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Writer's pictureThe San Juan Daily Star

Act 22 beneficiaries said trying to influence elections



An aerial view of La Perla and Old San Juan neighborhoods of San Juan, on June 21, 2024. A recent analysis shows politicians in Puerto Rico’s highest offices receiving donations from Act 22 beneficiaries this year, which the group behind the study says is an attempt to influence elections. (Erika P. Rodríguez/The New York Times)

By The Star Staff


A 2024 analysis published by the civic organization Popular Democracy shows politicians in the highest offices receiving donations from Act 22 beneficiaries this year, which the group says is an attempt to influence elections.


One of those receiving funds, according to the analysis, is Gov. Pedro Pierluisi Urrutia, who is not running in the election but received over $90,000.


Also appearing in the report are Resident Commissioner Jenniffer González Colón, the New Progressive Party (NPP) candidate for governor, leaders in the Puerto Rico House of Representatives, and mayors in towns with the highest number of Act 22 beneficiaries -- such as San Juan and Dorado, according to a statement.


From January 2024 to July 2024, Act 22 beneficiaries donated over $210,000 to politicians from the NPP and the Popular Democratic Party (PDP), according to the report. González Colón obtained $33,900 in donations, San Juan Mayor Miguel Romero Lugo $10,400, Dorado Mayor Carlos López Rivera $18,100, and PDP gubernatorial candidate Jesús Manuel Ortiz González appeared with $7,700.


In May of this year, the Puerto Rico No Se Vende coalition, Hedge Clippers, and the Center for Popular Democracy released a report on the outsize access and influence Act 22 beneficiaries have over Puerto Rico’s elected officials.


Between 2013 and 2023, Act 22 beneficiaries made over $1 million in political donations. That money, the report said, went to 21 different elected officials on the island, in addition to direct donations to the PDP and the NPP, the two leading political parties in Puerto Rico.


Act 22 of 2012 -- also known as the Law to Promote the Relocation of Investors to Puerto Rico -- exempts local taxes on certain passive income generated by individuals that move to Puerto Rico, establish residency and invest on the island.

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