Blow for Milei as Espert resigns House candidacy over links to indicted drug trafficker

Far-right Argentine President Javier Milei suffered another blow on Sunday as his top House candidate in the upcoming October midterms, José Luis Espert, withdrew his re-election bid for his Buenos Aires Province seat - the nation's largest.

The decision comes less than 48 hours after Espert, 61, admitted that he had received at least US$200,000 from Argentine-born U.S. businessman Fred Machado - indicted in 2021 in the U.S. District Court of Eastern Texas for drug trafficking.

The admission - which followed a turbulent week of denials and vitriol by both Espert and Milei - came only after a Bank of America statement revealing the 2020 wire transfer was publicized.

This followed the publication of fight logs showing that Espert had flown in Machado's U.S.-registered small planes at least 36 times in 2019 - contradicting his claims of "one flight...for my book tour."

Jail or bullets

Machado, 57, was allegedly a Florida-based aircraft broker for drug smugglers since at least 2011 - and has been implicated in high-profile money laundering cases in the U.S., Guatemala and Argentina.

Currently under house arrest in Argentina, Machado added in a interview on Monday that he spent a further US$150,000 on "expenses" for the hard-line Espert - who has frequently called for "jail or bullets" for anyone involved in the country's worsening narcotics trade.

The Argentine Supreme Court today approved Machado's extradition to the United States - after delaying the decision for three years, citing the use of the death penalty in the U.S.

The decision may become a further headache for the irascible Milei, who shares a lawyer with Machado: Francisco Oneto - who also represents disgraced former National Disability Agency head Diego Spagnuolo.

Recordings of Spagnuolo detailing a massive bribery scheme involving the President's Chief of Staff (and sister), Karina Milei, and other top Milei officials, upended Argentina's midterms when they became public on August 20th.

At: https://www.batimes.com.ar/news/argentina/espert-cuts-losses-and-resigns-candidacy-over-links-to-alleged-drug-trafficker.phtml

Flying high, far-right Argentine House candidate José Luis Espert (left) poses with his top contributor, indicted drug trafficker Fred Machado, in 2019.

Machado, according to witnesses involved in Espert's failed, 2019 presidential campaign, was also Espert's top adviser - and may have thus influenced national economic policy once Milei took office in 2023, when Espert became Chairman of Argentina's House Budget Committee.

Critics have noted that Milei's "Bases" deregulation bill, narrowly passed in June 2024 - and his October "tax amnesty" - were potential boons for money launderers.

Espert was further indicted today for improperly availing himself of the tax amnesty by "whitewashing" Machado's illicit funds.