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Eaton criticizes corruption in Panama's justice system
Panama News Briefs

US ambassador criticizes Panama's court corruption

by Eric Jackson, mainly from other media

In remarks published on July 28 in El Panama America, US Ambassador William A. Eaton complained of "weakness" in the Panamanian judicial system that gives the rich and powerful impunity for their criminal activities. "There is a regrettable culture of impunity for the powerful here in Panama, and also with government officials," he said.

At the time rumors were swirling but not yet confirmed that President Torrijos had forced the resignation of Banking Superintendent Delia Cárdenas, who enjoys a reputation for independence and scrupulous honesty, and Eaton also said that it would be unfortunate if she were removed. He made these remarks when reporters caught up with him as he was on his way to a meeting with Attorney General Ana Matilde Gómez.

This was not the first time that a US diplomat has commented on Panamanian corruption, and the reactions were as before: there was widespread criticism from politicians of all parties and from jurists about American interference in this country's affairs. Eaton was called to meetings at the Foreign Ministry and with presiding Supreme Court magistrate Graciela Dixon to explain his comments.

The one thing that was a bit unusual was the criticism from Mercedes Araúz de Grimaldo, the president of Panama's bar association, the Colegio de Abogagos. "We have a problem in the administration of justice," she admitted in El Panama America, but added that "it's a problem that we have as Panamanians and that we have to resolve as Panamanians."

Most other critics either denied that there was a problem here, noted that there is also corruption in the United States or both.

Eaton didn't back down on his statements, but said that the government he represents is telling the Panamanian government, as a friend, that there's a serious problem here. He added a reminder that the US government has given the Panamanian legal systems substantial amounts of foreign aid assistance over the years.

In the days following this flap, the Supreme Court issued a ruling that let a company that had been caught red-handed abusing export tax credits off the hook; it was discovered that key documents had been removed from the court files in forfeiture cases against a business front for the Pablo Rayo Montaño drug network; it was revealed that another of Rayo Montaño's companies had contracts with the Panama Canal Authority; the former head of the PRD's Frente Empresarial busines wing, Cristobal Salerno, who had been a fugitive on gun-running charges for more than two months since police seized a cache of miltary weapons from his business on Avenida Peru, got his arrest order cancelled by a judge and surfaced; and it was confirmed both that Cárdenas had resigned and that this happened after Torrijos demanded it.