Legal experts say the acquittal of 28 defendants facing Panama Papers-related money laundering charges raises questions about the progress of anti-corruption efforts in Panama and beyond, as the country’s new president welcomed the outcome of the trial and called the original journalistic investigation a “hoax.”
In a statement released on Friday, Panama’s judicial branch said the judge Baloisa Marquínez did not find enough evidence to reach a guilty judgment and dismissed a host of electronic evidence presented by prosecutors for not meeting chain-of-custody protocols and authentication standards.
Carlos Barsallo, a Panamanian attorney and former president of Transparency International’s Panama chapter, said the decision reflected a blunder by prosecutors since many of those documents were obtained by authorities during an inspection of the offices of Mossack Fonseca, the Panamanian law firm at the center of the Panama Papers leak. Digital documents, like emails, should have made it easy to maintain the chain of custody, Barsallo said.
“From a global perspective, it shows the difficulty of these cases and the necessity for the prosecution to have more resources — not just economic, but also human resources and technical know-how,” Barsallo said.