Argentinian Federal Judge María Servini has filed an order that would revoke president Javier Milei's bank secrecy privileges and demanded for Milei and his sister Karina Milei to surrender all of their bank records.
This recent development marks a significant progression to what was colloqually known as the "CryptoGate" case, a term given by local media to describe one of the country's most high-profile crypto scandals.
On Friday, Judge Servini instructed Argentina’s Central Bank to lift banking secrecy on the Milei siblings’ accounts, allowing investigators to scrutinize all transactions dating back to 2023.
Investigators are now interested in finding out if the Milei sibling profitted from the artificial rise of the LIBRA token—a project that Milei himself endorsed on social media in February, triggering a brief price surge before the asset crashed by 90% within hours.
For a head of state, this type of intervention raises fundamental questions about the boundary between political communication and market manipulation in the crypto sector.
The case has thus revealed a new drift: the instrumentalization of social networks by those in power to influence financial flows.
The investigation has already led to the freezing of assets of three of Milei's closest associates: Founder of Tech Forum Argentina Mauricio Novelli, former National Securities Commission advisor Sergio Morales, and social media influencer Manuel Terrones Godoy.
A surveillance footage from a Garlicia bank branch also has surfaced showing Novelli’s mother and sister entering the bank with a handbag and backpack and leaving with their carryons looking more filled than when they arrived.
According to the footage records, this incident took place just days after Milei's promotional post, raising suspicions of cash withdrawals tied to the scheme.
The legal pressure on Milei intensified after he and his sister failed to attend a scheduled mediation hearing related to a civil lawsuit filed by a group of local and international victims seeking $4.5 million in damages.
Neither Milei nor Karina sent legal representatives, fueling speculation about avoidance tactics and increasing the likelihood of further legal action.
The LIBRA scandal has become a major political crisis for President Milei, with calls for impeachment and fraud charges following his public promotion of the token.
While Milei has insisted that his endorsement was made in good faith and that he was unaware of the project’s management details, opposition lawmakers and civil groups are demanding independent investigations into possible market manipulation and abuse of office.
As the probe widens, authorities are examining whether the president, his sister, or their associates benefited financially from the rapid rise and fall of LIBRA.
The outcome could have far-reaching consequences for Milei’s administration and the future of crypto regulation in Argentina.
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