Sat Dec 13 06:48:01 UTC 2025: Summary:

Former Bolivian President Luis Arce has been ordered to remain in detention for five months while he is investigated for allegedly embezzling $700 million from a state fund meant for Indigenous development projects during his time as economy minister. Arce denies the charges, claiming political motivation and lack of personal involvement. The case, which stalled years ago, was revived after a new conservative president took office and vowed to combat corruption.

News Article:

Former Bolivian President Arce Detained Amid Embezzlement Probe

La Paz, Bolivia – Former Bolivian President Luis Arce has been ordered to pre-trial detention for five months as prosecutors investigate allegations that he embezzled approximately $700 million from a state fund intended for Indigenous development. Judge Elmer Laura ordered Arce, who left office a month ago, to be held in a state prison, citing the seriousness of the charges.

The allegations center on Arce’s tenure as economy minister under former President Evo Morales, from 2006 to 2017. The prosecution claims he oversaw the diversion of funds from a state resource designed to channel revenue from natural gas into projects benefitting Indigenous communities and peasant farmers.

Arce vehemently denies the accusations, labeling them politically motivated and asserting that he had no personal involvement in managing the fund. “I’m a scapegoat,” he told the judge. His defense team argued for his release, citing his previous battle with kidney cancer, but the appeal was rejected.

The case initially surfaced in 2015 but stalled during the years of Movement Toward Socialism (MAS) rule. The investigation was revived following the recent election of conservative President Rodrigo Paz, who campaigned on a platform of eradicating corruption. Vice President Edmand Lara celebrated Arce’s arrest, vowing to recover all stolen funds.

Arce’s arrest has drawn sharp criticism from former ministers within his administration, who decry it as political persecution against the MAS party. If convicted, Arce faces a potential prison sentence of up to six years. The case underscores the heightened political tensions in Bolivia and the new government’s commitment to tackling corruption at the highest levels.

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