No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveCosta RIca to funnel $11 million settlement into public programs

Costa RIca to funnel $11 million settlement into public programs

Costa Rica´s attorney general said French telecom equipment maker Alcatel-Lucent has followed through with a payment of $11 million last week to settle a corruption case in Costa Rica.

Alcatel deposited the funds on March 9 in payment for “societal damages” – money the attorney general said should be funneled into public programs. This would help pay society back after the French company allegedly paid kickbacks to former President Miguel Angel Rodríguez and other government officials in return for a 2001 contract to provide cellular phone equipment here.

“We confirm the deposit of money and we´ve sent a note to the head of the Finance Ministry to inform them of the transaction,” Attorney General Ana Lorena Brenes said in a statement issued Friday. She added that her office is recommending that government officials spend this money with “the interest of the collective” in mind. “We would expect that it is invested in projects that have a direct impact on the population,” Brenes said.

Payment for societal damages is a recent concept in Costa Rica and is rare throughout Latin America, according to the attorney general. “(Societal damages) confirm recognition by a company or individual that they participated in acts of corruption that affect the collective,” said Brenes.

The settlement came as former President Rodríguez, who was in office from 1998 to 2002, prepares to go to trial for corruption after allegedly taking kickbacks from Alcatel to help secure a 2001 contract for the French company to supply cellular phone equipment here.

Rodríguez was expected to attend a preliminary hearing on Monday, but the court date was suspended after the judges received new evidence in the case, the newswire EFE reported.

The ICE-Alcatel trial, which is scheduled to begin on April 13, will be the second time a former Costa Rican president is placed on trial on criminal charges. Former President Rafael Angel Calderón was sentenced to five years in prison for embezzlement last October.

Trending Now

U.S. Pauses Immigrant Visa Processing for 75 Countries

The United States said Wednesday it was suspending the processing of immigrant visas from 75 countries, President Donald Trump's latest move against foreigners seeking...

El Salvador Opens Immigration Office in Surf City for Visitors

El Salvador has launched a new immigration office in its Surf City Punta Roca area, a move that simplifies paperwork for foreigners who frequent...

Costa Rica to Introduce Advanced Blood Test for Early Detection of Cancer

In 2026, Costa Rica will finally gain access to one of the world’s most advanced medical technologies. one capable of simultaneously detecting nine types...

Costa Rica Road to Close for Two Weeks for Bridge Construction

Route 606 will be closed starting at 6:00 a.m. on Thursday for the construction of a bridge over the Guacimal River. The project includes...

Costa Rica’s SINAC Sounds Alarm on Unauthorized National Park Entries

Officials from Costa Rica's National System of Conservation Areas (SINAC) have raised alarms over a spike in unauthorized entries to national parks and other...

Costa Rica’s Tourism Is Losing Ground to Mexico, Guatemala and Others

The National Chamber of Tourism (CANATUR) warned that Costa Rica's tourism ended 2025 with a modest 1% increase in international arrivals, a figure that...
Avatar
Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Travel

Latest News from Costa Rica