Historias Innecesarias: Crisis 2001

0:00On the night of December 19th, 2001, in Argentina, a massive

0:04and spontaneous public protests erupted just as the president

0:07declared a state of siege.

0:08Therefore, according to the powers granted to me

0:11by the national constitution, as president of the nation,

0:14I have declared a state of siege throughout the national territory

0:18to ensure law and order in the country and to finally put an end to the

0:21ongoing incidents.

0:23What was meant is a desperate measure to stop

0:25or halt a wave of looting already spreading across the entire country

0:29ultimately ended up causing the exact opposite.

0:32It brought the middle class, now unable to make ends meet.

0:35Together with savers, the government kept from accessing their own deposits

0:39along with those who for a long time had nothing to eat or had gone years

0:43without steady work.

0:44Pay us back, please.

0:46They robbed us. I am 72 years old.

0:49I am in misery.

0:50From that night on through the entire following day,

0:53the country entered a sequence broadcast live nationwide.

0:56Cacerolazos a Plaza de Mayo overflowing repression

1:00marked by unprecedented violence, dozens of people dead, and the resignation

1:04of the nation's president.

1:05Two years and ten days after taking office, President Fernando de la Rúa,

1:09having resigned, is now leaving the scene by helicopter.

1:12He has not been seen by the journalists, nor the people who had gathered

1:16in the surrounding areas To fully understand the 2001 crisis.

1:18We have to go further back to March 24th, 1976.

1:22That day, not only was democracy brought to an end,

1:24but a profound change in the country's economic model.

1:27Also began to take shape.

1:28The dictatorship, which claimed it would restore order amid

1:31inflation and growing social unrest, pushed a drastic shift

1:34under the leadership of Jose Alfredo Martinez De Hoz, opening up the economy,

1:39shrinking the state and lowering the cost of labor.

1:41The plan aimed to bring stability and modernization.

1:44Import controls were lifted and the financial system was deregulated

1:48and the impact was immediate.

1:50In 1976 alone, real wages fell by about one third,

1:54the industry lost protection and a model began to consolidate in

1:57which business moved away from domestic production and toward

2:01financial speculation, with cheaper imports and an overvalued exchange rate.

2:05Many factories lost market share and industrial production began to decline.

2:09As a result, many people were laid off.

2:12But even so, for several years the model gave

2:14the impression of a certain stability for the middle and upper classes,

2:18although beneath that apparent stability the economy was becoming

2:21increasingly fragile, employment more precarious, and dependance on dollar

2:25denominated debt grew across the state, banks and businesses.

2:29That external debt increased at a rapid rate between 1976

2:33and the end of the dictatorship.

2:35It rose from just a few billion dollars to around $45 billion

2:39when international interest rates rose

2:41in the early 1980s and the peso was devalued.

2:45Many of those debts became increasingly difficult to repay.

2:48There were bankruptcies, inflation and financial crises.

2:51In 1982, with the Falklands War and the dictatorship already in retreat.

2:56The state absorbed private debts in dollars

2:58amounting to some $15 billion, which became public debt.

3:01We will move forward.

3:03We will become the country we deserve to be.

3:07When Raúl Alfonsín took office on December 10th, 1983,

3:11he inherited a country with an external debt far greater than in the 1970s,

3:15and with inflation, that had already been entrenched at very high levels for years.

3:19His first economic team sought to avoid a harsh adjustment.

3:23It aimed to reactivate the economy through wage increases, higher consumption

3:27and a tough renegotiation of the external debt amid a crisis across Latin America.

3:31But the plan quickly ran up against a central constraint.

3:34The country was short of dollars.

3:36The central bank had very few reserves, and in the absence of an agreement

3:39with international lenders, Argentina was unable to pay or refinance its debts.

3:44As a result, in 1984, the government ended up

3:46signing an agreement with the International Monetary Fund.

3:49That agreement required the state to tighten its accounts

3:52and left it with far less room to maneuver.

3:54Inflation far from easing, accelerated even further

3:58and reached extreme levels with the economy spiraling out of control.

4:01Grinspun stepped down as Minister of Economy and was replaced.

4:05In June 1985 the government launched the Austral Plan,

4:09an attempt to abruptly rein in the inflation rate that was unbearable.

4:12The plan included a currency change, with the Argentine peso being replaced

4:16by the austral, along with a set of shock measures, a freeze on

4:19prices and wages, and tighter control of government spending.

4:23At first the plan worked.

4:24Inflation fell sharply within a few months.

4:27The economy rebounded and wages recovered, part of what had been lost.

4:30For a brief period the economic climate eased

4:33and the government appeared to have found a way out of the inflation problem.

4:37But the relief did not last.

4:39The Austral plan did not address the underlying problems.

4:42The country still needed dollars it did not have, and the state

4:45continued to struggle to keep its public finances afloat.

4:48As controls began to be lifted, economic tensions quickly resurfaced.

4:52From 1986 onward, the companies started raising their prices again.

4:56Inflation accelerated once again and the plan began to wear down

5:00by the end of 1987.

5:02The economic situation deteriorated again.

5:04International interest rates rose, some export prices fell, and access

5:08to external financing became increasingly difficult for the country over time.

5:12In 1988, annual inflation exceeded

5:15300%, making it clear that the Austral Plan had run its course.

5:19Faced with this scenario, the government launched one last attempt

5:22to make it through to the elections the Privamera Plan.

5:26This plan sought to contain inflation through price controls, agreements

5:30with large companies and labor

5:31unions, and a more complex exchange rate scheme with multiple dollar rates.

5:35Inflation was never fully contained.

5:38At the same time, the government's political margin was shrinking.

5:41After the Carapintada uprisings and defeat in the legislative elections,

5:45Alfonsín reached this final attempt in a weakened position.

5:49By early 1989, the situation spiraled completely out of control.

5:53Inflation tipped into hyperinflation.

5:55Prices started to rise.

5:57Week by week, the dollar soared.

5:59Shortages of basic goods became increasingly common.

6:02In May 1989, with wages rapidly losing value.

6:06Looting broke out at supermarkets and shops, first in Rosario

6:10and then in other cities, and the government declared a state of siege.

6:13But the crisis was already inescapable.

6:16Amidst this scenario, Carlos Menem won the presidential elections.

6:19And Alfonsín decided to bring forward the handover of power.

6:22We now welcome the president of the Argentines, Doctor Carlos Saul

6:26Menem, here today.

6:30Now formally presents.

6:35In the early 1990s, the priority of the new economic

6:38team was to stabilize the economy with a credible program in a country

6:42where no plan had lasted more than a few months or succeeded.

6:46In March 1991, Domingo Cavallo the Minister of Economy

6:50of the new president Carlos Menem, pushed through the Convertibility Law.

6:54The value of our currency is, without question, fully secure,

6:59and there is no reason for anyone to fear the future evolution

7:03of the exchange rate.

7:05The peso, which as of January 1st will be worth the same as the dollar,

7:09is a lie-liable currency meant to hold that value for many years.

7:14I would even dare say for decades.

7:17The law established a simple rule 1 peso was equal to 1 dollar.

7:21For that rule to hold, the central bank could only issue pesos

7:25if it had the same amount of dollars in reserve.

7:27If no dollars entered the country, no new money could be created.

7:31The effect was immediate.

7:33Inflation fell sharply throughout 1991 and continued to decline,

7:37reaching low levels, at least by Argentine standards.

7:40For a large part of the population, especially in major cities.

7:44The relief was quite tangible.

7:46Prices stopped changing all the time, wages

7:48became more predictable, and access to credit slowly returned.

7:51After years of crisis that stability was experienced as a new beginning.

7:56Argentines stand up for Argentina, for the poor children

8:00who are hungry for the wealthy, children who live with sadness,

8:04for those without work, for families, without a roof,

8:08for tables, without bread, for our country.

8:13I ask you to follow me.

8:16Follow me.

8:18I won't let you down.

8:20I won't let you down.

8:22I won't let you down.

8:24On that basis, the government pushed ahead with deeper changes.

8:27Many previous state owned companies were transferred to private hands.

8:30Telecommunications, gas, electricity, water, railways, airlines and highways.

8:35The goal or idea, was to bring in dollars, invest in infrastructure

8:39and stop the state from covering ongoing losses.

8:41At the same time, imports were opened up and cheaper foreign goods

8:45entered the market, quickly, reshaping consumption patterns across the country.

8:49The state shrunk,

8:50and over time much of the economy came to be run by the private sector.

8:55Between 1991 and 1994,

8:58the economy grew at a pace unusual for Argentina.

9:01The access to imported goods improved, travel became somewhat cheaper,

9:05and the sense of stability encouraged middle income sectors to take on debt

9:09in order to purchase goods that had been out of reach for years.

9:12But that same stability began to come at a cost, with a cheap dollar

9:16and open imports, many local industries gradually lost their competitiveness

9:20over time.

9:20Many factories struggled to stay afloat, and industrial employment

9:24once again began to decline even as the economy continued to grow.

9:28Jobs did not keep pace with that growth.

9:30Between 1991 and 1995,

9:33few new jobs were created, even as more and more people entered the labor market.

9:38Unemployment rose from levels close to 8% to a peak of nearly 19%,

9:42during those years.

9:44The country was growing, but with fewer jobs and with an economy

9:48that was beginning

9:48to push workers out of sectors that had once offered stable employment.

9:52The first serious blow to the model came in December 1994 with the tequila crisis.

9:58Mexico's devaluation triggered capital outflows from emerging markets

10:02and Argentina, which depended heavily on the inflow of dollars, felt

10:06the impact head on. Deposits were withdrawn.

10:09The financial system came under strain and the economy slid into recession.

10:13Convertibility survived, but it became clear that it depended

10:16on external factors beyond the control of both Argentina and Cavallo.

10:20To sustain the scheme, the government responded with new measures.

10:24It tightened oversight of banks, sought to attract foreign capital,

10:27and signaled greater fiscal discipline in an effort to maintain confidence.

10:31Stability held.

10:33But dependance on external credit continued to grow,

10:36while the country's productive structure kept losing ground under the fixed dollar.

10:41Menem’s government reached the 1995 elections with convertibility

10:45still in place,

10:45but with a problem that was already being felt across the entire country.

10:49Work.

10:50Convertibility is sustained because money continued to flow in from abroad, and

10:54because privatizations and deregulation kept the country attractive to investors.

10:59But unemployment remained high, and more and more people

11:02were being pushed into informal work, and it was no longer temporary.

11:05At that point, unemployment became a structural feature of the model itself.

11:09Inequality continued to grow, and poverty also began

11:13to become visible even in years when the economy appeared to be expanding.

11:16Even though the dollar was stable

11:18and inflation seemed under control, something was starting to break.

11:21In 1997, another external shock followed the Asian financial crisis.

11:26International markets grew more cautious,

11:28and the flow of capital toward emerging economies began to slow.

11:32By late 1998, the Russian crisis hit,

11:35triggering a global outflow of capital across markets.

11:38Argentina's country risk began to rise.

11:41Financing became expensive and the economy slipped into recession.

11:44As a result,

11:45the state began to collect less revenue even as debt payments continued to grow.

11:49To sustain spending and keep the 1 to 1 parity, reliance on external debt

11:54kept growing.

11:54A hard to break cycle took shape to maintain the stability of the dollar.

11:58More dollars were needed

11:59and the weaker the economy became, the more costly it was to obtain them.

12:03In January 1999, Brazil abandoned its fixed exchange rate

12:08after being hit by the Asian and Russian crises, facing capital flight

12:12and dwindling reserves, and the Real was sharply devalued.

12:15That move immediately

12:16made Argentina more expensive compared to the rest of the world.

12:20By the end of Menem’ second term, the recession was already evident

12:23and persistent unemployment returned to extremely high levels.

12:27Real wages fell and social conflict intensified.

