Guatemala graft case
Former Guatemalan president Otto Pérez Molina and former vice president Roxana Baldetti now face fresh corruption charges. They are seen attending a hearing at court in Guatemala City on 20 April, 2016Getty Images

Former Guatemalan president Otto Pérez Molina and former vice president Roxana Baldetti, who resigned in 2015 over corruption allegations, are now facing fresh charges of corruption and money-laundering.

They are among 70 people accused of embezzlement of millions of dollars of government funds. However, both have denied the allegations.

Prosecutor Julio Barrios Prado alleged during a recent court hearing that the former president and his deputy were involved in an illegal financing scheme, embezzlement and money laundering and that they used the proceeds to purchase goods and services for themselves. The prosecutor also accused the duo of using shell companies to hide their money.

The prosecutor further alleged that both Pérez Molina and Baldetti spent the illegally gained money on real estate and luxury vehicles and purchased $4.3m (£3m) in gifts. Prosecutors pointed out that Baldetti spent more than $27,000 of the cash on shoes and clothing during a shopping trip to Miami. Baldetti also faces a charge of receiving $38m in bribes for government contracts, the BBC reported.

In September 2015, Pérez Molina stepped down as president of the country after being handed an arrest warrant over a corruption scheme dubbed La Linea (The Line). Baldetti, who too was named in the graft case had resigned and was sent to jail before Pérez Molina was jailed. The scam pertained to bribes paid to government officials and customs officers by businesses to evade import duties.

Former judge Alejandro Maldonado, who was serving as vice president since May 2015 following Baldetti's resignation, was sworn in as Pérez Molina's successor. The former president was immediately sent to jail after stepping down.