Milei Ally Resigns after Bribery Allegations.

Earlier this week, a close ally of Argentine President Javier Milei resigned due to bribery allegations. Jose Luis Espert, a member of Argentina’s lower house of government, known as the Chamber of Deputies, is alleged to have close ties to Argentine businessman Frederico Andres Machado, better known as Fred. Espert may have accepted a two-hundred-thousand-dollar bribe from Machado related to the upcoming Argentine congressional election, according to a report from a website called the Court House News detailing how it is caught up in a sprawling case involving cocaine being smuggled on board airplanes owned by clients who have close links to various South American drug cartels. On top of that, he is also alleged to have been involved in a $550 million Ponzi scheme that involved the sale of up to 100 fake airplanes. Espert claims he thought the money was coming from Machado’s Guatemalan mining company, which, considering Machado’s other business “ventures,” I find hard to believe.

Kirchner Permitted to Serve Corruption Sentence Under House Arrest.

Yesterday, a federal court in Argentina ruled that Cristina Fernández de Kirchner could serve her 7-year sentence under house arrest. Kirchner has been embroiled in a corruption scandal for years. According to a report in the Guardian, her sentence prohibits her from engaging in any political activities, signaling her decision to withdraw from running in the local Buenos Aires legislative elections this fall. As reported by Reuters, Kirchner will not be allowed to leave her apartment except for medical appointments, and her visitors will be subject to scrutiny by the Argentine courts. It is truly remarkable to see how far this titan of the Peronist movement has fallen.

Javier Milei’s Cryptocurrency Misadventures.

Last week, Javier Milei, the chainsaw-wielding president of Argentina, became embroiled in a cryptocurrency scandal. According to a report in the Guardian, Milei tweeted about a cryptocurrency called $Libra, saying it would boost the notoriously sluggish Argentine economy. According to a report in the AP, the backers of $Libra are a fascinating collection of characters. Hayden Davis, a well-known meme coin developer who founded the Melania Trump meme coin, is the main backer of Libra. As well as Davis, Dave Portnoy, the founder of Barstool, was deeply involved in the promise of an interview with Milei; finally, an unknown crypto backer known as “Meow” also played a prominent role. When Milei touted $Libra, the price went from $0 to $5 and then only a few hours later plummeted back down $0. This appears to be a classic “rug pull” whereby a cryptocurrency is artificially inflated, and the value craters when crypto influencers sell their shares, making the tokens worthless. It is unclear what will happen to Milei, but there are rumors of possible impeachment proceedings in the future.

The Perils of Peronism

Recently, a figurehead of the Argentine political scene, Vice President and former President Cristina Fernandez de Kirchner, was sentenced to six years in prison on corruption charges. She and her late husband Nestor, who served as President from 2003 to 2007, are prominent in the Kirchnerism political movement, which is an offshoot of Peronism. Kirchnerism opposes international free trade agreements and other neoliberal ideals. According to the New York Times, Kirchner is divisive within Argentina; to her supporters, she is regarded as someone who has lifted many out of poverty. However, according to her detractors, her policies have triggered massive inflation and high poverty rates. As an example of her divisiveness, an attempt was made on her life in September.

According to Reuters, Kirchner was involved in a scheme to award public works contracts to businessman and close political ally Lazaro Baez. After the contracts were awarded, money was funneled back to the Kirchners. These public works contracts were based in the province of Santa Cruz, which is the Kirchners’ political stronghold. Kirchner will likely appeal her conviction in hopes of avoiding prison. Nonetheless, it appears that her days in the political spotlight may be coming to an end.