12:30Gradually, movements of the unemployed began to consolidate.

12:33Roadblocks and protests multiplied in provinces that were already

12:36facing delayed wage payments to public sector workers.

12:40In fact, throughout the 1990s, different provinces went through crises

12:44that foreshadowed what would ultimately happen at the national level in 2001.

12:48There were isolated

12:49outbreaks, each with its own dynamics, but all of them shared common elements.

12:54These were delayed wages, privatizations that destroyed the regional economies,

12:58growing provincial debt, rising poverty, and a state

13:01that in many cases could no longer sustain its most basic functions.

13:05One of the first of those episodes took place in Santiago del Estero in 1994,

13:10the so-called Santiagueñazo, an event already

13:12covered in a video on this channel.

13:14It was sparked by corruption allegations of fiscal crisis

13:17and institutional violence,

13:18and it ended with public buildings set on fire and forced resignations.

13:22The province of Corrientes went through a prolonged crisis between 1995 and 1999.

13:27Unpaid public sector wages, the use of bonds as a substitute currency

13:31to cover salaries, constant mobilizations by state workers,

13:34roadblocks, and episodes of repression that left people dead.

13:37In 1996, in Patagonia, a series of popular uprisings

13:41marked the birth of the Piquetero movement as thousands of people

13:44found themselves out of work and with no real alternatives, prompting

13:47residents to organize roadblocks that would remain in place for days.

13:50We're starving to death. We're starving here.

13:52We give them gas, we give them oil,

13:54we give them electricity, and this is how they pay.

13:56The following year, in 1997, protests erupted once again,

14:00this time with greater organization and a tragic outcome.

14:03The death of Teresa Rodriguez during a police crackdown.

14:07The oil towns of General Mosconi and Tartagal in Salta also bore

14:10the direct impact of deindustrialization on their local economies,

14:14but the end of the 1990s Entre Rios was also facing a severe fiscal collapse,

14:18and similar situations emerged in Chubut, Rio Negro, and Santa Cruz.

14:22Menem reached the end of his term after privatizing state owned companies,

14:26doubling the country's external debt compared to a decade earlier,

14:29and facing more than 100 corruption allegations.

14:33The country reached the end of the decade with low inflation and nominal stability,

14:37but with an economic system that was exhausted, heavily indebted,

14:41mired in recession, socially deteriorated and extremely vulnerable

14:45to any change in the international context.

14:48And if Argentina is a rich country, why are its people poor?

14:53Well, because of the corrupt.

14:55And who are the corrupt?

14:58They are the ones who

15:00who steal people's work and their money.

15:03So what does the Argentina need?

15:07Well,

15:09a president who is not corrupt.

15:18Fernando de la Rúa came to the presidency

15:20in December 1999 with Cacho Alvarez as vice president.

15:24The alliance, mainly composed of the radical Civic Union and FREPASO, a

15:28center left force known as the front for a Solidary Country,

15:31had gone on to defeat Eduardo Duhalde in the elections.

15:50The new president took office

15:51with a strong level of public support, enjoying nearly 70%

15:55approval.

15:56La Rúa is the new president! The people are with you! The people are with you!

16:03Your people, the people are with you! De la Rúa! Up with De la Rúa!

16:11By this point, convertibility had redundancies aside, already

16:14converted into a rigid structure sustained by debt and expectations.

16:19Despite the recession, high levels of poverty and unemployment,

16:22the government chose to maintain the 1 to 1, avoiding devaluation,

16:27staying within convertibility

16:28and betting that fiscal discipline would help restore confidence.

16:31There are three things I want to make clear about the Argentina to come.

16:35One, if you do the crime, you do the time.

16:38Two Argentina will grow.

16:40Three with me.

16:41Politics take the hit, not the people.

16:44And hey, with me, 1 peso 1 dollar

16:48And so came the year 2000.

16:53During the first months, the government tried to balance

16:56public finances while negotiating with the IMF,

16:59the Minister of Economy, Jose Luis Machinea

17:02agreed to a program that cut the deficit and promised a recovery that never came.

17:06Multiple measures were launched with tax hikes and spending cuts.

17:09But in the midst of a recession,

17:11any adjustment deepened the decline in consumption and activity.

17:14Inflation stayed low not due to stability, but because the economy had stalled

17:19and demand collapsed.

17:20And one crucial element was that within that agreement

17:23with the International Monetary Fund, the labor reform appeared presented

17:27as a way to lower costs, make hiring more flexible and stimulate employment.

17:31The bill was ultimately approved,

17:33but it became mired in allegations of bribery in the Senate,

17:36which came to light when Hugo Moyano, truckers leader and vocal critic

17:40of the project, claimed he had heard Labor Minister Alberto Flamarique

17:44say “For the senators I've got the Banelco”

17:47implying he could buy the votes needed to pass the law.

17:50Well, after we had dinner, we were,

17:52we were discussing the issue of the law, and at one point I told the minister

17:56the law wasn't going to pass in the Senate because there was a Peronist majority.

18:00And the minister replied very. Very,

18:04calmly and said, for the Senate, I've got the Banelco.

18:07And he wasn't the only one.

18:08Senators from both the ruling coalition and the opposition swore

18:12the bribes were real.

18:13And there was a member of the executive who participated in a despicable episode,

18:18as it would mean coming to buy consciences.

18:21He should be struck down.

18:23We have reported strong suspicions that there are bribes,

18:26or there have been bribes which have been paid in this Senate.

18:29On top of that,

18:30there was an anonymous report claiming that 11 senators had been paid

18:34to pass the law and that the money came from SIDE

18:38the State Intelligence Secretariat vice president Chacho Alvarez,

18:42who had already campaigned on the fight

18:44against corruption, publicly demanded that the situation be clarified.

18:48Meanwhile, de la Rúa and his inner circle rejected and dismissed the allegations.

18:53Finally, de la Rúa decided to back the ministers and secretaries

18:57under suspicion and also promoted Alberto Flamerique who completely denied having

19:01ever uttered that phrase to the Secretary General of the presidency.

19:05Just one day later, on October 6th, 2000,

19:08Alvarez resigned from his position as Vice President of the nation.

19:12I hereby submit my irrevocable resignation

19:16as Vice President of the nation.

19:28I do so to, I do so.

19:32I do so to speak freely,

19:35to say what I feel and say what I think,

19:40and at the same time,

19:42to avoid harming the president

19:45or to destabilizing the country.

19:48That same day, Alberto Flamarique

19:50the main suspect of bribery, resigned from his new position.

19:53The alliance loses internal cohesion and the government is weakened,

19:57with less parliamentary support and friction among the very partners

20:01who had brought it to power.

20:02Slowly, de la Rúa was left on his own, while

20:05his image was ridiculed in the media and was turned into a punch line.

20:09Today, I tell you this I want to be everyone's banker.

20:12I want to be everyone's ATM.

20:16Mr. president. Yes. What is it?

20:19Why don't you say I'll be the grave digger of everything?

20:22There it is.

20:24Tulin Tulin

20:27we open our hands, bob our heads.

20:29And close them into tomorrow's little bud again.

20:33Tulin tulin, and

20:36Very good.

20:37Open the hands. Close them again.

20:41Here they scatter, and I go along with them,

20:45jumping and hopping full of joy because we are fine.

20:50Meanwhile, the recession continued to deepen and social indicators

20:54were deteriorating rapidly.

20:56Securing financing became increasingly expensive as the country risk kept rising.

21:01At the same time, falling

21:03tax revenues collided with a debt scheme that required bonds

21:06to be rolled over constantly, always at higher interest rates.

21:09In early December 2000,

21:12the government presented a decisive solution the Financial Shield,

21:16a financial assistance package led by the IMF totaling $40 billion.

21:20The agreement promised access

21:22to funds to guarantee debt payments and restore confidence in the markets.

21:26A few days later, on December 21st, 2000, Fernando de la Rúa

21:30appeared on VideoMatch, one of the most watched TV

21:32shows of the time, to deliver a Christmas message.

21:35But as soon as he stepped into the studio and despite the heavy security operation,

21:39a young man rushed up to him and rebuked him over the prisoners

21:42convicted for the 1989 attack on La Tablada barracks,

21:46who had been on a hunger strike for nearly two months.

21:49Please release the prisoners of La Tablada.

21:52They are dying.

21:52We have been 38 days on hunger strike.

21:55Please.

21:59This is a major concern.

22:00I filed an appeal with the Supreme Court, which was rejected today.

22:04So I am following the matter closely.

22:06I've done everything The president of the nation is talking honestly.

22:09We wanted to- one second.

22:10Then, the interview continued So. Well, yeah.

22:12Well, on this matter, I want to thank you for what you've done for the people

22:16with your your constant message of optimism and joy.

22:20I'm convinced that after a difficult year, we'll have a spectacular year ahead.

22:26Then de la Rúa confused the name of the host's wife.

22:29He said Laura instead of Paula, and even the name of the show itself

22:32calling it Telenoche which was actually the rival channel's news program.

22:37And I also want to send my affection to your family.

22:41I know you had a child.

22:42Congratulations. Is he alright? Yeah, yeah.

22:45My regards to Laura and to your whole family.

22:48And to the great family of this audience of Telenoche,

22:52which truly is a vast and important audience.

22:56And, I send you all my warmest.

22:58And the cherry on top was that he left through the wrong door.

23:01The president of the nation, Doctor Fernando de la Rúa. Thank you, Fernando.

23:04Thank you very much.

23:05All right, well, that's it.

23:08We'll end the show here.

23:09Thank you, thank you. That's all. Thank you very much.

23:11Honestly.

23:12Well, you know, live television sometimes brings situations like this.

23:17Unfortunately, it wasn't our it wasn't our intention to have, well,

23:21people protesting here, I understand it, I understand.

23:23By this point, the president's approval rating had collapsed to just 15%.

23:28Meanwhile, the financial shield brought a brief sense of temporary relief

23:32because it pushed international reserves to a historic high.

23:35However, the commitments taken on imposed even harsher

23:38fiscal targets and failed to stop the withdrawal of deposits.

23:42And so the year 2000 came to an end.

23:44I have been criticized and attacked.

23:46I fought hard and many times I felt alone.

23:49But in the end, we are closing this year with a great success.

23:52The 2001 Financial Shield.

23:56The shield is an unprecedented economic, political and financial operation,

24:01creating such a large guarantee fund for the country that it clears away

24:05any threat or doubt about Argentina's future.

24:092001 will be a great year for everyone.

24:13How nice it is to deliver good news.

24:16In March 2001, the president announced a cabinet

24:19reshuffle after Machinea’s resignation became known.

24:22The new Minister of Economy was Ricardo López Murphy, who proposed

24:26a profound adjustment that included cuts in education and public spending.

24:30The announcement triggered immediate backlash

24:32both within the government and across society.

24:34Three ministers resigned, and not even de la Rúa’s allies supported Lopez Murphy,

24:38who himself stepped down after just 15 days in an attempt

24:42to contain the crisis and reaffirm the continuity of the 1 to 1 system.

24:46de la Rúa once again called Domingo Cavallo to be minister of Economy,

24:51who received strong backing from the Justicialist Party

24:54as well as support from the former vice president.

24:57And I want to announce that starting tomorrow,

25:00the leadership of the country's economy will be in the hands

25:06of Doctor Domingo Cavallo.

25:08I'm going to explain how I'll be dealing with the press.

25:12I will only answer questions when I call the press and invite you to speak.

25:17No matter what you ask me, no matter where you ask me,

25:19I will not answer any questions.

25:21Cavallo pushed a series of measures to prevent collapse.

25:24One of the most significant measures was the mega debt swap, carried out

25:27under extraordinary powers granted by Congress,

25:30extending debt maturities in exchange for higher interest rates.

