Politics Events Country 2025-11-05T16:38:20+00:00

Argentine Supreme Court Takes Over Subsidy Dispute with Chaco Province

The Argentine Supreme Court has taken jurisdiction in a case for the reimbursement of subsidies to a hospital in Chaco province, stemming from the non-use of funds allocated for healthcare.


Argentine Supreme Court Takes Over Subsidy Dispute with Chaco Province

The Supreme Court declared its original jurisdiction in a lawsuit initiated by the National State against the province of Chaco for the reimbursement of subsidies granted to the June 4 Hospital in the city of Presidente Roque Sáenz Peña, and ordered to properly notify the province again.

The conflict originated in 2021 when the Ministry of Health of the Nation filed a lawsuit against its provincial counterpart and the Chaco hospital to recover funds delivered as a subsidy, the lack of rendering of which resulted in the expiration of the benefit.

Initially, the Federal Administrative Court No. 12 declared itself competent and proceeded with the lawsuit. However, the Chaco State Prosecutor's Office questioned that decision, arguing that since it is a conflict between the National State and a province, the case must be handled directly by the Supreme Court, as established by the National Constitution.

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Following a new ruling by the Public Ministry, the federal court finally declared itself incompetent and forwarded the file to the highest court. In its ruling, it stated that by appearing as a defendant and alleging its constitutional prerogative, the province of Chaco made it clear that it was not willing to waive said prerogative, which implied a valid opposition to the extension of jurisdiction in favor of another court.

“The subject matter of the dispute is irrelevant,” argued Casal, and emphasized that when the National State sues a province, the only way to harmonize the prerogatives of both parties is to process the case before the Supreme Court, as established by the court's doctrine.

Ministers Horacio Rosatti, Carlos Rosenkrantz, and Ricardo Lorenzetti agreed with that interpretation and decided to take the case, while ordering the province of Chaco to be properly notified.

Against that ruling, the National State filed a motion for reconsideration with an appeal in subsidy. After receiving the case, as the Argentine News Agency was able to learn, the Supreme Court gave a hearing to the General Prosecutorship. The interim prosecutor, Eduardo Casal, considered that the Supreme Court's original intervention was appropriate.