Former-Panama presidents charged with money laundering

July 3, 2020

Panama’s last two presidents, Ricardo Martinelli and Juan Carlos Varela, were charged Thursday with money laundering, as two separate scandals tarnished the political legacy of the former allies turned enemies. Martinelli was charged with money laundering over the so-called “New Business” case in which a publishing group was allegedly purchased with government funds during his 2009-14 term.


Martinelli, 68, was in a combative mood as he departed the public prosecutor’s office in Panama City. Martinelli was held in pre-trial detention for two years after he was extradited from the United States to face trial for spying on his political foes. He was acquitted on those charges in 2019. The 56-year-old former president is being investigated for allegedly accepting illegal donations to his political campaigns from Brazilian construction giant Odebrecht.

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