MercoPress. South Atlantic News Agency

Argentine Libertarian Congressman tied to drug trafficker wanted in Texas

It is becoming more apparent that Espert is not the corruption fighter he claimed to be

Argentine Congressman José Luis Espert of President Javier Milei's La Libertad Avanza has been reported to have received campaign funds and other kinds of support from an alleged drug trafficker, now under arrest pending his extradition to the United States.

 An accounting entry dated Feb. 1, 2020, from the Aircraft Guarantee Corporation trust in the possession of the Eastern District of Texas Attorney's Office, Espert received US$200,000 from a network led by Federico “Fred” Machado, who is wanted for drug trafficking and money laundering.

These documents, which are part of a 95-page file, were submitted to Argentine courts by social leader Juan Grabois and made public by the newspaper Perfil, seriously damaging Milei's anticorruption discourse, particularly when added to the $LIBRA and National Disability Agency (Andis) scandals, among other cases. The denunciation also resurfaced Espert's ties with Machado, which he publicly admitted in Viedma (Río Negro) when launching a book he had written. He reckoned he had flown to that provincial capital using Fred Machado's private aircraft. And days after he was wired the US$200,000, he bought himself a US$90,000 BMW car.

According to Texas authorities, Machado's network moved hundreds of millions of dollars through aviation fraud and shell companies, facilitating the transport of cocaine from South America to Mexico and Central America.

Grabois thus filed a criminal complaint for money laundering against Espert, who enjoys parliamentary immunity. The US$200,000 transaction was detailed in clandestine accounting records seized by US federal prosecutors. In the organization's internal files, Espert is allegedly referred to as an “accomplice.” The money is believed to have originated from a trust managed by Aircraft Guarantee Corp, a company founded by Machado. The timing of the payment coincides with Espert's 789% wealth growth between 2021 and 2024, which is deemed disproportionate to his known income.

Machado was arrested in Argentina in 2021 and is under house arrest, awaiting a ruling decision on his extradition to the US. His commercial partner was sentenced to 16 years in prison for related crimes.

Senator Martín Lousteau and other lawmakers said Monday that Espert “should provide explanations” regarding these allegations. Most importantly, he should step down as chairman of the House's Budget Committee. “This is very suspicious for someone who says 'no prison for drug traffickers,'” Lousteau also noted.

Lousteau also recalled that Espert had denied disgraced former Andis Director Diego Spagnuolo, who came out with the kickbacks scandal, directly implicating Milei's sister. “He said he didn't know Spagnuolo, and then you see that he had a lot of connections,” Lousteau pointed out.

“The truth is, I'm not surprised. I think there are a lot of phonies. Since society was angry, they came up with a discourse, but deep down they dream of their own caste,” Lousteau stressed about the ruling Libertarians.