On 5 January, Mexican judicial sources confirmed to national media that the federal attorney general’s office (FGR) had requested a prison sentence of up to 39 years for Emilio Lozoya, the former director of Mexico’s state-oil company (Pemex) (2012-2016) for his alleged role in the Odebrecht corruption scandal.
Analysis:
The case against Lozoya, who stands accused of receiving bribes of at least US$10m from Brazilian engineering firm Odebrecht, has been dragging its heels for the past year-and-a-half after Lozoya struck a plea-bargain deal with the FGR. The arrest and now charging of Lozoya suggests the evidence he promised of the scheme’s beneficiaries has not materialised. The development is good news for President Andrés Manual López Obrador’s government, which had been criticised for lack of progress in the case.
- According to the sources, who asked the Mexican press for anonymity, the FGR formally charged Lozoya with money laundering, criminal association and bribery on 3 January. The FGR also requested a sentence of up to 25 years for Lozoya’s mother, Gilda Margarita Austin, for her alleged involvement in the scheme.
- Lozoya has been named for receiving US$10.5m as the main link between Odebrecht and corrupt officials in the Mexican government led by Enrique Peña Nieto (2012-2018). He was extradited to Mexico from Spain in July 2020 but then struck the plea-bargain deal, making accusations against officials including former presidents, presidential candidates and legislators.
- Momentum in the case changed when Lozoya was arrested on 3 November after he was seen dining lavishly in an upscale restaurant in downtown Mexico City (CDMX), triggering outrage among Mexicans over the perceived impunity.
- Lozoya had offered testimony that Peña Nieto ordered Odebrecht money be used to fund the centrist Partido Revolucionario Institucional (PRI) election campaign in 2012 and to bribe opposition congress members to support his electricity reform in 2013. The hoped-for testimony could have been political gold for López Obrador, who has oft accused his predecessors of corruption and is trying to reverse Peña Nieto’s energy reform.
Looking Ahead: According to reports, the indictment against Lozoya was presented to José Artemio Zúñiga Mendoza, the judge at the Reclusorio Norte prison where Lozoya is being held. Zúñiga must notify the defence in the next ten days about the opening of the trial. This latest development suggests that progress is finally being made in the high-profile case.