The oral trial of Miguel Prieto, former mayor of Ciudad del Este, and 10 other defendants in the Tía Chela case began on Monday, but the first day ended without progress toward presenting the main evidence. The Specialized Court for Economic Crimes set September 7 at 8 a.m. for the continuation, when the Public Prosecutor’s Office is expected to respond to the defenses’ questions.
The case concerns the purchase of 25,000 food kits during the 2020 health emergency. Prosecutors allege breach of trust and criminal association, with financial damage to the Municipality of Ciudad del Este estimated by the Public Prosecutor’s Office at G. 2,130,036,016. The contract value cited in the case file was G. 2,949,650,000.
According to the Fiscalía, the exceptional procurement was directed to Tía Chela SRL, described as a retail grocery store without the financial, logistical or operational capacity to supply the contracted volume. Prosecutors also question the fact that Prieto published videos about the distribution of the food on March 25, 2020, while the contract was formalized only on March 27.
The prosecution further alleges that the company declared the immediate delivery of 15,000 kits on the day the contract was signed, that only 10,000 of the 25,000 kits were actually purchased, and that the accountability spreadsheets contained forged signatures and the names of people who were dead, lived outside the area or were abroad. These claims will be examined by the court.
At the opening of the trial, attorney Martín Prieto, who represents Julián Benítez Gamarra, asked for the proceedings to be suspended, arguing that he had not had sufficient access to the investigation. The request was rejected, and the court, presided over by Ana Rodríguez and composed of Karina Cáceres and Yolanda Morel, ordered disciplinary action against the defense attorney.
Prosecutor Silvio Corbeta, supported by Alma Zayas and María Valdez, requested the inclusion of reports from the National Directorate of Public Procurement (DNCP), the Comptroller General’s Office and the National Directorate of Tax Revenues (DNIT), Paraguay’s tax and customs authority. He also requested testimony from Agustín Encina, head of the DNCP, about a March 20, 2020, note in which Tía Chela reported changing the brands of rice, pasta and sugar in the kits.
The defenses argue that the note was already in the first volume of the case file and was therefore known to the Public Prosecutor’s Office. Attorney Derlis Martínez also requested the inclusion of 56 witnesses, in addition to the nearly 100 already admitted, including priests and pastors who, according to Prieto, received and distributed the kits.
Prieto denies the accusations and says the case is politically motivated. After leading a caravan from Ciudad del Este to Caacupé on Sunday in a mobilization associated with his 2028 campaign, he said: “I will emerge from this trial as Paraguay’s next president.”