Panama carnival booking scandal widens

THE CARNIVAL booking scandal has widened with a company said to be owned by the son of President Ricardo Martinelli named as a key player in the center of the storm.

The family connection was queried in a reader’s comment under a previous Newsroom Panama story. www.newsroompanama.com/panama/5251-legislators-want-to-grill-tourism-czar-over-carnival-shambles.html

Former comptroller Alvin Weeden said this meansthat hiring ShowPro by the ATP to organize the presentation of the Don Omar and his later replacements was a conflict of interest.
"The Family of President Martinelli are the beneficiaries in contracts. It does not seem legitimate that relatives are doing business with the state," said Weeden, who told TVN that" the ShowPro business is Martinelli's son. "
He stressed that the present comptroller, Gioconda Torres de Bianchini a former long term employee of the business owned by  the president], should have controlled these contracts, and should now be conducting a thorough investigation.
“The State lost a lot of money and the institution’s inaction results in the demoralization of the rest of the staff.
Information contained in the portal PanamáCompra reveals that in the last two years the ShowPro Ashe Entertainment Group have received $429,600  in direct contracting with the government  La Prensa.  revealed/

Of that total, $367 500 was granted between January 29 and February 4. Furthermore, Show Pro has been linked to the organization of state-sponsored events, such as a football friendly between Panama and Spain last November La Prensa reports.
For this event, the ATP disbursed $500,000 to Multimedia Solutions, [ShowPro partner in the show] to advertise the game.

Accoridng to La Prensa neither the Tourism Authority (ATP) or the company ShowPro met the legal processes for the supposed contract, for $ 267 500, for Puerto Rican singer Don Omar to perform at the city Carnival.

In accordance with Executive Order No. 38 of August 12, 1985, the "foreign professional artist can only operate in the territory of the Republic, with the authorization of temporary work contracts for temporary permits section of the Ministry of Labour" . However, Samuel Vargas, director of the Department of Employment, Ministry of Labor and Social Development (Mitradel), said that the contract of Don Omar and, after that that, his replacements Wisin y Yandel, did not go through that institution.
"With regard to Don Omar, no. That was a speculation, there was no presentation of contract or anything, "said Vargas, contradicting the version of Alfredo Arias, ShowPro manager, who even warned of a possible lawsuit against the artist for breach of contract.
In addition, Law 19 of January 8, 1974 states that the Mitradel "may, when there is reasonable doubt about the value of hiring, appointing experts to determine the fair price."
According to Don Omar himself, $267.500 was never mentioned and he said that that forn his last performance he earned $ 50,000.
In 2009, when the singer was at the peak of his career, received $ 70,000 for a concert in Miami Beach, Florida, , says La Prensa.