HomeReal Estate MarketLawsuit against two government directors over overpriced rents

Lawsuit against two government directors over overpriced rents

SANTO DOMINGO.- The Primero Justicia Foundation filed a criminal complaint this Wednesday with the Attorney General's Office against Bartolomé Pujals and Pedro Quezada, director and former director of the Government Office of Information and Communication Technologies (OGTIC) and against Lorenzo Ramírez, director of Passports, for the alleged signing of "fraudulent real estate rental contracts at inflated prices."

The document argues that the contracts would involve the embezzlement of billions of pesos to the detriment of the Dominican State, who, in order to avoid suspicion of fraud, used Inmobiliaria Reservas as the apparent owner, when in reality, the rented properties were owned by the Reservas I Real Estate Closed Investment Fund, belonging to associates of the current government.

"This is a kind of fraudulent association between directors and high-ranking officials of the Dominican State, with associates from the private sector, for the purpose of plundering public assets through alleged leases of commercial premises and real estate at exorbitant prices that exceed the value of the leased property, using the so-called Reservas Closed Real Estate Investment Fund, managed by the Reservas SA Investment Fund Management Company, as a smokescreen and vehicle for legitimizing illicit capital," the complaint argues.

They add that in these transactions, those close to the private sector acquire the property in question for an amount lower than the rent previously agreed upon with the state entity, "as occurred in the case of the 16-story building 'Corporativo Vista 311,' which was purchased and acquired in its entirety by said fund on April 11, 2022, for the amount of RD$1,400,406,577,798.14, of which they rent 5 of its 16 levels to the Dominican State for the exorbitant amount of RD$1,440,331,299.88, which doubles the amount that the owners paid for the entire building, in a clear and aberrant act of misappropriation of public funds," the document from the Primero Justicia Foundation emphasizes.

Bartolomé Pujals clarifies concerns about the rental of the institutional headquarters

Yesterday, Tuesday, the director of OGTIC, Bartolomé Pujals, accompanied by the Comptroller General of the Republic and the Executive Vice President of AFI Reservas, called a press conference to clarify recent concerns about the lease agreement for the institution's headquarters, emphasizing that the current contract was not signed during his administration, but was awarded in December 2022 and signed on January 17, 2023 by the previous director.

Even so, Pujals emphasized that his responsibility falls within the principle of administrative continuity, ensuring that the OGTIC is fulfilling a previously established commitment. “This contract is essential for the functioning of our work in support of the Digital Government strategy in the Dominican Republic,” he stated. 

The contract covers five full floors and common areas in the Vista 311 Corporate Building, allowing OGTIC to provide services to more than 530 State institutions, including a Government Contact Center that handles an average of 2.3 million calls per year.

Regarding the total contract amount, Pujals explained that OGTIC makes monthly payments of RD$8,025,170.20 plus ITBIS (Value Added Tax) and maintenance for ten years. This includes the rental of five entire floors, as well as furniture, security systems, lighting, and other essential services. He clarified that the cost per furnished square meter is US$23, plus US$10 for outfitting and US$5 for maintenance, a competitive price compared to the private market.

Ujols also emphasized that the contract negotiation was carried out rigorously and transparently, under the supervision of the OGTIC Procurement and Contracting Committee, and fully aligned with the new regulations established in 2022 by the Comptroller General of the Republic and the General Directorate of Procurement and Contracting to regulate all rental processes through the public procurement portal.

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El Inmobiliario
El Inmobiliario
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