25:33It eased short term pressure, but made future borrowing costlier

25:37without improving the perception

25:39of the country's solvency and by that time as well.

25:42In August 2001, a newly appointed cardinal named Jorge

25:46Bergoglio warned that there was a strong risk of social anarchy,

25:50plus, the zero deficit rule was implemented automatically, adjusting

25:54spending to match tax revenues, and included cuts to public sector wages

25:58and pensions.

25:59The goal was to regain the confidence of the IMF and financial markets,

26:03but in a recession these measures only deepened the downturn

26:06and fueled social unrest.

26:08A few days later, and amid constant public protests,

26:11Domingo Cavallo’s daughter, married a young American man.

26:15That's the last thing you had left to do, Domingo,

26:17to give your daughter away to North Americans.

26:20You motherfucker, Cavallo, you bastard.

26:28You motherfucker, Cavallo, you bastard.

26:31There she is coming out.

26:33Domingo Cavallo’s daughter.

26:35Cavallo.

26:38They're being heavily booed.

26:41They are throwing anything they can.

26:42Eggs, anything.

26:44You sons of the wedding of Cavallo s daughter.

26:46From every angle, we're like country risk right now.

26:50Up in the clouds, extremely high, covering everything that's happening.

26:54They're coming out.

26:55Sonia and her husband.

26:56Sonia. Sonia.

26:58They have umbrellas blocking the eggs.

27:01We can see all the eggs being thrown from here.

27:03Domingo Domingo showed up.

27:06Domingo. Eggs flying from up here.

27:08We've got everything on camera.

27:10They had the umbrellas ready for the eggs.

27:11They're taking hits from everywhere. Domingo.

27:14The crisis has reached the Cavallo family.

27:15One less mouth to feed, Minister.

27:17Oh, yo! Hey! Stop, man! You shocked me, man.

27:20He shocked me. Right there. There. Stop!

27:22He has an electric prod. Film him.

27:24Which one was it? That one, that one.

27:25The green overcoat.

27:27The green overcoat guy has an electric prod.

27:28The green overcoat. He's carrying an electric prod.

27:30That's how the minister's security operates,

27:32Take it out of your pocket, you disgrace!

27:35Take it out of your pocket, you disgrace!

27:37Show it, show it now!

27:40Can you show it?

27:41I don't have a stun prod. Can you show the electric prod?

27:43Why don't you turn your pockets inside out?

27:45He won't show what he has in his pocket. You're shameless! Coward!

27:48Show what you have in your pockets.

27:50That's what you are.

27:51Not sure what he has in his pockets. Coward!

27:54All right, there it is, then.

27:54That's the face.

27:56And while the minister insisted that he had the economic variables

27:59under control and released a book titled How to Get Out of the crisis

28:02in the United States, everything was about to change.

28:06The attacks on the Twin Towers completely shifted President Bush's

28:09priorities, and Argentina's

28:10political and social situation was pushed to the sidelines, a country that depended

28:14on constant debt rollovers and capital inflows was left even more exposed.

28:19External financing became more expensive, scarcer, and increasingly restricted

28:24on Sunday, October 14th, 2001, national midterm elections

28:28were held across the country in which voters were called to renew

28:31half of the Chamber of Deputies and one third of the Senate.

28:34He gets out of the car.

28:35There's the president. You ripped me off, de la Rúa.

28:37Well, she started yelling that he ripped her off.

28:40Stay strong, Mr. President. He made sure to bring his own crowd.

28:43One second, one second, just one question, Mr.

28:46President.

28:47I can't keep up anymore.

28:48When will you answer, Mr. President?

28:52Wow. Never

28:56in his full two years in office was he ever as fast as he was now.

29:00In 2001 elections, no matter who stays.

29:03I used to

29:05run faster In these elections, the real protagonist

29:08was the protest vote, which surpassed 20%.

29:12Ballots featuring historic Argentine figures were everywhere lists appeared

29:17proposing Juan Bautista Alberti, San Martin, Manuel Belgrano and Sarmiento.

29:22However, one of the most popular choices among protest

29:25voters was a comic strip character, Clemente.

29:29Caloi’s creation, and his most distinctive trait,

29:32the absence of hands, is a key factor.

29:36Global events were also reflected.

29:38Many ballots referenced

29:39the terrorist bin laden along a huge amount of political satire.

29:43This type of ballot was among the most frequently found.

29:47No party I vote for no one.

29:50Invalid vote.

29:51But the real winner was the Justicialist Party, the opposition to de la Rúa,

29:55and although it did so with a vote share well below its historical average,

29:58it still managed to secure a working majority in both chambers of Congress.

30:01Ramon Puerta became president of the Senate, and Eduardo Camaño

30:05took over the Chamber of Deputies.

30:07And just like that, with no vice president in office, two Justicialists

30:11became the second and third figures in the presidential line of succession,

30:14should anything happen to de la Rúa at that point.

30:17Meanwhile, the crisis continued to deepen.

30:19Investments gradually began to pull away, generating growing distrust

30:23in the financial system, which led families and businesses

30:26to start withdrawing their dollars, keeping them at home or abroad.

30:30As a result, banks began running out of liquidity

30:32and the central bank had to use its reserves to sustain the entire system.

30:36On October 29th, 2001, Country Risk reached 2000 points.

30:41Argentina is in a tough spot.

30:43You know, this morning I was thinking poor Argentina.

30:46It makes me so sad.

30:48I feel like I could cry.

30:50We know, but please don't. I feel like I could.

30:52Argentina past Nigeria.

30:54We're now at the top of the country risk ranking with 2014 points.

30:57Come on, let's go. Country risk.

31:02How high is it?

31:03For the first time in Argentina's history.

31:05We've reached,

31:072000 points.

31:08Country risk down there.

31:11Argentina should be up at the top,

31:15but instead we're down below.

31:18In November, the pace of deposit withdrawals became unsustainable

31:22while the IMF refused to send dollars, arguing that Argentina

31:26had failed to meet its commitments to maintain a zero deficit policy.

31:30There has been no interruption in negotiations, with the fund.

31:35Yeah.

31:35What what's happening is that the fund said the disbursements

31:39you were expecting for November and now for December.

31:42We don't know exactly when it, will happen.

31:46To avoid a total collapse on December 1st, the government made

31:50what would become its final move through an emergency decree, the 1570,

31:55the government established

31:57what would go down in history as the Corralito, a measure

32:00that limited cash withdrawals and restrict people's access to their own savings.

32:04We have had to adopt extraordinary measures,

32:09which will remain in effect

32:11for 90 days precisely to ensure the properly secure

32:16the functioning of the economy and, above all, the protection of Argentine savings

32:21during this period,

32:24which promises to remain,

32:27turbulent up to $250

32:31can be withdrawn in cash each week, that is, cash bills and coins.

32:36You may be wondering why are they putting this limitation?

32:40I'll explain it to you.

32:41A lot of frightened people were withdrawing,

32:44not 250, 300 or 1000, but 50 or 100,000.

32:49Even a million pesos in thick bundles and locking it in safe deposit boxes.

32:55The money that was leaving the banking system meant that within days,

32:59you wouldn't even be able to withdraw the $250 you normally took out.

33:05Starting Monday, pesos will be worth the same as on Friday,

33:10and they will remain 1 to 1

33:14forever.

33:15What are we achieving with this?

33:17That there won't be devaluation of the peso,

33:19so your savings will keep their value

33:23and your work will keep its, value.

33:26Be certain of that.

33:27This was meant to stop the bank run, but of course it triggered massive backlash.

33:32It was a direct blow to commercial activity, and a definitive

33:35loss of public trust.

33:37Earned 540 pesos a month.

33:39So I don't even have that.

33:41And, well, may God help us. Argentina will get people.

33:43Ask them to give us back the money they stole from us.

33:46We worked for it.

33:51This is disgraceful the way these bastards are robbing us.

33:55The measure paralyzed the domestic economy, small businesses, long accustomed

34:00to operating in cash, saw their sales collapse from one day to the next,

34:04adding to a widespread feeling that people had been deceived and cheated.

34:07I see people sort of shaken by the by the economic measures.

34:11I came in and then I just left, I mean, I left. Hello, how are you?

34:13Hello, how are you? Backstage.

34:15Everyone was like this, a government controlling your money.

34:17And we thought communism was over, but apparently not.

34:21For example, they can control your money and tell you what you have to do,

34:24how much you can spend. The whole thing is.

34:27It's so weird.

34:28I receive a 600 pesos pension that I worked my own money.

34:32I put my savings into a fixed term deposit and withdraw from it monthly.

34:36You can keep doing it. No, because you're.

34:37So what do

34:37they give me?

34:38You’re forcing me to withdraw 1000 a month.

34:42You don’t have to live on 600.

34:43I listened to everything that was explained.

34:45No, you have no problem.

34:46But how am I supposed to live on 600?

34:48If you say you need to withdraw 600…600 is my pension. No.

34:50600 is what the state pays me.

34:52You will be able to withdraw everything you have on your deposit I’ll

34:54withdraw 1000.

34:55But you can't decide whether I have to live on 1000, 2000 or.

35:00It's my money. They're my savings.

35:02You have nothing to worry about My savings.

35:03You have nothing to worry about. Stay calm.

35:05No one is going to touch your savings. It won't be taken away. You'll keep it.

35:07No nobody. Nobody is keeping your money.

35:09Nobody is stealing it.

35:10We’ll put a bomb here at La Quinta Enough, man.

35:13Poor people are retiring.

35:14I’ll challenge

35:14you six months from now, in the same place and with these same journalists.

35:18We'll meet again. And you'll thank me. You'll thank me.

35:20What had until then been an economic crisis

35:22thus turned into a complete crisis of confidence.

35:24The middle class, which had defended the 1 to 1 parity for years, now, felt

35:28that the model that had

35:29previously promised stability had ultimately strip them of access

35:32to their own savings.

35:33Right after that, people emptied what little remained in ATMs

35:37and went from one bank to another trying to recover their money.

35:40But it was too late.

35:42This government. Is going after everything we have, everything.

35:44We've managed to build.

35:47Get out! Get out! Get out!

35:51Plus, that same night, the

35:53president delivered a nationwide address, mainly to defend the measures.

35:57We have had to defend ourselves.

35:59It's clear that there is no devaluation, that convertibility remains in place,

36:03and that the peso-dollar parity is being upheld,

36:06that speculation has been defeated, and that the ownership of bank

36:09deposits is being absolutely respected.

36:12The following day, amid growing unrest and ongoing

36:15looting, he met with Carlos Menem, who was released from jail

36:18because of the arms smuggling case involving Croatia and Ecuador.

36:22How do you see this moment?

36:25We must try to ensure that president de la Rúa stays in office until at least 2003.

36:29But can he remain in office under these circumstances?

36:35No. No, I can't give you a definitive answer.

36:37But if he wants to yes On December 5th, Domingo

36:40Cavallo held a press conference and spoke with some journalists.

36:44Domingo Cavallo, it's been a while since we've seen you.

36:47How are you doing? Well, we are. You're coming back too.

36:49We're coming back too.

36:50Everything comes back. Cavallo came back. So did we.

36:53You came here to speak with business leaders.

36:55I hope it goes better for you, than for me.

36:56I like that Domingo didn't even have to ask anything.

36:59The new Cavallo.

37:00I like the new Cavallo.

37:02Cracks the jokes and answers them himself.

37:06We'll wait for him because we've got more questions.

37:10An exclusive.

37:11What's the exclusive that you hope we'll do better than you?

37:14Of course. Best wishes that things go very well for you.

37:16Do you think you'll finish your term, Minister?

37:18Or will you ask for a minister Mega swap? Oh.

37:22Look, I have to head to my car now. Aye man.

37:25What up?

37:25All good? Hello. What's up?

37:27I don't answer reckless question.

37:29Because you look a little devalued.

