Diplomatic Corps called in to hear government slant on bribvery scandal

While in an Italian prison the man in  the center of a major bribery scandal involving Panama faced a seven hour grilling by prosecutors, Panama’s security and stand-in foreign minister faced  foreign ambassadors.

Valter Lavítola was interrogated in Poggioreale prison in Naples by Henry John Woodcock and Francesco Curcio. Panama Public Security Minister and Foreign Minister, Jose Raul Mulino, talked with the assembled diplomatic corps in the country.

With the international scandal over the alleged involvement of President of Panama, Ricardo Martinelli, and other government officials in the receipt of bribes related to contracts with  an Italian company,  Mulino gave  the official version of the cooperation agreements with Italy that included Lavítola’s participation, says La Prensa

"For all practical purposes, Mr. Lavítola, at that time, could have  been given the equivalent rank of a special envoy – and I have been  aspecial mission ambassador – or a personal envoy the  Prime Minister and for all purposes of the Government of the Republic of Panama, he was a person publicly identified by the Government of Italy, and  there was nothing wrong,"said Mulino.

"I also have been loaned cars in other countries … I do not think a deference and common courtesy is an act of corruption," he said.

Mulino said it was  very important for the ambassadors accredited to Panama to know the details of the cooperation agreements with Italy and the contracts they produced.

He also  alluded to the fact that the Cabinet Council, when there was an alliance with the Panamanista  Party, authorized  the contracts without objection.

He said the former Minister of Economy and Finance. Alberto Vallarino, endorsed the process of contracting with Italian companies.

On the proposal of the company Svenmark to build  modular prisons, Mulino said that due to lack of resources  the project was not  realized.

With regard to the statements of former Italian Foreign Minister Franco Frattini,citing particularly close relationship between Lavítola and the President of Panama, Mulino Diplomats asked if it was true that they used  familiar terms ‘what happened to my brother , what happened brother?’. Does that make me an accomplice?”

Finally, referring to  major media reports in Italy and the world, he accused the Panamanian opposition  of  "encouraging falsehoods."

On the other hand, vice president, Juan Carlos Varela, pn Thursday urged the National Assembly to appoint a commission of deputies to travel to Italy and investigate the case. "Ideally, this committee is made up of independent people with respect and credibility in the country," said Varela.

The vice president's request, which was formalized in the National Assembly by the opposition benches of the Democratic Revolutionary Party (PRD) and Panamenista was rejected by the majority blocs of Democratic Change and the Nationalist Republican Liberal Movement.

The proposal was vetoed by 39 votes in favor and 18 against.

 Rep. Jose Blandon said that "the least we can do this Assembly is to appoint this committee and not to hide in a hole like an ostrich."

"Now this is not a subject of national media or local politics, but is an issue that is emerging from the Italian authorities and in which U.S. authorities and Brazil are seeking the information. It is a subject of international corruption.”

For his part, President Martinelli returned yesterday to use his Twitter account to give his version of events, ensuring that soon the truth will be known.

Finmeccanica,  the Italian conglomerate which owns the companies Selex Sistemi Integrati, Augusta Westland and Telespazio, who sold radars, helicopters and a digital map, for  $250 million, issued a statement categorically rejecting paying kickbacks to government Panama or the employee Lavitola Valter, "and had not authorized one of its helicopters made available to the President of Panama, Ricardo Martinelli."

Finmeccanica  said it has "instructed its lawyers to evaluate the actions they deem necessary for the protection of their rights and redress the serious damage sustained by the news coverage of alleged irregularities related to its activities."

The statement omits, however, an important fact says La Prensa. December 1, 2010, Pier Francesco Guarguaglini resigned as president of Finmeccanica, due to the corruption scandal concerning the discovery of the existence of a "black fund" of premiums to bribe premiums foreign officials in order to win contracts.

Nor does it mention the statement of Finmeccanica's letter of October 17, which suspends a Selex "sales promotion"  contract with Agafea Corp., whose president is Karen Gracia , a Panamanian Lavítola  was romantically linked to.