The Court admitted a lawsuit filed by Cristosal alleging illegality in the implementation of this cryptoactive. The Assembly redirected more than $ 200 million of debt for the Bitcoin Trust, ATMs and for the “Chivo Wallet”.
The Court of Accounts of the Republic notified Cristosal that having admitted the complaint filed by that organization on September 10, the entity will proceed to carry out a legal analysis of the public funds allocated to the implementation of Bitcoin.
“Consequently, having admitted the complaint filed, proceed to carry out the Legal Analysis Report and, in a timely manner, forward such report to the General Audit Coordination, so that it orders the respective Audit Directorate to carry out the corresponding audit examination”, reads the notification posted by Cristosal on his Twitter account.
#The Savior | The Court of Accounts of the Republic has notified us of the admission of the complaint that we filed as Cristosal on the 10th of this month, to carry out an audit examination of the execution of the Bitcoin trust. We share a fragment of the document received. 👇 pic.twitter.com/FXlkrWhCD3
– Cristosal (@Cristosal) September 16, 2021
The lawyer Ruth Eleonora López, from Cristosal, was the one who filed the complaint, explaining that there is opacity about the origin of the funds for the construction of Bitcoin booths; It also pointed out the alleged expenditure and use of public funds before the entry into force of the decree creating the Trust.
SEE: Allocating $ 205.3 million for the use of Bitcoin will further widen the fiscal hole
“Our Constitution establishes that the permanent nature of laws must go through a procedure established by the Constitution established in Art. 140 and has to wait 8 business days after publication in the Official Gazette for their entry into force and this is a This deadline has obviously not been respected and that is why we are requesting the Court of Accounts to investigate, ”López mentioned on September 9.
In addition, it pointed out that the hiring of the teller service that was allegedly carried out with public funds was done through a fraudulent process because the hiring processes established in the Constitution have not been followed.
This, because the law and the Constitution establish as general contracting mechanisms, public tenders and exceptionally other types of mechanisms can be used, however, “as a result of the run-over that the process has been, the implementation of the law, ”López explained at the time.
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According to Cristosal there was a kind of “legal fraud to avoid oversight” when it became known that the Transmitter Company of El Salvador (ETESAL), a subsidiary of the autonomous Executive Hydroelectric Commission of the Lempa River (CEL), was the one who created the company called “Chivo”.
Cristosal’s complaint states that this mechanism has served to evade the control and oversight of the execution of public funds.
The Legislative Assembly redirected at the request of the Minister of Finance, Alejandro Zelaya, more than $ 200 million of a loan for the creation of the Bitcoin Trust and its implementation, of $ 600 million of debt that were originally destined to support the affected micro and small companies for the pandemic.
In the brief presented by Cristosal, they ask the Court of Accounts to carry out a special examination to determine if the cabins were built with state funds and to verify the bidding process.
In addition, they request that if any “illegal conduct” is found, it be certified to the Public Prosecutor’s Office to initiate the respective criminal proceedings.
The ATMs and the “Chivo” platform for the digital wallet have not given the expected results. The government had to suspend the operation of several ATMs and the processing of transactions that some Salvadorans were already carrying out.
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