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Photo: Punto Noticias/FIS
Bribery and High Costs Cloud Argentina’s Hake Quota Allocations
ARGENTINA
Monday, December 23, 2024, 06:00 (GMT + 9)
Almost at the same time that the Federal Fisheries Council unanimously approved the CITC's 15-year allocation of hubbsi hake on December 5, the Federal Prosecutor's Office No. 2 of the Mar del Plata Judicial Branch began to move on the case investigating the payment of bribes for that quota, describes Roberto Garrone in an article from Punto Noticias that is well worth reading.
Justice Investigates Hake Quota Bribes Amid Growing Tensions
As the Federal Fisheries Council unanimously approved a 15-year allocation of Individual Transferable Fishing Quotas (CITC) for Argentine hake (Merluccius hubbsi) on December 5, the Federal Prosecutor's Office in Mar del Plata began progressing its investigation into alleged bribes connected to these quotas. The case, led by Prosecutor Santiago Eyherabide, stems from a complaint by Gustavo Pulti, former mayor of General Pueyrredon and current provincial legislator, who alleged $15 million in bribes tied to quota assignments.
 The scandal broke in September when details of the deal were leaked, leading to a 90-day suspension of approvals. High-profile figures in the fishing industry, including Antonio Solimeno and representatives of Spanish firm Iberconsa, have already testified. Judicial sources revealed testimonies were also taken from Alberto Freire Plana of Iberconsa via video, while others, such as José Moscuzza, reportedly avoided appearing.
Widening the Net: Potential Black Hake Bribes
Prosecutors are now exploring whether similar bribes were paid for Patagonian toothfish (chilean seabass) quotas approved in September. Investigators aim to trace the money trail, identify intermediaries, and determine the role of council members and the Subsecretariat of Fisheries.
Sources suggest tensions have erupted within the Fisheries Association (ADPA), with some members advising associates to avoid bringing phones to hearings, fearing confiscation. Additionally, reports indicate that prominent industry figure López Cazorla could be called to testify again, alongside other operatives suspected of orchestrating payments.
Obstructed Approvals Signal Fallout
Several recent council decisions have left major industry players frustrated. The transfer of a freezer vessel permit to a squid jigging boat for Grupo Fénix and the longstanding request by Conarpesa for the freezer status of the "Félix Augusto" vessel were both stalled. Some link these delays to retribution against attorney Néstor Miguel Bustamante, a key figure representing these firms and a critic of the alleged bribery practices.
Bustamante addressed the controversy, stating:
"I have never betrayed my principles. My commitment is to the rule of law, not cronyism or self-interest."
Reports suggest Bustamante’s influence may have persuaded Antonio Solimeno to withhold the $3 million bribe allegedly demanded for his quota allocation, a decision that angered Subsecretary López Cazorla and disrupted anticipated payouts.
Rising Tensions Amidst Uncertainty
As suspicion and rivalry grow within the Federal Fisheries Council, the fallout extends beyond the hake quota scandal. Ongoing legal battles, disrupted permit approvals, and alleged favoritism have left the industry in turmoil, with key stakeholders questioning the integrity of the system.
For now, the council’s decisions—or lack thereof—signal the broader repercussions of this unfolding crisis, one where financial power and political influence continue to clash with legal and ethical scrutiny.
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