37:30Otherwise the bailout might have to be for your house, Minister.

37:33Ten days later, on December 15th,

37:35the minister's attitude was already different.

37:38You're really the last optimist left in the Argentine Republic, Doctor Cavallo.

37:42It's fine that you try to create a good mood.

37:45That's perfectly fine. But,

37:49keep in mind that we are living through a very difficult moment

37:52for the Minister of Economy, turning this into a show, into jokes.

37:55At a time like this,

37:57when the- Doctor, wouldn't it be good if you supported the good humor?

38:00I appeal, I appeal to your patriotism so you can understand that

38:04no matter how important humor and the jokes you make for television may be,

38:08it is very important that the Minister of Economy

38:10be able to focus on the serious problems Argentina is facing.

38:13Doctor, we appeal to your patriotism as well

38:15to at least give us a bit of good humor.

38:16In times like these, it's all going downhill.

38:20Well, then, I think it's up to you to cheer Argentines up.

38:23Doctor, one more thing. Deny everything for me.

38:25Please deny everything.

38:26May the suffering be as limited as possible.

38:29Doctor deny everything at once. Default.

38:31Deny it for me. Dollarization.

38:33Deny it for me.

38:34The minister resigning. Simply deny it for me, please.

38:37The president resigning.

38:38All the denials together from Doctor Cavallo, who is now leaving.

38:41Gentlemen, an exclusive here in CQC.

38:43The country then entered the final phase of the crisis.

38:46The recession deepened,

38:47social indicators worsened, and political pressure intensified.

38:51The convertibility model reached its limit and the government,

38:54with no internal or external backing, couldn't sustain it.

38:58Meanwhile, TV archive programs from that time were replaying Cavallo’s

39:02freudian slips. One after another.

39:03Everyone defends their own interest and has their own perspective.

39:06What matters is the perspective we hold, creating a climate of confidence,

39:10taking away the means, taking away the means, the fears, the fears.

39:15The recovery requires two things.

39:17First, that people have income to spend, but also that people lose their mea-

39:22uh fears, their mea- uh fears.

39:24The peso, which as of January 1st will be worth the same as

39:28the dollar, is a lie- liable is a lie.

39:31As December moved forward

39:33the crisis became economic, political and social all at once.

39:37Meanwhile, to prevent looting, some supermarkets began handing out

39:41bags of food.

39:42I'm a woman, just a woman

39:44who doesn't have a job, who can't get a job

39:46because I'm 39 years old and have four children.

39:49I speak fluent English, I know programing, I am, I am qualified,

39:54and I still can't get a job and I end up like this.

39:56I'm ashamed of being Argentine.

39:58I've given birth to Argentine children.

40:00My kids go to a public school and I don't even know if they have a future.

40:04Today I have to be out on the streets because I have no other, no other option.

40:07While others took up armed positions on rooftops, standing guard

40:10to defend their workplaces.

40:12And so under that atmosphere, we reached December 19th, 2001.

40:16That day started with a level of tension that had been steadily building up

40:20over the course of several weeks.

40:21In fact, in different parts of the country,

40:23looting had already begun to break out the day before.

40:26Well, we can see how the neighbors are now

40:28rushing into the interior of the supermarket.

40:29This is truly unbelievable. Completely.

40:32The chaos that's unfolding.

40:47Unbelievable.

40:47Watch out Mariano,

40:49look at the number of people loading carts full of goods and rushing out.

40:54They're taking all kinds of things.

40:55We can actually hear gunshots in the background.

41:11And we can see here how clashes between Villa

41:15Banana residents and the police are still ongoing.

41:20Meanwhile, one of the protesters who had been shouting

41:23insults at police is now being detained.

41:28She's being taken away by force.

41:30She's refusing to it.

41:32How is this operation going?

41:34I don't know,

41:36I don't know.

41:36The situation is extremely tense here at a warehouse

41:41belonging to a Korean owned supermarket.

41:45One of the owners is armed, holding

41:47what seems to be a bladed weapon.

41:50Two large knives.

41:53The situation has spiraled out of control, completely out of control.

41:58The owners are defending their property as expected, and stones are flying from

42:01every direction.

42:03There's no police presence.

42:04Everything is out of control. Hunger.

42:07Because everyone here,

42:10even those who work, man, there's no money, there is nothing.

42:13But now television cameras were showing that the Lootings had already begun

42:17in Greater Buenos Aires and within the city itself.

42:20They took all the cash.

42:21The machine, just like that, as it- And then all the goods they took them.

42:24Yeah, all the goods. All of them.

42:26First, put simply, they robbed me.

42:28They held me up, and then they went after all of the goods.

42:36Hey, look, Cavallo, this is for you.

42:38I'm a young guy and I've got three kids.

42:40If you had thought things through, none of this would have happened.

42:49You look for work, you sign up and they tell you no, there's nothing.

42:53They say they'll call you. Then they don't.

42:55You go somewhere else.

42:56You sign up again, you leave your phone number, your ID, everything.

42:59And they never call.

43:01Ma’am but how did it come to this?

43:03Because of sheer need.

43:04I'll even sell this at the barter markets if I have to.

43:06Just to feed my children.

43:07Because the government doesn't care about the misery we're going through.

43:10They're already picking our pockets everywhere we turn.

43:12What do you feel having to do this? Total helplessness.

43:15Thank you, ma'am.

43:15The situation was so critical that by mid-morning, a group of radical Party

43:19senators called for Cavallo resignation and demanded that the president

43:23implement a plan to end both the Corralito and the looting.

43:26Then they marched to Casa Rosada.

43:29Meanwhile, de la Rúa attended a political meeting at Cáritas headquarters,

43:33but due to people booing him, he had to leave before it ended.

43:37Ramon Mestre, the Minister of the interior,

43:39was also there, and when he left, he downplayed or ignored the looting.

43:44What is your opinion regarding the looting?

43:46I don't know anything. I've been here all morning.

43:48By then, political support for Minister Cavallo had already eroded,

43:52but the government feared

43:53that his departure would trigger an even deeper financial crisis.

43:56Meanwhile, there was heavy repression in several provinces.

44:00By the afternoon, the situation had become even more critical.

44:03The looting continued.

44:04The store opened just a month ago.

44:06These are people who used to come here every day, all day, the entire day long.

44:11They always come to shop.

44:12I know because I have seen it myself.

44:14The police and I showed up, but it was it was uncontrollable.

44:20They had already broken the metal shutters.

44:22Already gotten inside the store.

44:24No way to stop it.

44:2620 police officers against roughly 400 people at the scene.

44:30Protesters took all kinds of goods.

44:32They even took the Christmas tree that had been decorating the store,

44:35leaving the owner overwhelmed and utterly desperate.

44:43Look, look, man, man.

44:48There's no police at all.

44:52Sir, what is it?

44:53What are you taking? Meat and groceries?

44:55Because I've got nothing to eat.

44:56I'm sick, I have hepatitis B and I can't work.

44:59I'm stuck with this crap. Do you have kids?

45:01I have four kids.

45:06An all out fight just to take the goods.

45:08The groceries, I don't know.

45:10Look, all I know is I don't have a job anymore.

45:13I lost it, and I've got five kids. Please.

45:16They're destroying the store.

45:17Yeah, well, brother, the government should be looking out for us,

45:20not the other way. And receiving any kind of assistance.

45:22None of any kind. I've been looking for work for six months.

45:24I've got three kids.

45:26What do I feed them?

45:27Is this the first time you go out like this?

45:29Yes. Unfortunately.

45:31Look, I think everyone who knows me

45:32is going to see this, but, yeah, I have to do it

45:35Man, the owner has been ruined.

45:36And what's he supposed to do? We're ruined too.

45:38Me and my kids are ruined as well.

45:40Because I want a future and I don't see one.

45:42I fought for 41 years. I'm still fighting.

45:44Has this business been in the neighborhood for many years?

45:4626, 26 years?

45:48I feel the same way.

45:49Did you sell on credit to many of the people who looted your store?

45:51Many of the ones looting? Yes, ma'am.

45:53But I'm suffering just like they are

45:56and I'm going through the very same they are.

45:57Do you know how much you lost here? How much did they take?

46:00All of it.

46:00There's nothing.

46:01There's so much sadness right now.

46:07Now, I ask our governors, the president Cavallo, Mestre.

46:10The same one who keeps saying it's okay.

46:12If everything is really fine, then why doesn't he come here?

46:14Instead, he’s toasting with Sandón and Luigi Bosca at Government House.

46:17I mean, it's shameless,

46:18just like all the other politicians we have. They're all asleep, all claiming

46:20that everything in this country is perfectly fine.

46:22Perfectly okay. What exactly is fine with this?

46:24What reality are they even living in? Some kind of surprise box?

46:27Where are they?

46:28They live in a bubble.

46:29Why don't they show up and walk the streets to see the hunger that's out

46:32here?

46:32There are a whole bunch of criminals come out and see the hunger.

46:35People are in.

46:36Because sure, among these crowds,

46:37there may be some troublemakers who are in bad shape,

46:39but there are many people who truly, genuinely need this.

46:41The clashes with the police continue to break out repeatedly and continuously.

46:57Ma'am.

47:03And government stability was in doubt.

47:06We were talking about looting, cacerolazos,

47:09and right now there are places where food is being distributed.

47:12All and every Argentine citizens are asking themselves questions, aren't we?

47:16We're asking, for example, will Cavallo still be the Minister of Economy tomorrow?

47:20And if not him, then who?

47:21Who will be the minister, then?

47:23The other day, Cavallo on Sunday, I believe, said that

47:26looting does not solve Argentina's problems.

47:28And he's absolutely right.

47:30Not only does it fail to solve them, it actually makes them worse.

47:33But for some people it has solved dinner.

47:35Tonight's modest dinner for them is not a small thing.

47:39It's painful.

47:40But that is the dramatic reality.

47:42A long night awaits us.

47:44A long day filled with anxiety and uncertainty,

47:47concern and the questions that always arise in Argentina.

47:50Even the most far fetched ones.

47:52From an institutional standpoint,

47:54what will tomorrow look like for us?

47:58Until tomorrow.

47:59Now, after seeing all those images,

48:01do you really think Cavallo shouldn't go to jail?

48:03He destroyed the- First of all, I believe in justice.

48:05And I believe people should go to jail only when a judge decides it.

48:07Not just when I feel like it.

48:09Otherwise we collapse.

48:10But the man ignored the courts just 24 hours ago..

48:13In any case, he will have to answer for that.

48:15I believe in what judges determine… and you’re a lawyer too.

48:18And as the looting failed to stop, rumors even began to spread

48:21that it might have been orchestrated by the opposition, prompting

48:24some journalists to address the issue live on air from their own programs.

48:28Today, I heard many people asking if all of this was staged.

48:33Yeah, this was staged.

48:35This was staged by Cavallo, by Escasany, by the International Monetary Fund,

48:41by De la Rúa, by Lombardo, by Moneta, by Menem, by the Supreme Court.

48:46This was staged.

48:47This has been in the making for years.

48:49I heard people saying, but look, they were stealing televisions and refrigerators.

48:53Those are not starving people.

48:54What do they want to see?

48:56People standing in line, holding a little numbered ticket in their hands.

48:58Did they expect that the day everything exploded, there would be polite

49:02people carefully placing napkins over their laps,

49:05eating with the proper silverware they're supposed to use?

49:07It's insane.

49:08The same system that screws us over now demands

49:12whenever it feels like it, good manners.

49:14But then I don't see them screwing us over politely.

49:17That night, de la Rúa announced in a nationwide broadcast

49:21that a state of siege would take effect immediately.

49:25Citizens, a difficult day is coming to an end.

49:29Acts of violence have occurred across the country, placing both lives

49:33and property at risk and creating a situation of internal unrest.

