MercoPress. South Atlantic News Agency

Kirchner admits 2 million USD operation for the purchase of a hotel

The “First Citizen” reacted to what he described as “ill-intentioned” accusations

Former president Néstor Kirchner admitted that his 2 million US dollars purchase, taken place in October 2008, before the outbreak of the global financial crisis, was made to acquire a percentage of stock for a hotel located in El Calafate, Patagonia.

Kirchner defended himself against “ill-intentioned” accusations against him arisen due to the operation, and sustained the purchase was made “within the legal limits for an individual” set by financial authorities.

The former president contacted a radio show and stated his opinion regarding the controversy via email.

“Due to ill-intentioned rumours published recently in the media, that affect my honour, I am here to inform the community and formally deny those rumours,” he said.

According to Kirchner, “as stated in the affidavits presented before the comptroller financial authorities on November 6th, 2008, I acquired a percentage of stock from HOTESUR S.A., which owns a hotel property named Hotel Alto Calafate”.

“To pay for this transaction, which was made in US dollars, I purchased a total of US$1.999.999,80 during October of that year, a sum that remains within the legal limits for any individual” he explained.

At the same time, he added that the money, “along with other amounts coming from personal investments in US currency allowed for him to pay for the percentage of stock”.

”There was no chance for any possibility of benefiting from the currency exchange, the payments were always done in the same currency,” he explained.

The opposition and media accused “First Citizen” Kirchner, as husband of President Cristina Fernandez de Kirchner, of having access to “inside or privileged information”. It has been revealed that at the time of the financial crisis in the last quarter of 2008, the Argentine Central Bank was under strong pressure to devalue the currency, in line with what had happened with the country’s main trade partner, Brazil.

In September 2008 the US dollar was selling at 3.25 pesos and at the end of the year, 3.42 pesos.