Embezzlement & Misappropriation in Chile

What this involves

In Chile the closest match to embezzlement is apropiación indebida, set out in article 470 of the Código Penal. It covers a person who, to the harm of someone else, appropriates or diverts money, goods or other movable property received on deposit, on commission, for administration, or under any other title that creates an obligation to hand it over or return it. The classic examples are an agent who keeps the sale price of a client's property, a custodian who sells items left in storage, or a bookkeeper who diverts funds.

The offense does not apply to every unpaid debt. A loan that is not repaid is a civil matter. The criminal case requires that the property was entrusted to the person for a defined purpose and then treated as their own. Where the person managed another's assets and acted against their interest, the Code also contains the separate offense of administración desleal (disloyal administration), added in 2018 by Ley 21.121.

What we handle

Misappropriation, fraud or breach of contract?

Choosing the right legal route decides whether a case moves forward. If the other party lied to get your money from the start, the facts point to fraud (estafa). If they received your goods lawfully and later kept them, the facts point to apropiación indebida. If the dispute is only about unpaid obligations or disputed accounts, the right path is usually a civil claim. A complaint filed on the wrong theory is often archived by the prosecutor, which wastes months.

Owners living abroad often delay because they hope for a settlement. The delay can also hurt: evidence disappears, assets move and the statute of limitations keeps running. We review the documents and tell you which route fits before anything is filed.

The process, step by step

A complaint can be filed with the prosecutor's office (denuncia) or through a lawyer as a querella before the Juzgado de Garantía. A querella lets the victim take an active role: propose evidence, attend hearings and ask for measures. If the Fiscalía formalizes charges, the case continues toward an agreement, a simplified procedure or an oral trial. Penalties depend on the value involved, so the amount in dispute is one of the first things we document.