Italian Co. to assist in Martinelli contract investigation

THE ITALIAN  conglomerate Finmeccanica has promised to cooperate with Panama’s government  in criminal investigations into possible “irregularities” in a controversial  $250 million contract set up by the Martinelli administration.

The news comes with  the publication in the Official Gazette  of the full draft  of agreement with Finmeccanica that replaces the original deal that represents a saving of more than $100 million for Panama

Through the agreement, the government cancels its agreement to purchase radars from the subsidiary Selex. That will save 38.8 million euros.

The seven radars that are already installed will be used to guard the coast, but they will not be able to detect smaller vessels used by drug traffickers.

In addition, the country will receive a credit of 29 million euros that can be used on parts or new equipment.

The agreement includes the final acceptance of the contract for  six helicopters with AgustaWestland and a digital mapping system from the company Telespazio.

In the case of the  $25 million commissions that ere supposed to be paid to the company Agafea, for alleged distribution to high ranking members of the previous administration, Finmeccanica said it will provide a helicopter ambulance whose value is 8.1 million euros. The company will also provide training for pilots and mechanics and maintenance of the aircraft.