49:37I want to inform that in response,

49:39I have declared a state of siege throughout the national territory.

49:43The Honorable Congress is aware.

49:46I understand the hardships many of my citizens are facing.

49:50I understand and suffer them.

49:52But you all know that violence and illegality are not the way

49:56out of our problems.

49:58I have decided to set limits on those who exploit the suffering of others

50:02through violence.

50:04Therefore, and under the authority granted to me by the national Constitution.

50:08As president of the nation,

50:10I have declared a state of siege throughout the national territory

50:13in order to guarantee law and order in the country,

50:17and to bring an end to the incidents of the past few hours.

50:20The measure meant to project authority,

50:22but it managed to project exactly the opposite effect.

50:25As soon as the address ended.

50:26The first spontaneous cacerolazos began in different neighborhoods of Buenos

50:30Aires and across the country.

50:31Many of them were actually led by middle class sectors

50:34that, up until that point, had not yet come out or taken to the streets.

50:37And it's happening right now at 10:45 at night, just past the hour,

50:40a series of spontaneous

50:42casual lassos is breaking out in different parts of the city.

50:44I don't know if this will be de la Rúa’s final message.

50:47As president of the nation,

50:49but it will certainly be remembered as a speech marked

50:51by an extraordinary level of political detachment.

50:54The people united will never be defeated! The people united will never be defeated!

51:08I’m moving through different groups outside police stations, ladies and gentlemen.

51:12This is spontaneous… Uh… the population has poured into the streets.

51:40The people united will never be defeated! The people united will never be defeated!

51:48Give the money back.

51:50People are literally starving to death out here.

51:52Give me my money back.

51:54It belongs to the people.

51:56The people are not looting.

51:57This is the people trying to force you out.

52:00There is a deafening chorus of car horns here in Plaza de Mayo.

52:03Numerous self-organized

52:04groups of citizens are driving past in their cars and vehicles.

52:07They are surrounding government House.

52:10Sir, why are you here?

52:12I didn't vote for Cavallo.

52:13I voted for de la Rúa.

52:14I did not vote for this economic policy.

52:16I voted for an economic policy for all the people.

52:18People are hungry.

52:19I don't justify the looting. What I do justify is this.

52:22The people taken to the streets to defend the people's interests.

52:25This can't be endured any longer. Cavallo has to go.

52:28He's out of touch.

52:40In Buenos Aries,

52:41and within minutes, thousands of people gathered in Plaza de Mayo.

52:45The protest was no longer just against the Corralito or the economic crisis.

52:49It was a direct rejection of the government and politics.

52:52At 11:32 at night, self-organized citizens

52:56had already blocked the intersection of Pueyrredón and Córdoba avenues.

53:02This is happening in multiple locations.

53:05What began in the morning with looting in supermarkets

53:08is now continuing into the night.

53:14Get out, Cavallo!

53:30Work is absolutely useless here.

53:32People are truly starving.

53:34I don't know, I really have no words. They're all thieves.

53:37Nobody ever.

53:37I tell you, they never go to jail.

53:42These are my entire life savings.

53:44How am I supposed to keep working now?

53:47Pay us back, they robbed us! I'm 72 years old, I'm in misery!

53:53After all the work, effort,

53:54sweat and tears we've put in young people, the elderly, adults,

53:59all of us have sacrificed our lives, and now they take all from us.

54:03We have to start all over again. It's not fair, sir.

54:06Menem, buddy, you’re a bastard! Menem, you’re a bastard!

54:10Give the bucks back.

54:11Bastards!

54:11Give them back!

54:34What an idiot! The state of siege Shove it up your rear

54:43It was in this specific moment that the central chant first emerged.

54:47They must all go.

54:50They all have to go! Don't leave a single one behind!

55:07And soon enough,

55:08the steps of Congress were packed with people.

55:23Right after midnight, and as December 20th was just starting, the crowds

55:27and the flow of people kept growing.

55:55Cavallo, son of a bitch!

55:58You have to go!

56:01You have to go!

56:04We're seeing, a large number of people

56:07from all across the capital making their way toward Plaza de Mayo.

56:11Will this actually make a difference, or.

56:13what is this all for?

56:24They all have to go! Don't leave a single one behind!

57:01Daniel Antonio.

57:02It's almost a 12:45. Just listen.

57:05Sorry about that.

57:05People, instead of going to sleep or rest, are heading out to the streets

57:09all across the country.

57:11We're getting messages from everywhere,

57:13from all over the country, all over the country.

57:15It means that something's going on. People are not sleeping tonight.

57:17But it is the leadership as a whole that is being questioned.

57:21I think we shouldn't misread what's happening

57:24even under these circumstances in, in moments like this,

57:28when irrationality and, unrest or violence erupts,

57:33you know, there is very little room left

57:35to bring in, you know, common sense,

57:39which actually may be the only aspect that needs to be defended right now.

57:43But I also believe we must be careful not to,

57:46not to misinterpret what we are witnessing before our eyes.

57:50Tensions continue to rise and police began cracking down.

58:36You can hear the the gas canisters going off all around.

58:40The people are peaceful, man.

58:42Police are moving in through the side streets.

58:47You can see

58:49infantry units from the federal police,

58:52from the federal police firing indiscriminately.

58:57904 go ahead.

59:00Who came up with this idea of firing gas?

59:02Are you idiots?

59:03People are starving.

59:04You're out here gassing them, you morons!

59:06Amidst the wake of the riots, just before 1 a.m.

59:09and after protests reached and gathered at the entrance of his home, Domingo

59:13Cavallo resigned. Sorry.

59:15Excuse me, guys.

59:17At this very moment,

59:19Domingo Cavallo is stepping down.

59:21All right, then. That's good.

59:23But I assume he'll be taken straight to jail.

59:24Right? Well, I don't know.

59:26Let's wait and see.

59:28He has just resigned.

59:29They are escorting him out right now. Yeah.

59:31Applause. Round of applause.

59:41But in Plaza de Mayo, the conflicts continued.

59:44And although a large percentage of the crowd began to retreat due to the tear

59:48gas. He's a son of a bitch.

59:50Look.

59:51He's a son of a bitch, that one. You’re a piece of shit De la Rua!

59:53De la Rúa,

59:54fucking bastard!

59:55This fucking government has to go! Government scumbags, that’s what they are!

59:57Government scumbags! De la Rúa, piece of shit!

59:58You belong in the streets! They all have to go!

1:00:00They have to go! We’re gonna kill them all! Sons of bitches, don’t do this!

1:00:02The worst part is the regime’s thugs, man!

1:00:05They should resign, they should all go!

1:00:08Sons of bitches!

1:00:10There are children, okay?! Don’t they realize that?!

1:00:13They don’t realize it’s the people out here!

1:00:14That it’s not...

1:00:15My love… They’re Videla’s brothers, those sons of bitches!

1:00:18I don't know where you're from, but this is the first time in my life

1:00:21I've come out to demand and ask for what's mine.

1:00:24I'm 45 years old. I've worked my whole life.

1:00:27This isn't fair, man.

1:00:29I don't even know where I have to look here. Death to them!

1:00:31There are families! There are kids here, there are kids here, the kids came, look.

1:00:33The whole family came!

1:00:34We’re not causing any trouble.

1:00:36It’s all people, decent people, demanding what belongs to us.

1:00:39They should be killed. It’s the people’s work.

1:00:41All of it is meant to be left to their families.

1:00:43The police should respect families, respect their families, man.

1:00:44The people… The people are expressing themselves

1:00:44freely For democracy, that son of a bitch has to go.

1:00:46That son of a bitch has to go They won’t let us express ourselves freely

1:00:51How sad Those sons of bitches don’t

1:00:54even look Argentine, man, they seem from out of space.

1:01:01It's going to end okay.

1:01:02You know, it's all going to end soon because nobody sent us, okay?

1:01:08We. All of us.

1:01:09We came on our own. Okay?

1:01:12On our own.

1:01:13Okay.

1:01:15Violence began spreading across the entire city and its streets,

1:01:19eventually leading to clashes with the police in multiple locations.

1:01:22At the same time, another large group gathered once again

1:01:25on the steps of Congress, trying to force their way inside.

1:01:29Stationed there, a group of officers tried to really hold them back,

1:01:32but they were not properly trained to handle a large scale, massive protest.

1:01:36They were local precinct police, equipped only with their standard service weapons,

1:01:41and as time went by, they lost control.

1:01:43Around 3:30 in the morning, a sudden series of gunshots rang out,

1:01:48making the crowd run away in panic.

1:02:01Two of those

1:02:02shots struck Jorge Demetrio Cárdenas, a man who had been trying

1:02:06to mediate between the police and those who were attacking them.

1:02:09After being hit, he could no longer remain standing and slid down the steps.

1:02:14C2 go ahead C2. Dispatch a SAME ambulance.

1:02:17There was an injured person on the steps of the of the Congress,

1:02:20so there's a person currently

1:02:22being shown on Cronica TV who appears to be having convulsions.

1:02:26So if there's any available personnel that can come closer, please

1:02:29ensure there is a visible police presence and assist the individual.

1:02:32Until the,

1:02:34the SAME ambulance arrives.

1:02:36The police ambulance has just arrived.

1:02:37Please, go on and assist him.

1:02:40Assist the civilian.

1:02:41Jorge was able to receive medical attention that night, but died

1:02:44in August 2002 from after effects of those injuries.

1:02:53At dawn, police officers who had remained on site throughout the night

1:02:56could still be seen around while the country learned

1:02:59of the resignation of the Minister of Economy.

1:03:01We now turn to the main headlines from today's edition of Ámbito Financiero.

1:03:05Cavallo, and the entire cabinet resigned following a spontaneous public uprising

1:03:09that happened overnight.

1:03:10Cacerolazos across Buenos Aires, along with gatherings

1:03:14that turned violent in Plaza de Mayo and at Congress.

1:03:17And around eight in the morning, a group of roughly 50 people

1:03:21gathered once again around and near the government house.

1:03:24I came here to fight to support this whole movement.

1:03:27It's the only way we have and we could do to make ourselves heard

1:03:32because they don't listen to us.

1:03:34They took everything they left behind.

1:03:36A broken Argentina.

1:03:38Misery, hunger, illness, neglect.

1:03:42Victor Hugo, good morning.

1:03:43We remain here in Plaza de Mayo,

1:03:45where yesterday the Argentine people gathered on their own.

1:03:48As you can see, a significant group of people

1:03:51is still here today, making their voices heard in protest.

1:03:55And for several hours now, these people have been relentlessly

1:03:58banging on trash bins.

1:03:59Despite the resignation of the Minister of Economy, Domingo Cavallo,

1:04:03these people continue protesting against the government's economic direction

1:04:08and the policies implemented by President Fernando de la Rúa.

1:04:11And as the minutes passed, more and more people kept arriving at Plaza de Mayo.

1:04:16But honestly, if you ask me, I honestly believe that

1:04:19this guy, this idiot we have, this president really has to go.

1:04:23There's no other way.

1:04:25But what do you expect from the president.

1:04:27That he resigns Thank you.

1:04:28Okay. Let's see.

1:04:29We have here a young woman.

1:04:30Well, we saw you banging earlier this morning.

1:04:32Were you here yesterday?

1:04:33No, I couldn't come.

1:04:34That's why I came now What do you think of yesterday?

1:04:37Seeing all those people? Of course.

1:04:39I mean, that's what people have to do.

1:04:41That's honestly the perfect reaction.

1:04:43Now, the question is, what will the government do?

1:04:45What will those in power do?

1:04:47Well, you've heard what people are saying.

1:04:49The police crackdown didn't take long to begin because just after 9:30

1:04:53in the morning, the first arrests started to occur everywhere.

1:04:57Here's the police commissioner speaking.

1:04:59Victor Hugo. What's going to happen, Commissioner?

