Crypto Reporter
Shalini Nagarajan
Crypto Reporter
Shalini Nagarajan
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The investigation into Argentina’s failed LIBRA cryptocurrency continues to intensify, with federal Judge María Servini unsealing bank records related to President Javier Milei and his sister, Karina.
Local media outlet Pagina12 reported Friday that the judge has instructed the Central Bank to lift the bank secrecy on their accounts as part of the ongoing probe into the multi-million-dollar scam.
The investigation has drawn significant political attention. It also extends to several individuals involved in promoting the cryptocurrency, including people close to Milei.
LIBRA Investigation Expands, With Bank Records of Milei and His Sister Being Examined
The controversy began in February when Milei used his official X account to promote LIBRA, describing it as a project aimed at supporting Argentina’s economy by funding small businesses.
This post sparked initially sparked a surge in the cryptocurrency’s value. But it quickly collapsed, leaving many investors facing substantial losses. Shortly after, the Argentine government’s lower house voted to investigate senior officials, including Milei, who had been closely linked to the promotion of the token.
Judge Servini’s decision to unseal the bank records for Milei and his sister marks a big development in the investigation. The records from 2023 onward will be closely examined, following allegations of financial wrongdoing tied to the LIBRA promotion.
Milei and Sister’s Absence From Mediation Raises Questions
Additionally, Servini ordered the freezing of bank accounts linked to several key figures in the cryptocurrency’s creation and promotion. This includes businessman Mauricio Novelli and former National Securities Commission advisor, Sergio Morales.
Further, it was revealed that Milei and his sister failed to attend a mediation hearing. This hearing was scheduled as part of a civil lawsuit seeking damages for the scam. Neither Milei nor Karina sent legal representatives. As a result, the prospect of further legal actions has increased.
A group of victims, both local and international, is now pursuing a lawsuit. They are seeking compensation for losses estimated at $4.5m.
In connection with the case, security footage emerged showing Novelli’s family members, including his mother and sister, allegedly removing items from safe deposit boxes at a bank on Feb. 17. This occurred just days after Milei’s promotional post.
As a result, further scrutiny has been sparked. Prosecutors are now investigating whether these actions were connected to the scam’s funds.
As the LIBRA case unfolds, the broader implications for Milei and his political career continue to grow, as both legal and financial scrutiny on the president’s actions intensifies.
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