The Chilean State sues against Democracia Viva, the foundation that opened the plot of the ‘Agreements case’

The Council of State (CDE), the body that represents the interests of the Treasury in Chile, has filed a criminal complaint against Live Democracy, the first foundation involved in the Agreements casea plot of diversion of public resources to private organizations, most of them linked to the ruling party, and whose mission was, supposedly, to collaborate in precarious settlements in different regions of the country.

The Fundacion Democracia Viva gave rise, on June 16 in Antofagasta, in the north of Chile, to the mega-investigation that the Chilean Prosecutor’s Office opened two months ago for alleged corruption and that its structure was led by militants of the Democratic Revolution (DR), party that is part of the Broad Front (FA), the conglomerate of left-wing president Gabriel Boric. His legal representative was Daniel Andrade, now ex-boyfriend of the RD deputy for Antofagasta, Catalina Perez.

The foundation received 426 million pesos (about $530,000) directly from the regional housing ministerial secretariat, Seremi, also from Antofagasta, in northern Chile. The head of that division was Carlos Contreras, a member of the same party and former chief of staff for Perez.

In addition to the legal actions against Democracia Viva, the CDE resolved to file a complaint against Fundacion En Ti. Considered the most soap opera edge of the cause for the agreements, in Chile it has been called as case lingerie for its unusual elements: a former influencer, Camila Polizzi, with failed attempts to enter politics, public money assigned to entities close to them, threats of assassination and the purchase of large amounts of underwear with funds for social projects. It is a process linked to the Regional Government of Biobio, in the south of the country.

According to information provided today by the CDE, the decision to file a complaint against the Democracia Viva and En Ti foundations is due to “facts that reveal a series of illegal activities, either to fraudulently obtain fiscal resources, or of an unfair administration of the same, causing tax damage. This, without prejudice to other crimes that could be identified, accredited and determined in the inquiries carried out by the prosecuting body ([la Fiscalia]”. The CDE adds: “The decision adopted is based on the information that, to date, has been seen in the investigative folders in each case, and that would reveal a series of irregular transfers of money between state agencies and the aforementioned foundations. ”.

With respect to Democracia Viva, the criminal committee of the CDE decided to file a complaint considering, among other aspects, “despite the fact that said foundation had a corporate purpose other than the purpose for which construction services for primary habitability works had to be contracted, the Seremi of the Ministry of Housing and Urbanism signed three agreements with her, even though she lacked experience in the field, as well as qualified professionals to carry out the entrusted work”.

On August 10, the CDE also filed a complaint against Diego Ancalao, the first detainee for the Agreements case. The former presidential candidate for the People’s List, the extinct group of left-wing independents that marked the failed first Chilean constitutional process, was formalized by the Prosecutor’s Office for the crimes of tax fraud, money laundering and fraud.