Senate commission to review Cardama contract after Uruguay cancels ocean patrol vessel deal
On 28 October, Orsi added that the previous administration had been “clearly” deceived in the Cardama case
A pre-investigative commission will begin work on Wednesday in Uruguay’s Senate to examine the contract with Spanish shipbuilder Cardama for two ocean patrol vessels (OPVs), recently cancelled by President Yamandú Orsi’s government.
The move was introduced on Tuesday by governing Broad Front (Frente Amplio) senator Sebastián Sabini, who requested a full parliamentary investigation “to clarify all the facts and procedures” linked to the deal. The Senate presidency approved the creation of a pre-investigative panel made up of two lawmakers from the ruling coalition and one from the opposition.
The panel has 48 hours to issue its recommendation on whether a formal investigative commission should be set up. Work is due to start on Wednesday morning.
The contract was signed on 15 December 2023 by the Defence Ministry under former president Luis Lacalle Pou’s administration. It covered the purchase of two OPVs from Cardama for US$ 92 million. In Sabini’s filing, lawmakers cite “difficulties from the outset” in securing the guarantees required by Defence and reference later assessments concluding there were “serious breaches” in the execution of the work.
Orsi’s government first announced on 22 October it would seek to terminate the contract after identifying alleged irregularities tied to the guarantees, including confirmation that EuroCommerce —the entity meant to provide the backing— was in liquidation. Orsi said at the time there were signs of “a scam or fraud against the Uruguayan state,” and the government filed a criminal complaint that was later expanded.
On 28 October, Orsi added that the previous administration had been “clearly” deceived in the Cardama case. On 13 February, he confirmed the cancellation and announced steps to “recover state assets” while moving to procure the patrol vessels through a new process.
Questions flagged for parliamentary scrutiny include why the government opted for a direct purchase, who introduced Cardama to the Defence Ministry after a competitive procedure was dropped, and why no insurance adviser was hired or Central Bank consultations sought regarding the guarantees, according to the Senate submission.
