Dorgathen resigns as head of YPFB as fuel crisis worsens in Bolivia – MercoPress

Dorgathen resigns as head of YPFB as Bolivia’s fuel crisis worsens

Dorgathen’s resignation is linked to a scandal involving him and Marcelo Arce, son of outgoing president Luis Arce.

Armin Dorgathen Tapia submitted his irrevocable resignation from the position of executive president of the state-owned Yacimientos Petrolófilos Fiscales Bolivianos (YPFB), effective Friday. His departure comes amid the growing controversy surrounding the Botrading case and just hours before the inauguration of president-elect Rodrigo Paz.

The resignation letter, addressed to the Minister of Hydrocarbons and Energy, Alejandro Gallardo, thanked the government for the support received and stated that his tenure was “an experience of great professional and personal value”.

Lawmakers immediately alerted prosecutors to prevent Dorgathen from leaving the country. Representative Carlos Alarcón (Alianza Libre), who participated in the parliamentary investigation of the case, issued a stern warning to the judiciary: “If Dorgathen, president of YPFB, who has just resigned from his position, escapes from Bolivian justice, the La Paz prosecutors in charge of the Botrading case and the departmental prosecutor will be responsible for not having ordered the immigration alert or the restriction order.” The Public Ministry has already called the former executive to testify in the case.

Dorgathen’s dismissal is linked to the ongoing investigation into the company Botrading, allegedly created illicitly with YPFB’s own resources and which was dedicated to selling fuel with surcharges, whose surcharges were allegedly diverted to private accounts. The scandal put Dorgathen in the spotlight, as well as Marcelo Arce, son of President Luis Arce, who previously held an official position at the state-owned oil company.

The resignation of the person responsible comes after intense political pressure, including a public demand from President-elect Paz, on Friday, for YPFB to “step up” and guarantee the supply of fuel. Paz even threatened to sue YPFB directors for “treason” if the fuel shortage was not resolved before the weekend.

Dorgathen faces legal proceedings not only over the Botrading case, but also for alleged fuel smuggling, highlighting the management and supply crisis.