Can your partner secretly buy a house and register it in a relative’s name without consequences? In Mexico, this practice, known as spousal fraud or family fraud, could become a federal crime, with penalties of 3 days to 12 years in prison and fines of up to 120 times the minimum wage.
Representative Carina Piceno Navarro (Morena) introduced an initiative to reform the Federal Penal Code and punish spouses who, even under the separate property regime, hide property, cars, or investments during the marriage.
The proposal, which already has precedents in Mexico City and Baja California, seeks to specifically protect women who, after dedicating themselves to homemaking, discover that their partner has hidden assets.
“It is deplorable behavior that goes unpunished today,” Piceno stated in quotes collected by Excélsior. If approved, nominees who assist in the deception would also be punished, with the obligation to return the defrauded funds.
Fraud between spouses: the crime that didn’t exist, but ruins lives
Currently, Article 387 of the Federal Penal Code does not mention fraud between spouses. This allows, in divorces, one partner—usually the one who controls the financial resources—to hide assets by registering them in the names of third parties (relatives, friends, or shell companies).
Piceno Navarro’s reform would add Section XVI to classify these actions as criminal fraud, applicable even if the marriage was agreed upon with separation of property.
“We’re not talking about a civil conflict, but rather a premeditated deception,” the representative explained.
A common example: a man buys an apartment during the marriage, registers it in his brother’s name, and claims in the divorce that “it was never his.” The victim—often a woman who gave up her career to raise her children—is left financially ruined.
This is how fraud between spouses would be punished
The initiative graduates the penalties according to the value of the concealed funds:
Up to 6 months in prison + a fine of 30 to 180 days’ salary if the amount defrauded does not exceed 10 times the minimum wage.
6 months to 3 years + a fine of 10 to 100 times the salary if the amount is between 10 and 500 times the salary.
3 to 12 years + a fine of up to 120 times the salary for fraud exceeding 500 times the salary.
According to the proposal, these penalties will apply “to a spouse who deliberately acquires movable or immovable property that should be within the marital partnership and is registered in a public registry, public deed, or private contract in the name of a third party, without the express written consent of both spouses.”
It also specifies that the same penalty must be imposed on any third party who acts as a front man in transactions that should have occurred within the marital partnership but are registered in their name without the consent of both spouses.
“Both the spouse found guilty and the third parties who participated in this fraud scheme must repay the defrauded funds to the spouse who has the right to do so and compensate the victim in accordance with the General Victims’ Law,” states Piceno Navarro’s initiative.
This means that third-party accomplices (front men) would face the same penalty, and both must restitute the assets and compensate the victim under the General Victims’ Law.
The precedent: Mexico City and Baja California already punish marital fraud
This is not the first time that attempts have been made to criminalize fraud between spouses. In 2022, Mexico City classified the crime of family fraud in its Penal Code, with penalties of 1 to 5 years in prison and fines of up to 300 days’ salary. Baja California approved similar penalties in January 2025, adding the obligation to repair economic damages.
The difference with the federal initiative is that it would standardize the crime nationwide and expand its scope:
It includes separate property (not just marital property).
It punishes front men.
It establishes specific amounts for graduating sentences.
“It is urgent to standardize this protection nationwide. The objective is clear: to deter this deplorable behavior,” Representative Piceno reiterated in the document.
What happens if you hide your companies and businesses from your partner?
The reform proposes that if, during a marriage or cohabitation, one of the spouses acquires movable or immovable property (houses, land, cars, shares) and registers them in the name of a third party without the express consent of their partner, they could be charged with family fraud.
This would apply even if the couple did not directly participate in the purchase, the marriage was celebrated under separate property arrangements, and/or the assets were purchased with their own money. Therefore, it’s best to consult a lawyer to understand the status of your future ex’s businesses before making any decisions (just ask Mackenzie Scott, Jeff Bezos’s ex, and Melinda French Gates).
Why does it affect women more?
The initiative recognizes that, although the crime does not distinguish between genders, women are the most affected. According to data from INEGI (National Institute of Statistics and Geography), 58% of divorced women do not receive any assets after the separation, despite laws that guarantee equitable distribution.
According to the Citizen Observatory of Property Violence, 72% of asset concealment cases involve men as perpetrators. The reason: in Mexico, only 3 out of 10 women have direct access to bank accounts or properties, despite the fact that 44% contribute income to the household.
The reform would require judges to ex officio investigate property and account records in divorce proceedings, something that rarely happens today. With this initiative, the message is clear: hiding assets from your partner could cost you much more than a broken heart.
Source: emprendedor
