Costa Rica Digest, Sept. 23

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>>Costa Rica News Digest<<
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NEWS DIGEST
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Rodríguez promises not to let people down

WASHINGTON, D.C. — Miguel Ángel Rodriguez, who
officially
assumed his new five-year position as
secretary-general of the
Organization of American States Wednesday, says his
top priorities
for the Western Hemisphere include promoting human
rights, democracy,

conflict resolution, and the fight against poverty.

The former president of Costa Rica led his nation
from 1998 to 2002.
More recently he was a professor at George Washington
University's
School of International Affairs here. Rodriguez said
that the OAS
has a "great responsibility to the peoples of this
hemisphere and
we must not let them down."

Rodriguez won election as secretary-general June 7,
after which
he said he wanted to lead the OAS in pursuing
"freedom, justice,
and development so that every citizen of the Americas
can enjoy a
decent life and realize his or her full human
potential." He added:
"I know the rudder belongs to the member states and I
pledge my
utmost creativity and devotion in charting a happy
course."

Rodriguez succeeds former Colombian President Cesar
Gaviria as
secretary general. Gaviria declared that with the
election of
Rodriguez, the OAS "will certainly enter a period of
renewal and

strengthening."

In Costa Rica, Roberto Tovar, Faja, foreign minister,
called the
elevation of Rodríguez a triumph for the country and
for the nationÂ’s

diplomacy.


*FISCHEL-CAJA:
Scandal Reaches Finland

The corruption scandal that has hit Costa Rica for
some time
touched Finland, the source fo the credit loan. In
Helsinki,
government functionaries rejected publications in the
Costa Rican
press insinuating the deviation of funds in the multi
million
dollar credit to the Caja Costarricense del Seguro
Social (CCSS).

Government functionaries say that they approved the
US$32 million
dollars credit loan - without interest - to Costa
Rica, which they
later added another US$7 million dollars, however, no
commissions
were paid on the funds.

Juhani Toivonen, director for the Exterior Ministry
in Finland
told AFP that:

"I don't know exactly what happened in Costa Rica. We
approved
a line credit for $32 million dollars for the
purchase of medical
equipment on the part of the Costa Rican public
health system."

A spokesperson for Instrumentarium Medical in
Helsinki, the company
that had received the contract to complete the sale
of the equipment
and that made the Corporacióon Fischel it's exclusive
representative
in Costa Rica, said that:

"Instrumentarium has faith in the Costa Rican
project. All the
equipment has been delivered as approved by our
client. Training
on the equipment and service and guarantees have been
fulfilled as
agreed to based on the terms and conditions of the
contract.

This project has been completed in a satisfactory
manner and all
contractual obligations fulfilled. All payments have
been made based
on the terms of the contract, including the services
of our distributor

partner (Fischel)."

Instrumentarium added to it's comments, that they
will prefer not
to comment any longer on this case since there is an
ongoing
investigation and do not want to interrupt that process.

We will get them
Meanwhile, agents of the Organismo de Investigacion
Judicial (OIJ),
the Fiscalia (prosecutor's office) and the Ministerio
de Hacienda
(Revenue) continued to box documents and records at
the main offices
of Fischel in downtown San José, with the intent to
remove them from
the hands of the Corporación and to be reviewed by
officials.

One Hacienda official, who refused to have his name
published, told
us that "we will get them." The agent was referring
to a possible
evasion of taxes on the commissions earned by Fischel
on the deal.

Vargas family to move out
In another related incident, a judge has ordered that
the family of
former CCSS president Eliseo Vargas, who is currently
a guest of the
Costa Rican penal system, have 48 hours to move out
of the luxurious
home that is owned by the Corporación Fischel and
rented by Vargas.

The order to complete a request by the prosecutor who
is confiscating
the house while the Fischel-Caja investigation
continues. The property
will be in the hands of the Attorney's General office
pending the
outcome of the case.


*ICE to Lose Money on Cancelled Cellular Contract

According to ICE - the Instituto Costarricense de
Electricidad
- the telecommunications monopoly, it will lose some
¢80.000.000.000
colones in the 2006 due to the cancellation announced
yesterday of the

Ericsson contract to supply 600.000 new GSM cellular
Lines.

The Contraloría General de la República
(Comptroller's office) found
problems with the contact following speculation that
the former
manager of ICE met with officers of Ericsson Costa
Rica in Europe
in a secret meeting and charges by competitors that
the deal was rigged.

ICE does not have sufficient cellular telephone lines
to meet the
demands as Costa Ricans choose to obtain a cellular
telephone
while waiting, up to years, for a telephone line in
their home.

The 600.000 cellular lines that were to be installed
by Ericsson
will not only leave the institution with a financial
loss, but
thousands of cellular customers will also suffer, as
they cannot
connect to the network.

Currently, Costa Rica, operates two cellular networks
- TDMA and GSM.

The new lines would have brought to Costa Rica the
new generation
of GSM that would have included more services, like
sending and
receiving photos and internet access.

Customers with GSM cellular telephones will have to
wait as ICE
decides on a new petition to award a new contract for
the service.
There are no GSM lines available and the small number
of TDMA lines
left may be used up by the end of the year.

Costa Ricans a few year back had to wait months to
get cellular
service. A customer had to make request at ICE and
then had to wait
for the news to be published in the local newspapers
announcing the

availability of lines depending on the number given
the customer at
the time of the request.

Some insiders at ICE say that this may be the case
again real soon.



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