Argentina‘s former President Alberto Fernandez has been ordered to stand trial for alleged corruption related to insurance policies taken out by the government for the public sector during his 2019-2023 term. Fernandez will be prosecuted for “negotiations incompatible with the exercise of public office,” according to Judge Sebastian Casanello’s ruling.
The 66-year-old stands accused of fraudulent administration over his government’s use of brokers, one of whom allegedly had ties to his office, to contract insurance policies that could have been negotiated directly.
In December 2021, Fernandez issued a decree that forced the entire public sector to contract exclusively with Nacion Seguros SA, an insurance company then led by Alberto Pagliano, a friend of Fernandez. This resulted in a significant boost and tremendous growth for the company.
The main broker of the deal was allegedly the husband of Fernandez’s personal secretary. The court ordered a freeze on about $10m of Fernandez’s assets as the case proceeds. Some 33 other people are also named in the case. Fernandez did not immediately comment on the case.
This development comes as no surprise, given the history of corruption allegations surrounding Fernandez’s leftist Peronist movement. Ex-President Cristina Kirchner, another senior Peronist, is serving a six-year sentence under house arrest after being convicted of fraud involving public works contracts awarded during her two terms.
Fernandez did not seek re-election after serving a single term, handing the keys of the presidential palace to self-described “anarcho-capitalist” President Javier Milei in December 2023. The corruption allegations emerged when a court ordered an examination of his secretary’s phone while investigating assault claims made against Fernandez by his ex-partner Fabiola Yanez. Yanez filed a complaint accusing Fernandez of having beaten her during their relationship, which ended after he left office. Fernandez faces a separate trial on charges of domestic abuse.
The Peronist movement has dominated Argentinian politics for most of the country’s post-war history, but it has been dogged by allegations of corruption. The trial of Fernandez will likely be closely watched, given the high-profile nature of the case and the potential implications for the Peronist movement.