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A12   WORLD NEWS
                     Thursday 11 July 2019

            Mexico’s treasury secretary resigns, cites interference


            By MARK STEVENSON                                                                                                   to  connect  tourist  resorts
            Associated Press                                                                                                    and pre-Hispanic archaeo-
            MEXICO CITY (AP) — Mex-                                                                                             logical sites on the Yucatan
            ico’s  treasury  secretary  re-                                                                                     Peninsula.
            signed Tuesday, complain-                                                                                           Alfredo   Coutino,    Lat-
            ing  of  the  appointment                                                                                           in  America  director  at
            of  unqualified  officials  by                                                                                      Moody’s  Analytics,  said
            “influential  people  in  the                                                                                       one of the big fears is that
            current administration who                                                                                          López Obrador’s social pro-
            have  clear  conflicts  of  in-                                                                                     grams  and  building  proj-
            terest.”                                                                                                            ects could hurt the govern-
            Carlos  Urzua,  a  longtime                                                                                         ment’s drive to avoid bud-
            ally  of  President  Andrés                                                                                         get deficits.
            Manuel  López  Obrador,                                                                                             “He has promoted the main
            did  not  specify  who  he                                                                                          infrastructure  projects.  The
            meant.  But  his  resignation                                                                                       question  is  does  he  have
            letter suggested that ideol-                                                                                        the money to finance those
            ogy might be involved.                                                                                              projects  or  not,”  Coutino
            Urzua wrote that economic                                                                                           said.  “Where’s  the  money
            policy  should  be  “free  of                                                                                       coming  from  for  all  these
            extremism, whether that be                                                                                          social  programs?  I  think
            right or left,” but said “that                                                                                      that  one  of  the  pressures
            belief  was  not  reflected”                                                                                        that Carlos Urzua had was
            by  the  administration.  He   This Dec. 14, 2017 photo shows Carlos Urzua during a press conference where he was presented   that we don’t have money
            also accused López Obra-     as a cabinet member of presidential candidate Andrés Manuel López Obrador in Mexico City.  to  finance  all  these  social
            dor of making policy deci-                                                                         Associated Press  programs.”
            sions “without sufficient jus-  tary  Arturo  Herrera  to  re-  stability and confidence in  López Obrador has sought  Coutino  said  Urzua  had
            tification.”                 place  Urzua  and  said  his  financial markets.          to  appease  the  business  provided some confidence
            Urzua’s  resignation  came  job  would  be  “to  create  Some     observers   specu-   community,  but  has  also  for  investors,  and  his  resig-
            at a sensitive time for López  wealth,  in  order  to  distrib-  lated  Urzua  had  been  an-  drawn criticism for pushing  nation  roiled  markets,  with
            Obrador, who faces threats  ute wealth.”                  gered by Lopez Obrador’s  ahead  on  costly  pet  proj-   stocks  dropping  about  1.6
            of  tariffs  from  the  United  Herrera  served  as  chief  of  insistence   on   spending  ects and canceling a part-  percent and the peso fall-
            States  and  downgrades  finances for López Obrador  money on pet projects, like  ly built Mexico City airport.     ing about 1.4%, to 19.16 per
            from  credit  rating  agen-  when  he  was  Mexico  City  building  a  new  oil  refinery  The  president  has  gone  $1.
            cies.                        mayor  in  the  early  2000s  and renovating others.      on  an  unceasing  austerity  “It’s a big shock,” he said.
            López Obrador said he had  and has also worked for the  But  Herrera  said  the  bulk  drive  to  reduce  spending  “The  main  question  is  this
            accepted  Urzua’s  resigna-  World Bank.                  of  new  investments  at  the  on  government  salaries,  going  to  be  just  a  transi-
            tion,  but  did  not  respond  Herrera  said  he  did  not  state-run  oil  company,  Pe-  but has also created a se-  tory negative event, or is it
            to the accusations. He ac-   know what problems Urzua  mex,  would  be  in  explora-   ries  of  new  direct-grant  going  to  the  beginning  of
            knowledged Urzua had not  was referring to in his resig-  tion and production, to re-  cash  payment  programs  pieces falling apart.”
            agreed  with  some  deci-    nation letter. He pledged to  verse falling oil output. “We  for  youth  scholarships  and  López  Obrador  has  said
            sions, and noted: “We can-   continue with plans for pri-  will continue to support Pe-  training  programs  and  has  that  savings  from  the  gov-
            not continue with the same  mary  government  budget  mex,” he said.                   expanded  payments  for  ernment’s  spending  cuts
            strategies.  You  cannot  put  surpluses  in  all  the  remain-  Herrera   also   dismissed  the elderly.           and   an    anti-corruption
            new wine in old bottles.”    ing five years of the admin-  speculation  that  Mexico  He  has  also  embarked  on  campaign  would  pay  for
            The  president  appointed  istration,  and  pledged  to  might be heading into a re-   ambitious     infrastructure  the  projects,  along  with
            Assistant  Treasury  Secre-  preserve  macroeconomic  cession.                         projects like the Maya Train,  some private financing.q

            Ex-education secretary, 5 others held in Puerto Rico probe


            By MARIELA SANTOS                                                                      $15.5  million  in  federal  agencies  to  win  federal
            Associated Press                                                                       funding between 2017 and  contracts and illegally used
            SAN  JUAN,  Puerto  Rico                                                               2019.                        federal  money  to  pay  for
            (AP)  —  Puerto  Rico’s  for-                                                          Thirteen  million  was  spent  lobbying.
            mer secretary of education                                                             by  the  Department  of  Ed-  “It  was  alleged  that  the
            and five other people were                                                             ucation  during  Keleher’s  defendants  engaged  in
            arrested  Wednesday  on                                                                time as secretary while $2.5  a  public  corruption  cam-
            charges of steering federal                                                            million  was  spent  by  the  paign  and  profited  at  the
            money to unqualified, polit-                                                           insurance    administration  expense  of  the  Puerto  Ri-
            ically  connected  contrac-                                                            when  Ávila  was  the  direc-  can  citizens  and  students.
            tors, federal officials said.                                                          tor.                         This  type  of  corruption  is
            Federal     officials   said                                                           Officials  said  there  was  no  particularly  egregious  be-
            Wednesday  morning  that                                                               evidence  that  Keleher  or  cause  it  not  only  victim-
            former Education Secretary                                                             Ávila-Marrero  had  person-  izes tax payers, it victimizes
            Julia Keleher; former Puerto                                                           ally  benefited  from  the  those citizens and students
            Rico  Health  Insurance  Ad-  Federal  agents  escort  former  Puerto  Rico  Health  Insurance   scheme.            that are in need of educa-
            ministration  head  Ángela   Administration head Ángela Ávila-Marrero who was arrested in   U.S. Attorney for Puerto Rico  tional assistance,” said Neil
            Ávila-Marrero; businessmen   San Juan, Puerto Rico, Wednesday, July 10, 2019.          Rosa  Emilia  Rodríguez  said  Sanchez,  special  agent  in
            Fernando  Scherrer-Caillet                                            Associated Press  Velázquez  Piñol  had  im-  charge of the U.S. Depart-
            and  Alberto  Velázquez-     Mendoza      and    Mayra  FBI  on  32  counts  of  fraud  properly  taken  advantage  ment  of  Education’s  Of-
            Piñol,  and  education  con-  Ponce-Mendoza,  who  are  and related charges.           of  contacts  in  the  educa-  fice of Inspector General’s
            tractors  Glenda  E.  Ponce-  sisters, were arrested by the  The  alleged  fraud  involves  tion  and  health  insurance  Southern Region. q
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