News
Thursday 23rd January 2025.
January 22, 2025
Panama Ports Company (PPC) , which is currently facing a forensic audit and a contentious administrative lawsuit, has denied the assertions of Comptroller Anel Bolo Flores and assures that it has paid $59 million to the State since it renewed its concession in 2022.
Flores announced at a press conference that PPC “has not paid a cent” to the Panamanian State for the concession of the ports of Balboa and Cristóbal for three years. The comptroller acknowledged that the company made “an advance payment of $35 million” during the government of Laurentino Cortizo (2019-2024), but said he did not know what that money was used for.
But this Wednesday, PPC “clarified” that, in addition to the payment of $35 million as an “advance in dividends,” it has given another $38 million to the State in the form of a fee for the movement of containers.
In this way, the port company is replying to the comptroller’s assertions, just two days after he informed them about the start of a forensic audit of its concession, protected by Contract Law 5 of January 16, 1997.
The company is in a difficult situation, as it is not only under the watchful eye of the comptroller, but Judge Carlos Vásquez has in his office a nullity lawsuit filed by lawyer Roberto Ruiz Díaz against the resolution of the Panama Maritime Authority (AMP) which, in 2021, extended the PPC concession for another 25 years.
A criminal complaint against former Comptroller Gerardo Solís (2019-2024) was filed this Wednesday, January 22, by the deputy of the Vamos coalition, Jhonathan Vega , before the Public Ministry (MP) .
The deputy said that the appeal is due to the fact that there are 166 audits that were not carried out during the Solís administration.
“These are audits that were requested and none were carried out. It could have been due to negligence, some kind of cover-up or lack of interest,” Vega said.
According to the deputy, “it is time for the former comptroller to be held accountable to the people.”
This is the second complaint filed against Solís for the same issue.
In August 2024, the former comptroller was reported to the Public Prosecutor’s Office for the alleged commission of the crimes of abuse of authority and failure to fulfill public duties. The complaint was filed by the deputy of the Otro Camino Movement, Ernesto Cedeño .
Cedeño argued that Solís did not collaborate in the fight against crime by not submitting a series of audits to the Public Prosecutor’s Office, which led to the closure of some criminal investigations and the closure of the Public Prosecutor’s Office.
Panamanian President José Raúl Mulino has stated that the “recovery” of the canal proposed by his US counterpart, Donald Trump , is “impossible” without violating international law and has once again rejected any concession on an infrastructure that “was neither a concession nor a gift” from Washington.
“The canal belongs to Panama and will continue to belong to Panama,” Mulino stressed during a discussion at the World Economic Forum in Davos (Switzerland), where he reiterated his “complete” rejection of the statements of the new leader of the United States, an “ally and friend” country with which a new diplomatic front has now been opened.
The Panamanian president has recalled that local sovereignty over the canal is based on a series of historic treaties and has stressed that the United States remains “the main user” of the infrastructure, despite the fact that Trump has gone so far as to say that now it is China who “controls” it de facto.
“Panama is a democratic country that respects the concert of nations and abides by the rules of international law, by a constitutional mandate and also by its own conviction,” Mulino stressed, who believes it is unfeasible that someone could “blindly” ignore the laws to undertake something that “in strict law, is impossible.”
He is at least confident that this “crisis” will also provide “opportunities” to strengthen ties with Washington on other fronts, for example in the migration field. Mulino, who has taken measures to reduce the flow through the Darien Gap since coming to power, has reported a 42 percent drop compared to the same period last year.
According to Mulino, so far in 2025, some 1,300 people have entered from Colombia, when last year at this time the figure was already close to 24,000, “at a rate of 1,100 or 1,200 per day.” The problem, however, remains “immense” and the president of Panama has stressed that these people are looking to continue their journey, not stay in Central America.
“These things are of interest to the United States. I have said on many occasions that the southern border of the United States begins in Panama, not in Mexico,” he added.
China said Wednesday that it has “never interfered” in the management of the Panama Canal and that it has “always respected” the sovereignty of the Central American country over the infrastructure, after US President Donald Trump insisted that the canal is controlled by the Asian country.
Chinese Foreign Ministry spokeswoman Mao Ning said at a press conference today that “Panama’s sovereignty and independence are not negotiable.”
Mao asserted that “the canal is not subject to the direct or indirect control of any major power.”
“China has not participated in the management and operation of the canal, has never interfered in its affairs and has always respected Panama’s sovereignty over the canal,” the spokesperson added, while noting that her country “recognizes the canal as a permanently neutral waterway for international traffic.”
The spokeswoman said that China supports the statements of Panamanian President José Raúl Mulino , who defended that the canal “is and will continue to be Panama’s” and its administration will continue to be under Panamanian control “with respect to its permanent neutrality.”
