Today he will be investigated for the crimes of fraud and illicit association.

Alejandro Muszak, CEO of fintech Wenance, was arrested on Monday by the Buenos Aires Police in Palermo, while leaving his home in Las Heras and Libertador, in Argentina.

The file that finally led to his arrest is investigated by prosecutor Alejandro Guevara in the San Isidro Justice Department, where at least 27 victims were identified.

Today, Tuesday, he will be investigated for the crimes of fraud and illicit association with a file signed by the Guarantee Judge Andrea Mentasti. As reported by La Nación, this is a file that began in January, where an alleged scam of US$ 1,500,000 and 5,000,000 pesos is being investigated.

Mentasti, for his part, considers that it is necessary to keep Muszak behind bars since there is a high risk of escape: a good part of the executive's family lives abroad and could give him support. Prosecutor Guevara investigates 24 cases of fraud, a number that could increase in the near future.

On October 24, Muszak was prosecuted by Judge Paula González for having defrauded three savers who requested small loans and were debited more money than they owed after paying off the debt.

Wenance is a financial company that is dedicated to providing loans or financing consumption (appliances and motorcycles) to underbanked segments of the population, with high credit risk, to whom it charges rates higher than those of the banks.

“After the period of collecting evidence and the analysis of the documentation carried out by prosecutor Guevara and his work team, the representative of the Public Ministry requested the arrest of Muszak and the San Isidro Guarantees Judge, Alejandra Rodríguez Metasti, made room for tailored,” judicial sources informed Infobae.

The Central Bank ordered the cessation of Wenance activities in Uruguay

In recent days, the Superintendency of Financial Services of the Central Bank of Uruguay (BCU) decided to instruct Wenance Uruguay to cease financial intermediation activities carried out without due authorization and authorization.

As in the neighboring country, fintech has problems in Uruguay due to not being able to meet the payments already agreed with its clients. Operations began in 2020 with the offering of loans through the Welp platform.

Fintech also faces problems in Spain where more than 100 savers denounced it.