News
Tuesday 8th April 2025.
April 7, 2025
Panama has lost approximately $ 1.337 billion in revenue from contracts signed between the state and Panama Ports Company (PPC) , following a poor negotiation of the concession contract with the company.
This was revealed by the Comptroller General of the Republic, Anel Bolo Flores, during a press conference, where he also revealed that the State only received $ 483 million , causing a loss to the country of $ 853 million .
Up to this point, Flores had been providing a financial account of what the repeal of the contract clauses entailed, through a ministerial resolution signed by the then Minister of Commerce, Jaime Jácome, in 2002.
But Flores went further, saying the company had committed “non-compliance” and manipulated financial information to avoid delivering to the State what it was entitled to under a contract that was already disadvantageous for the country.
He stated that PPC engaged in transactions with related companies, which resulted in them defaulting on $ 300 million in payments to the State.
“Panama must keep its word, as it is doing today, because there are important findings that reveal amounts owed to us in excess of 300 million for breaches of contract. We are going through a renewal that also failed to comply with all legal procedures and hasn’t been endorsed by the Comptroller’s Office,” Flores lashed out.
The comptroller explained that the first audit of PPC was conducted virtually due to restrictions imposed by the COVID -19 pandemic . In this second review, he added, there has been no cooperation from the company.
Flanked by his directors and speaking from the offices of the Comptroller General’s Office on Balboa Avenue, the comptroller announced that the corresponding complaints will soon be filed to criminally investigate those who allowed the renewal of a contract he described as “unfair.”
Laurence Douglas Larry Fink, the president and CEO of BlackRock , revealed this Monday, April 7, that they could face “nine more months” of regulatory review to close a deal with CK Hutchison and thus gain control of the Balboa and Cristobal ports in Panama.
BlackRock is seeking to acquire the port assets of Hong Kong-based CK Hutchison Holdings Ltd. With this transaction, the company would cede the operating rights to 43 ports worldwide, including two in Panama: Balboa and Cristóbal, managed by Panama Ports Company (PPC) and located in the area adjacent to the Panama Canal.
According to Reuters , Fink asserted that the transaction was based on commercial interests, rather than geopolitical considerations. He claimed to have discussed the deal with “U.S. policymakers.”
Recently, President José Raúl Mulino reported that Panama is awaiting official confirmation regarding the sale of the port concession.
“We are in communication with all three parties: the potential buyers and the seller. Everything indicates that the process will move forward. Once it is finalized, we will be formally notified, since Panama must approve this transaction, as established by law and the contract,” Mulino stated during his weekly press conference.
Last week, the Chinese government strongly criticized the commercial transaction involving the sale of CK Hutchison’s port assets to BlackRock of the United States and its partners Global Infrastructure Partners (GIP) and Terminal Investment Limited (TIL) for $ 22.8 billion .
The Panamanian Foreign Ministry confirmed this Monday the dismissal of Holman Delbert Catline as ambassador to the Russian Federation, just two months after formally assuming the post.
Catline presented his credentials in Moscow on February 10, 2025 , but his tenure was abruptly interrupted after receiving official notification of his resignation. The institution explained to this media outlet that the position is open to appointment and removal, so his dismissal does not require public justification.
Holman Delbert Catline is a career diplomat with experience in the Panamanian foreign service, although his appointment to Russia was one of the most recent appointments of the current government.
His departure comes at a time when diplomatic relations between Panama and Russia have been stable, albeit distant, marked primarily by moderate economic ties and cooperation in multilateral forums. Moscow represents a strategic point for Panama, particularly given its observer status in the Eurasian Economic Commission and the growing presence of Russian interests in Latin America.
So far, the Foreign Ministry has not revealed the specific reasons for Catline’s dismissal, nor has it announced who will assume the interim diplomatic representation in Moscow.
The decision has raised questions in diplomatic circles, as the ambassador had only just begun his duties in a position considered sensitive due to the global geopolitical context. The Foreign Ministry is expected to release further details regarding the next steps for this mission in the coming days.
The Vice Minister of Multilateral Affairs and Cooperation of the Ministry of Foreign Affairs , Carlos Guevara Mann, confirmed that the former Attorney General of the Nation, Javier Caraballo, has been appointed as Panama’s new ambassador to Austria.
The decision marks a turning point in the career of the former head of the Public Prosecutor’s Office , who will assume diplomatic duties in Vienna, where he will also be accredited to several international offices based in that European city.
