With speculation about potential government intervention in private banks raging, Venezuela's vice president has warned that people spreading "rumours" online though Twitter and blogs face up to 11 years in jail.
Last month the Chavez government took over Banco Federal, claiming it was failing to meet liquidity requirements. However, the bank's boss, Nelson Mezerhane - who is also a director of anti-government television network Globovision - insisted the move was politically motivated.
Banco Federal is the twelfth bank to face government intervention in the last year and rumours have circulated about further action.
According to AP, the country's vice-president, Elias Jaua, has attacked a campaign of rumours, particularly online, claiming opponents are trying to precipitate customer withdrawals and a banking crisis.
Juana has warned that generating such rumours is a "crime punishable by imprisonment from nine to 11 years" and declared that participants of "digital forums that have become centers of political conspiracy" will be punished, according to a blog posted on the Global Voices Advocacy Web site by Venezuelan lawyer Marianne Diaz.
Diaz says the point was reinforced by chairman of the Banking Association of Venezuela, Juan Carlos Escotet, who warned that people spreading rumours "by any means, Twitter, text messages, or through any media" would be committing a crime.
Chavez has previously faced heavy criticism on Twitter over press freedom in Venezuela but has also found huge popularity on the social networking site since signing up in April, garnering over 640,000 followers.
Venezuela: Twitterers, bloggers and forum members, in the eye of the justice - Global Voices Advocacy