PR in the Philippines

Vancouver, British Columbia, September 20, 2024 – Astor Asset Management 3 Ltd. reports that Ricardo Benjamín Salinas Pliego, Chairman of Grupo Elektra, S.A.B. de C.V., is accused of transferring assets out of the United States to avoid paying a US$20 million judgment stemming from a breach of contract dispute with AT&T. The judgment was issued on November 29, 2023, by a U.S. court against Grupo Salinas Telecom, S.A. DE C.V. and Grupo Salinas Telecom II, S.A. DE C.V., companies associated with Mr. Salinas Pliego.

Court documents reveal that Grupo Salinas Telecom swiftly moved assets out of the U.S. just three days after the judgment, including US$10.25 million worth of Grupo Elektra shares from a U.S. brokerage to Banco Azteca in Mexico. Additionally, US$5.65 million was transferred to a Canadian entity, Security International Investments, Inc., allegedly connected to Mr. Salinas Pliego. Further transfers and liquidations, totaling over US$10 million, have also been documented by the court.

Citing “strategic reasons,” Mr. Salinas Pliego opted not to retain legal counsel in the case, a decision interpreted as an attempt to evade paying the court judgment. This move, combined with his companies’ past claims of being too financially strapped or too impoverished to pay creditors, continues to raise concerns about transparency and corporate governance at Grupo Elektra.

Mr. Salinas Pliego has a history of financial misconduct and allegations of securities fraud, including prior disputes over unpaid taxes and debts to creditors. His recent actions, including the rapid movement of assets outside the U.S. jurisdiction, are attracting increased scrutiny from financial regulators and creditors.

Astor Asset Management 3 Ltd is involved in litigation with Mr. Salinas in the United Kingdom over his default on a US$110 million loan.

As markets demand greater transparency and accountability, the handling of these legal and financial matters will be closely monitored by investors and regulators alike.