Argentine Court Orders Continued Investigation of Kirchner Associate for Illicit Funds Purchase of Hotel

A significant judicial setback has been dealt to Osvaldo José Sanfelice, a long-time business partner of Argentina's former ruling Kirchner family. The Federal Criminal Cassation Chamber has mandated that investigations continue into allegations of money laundering against the businessman.

The court's decision came after the Financial Information Unit (UIF), Argentina's specialized anti-money laundering agency, appealed the earlier dismissal of Sanfelice from the case. The Chamber accepted the UIF's appeal, recognizing its standing as a plaintiff and ordering a review of the previous decision.

Sanfelice is primarily being investigated in connection with the 2009 purchase of the Hotel Waldorf in Buenos Aires for $1.2 million in cash. Investigators suspect the transaction may have involved illicit funds, with Sanfelice reportedly acting 'in commission' for an unspecified third party at the time of purchase. This pattern mirrors earlier transactions, such as the purchase of the Alto Calafate hotel, where Sanfelice also acted 'in commission' before the property was registered in Néstor Kirchner's name.

One line of inquiry focuses on the possibility that the Waldorf's operations were used to simulate guest revenue, thereby inflating its earnings and potentially laundering illicit funds. This theory was initially raised by former GEN party deputy Margarita Stolbizer. The investigation seeks to determine if other real beneficiaries were involved and if the hotel served as a conduit for illegally obtained money. The court's decision to allow the UIF to continue as a plaintiff is a crucial step in pursuing these allegations.