Ecuador gets funds from the failed radar negotiation

Maria Fernanda Espinosa

The Minister Maria Fernanda Espinosa confirmed yesterday that the “matter of the radars” was “settled“, referring to the failed contract signed with China’s CETC International, for the delivery of the equipment. The Ministry of Defence recovered the $ 39 million that would have been provided as collateral for the purchase of four Chinese radars that did not work.

“The radar issue is settled. The bank has honored its commitment to the restoration of security and the amounts for it’s faithful performance, ie Ecuador has fully recovered the funds allocated for the purchase of the radar,” said Espinosa for the offerings made at the tomb of Marshal Antonio Jose de Sucre, for the upcoming commemoration of the Battle of Pichincha and Armed Forces Day.

This month the Ecuadorian State recovered the value anticipated by the teams, but in parts. First it would have received $ 3 million from the performance guarantee and then the remaining $ 36 million of the advanced payment guarantee.

The contract was signed on June 8, 2009, almost four years ago for $ 60 million. At the time the former commander of the Ecuadorian Air Force (FAE), Rodrigo Bohorquez, and two representatives of CETC International signed it.