Honduras probe: funds diverted to president's 2013 campaign

Prosecutors in Honduras are accusing politicians and officials of diverting $11.7 million in government funds to political parties, including the 2013 campaign of President Juan Orlando Hernandez.

Federal prosecutors and a U.N.-backed mission on corruption asked the country's Supreme Court on Wednesday to issue arrest warrants for 38 politicians and officials.

The accused allegedly took money from the agriculture department and channeled it through foundations or non-governmental groups to Hernandez's National Party, the opposition Liberal Party and a smaller third party. Part of the funds were allegedly used to finance so-called "Cachureca" cards — discount cards that were handed out as part of Hernandez's campaign.

Despite term limits, Hernandez ran for re-election last year and was declared the winner in a vote that the opposition claims was marred by fraud.