FISCHEL-CAJA:
Fischel May be Sold
Heard the latest rumour? The sale of the Corporación Fischel? Well, the truth may not be too far from the gossip.

In a statement to the press, president of the board of directors of the Corporación Fischel, Emilio Bruce, does not discard the possibility that the pharmaceutical giant may be sold.

Today's Stories: Fischel May be Sold Faked Documents Over Project High Speed Internet Service Approved Vehicular Inspection Rules Eased

Father Minor Calvo, accused as being the principal author is the assissantion of journalist, Parmenio Medina, will spend more time in jail, as he is appeal for preventive detention was denied. Calvo will have to wait the results of the investigation into the murder from his jail cell.

Bruce said in his statement that, "now as in the past, the Corporación Fischel will continue to develop new business ideas to reflect the changes in the global market. The company will keep open it's doors to the interests of it's investors, both national and foreign, and evaluate the best options for the well being of it's customers, suppliers and stock holders."

Bruce added that the Corporación Fischel will continue to provide the same solid services it has in the past, but in no way dispels the rumours that have been circulating financial circles for the past week.

Bruce said that talks of sale have been part of the history of the company, as the company evaluates different offers and/or interests from time to time.

The board president didn't deny either that the Corporación Cefa has had it's eyes on Fischel for some time and that there have been talks between the two companies. Nothing concrete has come of it, according to Bruce, though it is believed that the two entities are negotiating a possible sale.

The Corporación Fischel has been at the centre of the scandal over the diversion of a part of the funds from the Finland credit loan to the Caja Costarricense de Seguro Social (CCSS) that has seen Fischel's president, Walter Reicher Fischel, and company lawyer, Randall Vargas, behind bars awaiting the results of the ongoing investigation.

This past Monday, a former Fischel manager, Marvin Barrantes, was detained an placed under house arrest, while the downtown offices of the Corporación Fischel were raided by the Fiscalia for evidence to complete their investigations into the Fischel-Caja scandal.

Eliseo Vargas, former president of the CCSS is also in jail, and former Costa Rican president Rafael Angel Calderón Fournier cannot leave the country, along with his former law firm partner, Gerardo Bolaños, who is also under house arrest, for having received monies from Fischel, through Panamanian corporations, as a commission for the arrangement and completion of the CCSS credit loan.

Calderón gave back US$522.500 dollars he received from Marchwood Holdings in Panama, as did Bolaños when he deposited with the Fiscalia US$90.000 dollars in stock and other assets.

The Fiscalia pretends that as much as US$8.000.000 dollars was paid in commission to various public functionaries and politicians from the credit loan of US$38.000.000 dollars that was for the purchase of medical equipment and supplies at the CCSS.

Faked Documents Over Project
Pacific Consultants International (PCI) submitted a falsified document to the Japan International Cooperation Agency (JICA) regarding a contract for work on an official development assistance project in Costa Rica, "The Yomiuri Shimbun" Japan's news source, has learned.

In the document submitted to JICA, PCI said it subcontracted surveying and topographical mapping to the Instituto Geografico Nacional de Costa Rica (National Geographic Institute of Costa Rica) after it had the institute and two Costa Rican companies submit estimates for the cost of the work. PCI listed the estimated costs in the document.

However, a JICA investigation prompted by the Costa Rican government found that PCI had really negotiated solely with the geographic institute.

PCI reportedly has admitted the allegation.

A JICA official said: "All ODA contracts, including subcontracts, can be made only with our approval. The falsified report is a serious violation of the contract between PCI and us."

PCI, the largest consulting firm in Japan that specializes in overseas development work, was commissioned to draw up a plan for an agricultural development project in Costa Rica to be funded by 423 million yen in ODA.

The company subcontracted a part of the project to Costa Rican institution for 25 million yen. However, much of the subcontract fee that was supposed to be paid to the institute by PCI remains unaccounted for. JICA suspects PCI may have misused the money.

In ODA programs, bids for consulting work on a development project are based on the quality of the proposal and the company's capabilities, rather than just the bidding price.

Influential factors include the experience of the consultants' staff, and prospects that the project will deliver on specified goals, according to sources.

This puts the company with the greatest local knowledge at an advantage. For this reason, consulting firms compete with each other to establish a good relationship with officials in countries where a project is likely to be conducted - even before such countries ask the Japanese government for development assistance.

Since planning projects are often the first step toward full scale development programs, the consulting firm in charge of planning is in a good position to be commissioned for the development project as well.

High Speed Internet Service Approved
The Contraloría General de la República (Comptroller's office) last week turned down the contract that the Instituto Costarricense de Electricidad (ICE) had with Ericsson Costa Rica to supply 600.000 new GSM cellular lines, but it did give the green light to high speed internet.

ICE has a deal with Samsung Electronics to provide wide band internet service that would be available country wide.

The contract approved by the Contraloría is for the aquisition of 84.485 DSL ports that amounts to an investment of US$22.973.628 dollars.

The investment will allow ICE to provide high speed DSL service as part of it's program Sistema de Acceso para el Proyecto de Red IP, which will be connected to the national telecommunications system.

The project will take advantage of the existing infrastructure, since the DSL service will be provided over the same telephone lines used currently to provide telephone communications.

Customers connected to the high speed service can use their telephone and surf the internet at the same time.

Vehicular Inspection Rules Eased
Need to take your car at Riteve for the annual vehicular inspection? Starting tomorrow, some 120 items will pass from "grave" to "leve" (serious to light).

One of the items that affects many car owners is tinted windows. In the past, Riteve would not pass the vehicle if it had after market tinted windows, including the rear windows.

The Ministerio de Obras Publica y Transporte (MOPT) made changes to the requirements as part of the agreement the government made with protestor some weeks back. The new Transport Minister, Ovidio Pacheco, is now in charge of fulfilling the government's obligations.

Other defects affected by the easing of the rules, is the vehicle does not have a rear view mirror, the high beam/low beam switch is not working properly and the tire dimensions are different from the recommended for the type of vehicle.