Former Panamanian President Varela banned from entering the U.S. over "significant corruption"

Secretary of State Antony Blinken announced on Thursday that former Panamanian President Juan Carlos Varela Rodriguez was being banned from entering the country due to his “involvement in significant corruption.”

"Today, I am announcing the designation of former Panamanian President, Juan Carlos Varela Rodriguez as generally ineligible for entry into the United States, due to his involvement in significant corruption," Blinken said in a statement released by the State Department. 

"While serving as Panama's vice president and then president, Varela accepted bribes in exchange for improperly awarding government contracts," he added. 

Last November, two of Panama’s former presidents, including Varela, and other high-ranking officials were part of a corruption investigation focusing on a money-laundering scheme related to the Brazilian company Odebrecht. The company has been accused of giving bribes to officials to receive public-work contracts in several Latin American countries. 

The first president to be summoned by judges was Ricardo Martinelli, who served as Panama’s president from 2009 to 2014. Varela, who served as president from 2014 to 2019 was Martinelli’s vice president and successor. Both deny having committed any crimes. 

The two former presidents were banned from leaving the Central American country in 2020 when the investigations into the corruption allegations began. They are expected to face trial later this year. 

“Corruption unjustly deprives the people of Panama of quality public services such as schools, hospitals, and roads, hurting their economic prospects and their quality of life.

If not addressed, corruption will continue to depress Panama’s prosperity, weaken its democracy, and prevent it from realizing its full potential,” Blinken said. 

“We hope that today’s action will prompt Panama’s elected representatives and authorities to tackle entrenched corruption and empower all those who stand up for the rule of law,” he added.