1:05:02Well, we're trying to move

1:05:03people behind the police barricades, but they won't move.

1:05:07The people want a real change.

1:05:09Sound perfect to me. People refuse to leave, commissioner.

1:05:11What's going to happen, Commissioner?

1:05:12Why are you trying to push them further back for security reasons?

1:05:15Well, as you can see, right behind us is the government house.

1:05:18Given the lack of restraint, there are now problems in Plaza de Mayo.

1:05:21Unfortunately, someone is being dragged, Victor Hugo.

1:05:26They are taking a person detaining him because he was refusing to leave.

1:05:31As police were ordering because they're, loading him onto a truck.

1:05:35He's already been taken away.

1:05:37They're, detaining someone else.

1:05:41Another person who?

1:05:44There's a woman here.

1:05:45They're dragging her away by the hair. This is terrible.

1:05:47There's a,

1:05:50total police brutality.

1:05:51Look here.

1:05:52Look at how God.

1:05:54Look at how they're taking her away.

1:05:56There's pushing and shoving.

1:05:59This situation has now completely spiraled out of control.

1:06:02Dragging this woman by the hair.

1:06:03Guillermo.

1:06:04Commissioner, why are these arrests happening?

1:06:06For failing to comply with police orders to move back.

1:06:09We exhausted every option.

1:06:11But, Commissioner, why are the police on the other side of the barricade?

1:06:14People were told to stay behind it.

1:06:16Why are officers crossing over? But excuse me.

1:06:18They are not complying with the order. They did not comply with the order.

1:06:21Even after more than 2.5 hours of warnings.

1:06:23Excuse me. We'll continue this.

1:06:25They're taking another detainee.

1:06:27One had already been loaded into the truck.

1:06:29Yes. Several already.

1:06:31Many detainees so far. Victor. Yeah. Guido.

1:06:34Unfortunately,

1:06:35we have to report that they are taking 2 or 3 more people into custody.

1:06:40There were three just a moment ago, and now two more are being taken away.

1:06:44Oh, what's happening, Guido? They're taking women and kids.

1:06:46Why are they detaining you? What's your name? Carlos Parra.

1:06:49Where are they taking you?

1:06:50I don't know. What did you do?

1:06:52I am I'm just telling them that,

1:06:53that they claim to be professionals, but they're nothing more than street thugs.

1:06:57They put them down and they're just low paid thugs working for scrap.

1:06:59Did they hit you?

1:07:01No, not yet. No, but it looks like this guy's itching to

1:07:04listen.

1:07:05I'm just talking.

1:07:06Yeah, I'm just expressing my ideas.

1:07:08What I think Throughout the following hours.

1:07:10Every time the police managed to clear protesters from the square,

1:07:13it filled back up again.

1:07:15Within minutes.

1:07:18Che idiots, che idiots, they can shove the state of siege up their ass!

1:07:55The people united will never be defeated!

1:08:07The people won’t leave!

1:08:17The crowd was chanting

1:08:18right in the cop's faces.

1:08:21For a slice of pizza, you’d betray your own mama!

1:08:37And with time, more people kept gathering.

1:08:41Come out, come out, come out! Come out to the balcony, Chupete!

1:08:46The people want to greet you. You motherfucker!

1:08:51Come out, come out, come out! Come out to the balcony, Chupete!

1:09:00The people want to greet you. You motherfucker!

1:09:05The mothers of Plaza de Mayo also arrived at the scene,

1:09:08and within minutes they too were caught in the crackdown.

1:09:12All of that violence was beginning to escalate in a brutal way.

1:09:17While the,

1:09:18the police is moving across Plaza de Mayo, the, the officers are violently

1:09:23pushing people who were lying on the ground behind the barricades.

1:09:27And, the mothers of Plaza de Mayo are, are resisting the mounted police charge.

1:09:33This is truly an incomprehensible

1:09:34situation unfolding right now in Plaza de Mayo.

1:09:39They're hitting the horse.

1:09:40And he just struck that man with a baton.

1:09:42One of the horses is down.

1:09:44He's down.

1:09:46They've lost control now.

1:09:47Shots are being fired.

1:09:49This is truly unbelievable.

1:09:52Let him go now.

1:09:53No, sir. We're demanding what's ours.

1:09:56Yes, sir. That was a baton strike.

1:09:58Meanwhile, they're, moving some elderly women into, into a vehicle.

1:10:03Did they hit you, ma'am?

1:10:05Yes they did.

1:10:06They beat me like cowards.

1:10:07My friend is 90 years old.

1:10:09They're hitting him.

1:10:11They're hitting this man because he won't move.

1:10:15Stop, man.

1:10:16Stop!

1:10:16Brother.

1:10:20Why, man?

1:10:20Why are they beating him like water.

1:10:22Cannon trucks began moving forward in coordination.

1:10:25Tear gas began spreading through the air and chaos

1:10:28finally started.

1:10:34Now you motherfucker! Now!

1:10:36Where do you think you're going? Where were you before?

1:10:38You motherfucker?

1:10:39You slow piece of shit, you pig! You motherfucker!

1:10:42Now try running.

1:10:49Federal police

1:10:50are grabbing people by the hair.

1:10:53They hit an elderly person with batons.

1:10:55Why are they detaining you?

1:10:56Because I'm defending someone they beat for no reason.

1:11:01Form up.

1:11:02Cavalry. Form up.

1:11:06Look, horses are coming from everywhere.

1:11:11Signs of broader popular involvement.

1:11:13Workers, employees.

1:11:15These are not the same protesters who were in Plaza de Mayo earlier.

1:11:19People who from their offices and balconies are now

1:11:22shouting insults at the police.

1:11:27This is madness.

1:11:28They are firing rubber bullets at the protesters.

1:11:30Pablo, Pablo.

1:11:37The Argentine people,

1:11:40the poor people.

1:11:54The police also responded with violence.

1:11:58Just ran over a photojournalist.

1:12:01Detainees were dragged away by the hair and people were trampled by horses.

1:12:06All of this was broadcast live to the entire country.

1:12:09The level of violence was absolutely shocking and unprecedented.

1:12:13What's wrong with them?

1:12:14I just arrived, sir, I just arrived.

1:12:16We were sitting down and they charged at us with horses.

1:12:18They didn't even give us time to stand up. What happened to you?

1:12:21What was the consequence? Tore off one of my fingers.

1:12:24I'm missing one. You have an amputated fingers, ma'am.

1:12:26I have an amputated finger.

1:12:28When did it happen? Just now.

1:12:30Just now. During the last charge? Yeah. Just now? Yeah.

1:12:43Water cannons were effectively managing

1:12:45to force people to back off.

1:13:01Son of a bitch.

1:13:03Son of a bitch.

1:13:07Son of a bitch.

1:13:14But as soon as security

1:13:16forces pulled back, people surged forward again.

1:13:19These are constant attacks.

1:13:22Rubber bullets, tear gas, people running everywhere.

1:13:25But the people insist they resist.

1:13:28And once again, they move back in toward Plaza de Mayo.

1:13:34And once again, history repeats itself.

1:13:39The people are entering Plaza

1:13:40de Mayo all over again.

1:13:44Son of a bitch!

1:13:45Son of a bitch! Look at my back. Man.

1:13:46Which once again receives them amid an atmosphere of intense tension.

1:13:50Come on, people, don’t give

1:13:54up, don’t give up.

1:13:57From the barricades.

1:14:04And once again,

1:14:05they appear determined to push their way back in.

1:14:09Look, I think it's deeply regrettable that our government, the

1:14:13the one the people once elected, is putting on this spectacle for the world.

1:14:19It's a disgrace.

1:14:20They're selling an image of us that isn't real,

1:14:24selling something that doesn't exist in our country.

1:14:27The people want to work.

1:14:29The people want to stand their ground and defend themselves.

1:14:32We don't believe there's any way out other than Ezeiza.

1:14:36The tear gas once again, once again.

1:14:39Shots fired. Hey! Watch out!

1:14:42And meanwhile, senators were asking the president

1:14:45to make a grand gesture.

1:14:48Unfortunately, the chosen economic course has completely overwhelmed

1:14:52the social situation now prevailing in Argentina.

1:14:56So we asked the president of the nation for a gesture of statesmanship

1:15:01to overcome these regrettable events unfolding

1:15:03and that have already taken place across the country.

1:15:07Does that gesture of statesmanship also mean resignation, Senator?

1:15:09The president must decide how to interpret that gesture.

1:15:12Is this your request or is it coming from the political blocs, Senator?

1:15:15It is being requested jointly by the blocs in the document I have just delivered

1:15:18Thank you very much.

1:15:19Shortly after midday, Judge María Romilda Servini de Cubría

1:15:23arrived at the plaza and in front of all the television

1:15:25cameras, ordered the repression to finally stop.

1:15:28Remove the mounted police, deploy security over there and let people come here

1:15:32if they want to sing and shout whatever they want.

1:15:36And from this moment on, the flow of people heading towards Plaza

1:15:39de Mayo would become absolutely overwhelming.

1:15:45You all have to go! You motherfuckers!

1:16:12The people won’t leave!

1:16:20Over the following

1:16:21hours, the events seemed to be cyclical.

1:16:24People would take over the square, police would repress them until forcing them

1:16:28to back off, and just minutes later, the crowd would regroup and return.

1:16:32Around two in the afternoon, a funeral wreath appeared,

1:16:35meant to symbolically mourn Cavallo and the political class.

1:16:39It was roughly from the moment the wreath was thrown behind

1:16:43the police barricade that everything seemed to spiral out.

1:16:58Sons of bitches!

1:17:18People kept on gathering and the repression did not stop.

1:17:22Well, people have adopted,

1:17:26peaceful attitude.

1:17:28They're throwing gas. Oh, well, it started.

1:17:30They began spraying water

1:17:33to disperse the protesters. Pablo!

1:17:34Move back!

1:17:35Pablo, move back, please! Pablo!

1:17:38Well, the repression has resumed at 1:55

1:17:41in the afternoon.

1:18:04The protesters actions

1:18:06have become unstoppable as they return

1:18:10to attempt once again

1:18:11to occupy Plaza de Mayo.

1:18:16Police tried to restore order,

1:18:18but appear virtually outmatched by the scale of the protest.

1:18:24They beat the hell out of us.

1:18:26The people ended up beating their own.

1:18:28The police are people too.

1:18:30They have families.

1:18:32This is what they threw near you.

1:18:34Near me, I was working, I was on diagonal naughty, minding my business and suddenly

1:18:38gas started raining down.

1:18:39One landed right next to my leg, right there. And in your case?

1:18:42They hit me. Look, they hit my arm.

1:18:45They hit women, they hit kids. They do whatever they want.

1:18:47How long have you been here?

1:18:48Since around noon, I believe.

1:18:50Since noon. Yeah.

1:18:51How do you feel about this situation?

1:18:53I came to sing.

1:18:54I came to demand that they leave and they just keep repressing us.

1:18:58We're not repressing them. They're the ones that are repressing us.

1:19:01It's about helping the people because this can't go on anymore.

1:19:03That's all they shouldn't let politicians keep speaking

1:19:05because they're inflaming people from their homes.

1:19:07People are going to come here and it's going to turn into complete chaos.

1:19:10They shouldn't let them speak anymore, because the ones talking

1:19:12are the ones who stole everything all these years. Don't be idiots.

1:19:15Come on. Sir, a word please.

1:19:17You were trying to take part in the protests and.

1:19:19Yeah, I was working, and I just came here.

1:19:21And what I just saw next to the pyramid was outrageous.

1:19:23The repression.

1:19:25People were sitting there peacefully, and the horses were surrounding them

1:19:28using force with rubber bullets, with tear gas.

1:19:31It's devastating that this is happening in Argentina in our democracy.

1:19:34Just look around.

