Mexico: They will investigate contracts awarded to AMLO's premium

MEXICO CITY (AP) – The Mexican government promised on Saturday to investigate how a cousin of President Andrés Manuel López Obrador obtained two contracts from the state-owned company Petróleos Mexicanos (Pemex).

The issue affects López Obrador’s central campaign commitment to eradicate corruption and business from power.

The president’s cousin, Felipa Guadalupe Obrador Olán, owns a part of the Litoral Laboratorios Industriales company. The firm, created in 2006, has won government contracts since 2013, long before López Obrador assumed the presidency in December 2018.

However, the government in December 2019 informed the company to stop competing for contracts due to blood ties.

However, in November 2019, the firm joined consortia with other companies to win two tenders, the first as part of an alliance of three companies and the second with seven other firms.

The relationship should have been indicated on the corresponding forms. Pemex promised to investigate why the participation of the company and its partners in the tenders was not canceled.

Pemex noted that when Obrador Olán was informed that she could no longer compete, she did not inform Pemex that her company was already participating in other tenders.

The company indicates on its website that it performs “physicochemical and microbiological analyzes on water and food and hydrocarbons.”

López Obrador has specifically committed that the government will not award contracts to relatives of officials.

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