A Cuban entrepreneur has brought to light the arbitrary practices of the country's inspection system, revealing that inspectors from the People's Power openly admitted his business was free of violations, yet they were compelled to issue a fine. The reason? Their superiors demanded tangible results, according to a report shared on the Facebook page "Con el otro filo."
The business owner was eventually fined for what he described as a ludicrous reason: one of his employees had painted nails. He clarified that all products in his establishment were factory-sealed in their original packaging, but his concerns were dismissed, and the fine was enforced regardless.
Before issuing the citation, the inspectors allegedly demanded a "little invoice" for personal consumption products. The bill reportedly exceeded 7,000 pesos per inspector, and despite the owner offering cheaper alternatives, they selected the most expensive items themselves.
Moreover, the report highlights a new mandate affecting food service businesses: they must contract with Communal Services for commercial waste collection, under the pretext that café waste must not mix with domestic refuse. "Don’t dream of having your trash collected... It’s just to have the contract and pay Communal Services, who also want their share of the business," warns the post.
This system's workings were laid bare in December 2024, when Prime Minister Manuel Marrero announced to the National Assembly that starting January 2025, inspectors' pay would be performance-based, linked directly to the number and amount of fines imposed. Their base salary ranged from 5,810 to 7,830 pesos per month, roughly equivalent to 17 to 24 dollars on the informal market.
Such incentives transform fines into goals rather than penalties for genuine violations. Official figures support this: in 2024, 606,303 inspections were conducted, leading to 371,333 fines totaling over 980 million pesos, with 7,000 inspectors tasked with overseeing the private sector.
Instances of unwarranted penalties have surged in recent weeks. On April 20, an 81-year-old man in Mayarí, Holguín, was fined 21,000 pesos for selling lighters and glue without a permit, despite applying for a license over a year ago without receiving any response. Similarly, on April 23, a vendor in Central Havana faced two fines totaling 46,000 pesos for selling bowls.
This pattern is replicated nationwide. During the third week of February 2026 alone, 17,000 fines amounting to 65 million pesos were issued across the country. In late March and early April, the Municipal Assembly of People's Power in Guantánamo conducted 380 inspections with 132 inspectors, identifying violations in 86% of businesses and issuing 326 fines nearing two million pesos.
Corruption linked to this phenomenon is not a new occurrence. In April this year, a fake inspector was apprehended in Havana for scamming private business owners through bribes disguised as official inspections, highlighting how extortion has become a normalized practice.
"Every Cuban has a neighbor, a relative, or is a direct victim of these relentless and daily raids armed with clipboards and pens," the report concludes, delivering a blunt verdict: "Our government subtly persists in swindling and robbing the private sector."
Understanding Cuba's Inspection System and Its Impacts
What is the underlying issue with Cuba's inspection system?
The core problem lies in the system's incentive structure, which ties inspectors' earnings to the number and value of fines they impose, encouraging arbitrary penalties rather than addressing genuine violations.
How are businesses affected by these inspection practices?
Businesses face unjust fines for minor or non-existent violations, leading to financial strain and fostering a climate of corruption and extortion as inspectors demand bribes under the guise of official procedures.