Amid tensions generated by the threat of the President of the United States (US) , Donald Trump , to regain control of the Panama Canal arguing that the interoceanic route is in the hands of China, the Panamanian government resorted to the United Nations Charter to support its sovereignty and independence and to reaffirm Panama’s position against any attempt that could put at risk the territorial integrity or political stability of the country.
In a letter sent on January 21 by Eloy Alfaro , permanent ambassador of Panama to the United Nations, to António Guterres, secretary general of the organization, the importance of the UN Charter as a guarantee of international relations based on mutual respect and non-intervention was recalled. Alfaro cited the principle that refers to the prohibition of the use of force or threats.
He mentioned Article 2 of the United Nations Charter, which refers to the principles that member countries must abide by.
He highlighted paragraph 4, which states: “ The members of the organization, in their international relations, shall refrain from resorting to the threat or use of force against the territorial integrity or political independence of any State, or in any other manner incompatible with the Purposes of the United Nations .”
In the letter, Alfaro also recalled the words of President José Raúl Mulino , with which he rejects the statements made by Trump last Monday, January 20, during his inauguration speech as the 47th President of the United States.
The Drug Prosecutor’s Office has filed a request to initiate the extradition of Jorge Néstor Sánchez Rodríguez, detained in Colombia, who is considered one of the alleged leaders of a criminal network dismantled in Operation Jericho .
The arrest took place last Friday, after Colombian authorities received an alert for Sánchez’s location, whom the Drug Prosecutor’s Office attributes to being the alleged mastermind of a criminal network that introduced drugs from Colombia, through the jungles of Darién, and the coasts of the Juan Díaz district.
Sánchez is linked to the seizure of 187 kilos of cocaine on February 6, 2024, at a residence located in Brisas del Golf, San Miguelito district.
The prosecution’s investigation also details that Sánchez is considered the person who directly negotiated the transport of drugs from Colombia to Panama.
According to investigations, Sánchez operated from an apartment in the Green Garden building, in the exclusive Santa María neighborhood.
Operation Jericho began on June 30, 2023, when the Public Prosecutor’s Office discovered the existence of a criminal group engaged in international drug trafficking. This group introduced drugs through the Darien jungle, by land, using backpackers; and through the Guna Yala region, through artisanal boats.
The drugs were then transported to Tortí, in the district of Chepo, in the east of the province of Panama. According to authorities, they were later transported to San Miguelito and the town of Juan Díaz in the capital. It was reported that the drugs were hidden in vehicles with false bottoms and finally transported to Costa Rica.
In this operation, 37 people were arrested, including Abraham Rico Pineda , son of Congressman Raúl Pineda . The latter is awaiting the Court’s acceptance of an investigation by the Public Prosecutor’s Office, in which there is allegedly evidence linking them to this criminal network.
Costa Rica’s Minister of Foreign Trade, Manuel Tovar, said that in December 2024 his government presented Panama with a proposal to guarantee a definitive resolution to the trade conflict linked to the dairy industry and agricultural products.
Tovar spoke by telephone with La Prensa on Wednesday, January 22, after Panama said it would appeal the ruling of the World Trade Organization (WTO ), which favored the neighboring country, following a consultation dating back to 2020.
The official stressed that he is seeking to “avoid an appeal to the void” and project a positive image internationally. However, he said that so far they have not received a response from the Panamanian government.
This proposal was presented to Panama, according to Tovar, based on the fact that the WTO appeal mechanism is not operating efficiently, which could indefinitely prolong the resolution of the conflict.
Panama halted the entry of dairy products and some agricultural products, considering that Costa Rica did not comply with certain phytosanitary measures.
At the time, Panama decided to disqualify 26 Costa Rican plants that process meat and dairy products, because the authorities of the neighboring country did not deliver in time the documentation required to continue with the renewal of health permits, as indicated at the time by the Panamanian Food Safety Authority
Regarding the path that could be taken after the WTO ruling, Tovar said that “some countries have resorted to a plurilateral agreement to provide certainty, in case any party decides to resort to litigation, that there will be an end.”
According to Tovar, the restrictions have generated significant losses for both parties. “Costa Rica has stopped exporting products worth between 30 and 35 million dollars annually, but Panamanian consumers have also lost out, as they do not have access to quality Costa Rican products,” he said.
He also stressed the importance of maintaining good relations and avoiding measures that erode trust between the two countries. “There are many things we can do together. If we add the good things Panama does to the good things Costa Rica does, we would be the envy of the region.”
The National Energy Secretariat announced the new fuel prices that will come into effect starting this Friday, January 24, 2025.
The price table shows a two-cent increase for 95-octane gasoline, which will be sold at $0.933 per liter, and 91-octane gasoline will also rise two cents, remaining at $0.888 per liter.
Diesel is reported to be priced at $0.877 per liter, an increase of five cents.
The new fuel prices will be in effect from 6:00 am on Friday, January 24, until 5:59 pm on Friday, February 7.