OFF THE CUFF: Financial Pacific Scandal Widens

THE FINACIAL PACIFIC (FP) brokerage scandal continues to widen and with the filing of a, complaint by the Superintendency of Securities) over the trading of shares of the mining company Petaquilla Minerals we can expect after over two years of waiting, the shedding of dome light on its murky background,

An investigator who first fingered the brokerage has disappeared, and is believed by family and friends to be dead. Another investigator was stabbed and other received threats. A key manager  at the Superintendency who was under investigation, is a fugitive.

The complaint is based on statements made by former FP official Mayte Pellegrini. She said the firm had a secret account owned by former President Ricardo Martinelli that was used to trade the shares in 2012. Pellegrini’s request for police protection was denied.  h

After investigating the allegations, the Office of the Comptroller presented prosecutors with account numbers and companies that have been linked to the account. It is part of an investigation into money-laundering and the illegal transfer of funds.

Pellegrini said FP officials admitted openly that the account was used to “manipulate the shares of Petaquilla.”

FP is also being investigated for irregularities regarding the trading of shares of First Quantum, which is involved in a copper mining project in Panama,  reports La Prensa.

The investigation is focused on the origin of the money with which the investments were made.

Operations at FP were suspended in 2012 due to financial irregularities, including the alleged embezzlement of $12 million.