After several days of social and political turmoil, President Javier Milei could face a difficult week in Congress. Lawmakers will address initiatives aimed at investigating his involvement in the $LIBRA cryptoscam and discussing whether the approval of a new International Monetary Fund deal via presidential decree is constitutional. His appointments of two Supreme Court Justices by decree will likewise face constitutional scrutiny.

$LIBRA scam

On Wednesday, while police violently quashed a protest by retirees outside, deputies held a session during which they discussed proposals related to the $LIBRA scandal. Although they did not reach the necessary two thirds to outright create a commission to investigate the government’s role in the scam, the opposition achieved the simple majority necessary to instruct a group of Lower House commissions to create one. Ruling party La Libertad Avanza (LLA) and ally PRO rejected the proposals.

This will be addressed in a joint meeting between the Constitutional Affairs, Finance, and Justice commissions on Tuesday. In the meeting they will also vote on proposed resolutions calling on Milei to appear before Congress to explain why he publicized the ill-fated $LIBRA cryptocurrency. If it goes ahead, Presidency Secretary Karina Milei, Chief of Staff Guillermo Francos, and ministers Mariano Cúneo Libarona (Justice) and Luis Caputo (Economy) would also be called to appear.

On Wednesday, deputies could agree on a resolution that would combine the contents of the 10 proposals that have been presented so far.

IMF deal

Last Tuesday, Milei approved a new Extended Fund Facility program with the IMF via a decree that does not include crucial details of the agreement. On Wednesday, deputies and senators will hold a commission meeting to discuss whether the decree is constitutional.

Although a 2021 law establishes that all new IMF deals must be approved by Congress, the preface to Milei’s decree said that lawmakers should not approve “the terms and conditions of an agreement,” but only vote to allow for the loan to be carried out.

The Senate and the Lower House can now debate the decree, but it will remain in force unless both chambers reject it.

Lawmakers invited three key officials to speak during the Wednesday commission meeting: Central Bank Vice President Vladimir Werning, Economic Policy Secretary José Luis Daza, and Argentine representative before the IMF Leonardo Madcur.

Supreme Court Justices

Three weeks after Milei appointed two Supreme Court Justices by decree, skipping Senate approval, the Upper House could now reject the nominations in a session to be held on Thursday. 

Per Argentina’s National Constitution, the president’s nominees for Supreme Court justices must be approved by two thirds of the Senate. Milei appointed Manuel García-Mansilla and Ariel Lijo during a one-week period in which the Senate was in recess. García-Mansilla was sworn in two days later. Lijo, meanwhile, is on stand-by because the Supreme Court has ruled that he has to resign to his current position as federal judge in order to take on his new role.

The president had filed a bill presenting the controversial candidates at the Senate for its approval last April. Now, the Peronist Unión por la Patria (UxP) bloc could team up with other opposition senators to reject their nominations. It’s unclear what this would mean for García-Mansilla, since he is now formally a member of the Supreme Court at least until the end of November. He could ultimately be removed via impeachment.

During the Thursday session, senators are also expected to debate the anti-graft bill known as Ficha Limpia, which was a government initiative. If approved, it would mark another win for Milei in Congress. But with UxP outweighing LLA and its allies, it’s headed for an uphill battle.