Former Bandesal President to Face Initial Hearing on Bribery and Arbitrary Acts Charges
The former president of the Development Bank of El Salvador (Bandesal), Juan Pablo Durán Escobar, is set to face an initial hearing next Monday, October 16 at 2:00 pm. He is accused of improper bribery and arbitrary acts against the public administration. The tax demand against him was presented on Friday in the Second Court of Peace of San Salvador.
The investigation by the Attorney General’s Office (FGR) alleges that the crimes were committed between 2019 and 2022, during Durán Escobar’s tenure as Bandesal president. It is alleged that he authorized actions that would result in substantial economic benefit for himself, third parties, and a private bank he held shares in.
Durán Escobar was removed from office in March 2022 after the FGR initiated an investigation against him. He was subsequently captured on September 30 at the Monseñor Óscar Arnulfo Romero International Airport in El Salvador.
President Bukele announced Durán’s dismissal from Bandesal, stating that it was a result of an internal investigation conducted by the institution. Meanwhile, the prosecutor in the case claims that Durán authorized and carried out actions to generate substantial economic benefit for himself, third parties, and a privately-owned bank he had relationships with.
In 2019, Bandesal was entrusted with managing a $150 million trust for the adoption of bitcoin in the country. Information related to this process was deemed confidential, and its status remains undisclosed.
As part of the ongoing investigation, the Prosecutor’s Office conducted raids on properties linked to Durán. These raids included Durán’s residence, which features multiple levels, eight bedrooms, eight bathrooms, three terraces, dining room, service area, and an internal garden. The objective of the raids was to obtain evidence that strengthens the ongoing investigation, including searching companies in which Durán holds shares.
The initial hearing against Durán Escobar will take place at the Isidro Menéndez Judicial Center, marking an important milestone in the legal proceedings against the former Bandesal president.