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Today: April 18, 2025
Today: April 18, 2025

Costa Rica government used development bank funds for kickbacks, prosecutor alleges

U.S. President Biden meets with President of Costa Rica Rodrigo Chaves Robles at the White House
April 07, 2025
Reuters - Reuters

SAN JOSE (Reuters) -Costa Rican officials awarded kickbacks to a top government ally using funds from the Central American Bank for Economic Integration (CABEI), prosecutors alleged on Monday, filing charges against the president and a top minister.

The attorney general's office said that a former presidential adviser, Federico Cruz, was paid $32,000 to buy a house through funds awarded by CABEI.

CABEI told Reuters on Monday afternoon it concluded an internal investigation in June 2024 and that it provided the findings of that investigation to Costa Rica's prosecutor's office.

Cruz is already under criminal investigation, prosecutors said, along with the head of a communications firm contracted by the Costa Rican government, which allegedly led the dealings.

Reuters was not immediately able to contact Cruz for comment.

According to investigators, officials held several meetings at the presidential palace to hash out the deal.

Costa Rican President Rodrigo Chaves and Culture Minister Jorge Rodriguez, who previously acted as communication minister, face between two to eight years in prison if convicted, prosecutors added.

The president's office did not immediately respond to a request for comment.

(Reporting by Alvaro Murillo and Kylie Madry; Editing by Alistair Bell and Lincoln Feast.)

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