Argentine President Javier Milei and his sister Karina failed to attend a scheduled session related to the LIBRA meme coin scandal.
Interestingly, no legal representatives appeared on their behalf. The virtual hearing was a preliminary step before potential civil litigation surrounding the multi-million dollar crypto scheme.
According to a report by the Argentinian newspaper Página/12, the digital conference, arranged with an official mediator, saw attendance from just one attorney who represented defendant Manuel Terrones Godoy. Godoy reportedly had prior involvement with similar financial irregularities.
You might also like: Coinbase breach strikes PayPal Mafia royalty, Sequoia Capital boss
Federal judge escalates LIBRA investigation
Federal Judge María Servini has intensified the probe by formally requesting the Central Bank to provide access to the President’s financial records. The judicial order, which extends to Karina Milei, the Secretary General of the Presidency, seeks banking information dating back to 2023.
The investigation follows allegations that the Mileis had connections to promoters of the Libra (LIBRA) cryptocurrency. LIBRA collapsed shortly after the president endorsed it on social media. Court documents show the fraud may have affected approximately 25 victims across Argentina and internationally, with losses estimated at $4.5 million.
You might also like: $265m crypto scam: New Zealand man caught in FBI-led probe
Servini has already moved to freeze assets belonging to several businesspeople involved in the creation and promotion of the digital currency.
Among those targeted are Mauricio Novelli, founder of Tech Forum Argentina who reportedly connected the Mileis with American developer Hayden Davis; Sergio Morales, a former National Securities Commission advisor; and social media personality Manuel Terrones Godoy.
The legal action against Novelli extends to family members, including his mother, María Alicia Rafaele, and sister, María Pía Novelli.
Security footage from a Galicia bank branch shows the women entering with empty bags on February 17 and departing with visibly full containers. This was just one business day after President Milei’s cryptocurrency endorsement.
“At 11:03:08, the women were observed exiting the branch with their handbag and backpack appearing significantly more filled than when they arrived,” states a Federal Police report from the Money Laundering division.
The controversy started on Feb. 14 when President Milei promoted the LIBRA launch on his social platforms. While the cryptocurrency briefly appreciated in value, it quickly plunged. Milei subsequently published a statement claiming he had no knowledge of the transaction details.
Read more: Tether tightens grip as stablecoin market cap hits $243b