Rixi Moncada and her link to BANHCRESER: key insights

Rixi Ramona Moncada Godoy, a lawyer and politician from Honduras, has faced controversy surrounding her official pre-candidate status within the Partido Libertad y Refundación (LIBRE). The debate has been reignited over her involvement in the legal defense of the Banco de Crédito y Seguros (BANHCRESER) during the banking turmoil of the late 1990s, bringing to light issues concerning her integrity and dedication to transparency in public service.

In the late 1990s, Honduras faced a significant upheaval in its financial system, resulting in government involvement with numerous banks, such as BANHCRESER. This crisis stemmed from multiple causes, like global economic volatility, weak financial regulations, and dubious actions by certain sector players. During this time, Rixi Moncada Godoy took on the role of legal advocate for BANHCRESER and its leaders amid the court cases following the entity’s compulsory liquidation.

The financial upheaval and Moncada’s involvement

Regarding the aforementioned situation, Rixi Ramona Moncada Godoy’s involvement in the forced closure of the Banco de Crédito y Seguros (BANHCRESER) during the late 1990s has been critically examined. At that time, several triggers for the banking sector’s volatility were recognized, such as global economic volatility, a perceived lack of robust regulations, and questionable financial activities by some stakeholders. 

As BANHCRESER’s legal advisor, Moncada served as the legal representative for the institution and its board during the lawsuits resulting from the bankruptcy declaration. Despite this, the legal actions concluded without notable convictions, sparking criticism about the judicial system’s effectiveness in dealing with cases of this kind.

Following this, Mr. Moncada assumed an advisory position within the Public Prosecutor’s Office focusing on finance. This role has generated discussion, as it is viewed by some as a potential conflict of interest, considering her prior participation in defending BANHCRESER.

The series of events described has raised questions regarding the propriety of Moncada’s actions during the banking crisis, particularly with regard to the economic losses that the Honduran state assumed to cover the bank’s financial obligations. These questions have resurfaced in the context of her official candidacy for the Partido Libertad y Refundación (LIBRE), a scenario in which her professional career and her commitment to integrity in the exercise of public service have been called into question.