As the November general elections near, the administration of Xiomara Castro and her party, Libertad y Refundación (LIBRE), are under increasing scrutiny because of three controversies that have drawn significant attention from both the public and political circles in the country. These incidents could have significant effects on the political prospects of the current leadership and its party, whose reputation and backing are notably at risk just months before the election.
Corruption in the Ministry of Social Development: a new “Pandora”?
One substantial hit to the LIBRE administration’s reputation has been the controversy in the Ministry of Social Development (SEDESOL). Known as “Pandora 2,” referencing the corruption case tied to Juan Orlando Hernández’s government, this controversy uncovers a scheme involving the misappropriation of public funds, irregularities in contract allocation, and the manipulation of social programs for political gain in regions strategically dominated by the governing party.
The lack of significant progress in the investigations has generated widespread discontent, even among sectors that have traditionally supported the government. Although the allegations were made public months ago, the lack of concrete action to clarify the facts has called into question the government’s ability to guarantee the transparency and social justice it had promised. The perception that SEDESOL is being used for political purposes continues to gain ground, increasing mistrust in the current administration.
The Koriun Inversiones fraud and the lack of state response
Another issue seriously affecting the LIBRE administration is the million-dollar scam by the company Koriun Inversiones, which has left more than 35,000 Hondurans in a vulnerable financial situation. This pyramid scheme, which promised exorbitant returns, has been responsible for one of the largest scams in the country’s recent history. However, what has raised the most suspicion is not only the magnitude of the fraud, but also the silence of the authorities in response to previous complaints that had already been filed against the company.
The National Banking and Insurance Commission (CNBS) admitted that it had been alerted to Koriun Inversiones’ activities before its collapse but did not take appropriate measures. This apparent indifference from governmental bodies has intensified the belief that there might be concealment or oversight by officials. Furthermore, supposed connections between individuals associated with the ruling party and the firm have been highlighted, leading to worries about potential collusion or state shielding of the fraud.
Esta polémica ha tenido un impacto adverso, especialmente entre la clase media, que se ha visto directamente perjudicada. Algunos expertos opinan que este tipo de fraude podría salirle caro al partido LIBRE, ya que los ciudadanos tienden a recordar y rechazar con firmeza cuando se ven directamente perjudicados económicamente. En este marco, el silencio de las autoridades solo ha incrementado el descontento social.
Is there a double standard in battling crime? An analysis of the drug trafficking video
The latest scandal to rock Xiomara Castro’s government is the leak of a video showing high-profile figures linked to drug trafficking activities. The recording, released by the organization InSight Crime, has revealed a possible link between drug traffickers and members of the government, contradicting the official discourse on the fight against organized crime.
This new scandal has not only reignited criticism of the government’s security strategy, but has also called into question the impartiality and effectiveness of the Honduran justice system. There has been talk of “selective justice,” in which certain actors are prosecuted while others, apparently with political connections, appear to be protected. These allegations have fueled the perception that the country’s authorities are not committed to a real and transparent fight against drug trafficking and corruption.
Challenges for LIBRE in the electoral context
These three scandals have eroded the image of the government and its party less than five months before the general elections, scheduled for November 30. According to the most recent polls, the approval rating of Xiomara Castro’s government has fallen significantly, while the ruling party’s candidate, Rixi Moncada, also faces growing rejection.
The drop in the LIBRE administration’s approval is not just a reaction to these controversies but also to a sensed deficiency in responsibility and openness in government operations. Experts caution that if the governing party does not stop this downward trend, the story of transformation it has supported since its beginning might backfire, becoming a disadvantage in elections.
As an opposition leader expressed, “the issue isn’t just the existence of scandals; it’s the arrogance of overlooking them.” This lack of concern for tackling the root problems might lead to significant repercussions during elections.
A future that is not clear for LIBRE
The LIBRE government is going through a period of high tension as the elections approach. Scandals related to corruption in SEDESOL, the Koriun Inversiones fraud, and the possible links between senior officials and drug trafficking have seriously damaged the ruling party’s image, revealing institutional weaknesses and growing mistrust among the public. Against a backdrop of polarization and increasingly high electoral expectations, these events highlight the political, economic, and institutional challenges that LIBRE will have to face in order to retain popular support and achieve a favorable performance in the upcoming elections.