Italian investigation showing more links to Panama purchase

A new character  has emerged from  the mist that surrounds the purchase of security equipment for $333.3 million made to the Italian group Finmeccanica by Panama.

The agreement  was signed by the president, Ricardo Martinelli, and now former Italian Prime Minister Silvio Berlusconi but the purchase is being questioned as a major investigation into Finmeccanica and its paying of commissions to obtain contracts, is underway in Italy

The latest to be names is the Argentinian Gustavo Franchella, who to Deputy Minister of Security, Alejandro Garuz was "supposedly" the representative of Selex in Panama. Selex is  part of the Italian group that sold the 19 radars for $125 million-through the Panamanian company Agafea Corp., referred to in judicial investigations in Italy. The price was dramatically higher than that paid by other countries for fewer pieces of equipment.

Franchella, who first denied any link with Selex, later defined himself as "a commercial agent who provided support services."

Franchella was also a consultant to IBT Group, which built four hospitals in Panama for about $230 million, and obtained a five-year grant for the rehabilitation and operation of four asphalt plants.