PANAMA’S new government has launched a three pronged investigation into the long simmering scandal of the $250 million purchase of equipment from the Italian conglomerate Finmeccanica by the government of Ricardo Martinelli (2009-2014).

On Wednesday, August 13, Attorney General Ana Belfon announced anti-corruption prosecutors have started an investigation into alleged irregularities in the contracts with Finmeccanica for 19 radars, 6 helicopters and a digital map. When Martinelli was still in power, and there were calls for an investigation, Belfon, a Martinelli appointee,said the case was closed.

Anti-Prosecutor Lorena Coronell will head the investigation.
Meanwhile President Juan Carlos Varela has suspended the contract for the purchase and installation of the radars, which accounted for $125 million of the contract. Because they are apparently not operating properly and do not detect the speedboats used by traffickers to transport drugs.
On Tuesday, the Cabinet Council instructed the Ministry of Foreign Affairs in Italy to hire lawyers to represent the interests of the state in all legal processes in that country resulting from purchases from Finmeccanica, reports La Prensa
The decision was published in the Government Gazette on Wednesday
In a second resolution, the Ministry of Public Security was ordered to participate in investigations carried out in Italy regarding the contracts.
Italian Prosecutors are pursuing a number of legal issues regarding alleged bribes paid by the consortium to Panamanian officials. Martinelli and his former government spokespersons, have denied any wrongdoing, and he has constantly referred to the ongoing criminal trials involving Finmeccanica in Italy as a soap opera.
At a conference, in Italy,  on April 19, 2012 Martinelli said neither he nor anyone in his government " received a penny" from any Italian Finmeccanica company, in relation to the corruption scandal under investigation in Italy which was threatening to engulf his administration.