SAN JUAN, Puerto Rico: A federal control board that oversees Puerto Ricos finances announced Wednesday that it has contacted federal and local law enforcement agencies after discovering the islands Department of Education paid more than $84 million to people who no longer work there.
The payments were made from 2007 to 2020, with the department recovering only 15% of that money so far, said Natalie Jaresko, the boards executive director. She noted the agency only recently implemented an electronic attendance system even though it had invested in one more than a decade ago, adding that she didn’t know what amount of funds might have been erroneously distributed.
Jaresko asked that all those who were paid even though they no longer worked for the agency voluntarily return the money, adding that its very possible people collected the checks of workers who died.
Payroll must be paid only to those who earn their salaries, she said, calling the situation a systematic failure.
Jaresko said she did not know if federal funds were involved.
Puerto Rico continues to restructure a portion of its more than $70 billion public debt load amid an economic crisis, the coronavirus pandemic and efforts to rebuild from hurricanes and earthquakes.
Jaresko said the board first investigated the Department of Education because it is the largest government agency, with some 40,000 employees, representing 40% of government workers. More investigations into other agencies will follow, she said.
Alexis Ramos, a department spokesman, did not immediately return a request for comment.
Jaresko said Puerto Ricos government as a whole does not require public workers to log in time and attendance, noting that employees who dont punch in still get paid. The board wants to implement an automated system linked to payroll this year that will be mandatory to use to avoid similar situations.
This is not one administration, one political party,” she said. This is a systemic problem.
Jaresko said Puerto Ricos Treasury Department is the only government agency that has submitted time and attendance reports as the board requires.
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