Board orders Puerto Rico to pay $340M owed to pension system

SAN JUAN, Puerto Rico (AP) — A federal control board overseeing Puerto Rico’s finances says dozens of municipalities and public corporations have failed to pay or deposit $340 million into a retirement system for government employees.

The board said Tuesday that 66 municipalities including the capital of San Juan and 28 public corporations including the island’s water and sewer authority have accrued that debt.

Puerto Rico already faces nearly $50 billion in unfunded pension liabilities as it continues to restructure a portion of its more than $70 billion public debt load.

The control board also sued dozens of companies Tuesday seeking to recover millions of dollars paid to them by the U.S. territory for a variety of services in recent years amid an economic crisis. Those companies include Bristol-Myers Squibb and Evertec Inc.

Categories: International News