Arias Denies Knowledge
Of Diverted Taiwanese
Funds
Costa Rican President
Oscar Arias has denied
any knowledge of a
us$1.5 million dollar
donation from Taiwan for
his country's poor,
which allegedly was
diverted for pet
projects elsewhere in
the government.
"I had no knowledge of
this help from the
government of Taiwan
which I learned about
from the press just
recently," he said in
remarks published
Saturday in the La
Nación, Costa Rica daily
newspaper.
La Nación earlier this
month alleged that the
office of Arias' brother
and ministro de la
Presidencia (chief of
staff), Rodrigo Arias,
paid scores of
government consultants
with two million dollars
that had been donated by
the Central American
Bank for Economic
Integration (BCIE).
Funds were sent by
Taiwan to BCIE at the
request of Costa Rica's
ministro de Vivienda
(Housing Minister)
Fernando Zumbado, which
total sum of the wire
transfer was us$2.5
million dollars.
Zumbado admits to having
received only us$1.5
million. The minister
has been suspended from
his post pending an
investigation by a
Legislative committee.
Reports said donations
made by Taiwan in 2006
were destined for the
construction of housing
for the poor, but never
got to the intended
recipients.
Costa Rica in June 2007
broke its ties with
Taiwan to establish
relations with the
Chinese government in
Beijing.
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