Judge dismisses criminal case against President Javier Milei

Judge Marcelo Martinez de Giorgi Dismisses Case Against Javier Milei

The reported events do not constitute a criminal offence, Argentine federal judge Marcelo Martinez de Giorgi ruled, dropping a high-profile criminal investigation into President Javier Milei and his sister Karina Milei over the collapse of the $Libra cryptocurrency. The inquiry centered on a social media post from February 2025 in which the Argentine president recommended the little-known meme coin. The digital token surged briefly before crashing and leaving investors with steep losses. In a 60-page decision, Judge Marcelo Martínez de Giorgi granted federal prosecutor Eduardo Taiano’s request to dismiss the case, ruling that the events fit no crime. The judge noted that while a sitting president’s backing could give a project unusual reach, investor losses and market volatility alone are insufficient to establish fraud or criminally relevant deception.

Presidential Office and Defense Reactions

Following the ruling, the official presidential office published a statement on X celebrating the outcome. For the first time in history, a President of the Nation was investigated with complete freedom, resulting in absolute proof of his innocence, the post stated. The administration also questioned who would take responsibility for wasting taxpayer money and presidential time on what it termed a failed attempt at an institutional coup.

During the initial fallout from the 2025 crash, President Milei maintained that he had acted in good faith and deleted his promotional post once he learned more about the venture. In subsequent interviews, including an appearance on Todo Noticias, Milei insisted that he merely shared information about a private project meant to fund small businesses rather than actively promoting it, adding that individuals who bought the token did so voluntarily and understood the risks.

Opposition lawmakers in Argentina had previously planned impeachment proceedings over the token collapse, accusing the administration of deceptive practices. Critics and blockchain researchers pointed to digital wallets linked to the creators that withdrew nearly $100 million from the marketplace during the crash.

US Businessman Hayden Davis and Other Defendants Cleared

The federal court order also cleared US businessman Hayden Davis, who had described himself as a launch adviser for the $Libra token, alongside nine other individuals. Davis acknowledged holding close to $100 million following the market collapse but consistently denied any wrongdoing, a position accepted by the court’s dismissal of the inquiry against him.

Reuters noted that Argentina’s fintech chamber had previously characterized the token’s trajectory as a potential pump-and-dump scheme, while separate civil litigation played out internationally. A New York federal judge dismissed an investor lawsuit against Kelsier Labs and Davis with prejudice in September 2025, and stablecoin issuer Circle froze $57 million in USDC linked to the controversy earlier that year.

Investors Pursue Appeals Against Court Ruling

While Judge Martinez de Giorgi ordered the court file archived, the ruling is not yet fully final. Five investors who had previously been removed as private plaintiffs by the court in July 2025 pursued an appeal before the federal criminal cassation court in September, though legal outcomes regarding those challenges remain subject to ongoing procedural reviews.