Panama’s main airport regrets ruling that annuls termination of contract with Odebrecht

The Tocumen SA International Airport said this Thursday that “the Mint” the decision of the Administrative Court of Public Procurement that revoked the termination of the terminal expansion contract with Odebrechta work of more than 900 million dollars, for an alleged non-compliance, and announced the possibility of appealing to the Supreme Court of Justice.

In Resolution 007-2024, dated January 8, 2024 and to which EFE had access this Thursday, the administrative court decided “revoke Resolution 065.AL.21 of September 28, 2021 issued by the Tocumen International Airport SA”, in which he terminated the contract and disqualified the construction company for three years in the country.

Faced with this administrative decision, Tocumen said in a statement that “fully reserves the exercise of all legal remedies permitted by Law, including the possibility of filing a Full Jurisdiction action before the Supreme Court of Justice.”.

In September 2021, Tocumen terminated the contract with Odebrecht alleging non-compliance, since on the 27th of that month there were still “640 pending elements of Adjustments and Complements, in addition to other activities not executed” corresponding to an Addendum to the original contract that gave a deadline for this until September 30, 2021.

The administrative court ruled that “no doubt“that the construction company complied with the work delivery schedule”as of February 29, 2020″, date on which “had been substantially delivered” Terminal 2, which was “in full use and operation” for September 2021, when Tocumen unilaterally terminates the contract with the alleged breach.

“By September 28, 2021, the date of the Administrative Resolution (termination) of Contract 38/12, this work (expansion of Tocumen) was already more than 99% complete.“, said the judge, and points out that the “settings and plugins“pending corresponds to a stage”post-contractual”says the administrative resolution.

“Neither Law 22 of 2006, which regulates public procurement, nor the contract signed with the contracting company, establish in any way that, having made substantial deliveries of work, the Panamanian State is prevented from administratively terminating a contract, in the event of non-compliance. contractual. Substantial delivery is not synonymous or equivalent to final delivery of work.“Tocumen responded, among others, this Thursday.

In its resolution, the Administrative Court recommends Tocumen “initiate the contract settlement procedure with a hearing of the contractor”, and warns that the company “must be fined in accordance with what was agreed in Addendum 6 to Contract 38/12.”

The new Terminal 2 (T2) of Tocumen began construction in 2013 and was to be ready at the end of 2017, but its delivery was postponed with the signing of addenda agreed upon by the contractor and the State.

It is a 116,000 square meter building that expands the airport’s passenger admission capacity from 12 to 25 million annually, according to official information.

Odebrecht She was investigated in Panama for paying bribes. The company and the Panamanian Prosecutor’s Office signed an agreement in July 2017 through which the company agreed to pay a fine of 220 million dollars to the State within a period of 12 years.

The Brazilian construction company was involved in the largest corruption scandal in the history of Panama, with former presidents, former ministers and relatives of these involved. In total, 25 accused people will face a trial scheduled to begin next July.