“I met with the designated ambassador, Javier Caraballo , to review our agenda with the international offices in Vienna, where he will be accredited,” Guevara Mann said in an X account .
The appearance of the vice-rector of the Autonomous University of Chiriquí (Unachi), Pedro González , before the Education Committee of the National Assembly on Monday turned into a heated interrogation about the use of the university budget, alleged administrative irregularities, and ethical questions about institutional management.
González attended the legislative meeting accompanied by Planning Director Iris Fuentes and Dr. Nibia Gutiérrez , representing Rector Etelvina de Bonagas , who, she said, is recovering after ophthalmic surgery. From the outset, the deputies focused their questions on the use of public funds allocated to the university during 2024.
One of the main criticisms came from representative of the Vamos coalition, Jonathan Vega, who questioned the fact that 97% of UNACHI’s budget was allocated to operations and only 3% to investment. “We are comparing these figures with those of other Central American universities, and their level of investment is extremely low,” Vega claimed.
In his defense, Vice Chancellor González explained that a large portion of the funds earmarked for investment were blocked by the Ministry of Economy and Finance, forcing a budget focused on operating expenses. According to the Planning Director, UNACHI’s total budget was $106 million, of which $101 million was allocated to operations and $4.7 million to investment.
During the appearance, the controversial case of unaccredited academic degrees was also addressed, including those obtained from institutions such as American University and the University of Hawaii. González admitted that the Academic Council determined that these degrees would not be valid for reclassification or full-time assignments. Four professors have already had their benefits revoked for this reason.
However, Representative Vega warned that there are at least 150 more people with degrees from these institutions working at UNACHI. “There is no clear measure to reorganize the system. Many continue to receive payments as if nothing is happening,” he denounced.
The most sensitive questioning centered on the use of funds from AIP (Internal Project Allocation) accounts, particularly following a public complaint by Ana Cecilia González, a former university official. In her accusation, she alleged that the vice-rector “allegedly manipulated” the management of these accounts to benefit close associates, including his own son.
González confirmed that his son, Steven González, received one of the 24 academic grants awarded by Senacyt (National Seminary of Higher Education), but asserted that the award was the result of a process evaluated by international peers and that his son had the right to apply like any other student. “I did not participate in its evaluation or award,” he stated.
The deputies, however, expressed concern over the repeated use of family ties benefiting from institutional funds. “This is UNACHI: a series of questionable situations. As long as those close to those in power continue to be favored, transparency will remain in question,” Vega concluded in closing his remarks.
The Minister of Commerce and Industry (MICI), Julio Moltó, confirmed this Monday, April 7, that the government is still awaiting the formal suspension of arbitration proceedings filed by the Canadian company First Quantum against the country, due to the stoppage of the copper mine following the unconstitutionality ruling issued by the Supreme Court of Justice (SCJ) in 2023.
However, he clarified that, according to the state’s lawyers, the company has initiated the process of suspending the arbitration proceedings, as part of the preliminary steps required by President José Raúl Mulino to open a possible avenue for dialogue.
This contrasts with First Quantum’s announcement on Monday, March 31, when it stated that, after holding talks with the Panamanian government , it had agreed to withdraw from the arbitration proceedings before the International Chamber of Commerce (ICC).
Moltó also indicated that, in parallel, the government is making progress on the auditing processes. “We have the audits, as I have said on several occasions, the environmental audit, and the rest are being carried out by the Ministry of Commerce, which complements it as a comprehensive audit,” he explained.
The official emphasized that, as of yet, no decision has been made regarding the reactivation of mining operations and that the site is not being exploited. “There’s no date yet, no one is meeting with anyone, no one is opening any mine,” he clarified.
He added that the only visits to the site are for environmental controls, making it clear that “this is not a tourist center.”
At least 11 people were arrested during Operation Hypoxia , carried out on 11th Street in Río Abajo on the morning of Monday, April 7.
National Police officers and personnel from the Drug Prosecutor’s Office carried out this raid, the objective of which was to dismantle a group dedicated to committing drug-related crimes and selling illicit substances.
This was reported by Commissioner Edgardo Núñez, National Director of Citizen Security of the National Police.
Technological equipment, ecstasy pills, and cash were seized at the scene.
“This operation is to combat micro-trafficking,” the commissioner declared.
He explained that 10 people were arrested during the operation and one more was detained “in flagrante” for drug possession.
The prosecutor’s office reported that it began investigating this group in January of this year. The group operated on 11th and a Half Street.