In a significant political development, former Bolivian President Luis Arce has been taken into custody by authorities in La Paz as part of an ongoing corruption investigation. The 62-year-old leader, who completed his presidential term last month, faces allegations related to his previous tenure as economy minister during Evo Morales’ administration (2006-2019).
The arrest warrant issued by Bolivia’s Interior Ministry specifies charges of “breach of duty and uneconomical conduct,” centering on accusations that Arce authorized illicit transfers of public funds to personal accounts of political figures. The investigation connects to a long-running probe into the Indigenous Peoples Development Fund (Fondioc), where millions intended for community projects were allegedly diverted to non-existent or abandoned initiatives.
Attorney General Roger Mariaca confirmed that Arce exercised his right to remain silent during police interrogation. The former president will remain in custody overnight before undergoing judicial proceedings to determine whether he will be detained pending trial. Mariaca explicitly denied allegations of political motivation behind the arrest.
The case has drawn strong reactions from both sides of Bolivia’s political divide. María Nela Prada, Arce’s former colleague, denounced the detention as “a total abuse of power” and maintained his innocence. Conversely, current Vice-President Edmand Lara characterized the arrest as part of a broader anti-corruption initiative, declaring that “all those who have stolen from this country will return every last cent and will be held accountable before the law.”
This development occurs within weeks of centrist candidate Rodrigo Paz’s electoral victory in October, which concluded nearly twenty years of dominance by the leftist MAS party that Arce represented. President Paz, upon assuming office last month, announced the discovery of extensive corruption within previous leftist governments. The new administration has already arrested six former executives of state oil company YPFB on similar charges, signaling a robust anti-graft campaign.
Under Bolivian law, outgoing executive branch members are prohibited from leaving the country for 90 days following a government transition, facilitating the current investigation into Arce’s activities during his ministerial service.