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The national government made official the payment with bonds to CABA

Fernández announced the payment of co-participating funds to CABA to comply with the Court’s ruling. Photo: Presidency.

The national government made official this Tuesday the decision to transfer TX31 bonds to the city of Buenos Aires within the framework of the precautionary measure issued by the Supreme Court of Justice in favor of the Buenos Aires district for co-participating funds, while lThe Buenos Aires management filed a criminal complaint in the federal courts of Comodoro Py against officials of the National Executive Power whom it accused of not complying with the ruling.

Last Wednesday, the Supreme Court ordered an increase in the co-participating mass in favor of the city of Buenos Aires (CABA), raising it to 2.95%, within the framework of the dispute between the two governments over the funds for the transfer of the police in 2016.

President Alberto Fernandez announced the decision to comply with the precautionary measure through the use of public securities, as well as to move forward with the presentation of an appeal “in extremis” against the decision of the highest court and rexcuse its members, measure that materialized this Tuesday through two writings that bear the signature of the Treasury Attorney (head of state attorneys), Carlos Zannini.

The officialization of the payment through the bond tool was made official with the publication of Administrative Decision 1282/2022 of the Chief of Staff in the Official bulletin.

Parallel to that decision, the president announced yesterday the sending of a bill to Congress, for its treatment in extraordinary sessions, in order to provide the budget to deal with the disposition of the Supreme Court of Justice.

“In response to the precautionary measure issued in the Judicial File cited in the Visto, the National State has decided to seek the possible remedy in the current circumstances, while the substantive issue is resolved or the Honorable National Congress enacts a law to provide for in the budget the attention of the judicial measure ordered”, indicated the national Executive in the recitals of the measure published today in the Official Gazette.

There, the national Executive also reaffirms that, “through the Office of the Treasury of the Nation, an appeal to revoke the aforementioned measure will be presented.”

In accordance with article 1 of the provision, “the Ministry of Economy, through the Coordinating Body of Financial Administration Systems, must transfer to the Banco de la Nación Argentina the amount equivalent to pesos ninety-eight thousand five hundred million ($98,500. 000,000) in TX31 Treasury bonds”.

Within this framework, “instructions will be given to that bank to transfer daily to a bank account that will enable under the ownership of the Government of the Autonomous City of Buenos Aires, the necessary bonds to cover the difference between one point four (1, 4%) that historically was transferred to the Autonomous City of Buenos Aires within the framework of article 8 of Law No. 23,548, and two point ninety-five (2.95%) that provided for the precautionary measure issued” by the Supreme Court last week.

However, the measure, which bears the signatures of the ministers of the Interior, Eduardo ‘Wado’ de Pedro, and of the Economy, Sergio Massa, was rejected by the Buenos Aires government.

The Horacio Rodríguez Larreta administration filed a criminal complaint this morning in the federal courts of Comodoro Py against PEN officials, whom it accused of not complying with the Court’s ruling.

In the letter, to which Télam agreed, it denounces “those who are part of the Ministry of Economy and the Ministry of the Interior, who have been notified of the judicial decision, and the members of the Board of Directors of Banco Nación Argentina and other officials of the line of said bank”.

The complaint adds that “the facts could constitute a violation of articles 239 and 248 of the National Penal Code”, which typify the crimes of disobedience.

When announcing the presentation of this complaint on Tuesday morning, Rodríguez Larreta affirmed in an act held at the Botanical Garden that the national government “crossed all limits” and promised that its management will go “in depth with this until compliance with the law, until public officials fulfill their duty”.

While, Buenos Aires Minister of Finance, Martín Murarejected on Tuesday the national government’s proposal to pay the co-participation percentage set by the Supreme Court of Justice with bonds and pointed out that the issue “does not stand up to the slightest analysis.”

He pointed out that “the bond is not quoted, does not pay interest and capitalizes everything at the end”, with which – he indicated – its use “does not resist even the slightest analysis”.

Buenos Aires legislator Claudia Neira (Front of All) affirmed that, with the precautionary measure that ordered the Nation to allocate 2.95 percent of the volume of co-participating taxes to the City of Buenos Aires, the Supreme Court managed to “put on the show” to the head of the Buenos Aires Government, Horacio Rodríguez Larreta, one of those noted in the race for the presidential nomination for 2023 within the space of Together for Change, and considered that the ruling of the highest court “does not constitute a triumph” for any sector.

“What the Court did was put on the show for Larreta with this precautionary measure. The head of the Buenos Aires Government carried out an important staging, he went out to communicate at a press conference that the Court had agreed with him, but it is not like that Something was defined provisionally,” said Neira in statements made this morning to radio AM 530.

The Governor of Santa Fe, Omar Perottirequested a new co-participation law and raised the situation of the city of Buenos Aires, which in his opinion has “benefits” in the current distribution scheme, regardless of the provisions of the Supreme Court.

Regarding the court ruling, he preferred not to talk about this “juncture” and recalled that, when the National Constitution was reformed in 1994, there was a commitment to advance a new co-participation law, something that never happened.

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