Funes Denounces Abnormalities in ENEL Contract

The President of El Salvador has expressed suspicions that the original contract with the Italian company was changed "in the dark" by government officials.

Monday, January 14, 2013

The president referred to the subject in his radio program last Saturday, saying, "I've asked a group of lawyers to study the documents surrounding all investments with the Italian shareholders and it will be these specialists who might be able to shed a light on this illegal act, including even asking the Attorney General's Office to establish whether criminal liability be established in the future. "

"According to the president, the contract between the autonomous company and the Italian company was changed "in the dark" in order to favor Enel. According to him, this not very transparent maneuver, opened the possibility for Italian investments to be capitalized", reported

Reiterating the assertions of the president of CEL, Leopoldo Samour, the President added that they are keeping the position of ignoring the international award which would allow Enel to become a partner, until other national judicial options have been exhausted.

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At the request of the parties, arbitration and dialogue has been suspended for 30 days in order to reach an agreement over the shareholding structure of the company LaGeo.

From a statement issued by the Government of El Salvador:

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