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Contralora backs civil penalties for audit noncompliance, urging faster remedies short of criminal prosecution
Summary
In testimony before the commission, the Contralora said Proyecto de la Cámara 1263 would let courts award costs and attorney fees when witnesses refuse to appear or fail to produce documents and the court finds conduct was frivolous or reckless; proponents said the change aims to provide an expedited civil remedy because criminal prosecution has been impractical.
Carmen Vega, Contralora de Puerto Rico, told the commission she supports Proyecto de la Cámara 1263, which would permit a court to order costs and attorneys’ fees when a person subpoenaed for an audit fails to appear or withholds required documents and the court finds the conduct frivolous or reckless.
Vega said current criminal provisions for obstructing an audit are rarely used in practice because they require activation of the criminal justice system and are therefore an impractical enforcement route for many audit delays. The proposed civil remedy, she said, would be a proportionate tool to secure cooperation and to compensate the public for the additional audit costs caused by noncompliance.
Committee members raised questions about who would pay court-ordered costs. Vega said the draft language at the hearing suggested awards would come from the entity (the agency or municipal treasury) in many cases, but that the matter could be clarified in bill language. Rocío de Jesús, Director of Registros Públicos, said that in her auditing experience fines and administrative penalties typically were borne by the entity rather than an individual official.
Members also pressed how the office would avoid arbitrary application. Vega and legal counsel Rafael Vázquez emphasized that the court would make a factual determination before ordering costs and that the office seeks to pursue civil remedies only after other administrative steps and communications have been exhausted.
No committee vote was taken at the hearing. Members asked the Contraloría to refine language about who bears costs and to consider procedural safeguards that protect public employees from unjustified sanctions.
