Clouded  Social Security deal sidelined

President Laurentino Cortizo reacted quickly to media exposure of the clouded track record of a Panama-Mexico consortium, cobbled together  to snag a $168 million contract from the Social Security Fund for storage and distribution of medicines with a clouded track.

On Saturday, April 11 Cortizo ordered  the Fund’s director Enrique Lau Cortes to suspend the contract  he had awarded on  Tuesday

Lau, behind a face mask,  told media at  a Health Ministry press conference that the deal with a consortium that bid $40 million higher than a rival group was planned beforethe coronavirus, and now life “has changed.”

The consortium is made up of the Panamanian PMG Logistics Corp, and the Mexican Intercontinental de Medicamentos, SA de CV. ,  part of alleged tax fraud.

La Prensa’s investigative team which has frequently exposed previous administration failings led the charge while Ricardo Martinelli controlled Panama America skipping details of earlier malpractice came to its defense.

Ex- president Martinelli has a dozen corruption cases related to his time in office waiting in the wings.