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Friday, February 27, 2026

Transportation subsidies: the Government promotes an audit and withholds funds from companies after detecting irregularities

A few days after the resignation of Luis Pierrini, the Ministry of Transportation decided to temporarily withhold economic subsidies from motor transport companies whose irregularities were detected, while progress is made in a comprehensive audit of the system.The measure was adopted after a meeting with the Chambers of Automotive and Urban Passenger Transportation of the Metropolitan Area of Buenos Aires (AMBA) and will remain in force until what happened in each case is technically verified.

As officially reported by Transport, the decision is part of the beginning of a comprehensive review process of the compensation scheme received by the sector. “After the meeting with the Chambers of Urban Automotive Passenger Transport of the AMBA and the decision to advance a comprehensive audit of the system, the Transportation Secretariat of the Ministry of Economy will withhold economic subsidies from motor transport companies in which irregularities have been detected,” said the statement released by the organization.

From the area they clarified that the retention of funds will be temporary and will be conditional on the results of the technical verifications carried out within the framework of the audit.“This measure will be temporary, until what happened is technically verified,” the Ministry of Transportation stated, detailing the scope of the resolution.

In parallel, the Government instructed the Trust Funds Directorate to immediately carry out a comprehensive audit of the SUBE system and the operating parameters used in the transportation system.According to the official statement, the review will not be limited to a particular company, but will cover the entire system.“The Trust Funds Directorate was instructed to immediately carry out a comprehensive audit of the SUBE system and the operating parameters, not only of the denounced company, but of the entire transportation system,” the text indicated.

Transportation subsidies: the Government promotes an audit and withholds funds from companies after detecting irregularities
The audit will include reports from Nación Servicios S.A.and the CNRT, in addition to in-person controls in the bus units.

The audit arranged by the Ministry of Transportation will also include information provided by different organizations linked to the operation of the public transportation system.In this sense, it was reported that the process will be complemented with reports prepared by Nación Servicios S.A.and by the National Transport Regulation Commission (CNRT).These reports will be based on information from the transportation system and on inspections that will be carried out practically and in person in the bus units.

According to official information, the central objective of this review process is to advance corrections that will prevent irregularities in the future.

The announced measures will be implemented immediately and are part of a political definition already communicated to sector representatives.According to information, the decision to move forward with a comprehensive audit of the distribution of subsidies was expressed by the authorities during the meeting held with the urban transportation business chambers of the AMBA.

The Coordinating Secretary of Infrastructure, Carlos Frugoni, and the Secretary of Transportation, Fernando Herrmann, participated in that meeting.“The measures, which will be implemented immediately, are part of the decision to advance a comprehensive audit of the distribution of subsidies, expressed by the Coordinating Secretary of Infrastructure, Carlos Frugoni, and the Secretary of Transportation, Fernando Herrmann, in the meeting they held with the Chambers of Urban Automotive Passenger Transport of the AMBA, last Monday,” the statement indicated.

Transportation subsidies: the Government promotes an audit and withholds funds from companies after detecting irregularities
The retention of funds will be maintained until the technical verifications ordered by the Government are completed.(NA)

The Ministry of Transportation highlighted that the main objective of the process is to guarantee that the distribution of economic compensation is carried out in accordance with current regulations.In this sense, it seeks to ensure that public resources destined to sustain the transportation system are allocated correctly.

The comprehensive audit will cover both the operation of the SUBE system and the operational parameters used to calculate and allocate subsidies to motor transportation.According to what was reported, the review will include data analysis, the preparation of technical reports and the performance of in-person controls in the units, in order to have accurate and verifiable information.

In this context, the withholding of funds from companies affected by detected irregularities is presented as a preventive measure, subject to the technical verification that will be carried out within the framework of the audit.The Ministry of Transportation insisted that the decision is not final and that its continuity will depend on the results of the comprehensive review process of the system.

With these definitions, the Government moved forward in the implementation of a control and audit scheme on the urban motor transport subsidy system, with a focus on the AMBA, and launched a series of actions aimed at reviewing the operation of the system and the correct allocation of the public resources involved.

Aiman Sohail
Aiman Sohail
Dr. Aiman Sohail is a seasoned journalist and geopolitical analyst with over a decade of experience covering global affairs, politics, and current events. She earned her Bachelor’s degree in International Relations from Quaid-i-Azam University, Islamabad, followed by a Master’s in Political Science from Lahore University of Management Sciences (LUMS). Driven by a passion for understanding global dynamics, she completed her PhD in International Security Studies at The University of London, focusing on South Asian geopolitics and conflict resolution. Sara began her career as a correspondent for The Express Tribune, covering domestic politics and economic developments. She later joined Geo News as a senior reporter, specializing in geopolitical affairs, foreign policy, and conflict analysis. Over the years, her articles have been featured in major national and international publications, including Dawn, The Diplomat, and Al Jazeera English, earning her recognition for insightful analysis and in-depth reporting. In addition to journalism, Sara frequently contributes to academic forums, think tanks, and panel discussions on international relations. Her expertise lies in South Asian security, diplomatic policy, and global political trends, making her one of Pakistan’s leading voices in contemporary geopolitics.

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