Mayor of Valenzuela Stands Trial for Embezzling G. 1.2 Billion in Phantom Public Works

The mayor of Valenzuela, Mirtha Fernández, is on trial for embezzling G. 1.2 billion in a scheme involving phantom public works, which implicated municipal officials and construction companies.

Mayor of Valenzuela Stands Trial for Embezzling G. 1.2 Billion in Phantom Public Works
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Mirtha Fernández, the mayor of Valenzuela, is facing trial for an alleged misappropriation of public funds amounting to G. 1.199 billion during her administration in 2019. The Public Prosecutor's Office presented documentary evidence confirming that the signatures on payment orders, work inspections, and contracts for unexecuted projects belong to the accused. The case involves total payments for public works that were never carried out.

The trial, which began on February 25, includes Mirtha Fernández and six other individuals. An expert responsible for the document and signature analysis will present his report to the Specialized Court for Economic Crimes, presided over by Judge Karina Jazmín Cáceres. The next hearing is scheduled for July 9.

According to the investigation, Mirtha Fernández and municipal treasurer Christian Flecha conspired with municipal employees and construction companies to issue invoices and justify the use of funds from the National Public Investment and Development Fund (Fonacide) before the Comptroller General's Office. The companies MLF Constructora and BC Constructora, represented by Liz Fleitas and Blásido Candia, were identified as the contractors for the ghost projects.

The scheme was uncovered when council members reviewed documents published by the Comptroller General's Office and confirmed that the works did not exist. Furthermore, municipal employees such as Elvis Ramón Balbuena, Verónica Acosta, Silvia Espínola, and Sergio Flecha are alleged to have been involved in processing the documents and receiving checks.

Mirtha Fernández and five other officials have also been charged with breach of trust for an alleged misappropriation of public funds of G. 300 million during the 2022 administration.

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Updated: Jul 9, 2026, 3:43 AM