in diplomatic headquarters in the exercise of their duties and to crimes against the Nicaraguan public administration and against their officials. (Criminal Code, article 15).

The criminal law only punishes the conduct of individuals who act for the benefit and on behalf of the legal entity, not the corporate entity per se. However, there are accessory consequences for the corporate entity. (Criminal Code, article 45) (please see our response to "Is there criminal liability for corporate entities who have either paid or accepted a bribe payment?").

Regarding the jurisdictional reach of the law, the Nicaraguan Criminal Law is applicable to crimes and offenses committed in Nicaraguan territory, separate from the exceptions established under international conventions ratified by Nicaragua. It also applies to acts committed on ships, aircraft and boats of the Nicaraguan flag. (Criminal Code, article 13).

Please note that the Nicaraguan criminal laws are applicable to the acts foreseen in them as crimes, even if they were committed outside the territory, provided that the defendants are Nicaraguan citizens or foreigners who have acquired Nicaraguan nationality after the commission of the felony and where the following requirements are met:

• That the act is punishable at the place of execution;

• That the victim, offended or aggrieved or the representation of the state shall bring an indictment to the Nicaraguan courts; and

• That the offender has not been acquitted, amnestied or pardoned or has not served the sentence abroad. If he had only partially fulfilled it, it will be taken into account to lower it proportionately. In the case of a pardon, the latter must meet the requirements of the special law. (Criminal Code, article 14).

Also, criminal laws are applicable to felonies carried out outside Nicaraguan territory by national or foreign individuals, and that is accomplished by authorities, officials and Nicaraguan public employees resident abroad or accredited in diplomatic headquarters in the exercise of their duties and to crimes against the Nicaraguan public administration and against their officials. (Criminal Code, article 15).

The criminal law only punishes the conduct of the individual who acts for the benefit and on behalf of the legal entity, not the corporate entity per se. However, there are “accessory consequences” for the corporate entity as described in our response to "Assuming corporate entities are liable for violating the legislation, what is the penalty for corporate entities violating the law?" (Criminal Code, article 45).

Penalties will depend on the type of crime as described below:

• Bribery committed by an authority, official or public employee will be punished with imprisonment of four to six years and disqualification, for the same period, to exercise an official or public position. (Criminal Code, article 445).

• Bribery committed by a private individual will be punished with imprisonment for a period ranging from three to six years and between 300 and 500 days of fine. (Criminal Code, article 446).

  Please note that the amount of money to be paid will be fixed by the judge in the ruling in accordance with the defendant’s economic situation, taking into consideration his/her daily income and reasonable expenses to meet his and his family’s needs. A day of fine is calculated on the basis of a third of a convicted person's daily income. If this income cannot be determined, the minimum wage of the industrial sector will be used as a basis. (Criminal Code, article 64).

• Requestor acceptance of an undue advantage for an act fulfilled or omitted will be sentenced with imprisonment of four to six years. If the gift or advantage is requested or accepted under the sole circumstance of the condition of his/her public position, the penalty to be imposed will be imprisonment from two to five years. (Criminal Code, article 447).

• International bribery: Nonresident foreigners, resident foreigners, and nationals will be punished with imprisonment of four to eight years and 500 days of fine. (Criminal Code, article 449) The authority, official, or public employee will be punished with imprisonment of four to eight years and disqualification, for the same period from exercising an official or public position. (Criminal Code, article 449).

As mentioned earlier, the criminal law only punishes the conduct of the individual who acts for the benefit and on behalf of the legal entity, not the corporate entity per se. However, there may be “accessory consequences” for the corporate entity. (Criminal Code, article 45).

The Criminal Code states that when the criminal act is committed within the scope of a legal entity or for the benefit of it, the judge or court, may impose, on a reasoned basis and when the specific case so requires, one or several of the following consequences:

• The intervention of the company to safeguard the rights of workers or creditors for the necessary time and without exceeding a maximum period of five years;
• Closing of the company, its premises or establishments, temporarily or permanently. The temporary closure may not exceed five years;
• Dissolution of the company, association or foundation;
• Suspension of the activities of the company, foundation or association for a term that may not exceed five years; or
• Prohibition to carry out in the future activities, commercial operations or businesses of the kind of those in whose exercise the crime has been committed, favored or covered up. This prohibition may be temporary or permanent. If it is temporary, the period of prohibition may not exceed five years.

The law does not specifically address this issue. However, in our opinion, it may constitute a defense that may be argued during a hearing regarding the imposition of corporate sanctions (please see our response to "Assuming corporate entities are liable for violating the legislation, what is the penalty for corporate entities violating the law?"). The judge will establish if this is a proper defense. It would depend on the concrete case.

No. According to the Principle of Opportunity (“principio de oportunidad”) established in the Criminal Procedure Code, an agreement between the accuser and the defendant is possible. However, when the offense is in detriment of the state or in the exercise of an official’s function (whether the official is appointed by the President of the Republic or the National Assembly, elected by popular election, or is a trustee), as it would be in the case of bribery, such agreement is not permitted. (Criminal Procedure Code, article 55).