2004News

Jaragua Hotel under the microscope

Lawyer Julio Cury voiced accusations yesterday that the previous government irregularly negotiated the extension of the Jaragua Hotel’s lease, as reported in today’s Listin Diario.

The addendums to the original contract were drawn up in November and December 2002 by then legal advisor to the Executive Branch, Guido Gomez Mazara and Jose Lois Malkun, at the time Finance Minister. These amendments increased the transfer of property terms from 30 to 40 years, without explanation or justification, as is usual in such matters. Cury complained that the legal advisor and the minister of finance did not take into account stipulations of the Law 141-97, which regulates the transfer of state property. Cury, told the Listin Diario that he prefers to view the amendments as a “pathetic expression of incompetence.” The law reguired that a nationally and internationally publicized legal tender would have been held for the lease extension to be valid.