Grilled by grand jury examining ex-Puerto Rico adviser, official says
SAN JUAN, Puerto Rico — A top Puerto Rican official said Tuesday that he appeared before a federal grand jury investigating a former government adviser in the latest corruption allegation to hit the U.S. territory this week.
Chief of Staff Ricardo Llerandi said he answered questions and submitted documents related to Alberto Velazquez, who was a consultant for a company that oversaw the island’s Health Insurance Administration. Llerandi said the documents aren’t related to his current position and that he isn’t being investigated.
Hours later, he announced that he accepted the resignation of Angela Avila, executive director of the insurance administration. No other details were provided.
The announcement comes a day after Gov. Ricardo Rossello asked Puerto Rican Treasury Secretary Raul Maldonado to resign after comments he made to local radio station WKAQ. Maldonado said there was an “institutional mafia” in the agency he oversaw and that people tried to bribe him several times. Maldonado was also Puerto Rico’s chief financial officer and director of the Office of Budget and Management.
Rossello said he wasn’t firing Maldonado because of his comments but because he had lost confidence in Maldonado, adding that the allegations were serious and he has ordered an investigation.
“Maldonado must present all evidence he has to justice officials,” Rossello said.
Maldonado took over the Treasury Department in January, when former Secretary Teresita Fuentes resigned after saying there were irregularities within the agency.
Meanwhile, Maldonado’s son took to social media this week to accuse Rossello of corruption and of altering an audit ordered by his father. The audit looked into a foundation with ties to Rossello’s wife and ultimately found no wrongdoing involving alleged mishandling of supplies meant for Hurricane Maria survivors.
Rossello issued a statement Tuesday rejecting accusations and noting that his wife was only a spokesman for the foundation and did not have an administrative role.
“Any insinuation about this is absurd, lacks coherence and is unforgivable slander,” Rossello said.
Puerto Rico Justice Secretary Wanda Vazquez ordered Maldonado to meet with prosecutors on Friday and present evidence to back up his claims of alleged bribery. She said his son was ordered to appear next week.
The FBI said Tuesday that it could not confirm or deny potential or ongoing investigations.
Last month, the FBI arrested the executive director of Puerto Rico’s Senate Office of Government Affairs and two legislative advisers. They are accused of creating an alleged billing scheme for professional services never rendered.
The upheaval comes as Puerto Rico prepares to submit its budget for the coming fiscal year as it fights austerity measures sought by a federal control board overseeing the island’s finances and the restructuring of some of its more than $70 billion public debt load amid a 13-year recession.