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U.S. Judge Rejects Broad $LIBRA Probe, Says Evidence Suggests Proceeds Could Belong to Milei, His Sister or Hayden Davis

A congressional commission in Argentina seeks to compel key testimony with an appellate hearing pending.

Overview

  • U.S. District Judge Jennifer Rochon (SDNY) on Oct. 3 denied Section 1782 discovery sought by four creditor funds, calling the requests an overbroad fishing expedition.
  • The ruling states the record does not show that $LIBRA assets belong to the Argentine state and cites an Anti-Corruption Office finding that Milei’s promotion was a personal act.
  • Palladian Partners, HBK Master Fund, Hirsh Group and Virtual Emerald pursued U.S. discovery to bolster enforcement of a 2023 London judgment exceeding €1.5 billion.
  • Rochon said any further inquiry into $LIBRA ties should proceed in British or Argentine courts rather than in the United States.
  • In Buenos Aires, Judge Marcelo Martínez de Giorgi accepted an appeal from Congress’s $LIBRA commission to compel testimony including Karina Milei, with an appellate hearing set for Oct. 28 as lawmakers seek UFECI wallet traces, certified UTI/OA files and other records before a Nov. 10 reporting deadline.