Central America
Trial begins against 10 accused of helping Funes to appropriate more than $351 million
August 15|
In the case known as “Public Pillage” the First Sentencing Court of San Salvador, has begun this Tuesday the public hearing against 10 defendants linked to the corruption network that created the former president of the Republic, Mauricio Funes.
The Public Prosecutor’s Office of the Republic accuses for the crimes of money laundering, embezzlement (appropriation of state property) and special cases of money laundering.
The Public Prosecutor’s Office has more than 2,500 documents, 114 witnesses, financial and tax accounting experts and 21 international assistances, which were admitted in the preliminary hearing and which will begin to be evaluated by the court in the trial scheduled for one month.
The prosecutors intend to prove with financial, accounting and tax expertise that the defendants allegedly appropriated public funds that the Ministry of Finance allocated to the Presidency of the Republic for the reserved expenses between 2009 and 2014.
One of the key expertise is the accounting analysis made by an expert where he confirms that Funes in his presidential term used the mechanism of budgetary reinforcements to appropriate $351,035,400.
This expertise called “Forensic Financial Accounting Audit of Administrative and Functional Management” shows that in the records of the Ministry of Finance, between June 1, 2009 and June 1, 2014, it appears that the budget for the Reserved Expenses item that the Legislative Assembly approved for the Presidency of the Republic was $80,818,285.
But Funes, not satisfied with these funds, devised a criminal plan to increase the secret item known as “Item 54315 Reserved Expenses” through budgetary reinforcements.
The increase was 300% equivalent to $270,217,115.49, leading him to appropriate $351,035,400.49, in his entire administration and the people who today begin to be prosecuted were part of that criminal structure, according to the accusation of the Prosecutor’s Office. Funes fled justice in 2016 to Nicaragua.
As the plan was to lose track of those funds delivered as reserved expenses to the Presidency of the Republic, from the subsidiary account of the public treasury the money began to be transferred to accounts that were in the name of private individuals in the Banco Hipotecario.
The holders of these private accounts were Francisco Rodríguez Arteaga and Pablo Gómez, who were in charge of depositing the money through checks. These two people were also part of the network used by former President Antonio Saca.
According to the Public Prosecutor’s Office, these actions are serious because the accused violated the administrative regulations that already determine the mechanisms to be followed in the management of public funds.
The private attorneys at the time of initiating the trial have presented several petitions. One of them is a peremptory exception of res judicata in the case of Vanda Pignato.
The defense says that she was already judged in a civil trial for illicit enrichment of $135,536.15, funds with which she paid credit cards and other financial products, in that lawsuit she was absolved of responsibility and in this process of Public Plunder are the same facts accused which becomes a double judgment and that she be exonerated for the crime of money laundering.
The defense has also requested the exclusion of José Francisco Cáceres Saldaña, former private secretary of Mauricio Funes, as he was not duly granted the status of criterion witness.
They have also requested that some documents handed over by Cáceres Saldaña not be evaluated since the proper chain of custody was not followed.
They are also requesting not to take into account a point of expertise of a financial accounting analysis made on the reserved expenses and which affects David Rivas, former Secretary of Communications of the Presidency.
THE PENDANTS
1 Vanda Pignato, former First Lady, accused by the Prosecutor’s Office of money laundering and simulation of crimes.
2 José Miguel Antonio Menéndez Avelar, owner of COSASE, accused of money laundering, asset laundering and tax fraud.
3 Juan Carlos Guzmán Berdugo, former father-in-law of Mauricio Funes, indicted for money laundering and asset laundering.
4 Manuel Rivera Castro, former president of Banco Hipotecario, indicted for embezzlement, money laundering and asset laundering.
5 Rigoberto Palacios Panameño, former chief accountant, faces trial for embezzlement.
6 Luis Miguel Ángel García, accused of money laundering and asset laundering.
7 Francisco Rodríguez Arteaga, former financial manager of Casa Presidencial, indicted for embezzlement, money laundering and assets laundering.
8 Pablo Gómez, former technical assistant of the Presidency, accused of embezzlement, money laundering and assets laundering.
9 Jorge Alberto Hernández Castellano, former Treasury chief of Casa Presidencial, indicted for embezzlement.
10 David Rivas, ex-secretary of Communications of the Presidency, accused of money laundering.
Central America
Panama launches anti-drone measures as prison security crisis deepens
Panama will restrict airspace around its prisons to prevent drones from delivering drugs and weapons to inmates, President José Raúl Mulino announced Thursday as his administration moves to address a growing prison security crisis.
The measure is part of a broader strategy that includes the construction of a new penitentiary designed to isolate gang leaders, according to the president.
