Opposition warns of impunity in $LIBRA scam case after judge removes plaintiffs

Opposition lawmakers have warned that the judiciary is paving the way for “impunity” in the $LIBRA token scam investigation after Judge Marcelo Martínez de Giorgi removed investors affected by the operation as plaintiffs in the case. The investigation centers on an allegedly fraudulent cryptocurrency scheme promoted by President Javier Milei on his personal X account, which caused hundreds of investors to lose millions. Prosecutors believe the alleged scheme was orchestrated by traders Mauricio Novelli and Manuel Terrones Godoy, along with United States businessman Hayden Mark Davis, who created the token. On Friday, acting on a request from Novelli’s defense, Martínez de Giorgi removed the five plaintiffs from the case. The decision means the investors who claim they were defrauded will no longer have access to the case file or be able to request that new evidence be admitted. The only official now able to move the investigation forward is prosecutor Eduardo Taiano, who has faced criticism for allegedly failing to advance the case.  The plaintiffs can still appeal the ruling. In his decision, Martínez de Giorgi argued that plaintiffs must demonstrate “specific, direct and sufficiently individualized harm resulting from the incident under investigation,” adding that this threshold had not been met at this stage of the proceedings. The judge also said the information submitted by the plaintiffs, together with “the technical properties of the means used,” did not allow investigators “to establish ownership of the virtual wallets used to purchase the cryptocurrency in question or the origin of the funds used for that purpose.” Opposition criticism Opposition lawmakers serving on the congressional commission investigating the $LIBRA case condemned the ruling. “It continues to guarantee impunity in the case,” Peronist deputy Selva Almada wrote on X on Friday. “With prosecutor Taiano stalling the investigation, if there are no victims to push it forward, the case will be abandoned,” she added. Maximiliano Ferraro, a deputy from the Coalición Cívica and head of the investigative commission, suggested the ruling was linked to the Senate’s recent approval of Martínez de Giorgi’s wife, Ana María Cristina Juan, as a federal judge in Hurlingham, Buenos Aires province.  Her nomination had been submitted by Milei and was backed by senators from the ruling party La Libertad Avanza (LLA) and allied parties. “It’s no coincidence that this is happening today,” Ferraro said. “Last month, the Senate approved the nomination of Judge Martínez de Giorgi’s wife, which had been submitted by President Milei. It’s a classic case of returning favors.” Pablo Juliano, from the center bloc Provincias Unidas, said there was a “pact” involving the appointment of Martínez de Giorgi’s wife as a judge. “Now, that same judge, who holds the power to shelve the $LIBRA case, has removed the Argentine victims from the case. At whose request? Mauricio Novelli’s, the main suspect and Milei’s direct link in the case, which is only moving forward so that nothing actually progresses,” Juliano said on X. Cover photo: Mauricio Novelli and Javier Milei.