_-_copia.jpg?w=800&resize=800,500&ssl=1 "The Koriun case")
The pyramid scheme run by Koriun Inversiones has rocked Honduras at a time of institutional decline and political polarization. With more than 35,000 people affected, mainly in working-class areas in the north of the country, the case has not only exposed the fragility of the financial supervision system, but has also presented Xiomara Castro’s government with one of the most complex challenges of her term in office.
The unsupervised management and downfall of the plan
For many years, Koriun Inversiones functioned unlawfully, offering a 20% monthly profit without official registration or oversight by the National Banking and Insurance Commission (CNBS). In spite of public alerts released by this body in February 2025, indicating that the firm was not permitted to collect money from the public, the activities persisted without governmental interference until the Technical Agency for Criminal Investigation (ATIC) and the Public Ministry took action in April that year.
The raids uncovered the extent of the scam: over 358 million lempiras in cash was confiscated, along with 69 million frozen in bank accounts. The inquiries determined that there were no legitimate investments to support the promised profits, validating that it was a non-viable pyramid scheme.
Responses from society and political consequences
El efecto del colapso ha sido significativo, tanto en el ámbito social como en el político. Miles de personas perdieron sus ahorros, lo que provocó manifestaciones, bloqueos de carreteras y protestas en varias áreas del país, especialmente en Choloma, donde se encontraban la mayoría de los inversores. La crisis ha intensificado el descontento público con la falta de acción de las autoridades locales y las deficiencias del sistema regulatorio.
Politically, the case has had a negative impact on the government’s image. Criticism has focused on the lack of institutional oversight, the permissiveness that allowed Koriun to operate openly, and the absence of preventive measures by the responsible agencies. Business sectors and civil society organizations have harshly questioned the weakness of the state apparatus in preventing fraud of this nature.
The executive’s plan and the debate
Due to public pressure, the administration declared the creation of legislation to reimburse the impacted individuals, utilizing funds from the nation’s budget. This proposal, mandated by President Xiomara Castro, has sparked significant reactions both in the National Congress and the general populace.
Opposition groups and community organizations have expressed their disapproval of the action, claiming that taxpayer funds are being spent on a private fraud, which they view as a risky precedent that might promote impunity and the misuse of citizens’ distress for political gain. Although the official proclamation has been made, the legislation has not been deeply evaluated, and neither the compensation sum nor the method for its execution has been established.
The suggestion has increased conflicts among legislative groups and put the government in a precarious situation, being criticized for both its lack of anticipation and its crisis management approach.
Dangers faced by institutions and political forecasts
The Koriun case raises doubts about the Honduran government’s capability to ensure legal certainty and safeguard its citizens against financial scams. The absence of prompt oversight, the leniency with which the company conducted its operations, and the slow response from the authorities have amplified the view of institutional inefficiency.
Internationally, the situation could affect the country’s image as a safe destination for investment, while domestically, the handling of the case has contributed to a narrative of erosion that is already affecting the ruling party on other fronts. Amid other allegations of corruption, the Koriun scandal threatens to become yet another symbol of the lack of transparency and state control.
Xiomara Castro’s government thus faces a complex dilemma: responding to a legitimate social crisis without jeopardizing institutional credibility or exacerbating the climate of polarization. How this situation is handled will be decisive for its political stability and for the level of trust that citizens maintain in public institutions.
