Milei Siblings No-Show as $4.5M Libra Scam Case Hits Court—Crypto’s Latest ’Trustless’ System at Work
Argentina’s most infamous crypto siblings pulled a vanishing act as their Libra fraud trial kicked off—proving once again that blockchain’s real innovation is creating new ways to ghost regulators.
Key Details:
- Case involves alleged $4.5M stablecoin scam tied to Facebook’s abandoned project
- Defendants cited ’health issues’ while reportedly posting yacht selfies
- Judge threatens contempt charges as empty chairs mock judicial process
Another day, another DeFi exit strategy—because nothing says ’financial revolution’ like rerouting embezzled funds through three offshore wallets before breakfast.
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.
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.
