No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveAlcatel Millions Set For ‘Societal Damages’

Alcatel Millions Set For ‘Societal Damages’

Costa Rica‘s attorney general said last week that French telecom equipment maker Alcatel-Lucent has followed through with a payment of $10 million 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 in Costa Rica, according to Attorney General Ana Lorena Brenes.

“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,” Brenes said in a statement issued last 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,” she said.

Payment for societal damages is a recent concept in Costa Rica and is rare throughout Latin America, according to Brenes.

“(Societal damages) confirm recognition by a company or individual that they participated in acts of corruption that affect the collective,” said Brenes.

The settlement comes as Rodríguez, who served as president from 1998 to 2002, prepares to go to trial on corruption charges. Rodríguez was expected to attend a preliminary hearing on Monday, but the court date was suspended after judges received new evidence, the newswire EFE reported.

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

–Alex Leff

Trending Now

Surfing Activism Takes Hold Across Latin America

Surfers and local communities in Peru, Chile, and Ecuador have stepped up efforts to safeguard their coastlines, pushing for laws that protect key surf...

La Cruz is Costa Rica’s Hidden Coastal Spot for Quiet Vacations

As travelers flock to Guanacaste during peak season for its sun-drenched shores and family-friendly spots, many overlook a northern gem that delivers calm without...

FIFA Imposes Transfer Ban on Botafogo Over Unpaid Thiago Almada Fee

Brazilian club Botafogo faces a significant setback as FIFA enforces a transfer ban starting today, due to an outstanding debt from the 2024 signing...

Costa Rica’s Warren Madrigal Joins Nashville SC in Major League Soccer Move

Costa Rican forward Warren Madrigal has taken a major step in his career by signing with Nashville Soccer Club in Major League Soccer. The...

Costa Rica Set to Host 10th Pelagic Rockstar Fishing Tournament

Sport fishing fans will gather in Quepos next month as Costa Rica hosts the 10th anniversary of the Pelagic Rockstar Offshore Tournament from January...

Gal Gadot Chooses Costa Rica Again for New Year’s Getaway

Actress Gal Gadot welcomed 2026 amid Costa Rica's beaches and sunsets, making it her second year in a row to end December in the...
Avatar
Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Travel

Latest News from Costa Rica