El Salvador regulatory body to probe on government's Bitcoin purchases following complains

El Salvador’s Court of Accounts, a regulatory body that oversees public resources, will investigate the government’s bitcoin purchases and the construction of cryptocurrency ATMs,  following complaints, Reuters reported citing official documents.

Earlier this month, the Central American nation became the first country in the world to adopt Bitcoin as legal tender.

The Salvadoran government has also launched a digital wallet, Chivo, and linked it to Bitcoin ATMs, allowing users to withdraw physical money from their crypto holdings. Chivo wallet on Thursday hit half a million users, according to reports from local media.

The Court of Accounts said it received a complaint on September 10 from a regional human rights and transparency organization, Cristosal, about the implementation of Bitcoin in El Salvador.

Cristosal requested an audit of the government’s authorization processes to purchase 400 Bitcoins and a review for the construction of crypto ATMs linked to Chivo, a company established with public resources.

The organization complained against six members of the Board of Directors of the Bitcoin Trust of the country, consisting of members of the Finance ministries and the secretariat of Commerce and Investments.

“Having admitted the complaint, it will be proceeded to carry out the legal analysis report and, in a timely manner, forward such report to the General Audit Coordination,” the Court of Accounts said in an official document reviewed by Reuters.

The Court of Accounts, which can impose administrative and asset sanctions against officials, has the authority to send notices to the Attorney General’s Office to initiate criminal proceedings if it finds irregularities in the probe.

After the Bitcoin implementation, thousands of protesters took to the streets in El Salvador wearing shirts that read “NO To Bitcoin” and sprayed anti-Bitcoin graffiti while carrying signs with the bitcoin logo crossed out. There are also reports of some protestors smashed and torched a Bitcoin ATM on Wednesday.

Picture Credit: Crypto News