The Governor of Puerto Rico has officially turned over his administrative and fiscal powers to a five-member Financial Control Board.
According to the New York Times, this Financial Control Board “will have oversight over nearly all branches of the island’s central government.”
The Financial Control Board (FCB) will include representatives of the hedge funds that own Puerto Rico’s $73 billion public debt.
The FCB will also have authority over the treasury of Puerto Rico, the Government Development Bank, and most public corporations.
The “public corporations” under the FCB’s authority will include the education and prison systems; public housing; public transportation systems; highways, bridges, airports and seaports; public real estate; and energy projects throughout the island.
Gov. García Padilla explains the fine points of making himself impotent
As prescribed in Gov. Garcia Padilla’s own “Fiscal and Economic Growth Plan,” the FCB will have authority over “most government entities: including the commonwealth, GDB, and most public corporations,” and will also have “extensive subpoena powers.” (See p. 53)
Immediate Hearings and Legislative Approval
At the insistence of Gov. Garcia Padilla, the Puerto Rico legislature will hold public hearings on his FCB immediately, this week of Oct. 19-23, and vote immediately thereafter.
In other words, Garcia Padilla is ramming this FCB through the legislature, as quickly as possible. After the FCB bill becomes law Garcia Padilla, his political party (PPD), and US plutocrats will be able to tell the entire world that “the US did not impose this FCB. The people of Puerto Rico, and their elected representatives, chose it themselves.”
Senator Maria de Lourdes Santiago denounces the Financial Control Board
Senator Maria de Lourdes Santiago responded immediately to the governor’s FCB.
“This project is an admission that the markets and U.S. institutions have absolutely no confidence in this government,” said Maria de Lourdes. “This Board would not supervise. It would govern.”
In addition, Maria de Lourdes immediately convened a press conference to denounce the governor’s FCB plan. Specifically, she exposed the FCB as a scheme to turn over the entire Puerto Rican economy, into the hands of foreign hedge fund interests.
Here is a portion of that press conference:
WORSE than a mere resignation
Some individuals may argue that the headline of this article is incorrect, because the governor did not officially resign his post as governor.
But on a de facto basis, that is exactly what Gov. Garcia Padilla has done.
By his own hand, at his own insistence, he has turned himself into a ghost.
The FCB will rule.
Garcia Padilla will be a non-governor…un zero a la izquierda.
In fact, this FCB law is worse than a mere resignation…because not only Garcia Padilla, but every governor that comes after him, will no longer be the “governor” of anything.
Thanks to Garcia Padilla, the “governor” of Puerto Rico will be the headwaiter of La Fortaleza, catering cocktail parties for the hedge fund owners, P3 presidents, and FCB oligarchs who will now rule over Puerto Rico.
With this FCB law, Garcia Padilla will go down in history…not only as the governor who resigned, but the governor who turned the office of “Governor of Puerto Rico” into an international joke.