Fraud, corruption, theft, cronyism justify Luz y Fuerza's liquidation, says Labor Secretary Lozano
From El Economista
and El Financiero reports
Mexican Labor Secretary Javier Lozano Alarcon said the government not only has a clear conscience but also is proud about liquidating the central Mexican utility Luz y Fuerza del Centro.
He said subsidies given to LFC weren't spent on improving service but went to energy theft, abuse, corruption and privileges for the Electricians Union and groups affiliated with it - "today those who are tearing their hair out under the pretext of defending a state enterprise against privatization."
In fact, Lozano said, the company remains state-owned and operated because it has been folded into the Federal Electricity Commission.
So far, according to the the Finance Ministry, 11,744 of Luz y Fuerza's workers have collected their severance packages. The figure is more than 26.5 percent of the utility's 44,000 workforce.
The Ministry, which has established 20 centers around Mexico City and the surrounding states served by LFC, has received 57,631 phone calls and 37,403 e-mails seeking information about the severance program's processes and settlement amounts.
Lozano, speaking at the inauguration of Gerardo Gutierrez Candiani as Coparmex's new president, said Luz y Fuerza's inefficiency and corruption cost 400 pesos (about $30.82) a month to each of the utility's 107 million customers.
A day before he is scheduled to appear before the Chamber of Deputies to discuss the liquidation, he said that intolerance, discrimination,k aggression and violence was rampant in the company's operations.
Those protesting LFC's liquidation aren't looking at the facts or the law, Lozano said.