1:19:35It feels like we've learned nothing,

1:19:36or at least the others haven't learned anything.

1:19:37People are trying to maintain the protest peacefully.

1:19:40You see, people have absolutely nothing at all.

1:19:42Working people like me are protesting because we want this to end once

1:19:45and for all. And still the police are using force.

1:19:48In fact, there were people sitting in the square and police officers

1:19:51fired tear gas directly at them, forcing them to move.

1:19:54There was only one order to completely clear out the square.

1:19:59Yes, Omar, as we continue listening to Omar's account,

1:20:02we are receiving truly significant information.

1:20:05And, mounted police were literally riding over a group of protesters

1:20:10who were sitting on the ground in the middle of where we are in Plaza de Mayo.

1:20:15And as we can see, they are victims.

1:20:17They are victims of tear gas, Milva.

1:20:20Meanwhile, as all of this

1:20:21was unfolding in the capital, looting was breaking out in Tucumán, in Neuquén

1:20:25and in several areas of Greater Buenos Aires, among other locations.

1:20:30It's 5:55 in the afternoon and, we're here at the entrance of a Walmart.

1:20:34The scene here is devastating.

1:20:36People are bringing boxes, picking up discarded boxes from the trash,

1:20:41and we don't know if the products they're taking out of those boxes are expired.

1:20:45And there you can, see, you can see them fighting among themselves

1:20:50just to get some kind of food.

1:20:51By then there were already 16 deaths across the country.

1:20:55People had no intention of leaving, and the city center

1:20:59was engulfed in a massive cloud of tear gas.

1:21:05Shove the state of siege up your ass!

1:21:09Come on.

1:21:11It's happening again.

1:21:12People are running. It's relentless.

1:21:14It just doesn't stop.

1:21:16Things calm down for brief moments, but the situation tightens again

1:21:19almost immediately.

1:21:21This is because the protesters are not leaving.

1:21:24They simply regroup along the side streets.

1:21:27And as soon as, you know,

1:21:30they have the opportunity, they go back

1:21:33and retake their positions in Plaza de Mayo.

1:21:36The people set up makeshift barricades, this in an attempt to block

1:21:40the advance of the water cannon trucks and the mounted police units.

1:21:44And they've set it up as a containment barrier.

1:21:46And they throw whatever they can at the mounted police,

1:21:50who continues to hold their ground.

1:21:55Bottles are flying and, they're throwing anything at the police.

1:21:58Oh, and they go to the crowd once again.

1:22:04Rubber bullets are being fired.

1:22:06Easy, easy.

1:22:07People aren't.

1:22:07Wait up!

1:22:15A horse

1:22:16just ran straight into a photographer who was covering the scene.

1:22:21And, you can hear the sirens.

1:22:23The SAME ambulances are moving in at the same time.

1:22:28The situation keeps repeating itself.

1:22:32Protesters move forward a few meters slowly, little by little.

1:22:35Police seem to hold back and then suddenly

1:22:39backed away by water cannons.

1:22:41The police charge again.

1:22:43People start running, but then later on,

1:22:46everything builds up again.

1:22:49And when they were pushed into nearby streets, they kept protesting there

1:22:53instead.

1:23:08People on bicycles, people

1:23:10in suits, ordinary people.

1:23:14Everyone is, now they’re

1:23:17Pushing back, going straight at the mounted police.

1:23:20You can see it.

1:23:22The crowd is rolling in like a like a wave.

1:23:26Then they would actually push

1:23:28police back as large human columns move towards the obelisk.

1:23:32And at around four in the afternoon, de la Rúa gave an improvised press conference

1:23:36addressing the situation.

1:23:38Over the course of 15 minutes, he proposed a coalition government.

1:23:42I take responsibility for the situation, I am called upon to govern.

1:23:47But we must also listen to the demands of the people.

1:23:51That is why I am here right now

1:23:54to reach this agreement

1:23:57with courage and patriotism.

1:23:59I am not asking for support for myself,

1:24:03but for support for our institutions and for the best solutions

1:24:08for the people and for the future of our children.

1:24:12I am not here

1:24:14because I am clinging to a position,

1:24:17but because it is my duty.

1:24:20And I am here because as president of the nation,

1:24:24I am the one who can call for that unity.

1:24:28And toward that end,

1:24:30in this moment, I invite the Justicialist Party,

1:24:34which won the October 14th elections and holds a majority

1:24:38in both chambers, to take part in a national unity government.

1:24:43Needless to say, the proposal was rejected almost immediately

1:24:46by the Justicialist Party.

1:24:48Under no circumstances will the Justicialist Party lend

1:24:51its members, people or its name to any form of government in.

1:24:55The Argentine Republic, and calls for his resignation kept growing.

1:24:59I'll clarify what seems to be happening.

1:25:01I think de la Rúa has just resigned.

1:25:03Well, let's connect the dots. He did.

1:25:05And at the very same moment, the president was giving that

1:25:08press conference, the crackdown was showing its bloodiest side.

1:25:12Gaston Riva, 30 years old, a delivery worker.

1:25:15Diego Lamgna 27, a professional BMX athlete.

1:25:19And finally Carlos Almiron 23, who installed roofing membranes

1:25:23with his dad and took whatever temporary work

1:25:25he could find, was struck by shotgun rounds from a 12 gauge.

1:25:28The police were no longer firing only rubber bullets.

1:25:49Meanwhile, the crowd kept trying to take back the square.

1:25:53Police cracked down, people fell back, and then it all started again.

1:25:58Get down!

1:26:21Come on, come on, let's go.

1:26:24The, people keep on screaming, and they,

1:26:31they want to push forward again.

1:26:33There's many young people here, many women.

1:26:36And the police just keeps firing.

1:26:41Young protesters

1:26:42decided to go on and everyone started to run.

1:26:46There are around maybe 2000 people gathered here.

1:26:50At around 4:30 in the afternoon, a group of police officers

1:26:54found themselves cornered by protesters and ran inside a bank to take shelter

1:26:58when they felt overpowered, they decided to open fire.

1:27:01In total, 59 shots were fired from inside the bank,

1:27:06shattering windows and striking people outside.

1:27:09Many of them were wounded,

1:27:11and one of those bullets struck Gustavo Benedetto in the head.

1:27:15He was only 23 years old and worked as a stock clerk at the same supermarket

1:27:19that had been looted earlier that same day, leaving him without a job.

1:27:23It was the first time he had ever attended a protest.

1:27:26Those were gunshots, gunfire from real weapons.

1:27:30A weapon used by the federal police.

1:27:32Look, they ran out of,

1:27:33yeah, they ran out of rubber rounds and started firing live ammunition.

1:27:37Yeah, yeah, I'm here with you.

1:27:38Police keep moving forward and people fall back.

1:27:41We're, now positioned exactly at the intersection of, Chacabuco and

1:27:45Avenida de Mayo.

1:27:54Stop the crack down, you sons of bitches!

1:27:56Stop the crackdown! Motherfuckers.

1:27:58Hours went by and the situation showed no signs of calming down.

1:28:03The anger kept growing, and violence was only fueling

1:28:06more violence.

1:28:29Hey, look. Hey!

1:28:31Watch out, watch out!

1:28:35Oh, look, that kid is with me.

1:28:37That kid is with me.

1:28:38No, they'll kill him.

1:28:42Come on, let's go, let's go.

1:28:45You're recording?

1:28:46Yeah.

1:28:50People kept

1:28:51pouring into the square and police kept reloading their weapons.

1:28:55It no longer mattered if they were rubber bullets or real ones.

1:28:58The order was clear.

1:28:59The square had to remain empty.

1:29:02As the situation spiraled out of control and the first confirmed deaths

1:29:05began to emerge.

1:29:06Several ministers

1:29:07submitted their resignations and the city became a true battlefield.

1:29:23Fuck!

1:29:26Motherfuckers!

1:30:12Nah man, the obelisk.

1:30:18At the same time, while Plaza de Mayo remained in chaos,

1:30:21nearby downtown businesses were being ransacked and destroyed.

1:30:25Now moving through Mercado Norte.

1:30:27Can you see these people?

1:30:28Did you catch that?

1:30:37Today, police had more than enough resources

1:30:39to crack down on citizens who were peacefully protesting

1:30:43in Plaza de Mayo without causing the slightest damage.

1:30:46They were protesting, chanting, complaining.

1:30:49But here, where criminals are destroying absolutely everything,

1:30:52there isn't a single officer in sight.

1:30:54By mid-afternoon, with the number of deaths and injuries

1:30:57continuing to rise, de la Rúa realized his government

1:30:59no longer had the political backing needed to stay in power.

1:31:02Look, Cesar, at this moment, the country's leading business

1:31:05figures have already been notified through key leaders within the ruling coalition.

1:31:10The members of what can now be called de la Rúa’s former government,

1:31:13as well as leaders within Peronism, are confirming the de la Rúa is leaving.

1:31:16That's, what economic and financial circles are saying.

1:31:21Clearly, de la Rúa is accelerating his departure.

1:31:25What everyone expected has happened.

1:31:27Either Cavallo would go or de la Rúa would go.

1:31:29No one imagined that it would happen in less than 24 hours.

1:31:32And clearly, de la Rúa is stepping down without really reassessing the situation.

1:31:38And he's still clinging to the supposed success of the 1

1:31:41to 1 parity, even though convertibility is already over.

1:31:44Even if, he leaves without formally changing the,

1:31:48the exchange rate at all, right?

1:31:50The Radical Civic Union was fractured, the coalition collapsed,

1:31:54and Peronism had absolutely no intention of joining a unity government.

1:31:58With no political partners and no room left to maneuver,

1:32:01the president submitted his resignation at around seven in the evening.

1:32:06Yes, Monica. It's official.

1:32:08It was confirmed by Nicolas Gallo.

1:32:10Until now, the secretary general of the presidency, Fernando de

1:32:13la Rúa, has resigned from the presidency of the nation.

1:32:16He did so through a handwritten letter that read the following.

1:32:20Buenos Aires, December 20th, 2001

1:32:23to the acting President of the Honorable Senate Engineer, Mr.

1:32:26Ramon Puerta,

1:32:27I am writing this letter to submit my resignation as president of the nation.

1:32:31My message today intended to guarantee, govern ability

1:32:34and build a unity government was rejected by parliamentary leaders.

1:32:38I trust that my decision will contribute to social peace

1:32:41and the institutional continuity of the Republic.

1:32:44For that

1:32:45reason, I respectfully request that the Honorable Congress

1:32:48accept it with my highest consideration and respect.

1:32:52I pray to God for the prosperity of my homeland,

1:32:56signed, Fernando de la Rúa..

1:32:59This resignation letter was handwritten by de la Rúa

1:33:02just minutes ago inside the presidential office.

1:33:06Slowly, news of the president's resignation began

1:33:09spreading by word of mouth.

1:33:13De la Rúa resigned.

1:33:14De la Rúa. Resigned.

1:33:18De la Rúa resigned.

1:33:22Large groups

1:33:22of motorcycle couriers who had previously been on the front lines clearing the way

1:33:26for protesters, began sharing the news with the crowds gathered at the obelisk.

1:33:31However, tensions continued, and of course, so did the crackdown.

1:33:36And at around 7:10 in the evening, Alberto Marquez of 57 years

1:33:41old, was simply standing there with his wife Marta, within seconds.

1:33:45Three cars, one of them with a siren mounted on the roof, pulled up

1:33:48abruptly in a wide fan formation blocking off the street.

1:33:51Plainclothes officers stepped out of them,

1:33:54and without any sort of warning, they opened fire.

1:33:58Moments later, they sped away.

1:34:00Look, look! It's those motherfuckers!

1:34:03Get up, damn it!

1:34:06Come on, get up.

1:34:08This is insane, man and his wife.

1:34:10Leave him there.

