So Wachovia has the money and it will not automatically return it? I will contact the sending bank tomorrow. The thing is they charge penalties for sending to the wrong account plus the transfer expenses will never be refunded thanks to Banco Santa Cruz!!!
I know it sucks, but in any country you are responsible for sender's fees and trace fees. It is just that way. The originating bank really is not responsible for the fact that Wachovia account is closed. They have incurred in cost when sending money and will incur another cost with trace, unless money is not automatically returned by Wachovia (which still may be the case). That's one side of coin.
Another side of coin is that BSC should have informed clients about corresponding account changes. I bank with BSC and Leon and I know that in Leon they posted placards within the branches as well as on their websites when they changed corresponding banks. I do not remember whether I got email from them though.
It's on BSC to see in what way they can reimburse you. I do not think they will directly reimburse you for the fees you incurred with the originating bank, but maybe there is something they can do in other way. Maybe give you free account maintenance for several months, etc. If you cannot solve the issue with the local branch manager, go higher up. This is mainly a "private banking" institution with not that many customers, and not that many levels of management, so ringing up Santo Domingo may not hurt at all.