“We are implementing an airspace blocking system so that drones can no longer fly over the prisons,” Mulino told reporters during a visit to the province of Bocas del Toro.
The system was tested last week with the aim of preventing drones from nearby areas from being used to transport or drop drugs inside correctional facilities, the president added.
Panama’s prison system has faced increasing pressure following the escape of nearly 200 inmates from La Joyita prison, located near Panama City, on January 1. Most of the prisoners have since been recaptured.
The security situation gained further attention after the escape and the June 17 killing of a 10-year-old girl in the capital, who was caught in a hit attack targeting her stepfather.
Following the La Joyita prison break, Mulino said the country’s penitentiary system had “collapsed” and announced last week, during his annual government report, plans to build a facility aimed at separating high-ranking gang members from the general prison population.
“The system collapsed, not only because of organization but because of corruption. All the drugs and weapons that enter prisons pass through a door, and there is someone — whether a prison guard or a member of the national police — who allows them to enter,” Mulino said Thursday.
Panama recorded a homicide rate of 14.2 per 100,000 inhabitants in 2025. However, the Caribbean province of Colón registered a rate three times higher than the national average.
Meanwhile, the country’s prisons currently hold around 24,000 inmates, despite having capacity for only 14,700, according to official figures.
Central America
Regional Naval Operations Strike Drug Cartels, Disrupting Cocaine and Weapons Trafficking Routes
Transnational operations carried out by regional naval forces, including El Salvador’s National Navy, the United States Coast Guard, and Mexico’s Secretariat of the Navy (SEMAR), have dealt significant blows to international drug trafficking organizations.
The operations have not only led to the seizure of massive cocaine shipments, such as the 6.68 metric tons of cocaine valued at approximately $167 million presented last Wednesday by El Salvador’s Security Cabinet, but have also resulted in the confiscation of high-powered weapons allegedly intended as payment to criminal organizations, according to Security Minister Gustavo Villatoro.
“Based on the strength of the data, not just the narratives, we can state that our National Navy has documented the only known operation in the Pacific Ocean in which a criminal organization from the south was transporting drugs and exchanging them with a group from the north for firearms,” Villatoro said.
The exchange of weapons for drugs between criminal groups in the Pacific Ocean represents a logistical method in which South American cartels from countries such as Colombia and Ecuador negotiate with Mexican and Central American organizations to trade military-grade weapons for cocaine shipments.
Regional naval authorities have identified that meeting points located farther from the coastline in international waters make it easier for armed groups to receive supplies and carry out exchanges undetected. As a result, El Salvador’s National Navy deploys teams from the Trident Naval Task Force (FTNT) aboard maritime patrol vessels to intercept these operations.
Initially, the patrol units are ordered to travel up to 200 nautical miles offshore, but later receive instructions from the Maritime Operations Center to extend their missions beyond 1,000 nautical miles, reaching coordinates used by drug trafficking vessels operating in the open sea.
“We cannot lose focus on the routes these criminal organizations use to move drugs,” Minister Villatoro said, emphasizing the importance of maintaining surveillance over the various maritime corridors used for narcotics trafficking.
Central America
Violent Killings of Women in Honduras Remain High During First Half of 2026
Violent deaths of women remain a major concern in Honduras, according to preliminary data released by the Violence Observatory of the National Autonomous University of Honduras.
Between January and June 2026, the country recorded 139 violent deaths of women, one more than the 138 reported during the same period in 2025.
The Observatory’s director, Migdonia Ayestas, said that although the increase is minimal, the figures confirm that violence against women remains a persistent problem.
“Violence against women is a serious issue. The ways in which they are being killed have become increasingly brutal and inhumane,” Ayestas said.
She explained that documented cases include dismemberment, beheadings, sexual assaults, and bodies abandoned in public places, acts that she said reflect the violence carried out by criminal organizations.
Ayestas stressed that the analysis should go beyond the number of victims and focus on the effectiveness of the justice system.
“We should not only count how many women are killed, but also how many cases are investigated, how many arrests are made, and how many reach the courts,” she said.
According to the Observatory, more than 8,000 women have died violent deaths in Honduras since 2005, leaving thousands of children orphaned.
Ayestas also called for stronger prevention efforts, improved education, and more effective criminal investigations to address the crisis. She argued that the current state of emergency alone has not been sufficient to dismantle criminal organizations or significantly reduce violence, emphasizing the need for comprehensive strategies to prevent these crimes and combat impunity.
The first-half figures for 2026 underscore that violence against women remains one of Honduras’ most pressing security and human rights challenges.
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