La Rioja Sues Milei Government Over Misused Road Funds

The province of La Rioja has initiated legal action against Argentina's national government, alleging the fraudulent diversion of funds earmarked for road infrastructure projects. Governor Ricardo Quintela announced that the province has formally joined the case as a plaintiff, seeking to investigate the alleged misuse of over 1 trillion pesos (approximately $1.1 billion USD) from the Integrated Road System (SisVial).

The investigation, initially brought to light by a report from LA NACION, revealed that only a fraction of the SisVial funds were used for their intended purpose. The majority of the money, it is alleged, was placed in financial investments, including public securities and fixed-term deposits.

The lawsuit names President Javier Milei, Economy Minister Luis Caputo, and other government officials. It seeks an investigation into potential charges including fraud against public administration, abuse of authority, dereliction of duty, and incompatible negotiations with public office. The province has provided documentation highlighting the "grave prejudice" caused by the halt in crucial road projects, such as the Bi-Oceanic Corridor connecting La Rioja with Chile.

This legal challenge follows a previous criminal complaint filed by national deputy Victoria Tolosa Paz. The situation underscores a growing tension between provincial governments and the national administration over resource allocation and infrastructure development.