1:34:11Get him in the car. Stop! Stop!

1:34:14Wait!

1:34:15Hold on.

1:34:21Alberto

1:34:21was struck by those shots and suffered two gunshot wounds

1:34:25to the back, becoming the final fatal victim of that day.

1:34:28Martin Galli, who was nearby the area, was shot in the head but survived.

1:34:33Doctors later said there was a high possibility that his thick dreadlocks

1:34:37might have slightly cushioned the bullet and saved him.

1:34:42Get him some air.

1:34:43Come on. Move!

1:34:44Watch out, watch out! Paco! Come on! Move!

1:34:47Meanwhile, inside Casa Rosada with the square still packed outside,

1:34:51presidential photographer Victor Bugge was tasked with documenting

1:34:55de la Rúa’s final moments as president of the nation.

1:34:58Shortly afterward, a helicopter approached the rooftop

1:35:02and the now former president departed for Olivos.

1:35:06At 7:53 p.m.

1:35:08and two years, ten days after taking office, President

1:35:12Fernando de la Rúa, having resigned, is leaving by helicopter.

1:35:17Meanwhile, the news kept spreading and people were celebrating.

1:35:59By the end of the day.

1:36:0039 people had been killed across the country as a result of state

1:36:04repression.

1:36:13On December 21st, and in accordance with the Constitution,

1:36:16Ramon Puerta was sworn in as provisional president

1:36:19because he was next in the line of succession.

1:36:21Then he called for a legislative assembly.

1:36:24Remember what I said last Friday?

1:36:25What did I say?

1:36:27Pay attention, ladies and gentlemen.

1:36:28Right here.

1:36:29Right where I'm standing. Pay attention.

1:36:31There was going to be a social explosion.

1:36:33People are starving.

1:36:34People are hurt and miserable.

1:36:37People are desperate.

1:36:38And it happened. It finally happened.

1:36:40The president of the Republic has resigned.

1:36:42We'll, we'll have a new president starting today.

1:36:45Because the country is headless right now, as of this right moment,

1:36:48it has no president.

1:36:50At last, Adolfo Rodriguez Saá was voted as the new president.

1:36:54He introduced the Argentino to circulate alongside the peso and the dollar.

1:36:58No one dared to officially declare the end of convertibility.

1:37:02He also promised to create 1 million jobs and announced the suspension of payments

1:37:06on the foreign debt.

1:37:07And for the first time in its history, Argentina officially declared

1:37:10that it could no longer meet its financial obligations.

1:37:13Needless to say, protests, looting, cacerolazos and public unrest continued.

1:37:19Thiefs!

1:37:28For over 25 years of work.

1:37:30I saved up dollar after dollar after dollar this whole time

1:37:34so that when I retired, I could have a dignified old age.

1:37:38This government isn't giving me that.

1:37:40Why don't banks treat us the way they treat their, their savers abroad?

1:37:45And I put my savings in private banks

1:37:48because I didn't trust our banks because they already got me.

1:37:50Yeah, back in 89.

1:37:52But apparently I'm an idiot.

1:37:55So what do they need, a bomb?

1:37:56I'm not someone who plants bombs, but at least I can vent with this pot.

1:38:01This pot made mashed potatoes for my kids.

1:38:03So every time I look at it, I'll remember that

1:38:05if they steal from me, it's because they're crooks.

1:38:08But I fought for my rights.

1:38:11I was the

1:38:11dean of the newspaper vendors in Avellaneda.

1:38:14I spent 65 years selling papers.

1:38:16And all my savings are in Citibank.

1:38:19Why won't they give it back to me?

1:38:21The manager told me they were going do a lie.

1:38:23A lie and another lie.

1:38:25All the savings from a lifetime of sacrifice.

1:38:27They're sitting there.

1:38:30It's very easy and very fast to destroy absolutely everything.

1:38:34But rebuilding takes a long time.

1:38:36On December 27th, Cavallo finally apologized to the public.

1:38:40One week later, Cavallo spoke and apologized

1:38:43for preventing people from withdrawing their money from the banks.

1:38:47He praised Rodriguez Saá, calling him brave.

1:38:50He said convertibility is not dead and that he does not consider himself

1:38:54I hated man.

1:38:55That same day, Menem visited Rodriguez Saá Morning..

1:38:59Good morning.

1:39:00Hello. Thank you for coming here, Carlos. No, no.

1:39:02Thanks to you for being here.

1:39:04In the days that followed, Peronist governors who had initially backed

1:39:07Rodriguez's Saá appointment began gradually

1:39:09withdrawing their political support from him after calling the governors

1:39:12to a summit in Chapadmalal which actually many of them did not attend.

1:39:16The new president finally resigned to his position on December 30th.

1:39:20The presidential sash then returned to Ramon Puerta,

1:39:23who also resigned and handed it over on December 31st

1:39:27to Eduardo Camaño the speaker of the lower house.

1:39:30He lasted only a few hours, and finally, on January 1st, 2002,

1:39:35the Assembly voted Eduardo Duhalde in as the new president of the nation.

1:39:38He took office with a clear diagnosis.

1:39:41Convertibility could not survive.

1:39:43On the other hand, he confirmed that the default would stand

1:39:46in his first days in office.

1:39:48He sent Congress an emergency public law and a reform of the exchange rate regime,

1:39:51dismantling the pillars of convertibility and allowing for devaluation.

1:39:55He also imposed forced pacification, under which dollar deposits and debts

1:40:00were converted into pesos

1:40:01at different rates, contradicting one of his campaign promises.

1:40:05I'm here to tell you that the currency in which you initially

1:40:09made your deposits will, of course, be respected.

1:40:14If you deposited dollars, you will receive dollars.

1:40:17If you deposited pesos, you will receive pesos.

1:40:20Needless to say, no one received dollars and within weeks

1:40:24the dollar rose above 2 pesos and then it rose above three.

1:40:27The devaluation triggered immediate inflation, followed by increases

1:40:31in food and basic goods, hitting the most vulnerable sectors of society,

1:40:34especially hard.

1:40:35Poverty and unemployment, already high before the collapse,

1:40:38climbed even further during the first months of 2002.

1:40:42Meanwhile, the lack of cash forced continued reliance on quasi currencies

1:40:46circulating alongside the peso accepted by provinces and businesses as payment.

1:40:52During those months, Argentina functioned under a fragmented monetary system

1:40:56in which nearly every province had its own currency.

1:41:00The Lecop and the Patacón, the Lecor in Córdoba, the Federal in Entre

1:41:03Ríos, the Secacor in Corrientes, the Bocan in Tucumán, the Chacho in La

1:41:08Rioja, the Petróm in Mendoza, the CEMIS in Misiones, the Bocan-Fore in Formosa,

1:41:13the Quebracho in Chaco, and the Petrobonos in the south, among others.

1:41:17Currencies that had been circulating mid 2001 as an alternative to convertibility.

1:41:22In response to the social deterioration, the government implemented

1:41:26emergency assistance programs, including the Heads of Household

1:41:29Plan, aimed at supporting millions of people without formal income.

1:41:33At that moment, the priority was not to stabilize

1:41:36the economy in traditional terms, but to prevent another social explosion.

1:41:39Inflation in 2002 surpassed 40%,

1:41:42and poverty soared to affect more than half of the population.

1:41:46Community soup kitchens were overwhelmed.

1:41:48Barter networks expanded through

1:41:50neighborhood clubs, and workers began reclaiming their factories.

1:41:54Meanwhile, Piquetero movements continued, blocking highways, bridges

1:41:58and major access roads, and soaring unemployment

1:42:01turned them into central actors in the public sphere.

1:42:05In this context with other events already covered on this channel

1:42:08such as the Floresta massacre and the Puente Pueyrredón massacre.

1:42:11The political impact of the latter was immediate, and just weeks

1:42:15later Duhalde announced he would not run in the 2003 elections.

1:42:20Those elections presented a highly fragmented landscape.

1:42:23Peronist leaders

1:42:24ran against one another and the process ended with an unexpected outcome.

1:42:28The first round left Carlos Menem as the most voted candidate,

1:42:32but without securing a clear majority, forcing him into a runoff against Nestor

1:42:35Kirchner, who at the time was serving as governor of Santa Cruz.

1:42:38Facing what appeared to be a near-certain and overwhelming defeat, Menem

1:42:42withdrew and Kirchner's ticket assumed the presidency directly on May 25th, 2003.

1:42:48This marked the start of a new political cycle.

1:42:51His administration distanced itself from the 1990s model, consolidated

1:42:55a high exchange rate, promoted policies aimed at restoring employment,

1:42:59and formalized a break with

1:43:00the international financial institutions that had shaped the previous decade.

1:43:04He also redefined the relationship with the armed forces

1:43:07and placed human rights policy at the center of his agenda.

1:43:10And although the country was still carrying the weight of

1:43:12the crisis, the economy had already begun to show signs of recovery.

1:43:17The oral trial over the repression in Plaza de

1:43:19Mayo began in 2014, and reached a verdict in 2016.

1:43:23Around a thousand witnesses testified, and as a result,

1:43:26the following were convicted: Enrique Mathov, Rubén Santos, Raúl

1:43:30Andreozzi, Norberto Gaudiero, Víctor Belloni, Omar Bellante,

1:43:34Carlos López, Roberto Juárez, and Ariel Firpo Castro.

1:43:39There were deeply powerful testimonies during the trial, including Daniels,

1:43:42a young man who tried to help Gaston Riva when he was killed.

1:43:46Then a group of police officers appears wearing white shirts.

1:43:50I see them pointing at us.

1:43:53He makes this, lowers the gun, fires again, then raises again and shoots.

1:43:57When I fall, we both fall because Gaston fell on top of me.

1:44:02He started telling me he was dying.

1:44:04I thought he was going to die of a heart attack because

1:44:07the vein in his neck.

1:44:09You could clearly see it.

1:44:10And, you could see the pulse in his neck.

1:44:14I kept telling him to calm down. Calm down.

1:44:16You're going to die. But from a heart attack.

1:44:19And at that moment, he, He grabs my hand and just looks at me.

1:44:24He says, I'm dying. I'm dying.

1:44:27And I think that's when he passed away.

1:44:29Or the testimony of former president de la Rúa.

1:44:32Everything related to this trial and the long path toward uncovering

1:44:35the truth is explored in depth in the documentary MAELSTRÖM 2001.

1:44:39That is, without a doubt, one of the best documentaries

1:44:42I've seen on the events of that day,

1:44:43and a major source for the making of this video.

1:44:45It documents the remarkable work of Rodolfo Pregliasco,

1:44:49the physicist who determined the timing and location of the deaths using camera

1:44:53footage, clocks and even the shadows objects cast on the ground.

1:44:57He was able to reconstruct the circumstances of each death, identify

1:45:01which police officers were nearby, and determine who may have fired.

1:45:05The 2001 crisis did not only bring down a government and an economic model,

1:45:10it reshaped everyday habits, the way politics is understood

1:45:13and even the relationship Argentines have with their own money.

1:45:16Since then, any discussion about economics or politics

1:45:19in Argentina has remained shaped and conditioned by those days.

1:45:22And truth is, the collapse can't be explained by a single cause.

1:45:25It was the result of an exhausted model delayed decisions, external pressures,

1:45:30social unrest, internal disputes and a political system

1:45:34that either failed to find answers in time or chose not to.

1:45:37Its effects are still present more than 20 years later.

1:45:40In the way we save money,

1:45:42in the trust or distrust we feel towards the state and the banks

1:45:46and in the constant debate over how to avoid repeating the same sequence.

1:45:50And that is why it matters to understand why it all happened.

1:45:53To remember the names of the victims and those responsible.

1:45:56Because perhaps one of the ways to prevent something

1:45:59like this from happening again is simply for us

1:46:02and for future generations, to truly know our own history.