The Dominican Armed Forces’ contract for US$10 million in military equipment has soared to an astounding US$76 million, thanks to an amendment to the document. The Dominican Congress approved the first US$10 million and a contract authorizing increases in the financing of the military equipment bypassing the constitutional requirement of congressional approval.
Diario Libre points out that the inclusion of such a clause in loans passed in Congress is a first time. It indicates that the contract received a good and valid certification from the then president of the Chamber of Deputies, Rafaela Alburquerque. Diario Libre indicates it has a copy of this document that is dated 30 October 2002.
Former Minister for Technical Affairs for the Presidency Rafael Calderon (who later went on to be Finance Minister) authorized the US$10-million deal in 2001 in order for the Armed Forces to purchase equipment they claimed they needed. An amendment to the loan agreement, which Diario Libre says did not need Congressional approval, augmented the amount to US$76,415,464 on 12 June 2002. The deal was originally negotiated by Calderon in December of 2000 between the Dominican Government and the Eximbank, and represented by the firm of R.O. & G. International Trading. The first part of the arrangement would have supplied the Armed Forces with 11 helicopters and 140 vehicles, plus the necessary training of the personnel involved in the use of the new equipment. The agreement, in its third article, says, “The Armed Forces will have the right to amend the purchase order, with the written consent of the Minister of Technical Affairs for the Presidency, to increase the products and services under Appendices A and B, without having to obtain the consent, ratification or approval of the Congress of the Dominican Republic.” The products and services referred to were the Bell OH-58 helicopters, the Robinson R-22 Beta II and their accessories, tactical vehicles Wolverine 600 and 450, dune buggies, fording equipment, heavy-cargo fork lifts and training of military personnel. The clause is unique in contracts discussed and ratified in the Congress, and received a certification as “good and valid” from the president of the Chamber of Deputies at the time, Lila Alburquerque, in a note dated 20 October 2002, of which Diario Libre obtained a copy. The entire loan is guaranteed by Eximbank, the US government export credit agency.