“The president would have provided essential collaboration to complete the maneuver,” concludes the report of the investigative commission created by the Argentine Congress to analyze the alleged scam perpetrated with cryptocurrency. $ Pound and Javier Milei’s role in the events. Furthermore, the document indicates that Parliament must assess whether the president has suffered “poor performance in the exercise of his duties”. Presented on Tuesday at the Chamber of Deputies, the report was prepared by far-right opposition groups after three months of investigation. The ruling party questioned the legality of the findings, but did not submit an alternative statement.
On February 14, Milei published an appeal to invest on his social media $ Poundat the same time the cryptocurrency was launched on the market. Along with the link to purchase the digital asset, he wrote: “This private project will be dedicated to encouraging the growth of the Argentine economy by funding small Argentine businesses and initiatives.”
Although Milei “promoted it as an investment tool” – describes the parliamentary report -, $ Pound It was, in fact, “a memecoin previously designed for a “knockout” (carpet throw) from a group with inside information.” The creators of the cryptocurrency or other related operators bought it at a low value and, after the presidential release, when demand grew, they sold it at a much higher price. The massive sale by its main holders caused the value of the cryptocurrency to fall sharply $ Pound.
A total of 114,410 virtual wallets suffered losses due to the maneuver, 498 lost more than $100,000 and 3,144 lost between $10,000 and $100,000, according to the declaration approved by lawmakers from the blocs Unión por la Patria (Peronism), FIT (left), Civic Coalition, Radical Civic Union and Federal Encounter (center). among others. In contrast, there were 36 virtual wallets that brought in more than a million dollars each.
The commission’s final report, which exceeds 200 pages, finds that Milei “used the presidential investiture” and that his sister, Karina Milei, general secretary of the Presidency, “facilitated the official structures of the national government and the access of those involved to the president to carry out an event that is being investigated as an alleged scam of international scope.” Since the president published on his networks “a contract number that was not accessible to the public (…) the hypothesis of a previous and direct link with the creators of the cryptocurrency is strengthened”.
Before the release of $ PoundMilei had had meetings with American businessman Hayden Davis, the main creator of the cryptocurrency, and Singaporean Peh Chyi Haur (aka “Julian Peh”), another businessman involved. The relationship was allegedly promoted by two “crypto” operators, Mauricio Novelli and Manuel Terrones Godoy, and by a then advisor to the National Securities Commission, Sergio Morales.
According to the investigative commission, the data provided by international cryptocurrency operators, in traceable cases, “confirmed the economic links and transfers of funds between the main parties involved (Hayden Davis, Mauricio Novelli, Manuel Terrones Godoy, Sergio Morales)”. For the legislators “there was no well-founded motivation in the 16 meetings held (by Milei) with the actors involved”.
The report highlights two other key points. On the one hand, he warns that this is the case $ Pound “It was not a unique incident”, but “in December 2024 a similar financial maneuver was recorded linked to the digital currency of the KIP protocol (Peh Chyi Haur’s company) in which the president also participated with his promotion”, together with the others involved. Second, point out that both in that antecedent with $KIP as is the case $ Pound The president has failed to intervene in state agencies. “This repetition”, concludes the document, “makes plausible the hypothesis that there was a deliberate desire to evade institutional controls”.
Lawmakers from La Libertad Avanza, Milei’s party, attended the commission of inquiry meeting on Tuesday. Although they did not present an alternative proposal, they disputed the report and argued that the opposition did not have sufficient support to promote it.
In any case, the body has forwarded its findings to justice, which has a delayed case underway on the alleged fraud. He also expressed his discomfort to the Executive and the Judiciary for the lack of cooperation in the investigations. In this sense he announced that he will report officials who have not respected their obligations. His proposal to launch a political trial against Milei, to evaluate his possible “bad performance”, has no chance of success in Congress. Even less from December 10, when part of the Chambers will be renewed and the far right will add the deputies obtained in the recent mid-term elections.
