Judge María Servini issued the ruling on May 14 as part of a broader probe into a suspected pump-and-dump scheme involving LIBRA. The memecoin gained global attention after Milei publicly promoted it on social media in February.
The judge also authorized the lifting of banking secrecy protections for both Milei and his sister, allowing investigators to access their financial transaction history for signs of irregular ties to the project’s backers.
On Feb. 14, Milei tweeted in support of LIBRA from his official account, describing it as a pathway to financial freedom. The endorsement triggered a wave of retail investment, which took the token’s market cap to over $4.5 billion.
Novelli rented a set of bank safety deposit boxes just 10 days before Milei’s tweet. Surveillance footage published by media outlets later showed Novelli’s mother and sister removing large bags from those boxes the morning after the endorsement went live.
According to a report by the Federal Police’s Anti-Money Laundering Division, the weight and handling of the bags suggest they may have been filled with large quantities of cash.
A local media report noted that the bags appeared empty upon arrival but were “visibly heavier” as the women exited, prompting suspicions of cash withdrawals tied to the LIBRA scheme.
Judge Servini’s asset freeze applies to Novelli, Manuel Terrones Godoy, and Sergio Morales, three individuals identified as central actors in the scheme.
The 90-day measure bars the sale or transfer of properties and vehicles to maintain the accused individuals’ financial footprint while prosecutors investigate alleged financial crimes.
LIBRA was marketed as a digital alternative for Argentines seeking to escape inflation and currency controls. Critics have since accused the project of operating without transparency and leveraging political influence to draw in unsuspecting investors.
